Will OKLO's expense growth stabilize soon?
3/31/2025 12:41am
**Oklo's expense growth is likely to stabilize soon** based on the following points:
1. **Increase in Operating Expenses**: Oklo's net loss for the quarter ended September 30, 2024, was attributed to higher operating expenses. The company's research and development expenses rose to $5,049,070 from $1,707,457, and general and administrative expenses increased to $7,232,018 from $2,956,338. This increase is primarily due to higher payroll and employee benefits, professional services, and stock-based compensation.
2. **Stabilizing Factors**: Despite the increase in expenses, Oklo reported a net income yoy growth of 28.16% with a net income of -$10.29 million. The company's focus on strategic initiatives and product innovations, along with the acquisition of Atomic Alchemy, suggests a direction towards stabilization. Oklo's innovation in nuclear technology and its business model of operating as an owner-operator could provide a competitive edge, potentially leading to a stabilization of its financial performance.
|code|Ticker|Name|Date|Net Income YoY|Net Income|market_code|
|---|---|---|---|---|---|---|
|OKLO|OKLO.N|Oklo|2024 Q1|-50.54908646287758|1528369|169|
|OKLO|OKLO.N|Oklo|2024 Q2|-555.801238438385|-2.9345984E7|169|
|OKLO|OKLO.N|Oklo|2024 Q3|-14.896349266193784|-9959165|169|
|OKLO|OKLO.N|Oklo|2024 Q4|28.157299485617237|-1.0288767E7|169|
3. **Regulatory and Deployment Milestones**: Oklo has secured a site use permit from the U.S. Department of Energy and received a fuel award for a commercial Aurora powerhouse. These regulatory and deployment milestones could lead to a more stable financial outlook as the company advances its projects.
4. **Financial Position**: Oklo reported cash, cash equivalents, and marketable debt securities totaling $288,470,604 as of September 30, 2024. This strong financial position indicates that the company has the resources to manage its expenses and invest in growth initiatives without immediate stabilization concerns.
In conclusion, while Oklo's expense growth has been significant, the company's strategic direction, acquisitions, and regulatory achievements, along with its strong financial position, suggest that its expense growth could stabilize in the near future.