DNMR Danimer Scientific Inc

 

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): May 07, 2024

 

 

DANIMER SCIENTIFIC, INC.

(Exact name of Registrant as Specified in Its Charter)

 

 

Delaware			001-39280	84-1924518
(State or Other Jurisdiction of Incorporation)			(Commission File Number)	(IRS Employer Identification No.)
140 Industrial Boulevard
Bainbridge, Georgia				39817
(Address of Principal Executive Offices)				(Zip Code)

 

Registrant’s Telephone Number, Including Area Code: 229 243-7075

 

(Former Name or Former Address, if Changed Since Last Report)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

Securities registered pursuant to Section 12(b) of the Act:

Title of each class		Trading Symbol(s)		Name of each exchange on which registered
Class A Common stock, $0.0001 par value per share		DNMR		The New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

 

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Item 2.02 Results of Operations and Financial Condition.

On May 7, 2024, Danimer Scientific, Inc. (“Danimer”) issued a press release announcing its financial results for the first quarter ended March 31, 2024. A copy of this press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.

The press release contains the following non-GAAP measures: “Adjusted EBITDA”, “Adjusted Gross Profit”, and “Adjusted Gross Margin”. Danimer believes that each of Adjusted EBITDA, Adjusted Gross Profit, and Adjusted Gross Margin are useful to investors in evaluating Danimer’s performance because each measure considers the performance of Danimer’s operations, excluding decisions made with respect to capital investment, financing and other non-recurring charges. Danimer believes these non-GAAP metrics offer additional financial information that, when coupled with the GAAP results and the reconciliation to GAAP results, provides a more complete understanding of its results of operations and the factors and trends affecting its business. The non-GAAP measures are reconciled to comparable GAAP financial measures within the press release. Danimer cautions that non-GAAP measures should be considered in addition to, but not as a substitute for, Danimer’s reported GAAP results. Additionally, Danimer notes that there can be no assurance that the above referenced non-GAAP financial measures are comparable to similarly titled financial measures used by other publicly traded companies.

The information in this Item 2.02 of this Current Report on Form 8-K and Exhibit 99.1 attached hereto shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section, and shall not be incorporated by reference into any filing of Danimer, whether made before or after the date hereof, regardless of any general incorporation language in such filing, unless expressly incorporated by specific reference to such filing.

Item 7.01 Regulation FD Disclosure

Attached as Exhibit 99.2 to this Current Report on Form 8-K and incorporated herein by reference is the form of presentation to be used by Danimer in presentations for certain of its stockholders and other persons. The information in this Item 7.01 of this Current Report on Form 8-K and Exhibit 99.2 attached hereto shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section, and shall not be incorporated by reference into any filing of Danimer, whether made before or after the date hereof, regardless of any general incorporation language in such filing, unless expressly incorporated by specific reference to such filing.

Item 9.01 Financial Statements and Exhibits.

d) Exhibits.

Exhibit No.		Description
99.1		Press Release, dated May 7, 2024, reporting financial results for the first quarter ended March 31, 2024 (furnished only).
99.2		Form of Investor Presentation (furnished only).
104		Cover Page Interactive Data File (embedded within the Inline XBRL document)

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

			Danimer Scientific, Inc
Date:	May 7, 2024	By:	/s/ Stephen A. Martin
			Stephen A. Martin Chief Legal Officer and Corporate Secretary

 

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Danimer Scientific Announces First Quarter 2024 Results

-- PHA Revenue Increase of 64% Year-Over-Year –

-- First Commercial Order Received for 20-Million Pound Cutlery Award --

-- Previously Announced $20 Million Revolving Credit Facility Provides for Additional Liquidity –

-- Previously Announced Proposed Pro-Rata Warrant Dividend Transaction --

BAINBRIDGE, GA – May 7, 2024 – Danimer Scientific, Inc. (NYSE: DNMR) (“Danimer” or the “Company”), a leading next generation bioplastics company focused on the development and production of biodegradable materials, announced today financial results for its first quarter ended March 31, 2024.

Stephen E. Croskrey, Chairman and Chief Executive Officer of Danimer, commented, “We completed the first quarter in line with our expectations. However, we are facing near term headwinds into our second and possibly third quarters related to Starbucks reapportioning their Nodax-based straw business from one of our converter partners to another. The converter receiving the new business built significant inventory in anticipation of the award while the incumbent did not begin drawing down inventory until it recently became aware of Starbucks’ decision. It is important to note that we retain 100% of this business and we remain on track to continue to grow our PHA business during 2024.”

Mr. Croskrey continued “We are greatly encouraged by several of our customers who have reached commercial status through completion of market trials. We have received our first commercial order for our previously announced 20-million-pound cutlery award. The Delta Café launch is underway and we have received our first order for straw resin for a new customer in Asia. Our recently completed asset-based revolving credit facility along with our equity raise in late March enhances our operational liquidity runway and should enable us to support this expected growth.”

Mr. Croskrey concluded “Our recently announced proposed pro-rata warrant dividend transaction has provided a potential new avenue to improve our balance sheet leverage, strengthen our capital structure and maximize stockholder value.”

First Quarter 2024 Financial Highlights:

Capital Structure

At March 31, 2024, the Company reported total debt outstanding of $385.0 million, which included approximately $45.7 million dollars of low-interest New Markets Tax Credit loans that the Company expects will be forgiven beginning in 2026.

The Company recently completed two financing transactions. On March 25, 2024, the Company completed a registered direct offering for the purchase and sale of 11.25 million shares of common stock, 3.75 million pre-funded warrants and 15 million common warrants. This transaction resulted in approximately $13.6 million in proceeds after customary closing fees. Also, on April 19, 2024, the Company entered into a $20

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million asset-based (ABL) revolving credit facility that is secured primarily by its accounts receivable and inventory, subject to borrowing base limitations. These transactions improve the Company’s liquidity position and enable it to maintain strategic and operational flexibility as it executes its growth strategy. The Company noted that the effect of the ABL revolving credit facility is not reflected in its March 31, 2024 financial statements.

On May 2, 2024, the Company announced a proposed pro-rata warrant dividend transaction pursuant to which the stockholders of record as of May 13, 2024 would receive one warrant (each a “Dividend Warrant”) for each three shares of common stock. Holders of our 3.250% convertible senior notes and our pre-funded common stock purchase warrants as of the record date would also receive Dividend Warrants on a pass-through basis. The proposed Dividend Warrant transaction is contingent upon the Company’s stockholders approving a proposal to increase the authorized number of shares of the Company’s common stock at the Company’s July 9, 2024 annual meeting of stockholders. The record date for the annual meeting is May 13, 2024, which is also the record date for the proposed Dividend Warrant. If the Company’s stockholders vote to increase the authorized number of shares of its common stock, the Company expects to distribute the Dividend Warrants on or about July 12, 2024. For additional information on the Dividend Warrant, please see the FAQs on the Investor Relations section of our website at https://ir.danimerscientific.com/.

Outlook

The Company reported first quarter results that were consistent with its prior expectations but noted near-term headwinds from the converter partner changes related to the Starbucks straw resin business. As such, the Company is making the following adjustments to its previously disclosed guidance:

Webcast, Conference Call and 10-Q Filing

The Company will host a webcast and conference call today, Tuesday, May 7, 2024, at 4:30 p.m. Eastern time to review first quarter 2024 results, discuss recent events and conduct a question-and-answer session. The live webcast of the conference call can be accessed on the Investor Relations section of the Company’s website at https://ir.danimerscientific.com. For those unable to access the webcast, the conference call will be accessible domestically or internationally, by dialing 1-888-886-7786 or 1-416-764-8658, respectively. Upon dialing in, please request to join the Danimer Scientific First Quarter 2024 Earnings Conference Call. The archived webcast will be available for replay on the Company's website after the call.

About Danimer Scientific

Danimer is a pioneer in creating more sustainable, more natural ways to make plastic products. For more than a decade, its renewable and sustainable biopolymers have helped create plastic products that are biodegradable and compostable and return to nature instead of polluting our lands and waters. Danimer’s technology can be found in a vast array of plastic end products that people use every day. Applications for its biopolymers include additives, aqueous coatings, fibers, filaments, films and injection-molded articles, among others. Danimer holds more than 480 granted patents and pending patent applications in more than

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20 countries for a range of manufacturing processes and biopolymer formulations. For more information, visit https://danimerscientific.com.

Forward‐Looking Statements

Please note that in this press release we may use words such as “appears,” “anticipates,” “believes,” “plans,” “expects,” “intends,” “future,” and similar expressions which constitute forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, without limitation, statements regarding our expectations for the full year 2024 capital expenditures, Adjusted EBITDA and liquidity, and statements regarding the outcome of stockholder votes on proposals at the Company’s annual meeting of stockholders. Forward-looking statements are made based on our expectations and beliefs concerning future events impacting the Company and therefore involve a number of risks and uncertainties. We caution that forward-looking statements are not guarantees and that actual results could differ materially from those expressed or implied in the forward-looking statements. Potential risks and uncertainties that could cause the actual results of operations or financial condition of the Company to differ materially from those expressed or implied by forward-looking statements in this release include, but are not limited to, the overall level of consumer demand on our products; general economic conditions and other factors affecting consumer confidence, preferences, and behavior; disruption and volatility in the global currency, capital, and credit markets; the financial strength of the Company's customers; the Company's ability to implement its business strategy, including, but not limited to, its ability to expand its production facilities and plants to meet customer demand for its products and the timing thereof; risks relating to the uncertainty of the projected financial information with respect to the Company; the ability of the Company to execute and integrate acquisitions; changes in governmental regulation, legislation or public opinion relating to our products; the Company’s exposure to product liability or product warranty claims and other loss contingencies; the impact on our business, operations and financial results from the ongoing conflicts in Ukraine and the Middle East; the impact that global climate change trends may have on the Company and its suppliers and customers; the Company's ability to protect patents, trademarks and other intellectual property rights; any breaches of, or interruptions in, our information systems; the ability of our information technology systems or information security systems to operate effectively, including as a result of security breaches, viruses, hackers, malware, natural disasters, vendor business interruptions or other causes; our ability to properly maintain, protect, repair or upgrade our information technology systems or information security systems, or problems with our transitioning to upgraded or replacement systems; the impact of adverse publicity about the Company and/or its brands, including without limitation, through social media or in connection with brand damaging events and/or public perception; fluctuations in the price, availability and quality of raw materials and contracted products as well as foreign currency fluctuations; our ability to utilize potential net operating loss carryforwards; and changes in tax laws and liabilities, tariffs, legal, regulatory, political and economic risks. More information on potential factors that could affect the Company's financial results is included from time to time in the Company's public reports filed with the Securities and Exchange Commission, including the Company's Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K. All forward-looking statements included in this press release are based upon information available to the Company as of the date of this press release and speak only as of the date hereof. We assume no obligation to update any forward-looking statements to reflect events or circumstances after the date of this press release.

 

 

 

 

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Contacts:

Investors

Blake Chamblee

Phone: 770-337-6570

ir@danimer.com

Media

Richard Ivey

Phone: 229-254-7688

rivey@danimer.com

 

 

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Danimer Scientific, Inc.

Condensed Consolidated Balance Sheets

 

		March 31,				December 31,
(in thousands, except share and per share data)		2024				2023
Assets:
Current assets:
Cash and cash equivalents		$	57,341			$	59,170
Accounts receivable, net			12,233				15,227
Other receivables, net			682				652
Inventories, net			25,989				25,270
Prepaid expenses and other current assets			5,492				4,714
Contract assets, net			3,028				3,005
Total current assets			104,765				108,038
Property, plant and equipment, net			439,834				445,153
Intangible assets, net			77,169				77,790
Right-of-use assets			19,162				19,160
Leverage loans receivable			31,446				31,446
Restricted cash			14,239				14,334
Other assets			2,310				2,210
Total assets		$	688,925			$	698,131
Liabilities and Stockholders' Equity:
Current liabilities:
Accounts payable		$	3,884			$	5,292
Accrued liabilities			6,484				4,726
Unearned revenue and contract liabilities			1,154				1,000
Current portion of lease liability			3,722				3,337
Current portion of long-term debt, net			787				1,368
Total current liabilities			16,031				15,723
Long-term lease liability, net			21,502				21,927
Long-term debt, net			384,229				381,436
Warrant liability			9,656				5
Other long-term liabilities			1,414				1,020
Total liabilities		$	432,832			$	420,111
Stockholders' equity:
Common stock, $0.0001 par value; 200,000,000 shares authorized: 114,240,921 and 102,832,103 shares issued and outstanding at March 31, 2024 and December 31, 2023, respectively		$	12			$	10
Additional paid-in capital			737,465				732,131
Accumulated deficit			(481,384	)			(454,121	)
Total stockholders’ equity			256,093				278,020
Total liabilities and stockholders’ equity		$	688,925			$	698,131

 

 

 

 

 

 

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Danimer Scientific, Inc.

Condensed Consolidated Statements of Operations

 

		Three Months Ended March 31,
(in thousands, except share and per share data)		2024				2023
Revenue:
Products		$	9,955			$	11,096
Services			269				830
Total revenue			10,224				11,926
Costs and expenses:
Cost of revenue			16,535				18,209
Selling, general and administrative			6,869				18,699
Research and development			5,342				7,075
Loss on sale of assets			-				170
Total costs and expenses			28,746				44,153
Loss from operations			(18,522	)			(32,227	)
Nonoperating income (expense)
Gain (loss) on remeasurement of warrants			99				(1,116	)
Interest, net			(8,838	)			(3,386	)
Total nonoperating expense:			(8,739	)			(4,502	)
Loss before income taxes			(27,261	)			(36,729	)
Income taxes			(2	)			90
Net loss		$	(27,263	)		$	(36,639	)
Basic net loss per share		$	(0.26	)		$	(0.36	)
Weighted average shares outstanding			103,968,384				101,896,326

 

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Danimer Scientific, Inc.

Condensed Consolidated Statements of Cash Flows

		Three Months Ended
		March 31,
(in thousands)		2024				2023
Cash flows from operating activities:
Net loss		$	(27,263	)		$	(36,639	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization			7,531				7,579
Amortization of debt issuance costs			2,818				828
Warrant issuance costs			867				-
Stock-based compensation			574				14,065
Inventory reserves			(345	)			244
Accounts receivable reserves			283				(519	)
(Gain) loss on remeasurement of warrants			(99	)			1,116
Amortization of right-of-use assets and lease liability			(41	)			(196	)
Deferred income taxes			-				(92	)
Loss on disposal of assets			-				170
Changes in operating assets and liabilities:
Accounts receivable			2,711				2,422
Other receivables			(30	)			74
Inventories, net			(374	)			753
Prepaid expenses and other current assets			(778	)			1,039
Contract assets			(197	)			(625	)
Other assets			78				-
Accounts payable			(1,182	)			(1,256	)
Accrued liabilities			1,910				2,981
Other long-term liabilities			392				878
Unearned revenue and contract liabilities			154				1,313
Net cash used in operating activities			(12,991	)			(5,865	)
Cash flows from investing activities:
Purchases of property, plant and equipment and intangible assets			(1,970	)			(16,400	)
Net cash used in investing activities			(1,970	)			(16,400	)
Cash flows from financing activities:
Proceeds from issuance of common warrants, net of issuance costs			8,883				-
Proceeds from issuance of common stock, net of issuance costs			4,650				-
Principal payments on long-term debt			(606	)			(5,494	)
Proceeds from employee stock purchase plan			118				129
Employee taxes related to stock-based compensation			(8	)			(61	)
Proceeds from long-term debt			-				130,000
Cash paid for debt issuance costs			-				(33,035	)
Net cash provided by financing activities			13,037				91,539
Net (decrease) increase in cash and cash equivalents and restricted cash			(1,924	)			69,274
Cash and cash equivalents and restricted cash-beginning of period			73,504				64,401
Cash and cash equivalents and restricted cash-end of period		$	71,580			$	133,675

 

 

 

 

 

 

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Non-GAAP Financial Measures

This press release includes the non-GAAP financial measures “Adjusted EBITDA”, “Adjusted gross profit” and "Adjusted gross margin". Danimer management views these metrics as a useful way to look at the performance of its operations between periods and to exclude decisions on capital investment and financing that might otherwise impact the review of profitability of the business based on present market conditions.

Adjusted EBITDA is defined as net income or loss plus net interest expense, income taxes, depreciation and amortization, as adjusted to add back certain charges or gains that Danimer may record each period such as remeasurement of private warrants, stock-based compensation expense, as well as non-recurring charges such as (i) asset disposal gains or losses as well as other significant gains or losses such as debt extinguishments and impairment of goodwill; (ii) legal settlements; or (iii) other discrete non-recurring items. Danimer believes these items are not considered an indicator of ongoing performance. Adjusted EBITDA is not a measure of performance defined in accordance with GAAP. The measure is used as a supplement to GAAP results in evaluating certain aspects of Danimer’s business, as described below.

Adjusted gross profit is defined as gross profit plus depreciation, stock-based compensation and other nonrecurring items.

Adjusted gross margin is defined as adjusted gross profit divided by total revenue.

Danimer believes that each of Adjusted EBITDA, Adjusted gross profit and Adjusted gross margin is useful to investors in evaluating the Company’s performance because each measure considers the performance of the Company’s operations, excluding decisions made with respect to capital investment, financing and other non-recurring charges as outlined in the preceding paragraph. Danimer believes these non-GAAP metrics offer additional financial information that, when coupled with the GAAP results and the reconciliation to GAAP results, provides a more complete understanding of its results of operations and the factors and trends affecting its business.

Adjusted EBITDA, Adjusted gross profit and Adjusted gross margin should not be considered as an alternative to net income or loss as an indicator of its performance or as alternatives to any other measure prescribed by GAAP as there are limitations to using such non-GAAP measures. Although Danimer believes that Adjusted EBITDA, Adjusted gross profit and Adjusted gross margin may enhance an evaluation of its operating performance based on recent revenue generation and product/overhead cost control because it excludes the impact of prior decisions made about capital investment, financing and other expenses, (i) other companies in Danimer’s industry may define Adjusted EBITDA, Adjusted gross profit and Adjusted gross margin differently than Danimer does and, as a result, they may not be comparable to similarly titled measures used by other companies in its industry, and (ii) Adjusted EBITDA, Adjusted gross profit and Adjusted gross margin exclude certain financial information that some may consider important in evaluating Danimer’s performance.

Danimer compensates for these limitations by providing disclosure of the differences between Adjusted EBITDA, Adjusted gross profit and Adjusted gross margin and GAAP results, including providing a reconciliation to GAAP results, to enable investors to perform their own analysis of Danimer’s operating results. Because GAAP financial measures on a forward-looking basis are not accessible, and reconciling information is not available without unreasonable effort, reconciliations to GAAP financial measures are not provided for forward-looking non-GAAP measures. For the same reasons, the Company is unable to address the probable significance of the unavailable information, which could be material to future results.
 

 

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Danimer Scientific, Inc.

Reconciliation of Adjusted EBITDA to Net Loss (Unaudited)

 

		Three Months Ended March 31,
		2024				2023
(in thousands)
Net loss		$	(27,263	)		$	(36,639	)
Interest, net			8,838				3,386
Depreciation and amortization			7,531				7,579
Stock-based compensation			966				14,943
Transaction and other related			867				-
Litigation and other legal related			321				57
Strategic reorganization and related			176				-
(Gain) loss on remeasurement of warrants			(99	)			1,116
Income taxes			2				(90	)
Loss on extinguishment of royalty agreement			-				549
Loss on sale of assets			-				247
Adjusted EBITDA		$	(8,661	)		$	(8,852	)

 

 

 

Reconciliation of Adjusted Gross Profit to Gross Profit (Unaudited)

		Three Months Ended March 31,
		2024				2023
(in thousands)
Total revenue		$	10,224			$	11,926
Cost of revenue			16,535				18,209
Gross profit			(6,311	)			(6,283	)
Depreciation			5,147				5,213
Loss on sale of assets			-				77
Stock-based compensation			3				2
Adjusted gross profit		$	(1,161	)		$	(991	)
Adjusted gross margin			-11.4	%			-8.3	%

 

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First Quarter 2024 Earnings Presentation May 7, 2024

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This presentation (“Presentation”) is for informational purposes only. This Presentation shall not constitute an offer to sell, or the solicitation of an offer to buy, any securities, nor shall there be any sale of securities in any states or jurisdictions in which such offer, solicitation or sale would be unlawful. No representations or warranties, express or implied, are given in, or in respect of, this Presentation. To the fullest extent permitted by law in no circumstances will Danimer Scientific, Inc. (the “Company”) or any of its subsidiaries, stockholders, affiliates, representatives, directors, officers, employees, advisers, or agents be responsible or liable for a direct, indirect, or consequential loss or loss of profit arising from the use of this Presentation, its contents, its omissions, reliance on the information contained within it, or on opinions communicated in relation thereto or otherwise arising in connection therewith. Industry and market data used in this Presentation have been obtained from third-party industry publications and sources as well as from research reports prepared for other purposes. The Company has not independently verified the data obtained from these sources and cannot assure you of the data’s accuracy or completeness. This data is subject to change. In addition, this Presentation does not purport to be all-inclusive or to contain all of the information that may be required to make a full analysis of investigations as an investor may deem necessary. FORWARD-LOOKING STATEMENTS Please note that in this Presentation, we may use words such as “appears,” “anticipates,” “believes,” “plans,” “expects,” “intends,” “future,” and similar expressions which constitute forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, without limitation, statements regarding our expectations for full year 2024 capital expenditures and Adjusted EBITDA. Forward-looking statements are made based on management’s expectations and beliefs concerning future events impacting the Company and therefore involve a number of risks and uncertainties. The Company cautions that forward-looking statements are not guarantees and that actual results could differ materially from those expressed or implied in the forward-looking statements. Potential risks and uncertainties that could cause the actual results of operations or financial condition of the Company to differ materially from those expressed or implied by forward-looking statements in this Presentation include, but are not limited to, the overall level of consumer demand on its products; general economic conditions and other factors affecting consumer confidence, preferences, and behavior; disruption and volatility in the global currency, capital, and credit markets; the financial strength of the Company's customers; the Company's ability to implement its business strategy, including, but not limited to, its ability to expand its production facilities and plants to meet customer demand for its products and the timing thereof; risks relating to the uncertainty of the projected financial information with respect to the Company; the ability of the Company to execute and integrate acquisitions; changes in governmental regulation, legislation or public opinion relating to its products; the Company’s exposure to product liability or product warranty claims and other loss contingencies; disruptions and other impacts to the Company’s business, as a result of the COVID-19 global pandemic and government actions and restrictive measures implemented in response; stability of the Company’s manufacturing facilities and suppliers, as well as consumer demand for its products, in light of disease epidemics and health-related concerns such as the COVID-19 global pandemic; the impact on our business, operations and financial results from the ongoing conflict in Ukraine; the impact that global climate change trends may have on the Company and its suppliers and customers; the Company's ability to protect patents, trademarks and other intellectual property rights; any breaches of, or interruptions in, its information systems; the ability of its information technology systems or information security systems to operate effectively, including as a result of security breaches, viruses, hackers, malware, natural disasters, vendor business interruptions or other causes; its ability to properly maintain, protect, repair or upgrade its information technology systems or information security systems, or problems with its transitioning to upgraded or replacement systems; the impact of adverse publicity about the Company and/or its brands, including without limitation, through social media or in connection with brand damaging events and/or public perception; fluctuations in the price, availability and quality of raw materials and contracted products as well as foreign currency fluctuations; its ability to utilize potential net operating loss carryforwards; and changes in tax laws and liabilities, tariffs, legal, regulatory, political and economic risks. More information on potential factors that could affect the Company's financial results is included from time to time in the Company's public reports filed with the Securities and Exchange Commission, including the Company's Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K. All forward-looking statements included in this Presentation are based upon information available to the Company as of the date of this Presentation and speak only as of the date hereof. The Company assumes no obligation to update any forward-looking statements to reflect events or circumstances after the date of this presentation. USE OF PROJECTIONS This Presentation contains projected financial information with respect to the Company. Such projected financial information constitutes forward-looking information and is for illustrative purposes only and should not be relied upon as necessarily being indicative of future results. The assumptions and estimates underlying such financial information are inherently uncertain and are subject to a wide variety of significant business, economic, competitive, and other risks and uncertainties. See “Forward-Looking Statements” above. Actual results may differ materially from the results contemplated by the financial forecast information contained in this Presentation, and the inclusion of such information in this Presentation should not be regarded as a representation by any person that the results reflected in such forecasts will be achieved. FINANCIAL INFORMATION; NON-GAAP FINANCIAL MEASURES Some of the financial information and data contained in this Presentation, such as Adjusted EBITDA, and Adjusted Gross Profit has not been prepared in accordance with United States generally accepted accounting principles (“GAAP”). The Company believes these non-GAAP measures of financial results provide useful information to management and investors regarding certain financial and business trends relating to the Company’s financial condition and results of operations. The Company’s management uses these non-GAAP measures for trend analyses and for budgeting and planning purposes. A reconciliation of these non-GAAP financial measures to the closest GAAP measure is included in the Appendix to the Presentation. You should review the Company’s audited financial statements prepared in accordance with GAAP, which are included in its Annual Report on Form 10-K filed with the SEC. Forward-looking non-GAAP financial measures are presented without reconciliations to GAAP measures because the GAAP financial measures are not accessible on a forward-looking basis, and reconciling information is not available without unreasonable effort due to the inherent difficulty in forecasting and quantifying certain amounts that are necessary for such reconciliations. For the same reasons, the Company is unable to address the probable significance of the unavailable information, which could be material to future results. TRADEMARKS This Presentation contained trademarks, service marks, trade names, and copyrights of, the Company, and other companies, which are the property of their respective owners. The information contained herein is as of May 7, 2024 and does not reflect any subsequent events. Forward-Looking Statements and Non-GAAP Financial Results 2

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FAST FACTS Founded in 2004(went public in 2020) 480 patents & pending patent applications 15 partnerships with major brands and distributors 238 Teammates 2018 and 2020 recipient of PLASTICS Innovation in Bioplastics Award Locations in Georgia, Kentucky and New York Manufacturer and developer of PHA biopolymers and PHA-based biodegradable resins marketed under the NODAX® brand. Provider of responsible and sustainable alternatives to petroleum-based plastics across many end-use applications. 3

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Lead Evaluation Pre-Commercial Launch Material Selection Trials R&D / Product Development Certification Work Market Testing Regulatory Initial Sample New leads are screened by sales first, then a joint committee with R&D & sales if necessary; many do not make it past this stage 1 – 5 Years 6 Months – 2 Years 3 - 6 Months Sales Cycle 1 – 5 Years 4

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Material Selection ~ 89 customers currently in “Material Selection” zone. Material selection zone is an iterative process, not necessarily a linear process. Sales Cycle (continued) Material Selection Trials R&D / Product Development Certification Work Market Testing Regulatory Initial Sample 5

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Provides unique opportunity to deleverage our balance sheet and reset our capital structure. 1 for 3 Pro-Rata Dividend – Record Date May 13, 2024 1 warrant for each 3 shares outstanding Expect approximately 46.7 million warrants would be issued to eligible participants $5.00 Exercise Price – Cash or Face Value of Convertible Notes Upon issuance, 200 warrants may be exercised at $5.00 each with $1,000 of cash OR Starting July 26, 2024, 200 warrants may be exercised at $5.00 each with one $1,000 par convertible note Our Convertible Notes Last Traded At 10.85% Of Par on April 11, 2024 Inclusion of one-half Bonus Share – Effective $3.33 share price If half of Dividend Warrants are exercised by Noteholders - ~$117M of debt would be retired for 35 million shares If all Dividend Warrants are exercised by Noteholders - ~$234M of debt would be retired for 70 million shares Dividend Warrant transaction is dependent upon shareholder approval of increase in the number of authorized shares of common stock at July 9th Annual Meeting For additional information, please see the FAQs available at our website: https://ir.danimerscientific.com Proposed Pro-Rata Dividend Warrant Transaction 6 No Offer or Solicitation This communication shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of, these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. A Form 8-A registration statement and prospectus supplement describing the terms of the Warrants will be filed with the SEC and will be available on the SEC’s website located at http://www.sec.gov. Holders of the Company’s Common Stock should read the prospectus supplement carefully, including the Risk Factors section included and incorporated by reference therein. This communication contains a general summary of the Warrants. Please read the warrant agreement when it becomes available as it will contain important information about the terms of the Warrants.

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Q1 2024 Financial Summary Q1’24 sales overall decreased compared to Q1’23 driven by higher PHA sales of $3.2M, which did not fully offset lower PLA sales of ($4.3M) where were lower due to the impact of the Ukraine conflict. Increased adjusted gross loss primarily impacted by lower sales as compared to prior year first quarter. Lower total R&D and SG&A spending reflects successful, comprehensive cost control initiatives. Q1 2024 Comments Financial Summary 7

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Adjusted EBITDA guidance towards the lower end of previously announced range of $(22) million to $(32) million. Capital expenditures guidance range of $8 million to $10 million. Year-end liquidity, which comprises our unrestricted cash and projected availability under the revolver will be in the range of $25 million to $30 million. Guidance reflects anticipated timing of revenues associated with customer product launches. 8 Fiscal 2024 Guidance Summary PHA-Based Resin Sales PLA Profit Contribution Total Gross Margin SG&A & R&D As % of Sales 2024E Adj EBITDA of ($32) – ($22) Million PHAGross Margin Near-Term Path to Profitability Change vs 2023A

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Appendix

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Adjusted EBITDA Reconciliation 10

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Adjusted Gross Profit Reconciliation 11

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THANK YOU

v3.24.1.u1

Document And Entity Information	May 07, 2024
Cover [Abstract]
Document Type	8-K
Amendment Flag	false
Document Period End Date	May 07, 2024
Entity Registrant Name	DANIMER SCIENTIFIC, INC.
Entity Central Index Key	0001779020
Entity Emerging Growth Company	false
Entity File Number	001-39280
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	84-1924518
Entity Address, Address Line One	140 Industrial Boulevard
Entity Address, City or Town	Bainbridge
Entity Address, State or Province	GA
Entity Address, Postal Zip Code	39817
City Area Code	229
Local Phone Number	243-7075
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Title of 12(b) Security	Class A Common stock, $0.0001 par value per share
Trading Symbol	DNMR
Security Exchange Name	NYSE

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