Core Viewpoint - Beam Global has officially established a joint venture, Beam Middle East, in Abu Dhabi, UAE, to expand its sustainable infrastructure solutions for transportation electrification and energy security in the Middle East and Africa [1][2][3]. Group 1: Joint Venture Formation - Beam Global and the Platinum Group LLC have created Beam Middle East LLC, which will focus on selling and manufacturing Beam Global's patented sustainable infrastructure solutions [2]. - The new entity will be headquartered in Omniah Tower, Masdar City, a sustainable urban community in Abu Dhabi, which aligns with the UAE's goal of achieving net-zero emissions by 2050 [2]. Group 2: Leadership and Ceremony - The official signing ceremony took place on July 17, 2025, with key figures including Desmond Wheatley, CEO of Beam Global, and Dr. Hanai Atatreh from the Platinum Group [3]. - The event was attended by members of both companies' management teams, board directors, press, and regional dignitaries, highlighting the significance of the partnership [3]. Group 3: Strategic Importance - The partnership is positioned to leverage the Gulf region's transition to clean and sustainable technologies, with a focus on energy security and smart city solutions [4]. - The region's abundant sunshine and increasing adoption of electric vehicles and renewable energy make it an ideal market for Beam Global's solutions [4]. Group 4: Company Background - Beam Global is a clean technology innovator specializing in sustainable infrastructure products and technologies, with operations in the U.S., Europe, and the Middle East [6]. - The company develops and manufactures solutions that enhance transportation, provide secure electricity sources, and promote environmental protection [6]. Group 5: Platinum Group Overview - Platinum Group LLC is a diversified conglomerate operating in various sectors, including energy and real estate, and is recognized for its strong relationships across government and industry in Abu Dhabi [5]. - The group is chaired by His Royal Highness Sheikh Mohammed Sultan Bin Khalifa Al-Nahyan and has a significant presence in the UAE [5].

Core Insights - Beam Global has entered a joint venture with Platinum Group LLC to form Beam Middle East LLC, focusing on sustainable infrastructure solutions for transportation electrification and energy security in the Middle East and Africa [1][2][3] Company Overview - Beam Global is a clean technology innovator specializing in sustainable infrastructure products and technologies, with operations in the U.S. and Europe [10] - Platinum Group UAE is a diversified conglomerate with strong relationships across government and industry, chaired by His Royal Highness Sheikh Mohammed Sultan Bin Khalifa Al-Nahyan [9] Joint Venture Details - Beam Middle East LLC will be a 50/50 joint venture, headquartered in Masdar City, Abu Dhabi, and will manufacture and sell Beam Global's patented technologies [8] - Beam Global will provide proprietary technologies, training, and marketing support, while Platinum Group will leverage its local relationships and coordinate sales [8] Market Potential - Planned spending on sustainable infrastructure in the region is projected to reach $75.6 billion by 2030, indicating significant growth opportunities for Beam Global's solutions [3] - The number of electric vehicles (EVs) in the region is expected to grow from approximately 69,000 in 2024 to about 1.5 million by 2030, representing a CAGR of 66.6% [6] - Addressable revenue from regional chargers using Beam's EV ARC™ units could reach $516.5 million by 2030 [6] Product Opportunities - BeamBike™ units could represent a revenue opportunity of $245 million in the region by 2030, assuming eBikes account for 5% of total EV volume [6] - The potential revenue opportunity for BeamSpot™ units in Abu Dhabi is estimated at approximately $322.1 million, assuming a market penetration of 5% [6] Strategic Importance - The partnership is positioned to leverage Platinum's influence and relationships to secure direct access to decision-makers in the region, which is crucial for success in the Middle East and Africa [3][8]

Financial Performance - Beam Global reported an adjusted loss of 32 cents per share in Q1 2025, wider than the Zacks Consensus Estimate of a loss of 16 cents, compared to a loss of 21 cents per share in the same quarter last year [1] - The company reported net sales of $6.3 million, missing the Zacks Consensus Estimate of $15 million and down from $14.6 million in the year-ago quarter [1] - Gross profit in Q1 was $0.5 million (8% of sales), down from $1.5 million (10% of sales) in the prior year, primarily due to a non-cash expense of $1 million related to depreciation and amortization from the AllCell acquisition [2] Operating Expenses and Cash Flow - Operating expenses rose to $16 million from $4.5 million in the corresponding quarter of 2024, driven by $10.8 million of goodwill impairment [3] - As of March 31, 2025, the company had cash of $2.5 million, down from $4.6 million as of December 31, 2024, and had a total backlog of $6.3 million [3] - The company reported net cash used for operating activities of $1.8 million for the three months ended December 31, 2024, compared to $3 million for the same period in 2024, and remains optimistic about achieving positive cash flow in 2025 [4] Product and Market Expansion - In Q1 2025, the company delivered various products including EV ARC units and energy storage systems to locations across the U.S. and internationally [5] - Beam Global expanded its European sales network by adding three new distribution partners and entered the Middle Eastern market through a partnership, also launching the BeamPatrol collaboration with Zero Motorcycles [6]

Financial Data and Key Metrics Changes - For Q1 2025, the company's revenues were $6.3 million, a significant decrease compared to the same period in 2024, where revenues were more than double [4][20] - Gross profit for Q1 2025 was $500,000, resulting in an 8% gross margin, down from $1.5 million and a 10% gross margin in Q1 2024 [5] - The net loss for Q1 2025 was $15.5 million, which included $12.5 million in non-cash expenses, compared to a net loss of $3 million in Q1 2024 [7][8] - The cash balance at the end of March 2025 was $2.5 million, down from $4.6 million at the end of 2024 [8] Business Line Data and Key Metrics Changes - Revenue from commercial customers increased to 53% in Q1 2025 from 16% in Q1 2024, indicating a shift towards enterprise customers [4] - International customers contributed 25% of total revenue in Q1 2025, up from 11% in Q1 2024, reflecting successful international expansion efforts [4] Market Data and Key Metrics Changes - The company faced challenges due to the U.S. government's zero-emission vehicle strategy and uncertainties related to the presidential election, impacting revenue generation [4][20] - Despite the federal government halting acquisitions of electric vehicle infrastructure, state and local governments continued to contribute significantly to revenues [25][26] Company Strategy and Development Direction - The company is focusing on diversifying its product offerings and geographical reach, with a strong emphasis on international expansion [10][19] - The management believes that the recent acquisitions have positioned the company for future growth, despite current financial challenges [14][39] - The company aims to enhance its product portfolio with new offerings like Beam Patrol and Beam Bike, which are expected to contribute to revenue growth [45][49] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about returning to growth in future quarters, citing a solid foundation for growth despite current revenue challenges [10][30] - The company is confident in its ability to navigate the current market conditions and is focused on executing its strategic plans [41][79] - Management highlighted the importance of resiliency in their product offerings, particularly in response to climate-related challenges [66][70] Other Important Information - The company took a goodwill impairment charge of $10.8 million due to a decline in market capitalization, which is a non-cash item and does not reflect operational performance [6][17] - The company continues to generate positive gross margins, with net margins exceeding 20% when excluding non-cash items [30][52] Q&A Session Summary Question: How is the product mix between EV ARC and new products expected to evolve? - Management is enthusiastic about the adoption of new products like Beam Patrol and Beam Bike, expecting orders to increase in 2025 and beyond, while still seeing growth in EV ARC [45][49] Question: What is the outlook for margin progression as new products and international sales grow? - Management indicated that gross margins for EV ARC are currently in the 40-50% range, and they expect to achieve 50% gross profit as volume increases [51][54] Question: What is the current manufacturing capacity in Europe? - The company has significant manufacturing capacity in Europe, with the potential to produce five times more units than in the U.S., although supply chain challenges remain [59][64] Question: How will the company address climate-related challenges with its broadened product line? - Management emphasized the importance of resiliency in their products, which can operate during blackouts and are designed for disaster preparedness [66][70]

Financial Data and Key Metrics Changes - For Q1 2025, revenues were $6.3 million, a significant decrease compared to the same period in 2024, where revenues were approximately double [4][19] - Gross profit for Q1 2025 was $500,000, resulting in an 8% gross margin, down from $1.5 million and a 10% gross margin in Q1 2024 [5] - The net loss for Q1 2025 was $15.5 million, which included $12.5 million in non-cash expenses, compared to a net loss of $3 million in Q1 2024 [6][7] - Cash balance at the end of March 2025 was $2.5 million, down from $4.6 million at the end of 2024 [7] Business Line Data and Key Metrics Changes - Revenue from commercial customers increased to 53% in Q1 2025 from 16% in Q1 2024, indicating a shift towards enterprise customers [4] - International customers contributed 25% of total revenue in Q1 2025, up from 11% in Q1 2024 [4] - Non-government sales grew by 41% year-over-year, demonstrating the effectiveness of the diversification strategy [23] Market Data and Key Metrics Changes - The U.S. Federal Government's halt on electric vehicle infrastructure acquisitions has negatively impacted revenue, as over half of the previous year's revenue came from federal orders [19][20] - State and local government sales remain strong, with indications of increased activity from California and other municipalities [24] Company Strategy and Development Direction - The company is focusing on diversifying its product offerings and geographic reach, particularly in Europe and other international markets [10][22] - The management believes that the acquisitions made in recent years have significantly enhanced the company's growth potential and market presence [13][38] - The strategy includes expanding the sales team and leveraging external sales resources to increase market penetration [25] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in returning to growth in future quarters despite current challenges, emphasizing the importance of their diversification strategy [10][28] - The company is optimistic about the potential for significant growth in Europe, the Middle East, and Africa [27][35] - Management acknowledged the impact of tariffs but remains hopeful for a reversal of the worst effects, which could improve margins [29][30] Other Important Information - The company has no debt and sufficient cash to continue operations, positioning itself well for future growth [10][39] - The goodwill impairment of $10.8 million was recognized due to a decline in market capitalization, but management believes this does not reflect the true value of the company's assets [6][16] Q&A Session Summary Question: How is the product mix between EV ARC and new products expected to evolve? - Management is enthusiastic about the adoption of new products like Beam Patrol and Beam Bike, expecting orders to increase in 2025 and beyond, while still seeing growth in EV ARC [44][47] Question: What is the current state of manufacturing capacity in Europe? - The company has significant manufacturing capacity in Europe, with the potential to produce five times more units than in the U.S., although supply chain issues remain a concern [58][63] Question: How will resiliency be emphasized in the product line? - Resiliency is a key aspect of the company's offerings, with products designed to operate during blackouts and natural disasters, which is increasingly relevant in various markets [66][70]

Financial Performance - Revenues for the first three months of 2025 were $6.3 million, a 57% decrease from $14.6 million in the same period of 2024[103]. - Revenues for the three months ended March 31, 2025, decreased by 57% to $6.3 million compared to $14.6 million in 2024, with 14% of product sales to Federal customers and 33% to State and Local governments[117]. - Gross profit for the same period was $0.5 million, representing a gross margin of 7.9%, down from $1.5 million and 10.2% in 2024; 88.4% of ARC sales reflected a price increase implemented in 2023[115][118]. - Total operating expenses increased to $16.0 million in Q1 2025, including a $10.8 million goodwill impairment, compared to $4.5 million in 2024[119]. - Cash used in operating activities was $1.8 million for Q1 2025, a decrease from $3.0 million in Q1 2024, with a net loss of $15.5 million adjusted by $12.5 million of non-cash expenses[121]. - Current assets decreased to $23.6 million at March 31, 2025, from $27.1 million at December 31, 2024, primarily due to a $2.1 million decrease in cash[125]. Revenue Sources - International customers accounted for 25% of total revenue as of March 31, 2025, compared to 11% for the same period in 2024[103]. - Revenues from non-government commercial entities increased by 41% from 2024 to 2025, representing 53% of total revenues in 2025[103]. - Sales to federal, state, and local governments represented 47% of revenues in the first three months of 2025, down from 84% in the same period of 2024[103]. Strategic Initiatives - The acquisition of Amiga expanded the company's presence into European, Middle Eastern, and African markets, enhancing production and sales capabilities[108]. - The company introduced new products, including rapidly deployed charging infrastructure for electric bicycles, scooters, and motorcycles, as well as a self-sufficient water treatment system[100]. - The company expects significant growth in the electric vehicle market, which will increase demand for EV charging infrastructure[106]. - The company has invested in a federal lobbyist and business development resources to identify opportunities and increase awareness of its products[105]. - The company achieved compliance with the Build America, Buy America Act, enhancing its credibility and demand among government agencies[106]. - The company has initiated a program of resellers and agents to expand its geographic footprint without significantly increasing operating costs[104]. - Beam acquired Telcom d.o.o. Beograd, enhancing its capabilities in power electronics and telecommunications equipment, which is expected to improve product margins and reduce costs[109]. - Beam is developing new patented products, including BeamSpot™ and UAV ARC™, which are anticipated to expand product offerings and market reach[113]. Financial Strategy and Capital - The Company entered into a Supply Chain Line of Credit with OCI Limited for up to $100 million based on approved accounts receivable[128]. - The Company has the right to sell up to $8 million in shares of its common stock under an At Market Issuance Sales Agreement with B. Riley Securities, Inc.[129]. - The company may need to raise capital to fund operations until achieving positive cash flow, with potential equity or debt financing options being considered[127]. - The Company has not drawn on the $100 million line of credit to date[128]. - The Company is required to pay interest on any drawdown at the Secured Overnight Financing Rate +300 basis points[128]. Management and Internal Controls - Management anticipates profitable growth through the addition of sales personnel, cost reductions, and increased public awareness of the Company and its products[130]. - The Company has identified material weaknesses in internal controls, including ineffective design over IT General Controls and inadequate inventory tracking[134]. - Remediation efforts are ongoing to address identified material weaknesses, including improving segregation of duties and enhancing training for employees[138]. - The Company has not maintained adequate controls for documentation of reconciliations and schedules prepared for financial statements[134]. - The Company is actively working to strengthen internal controls over financial reporting and has taken various actions to remediate material weaknesses[136]. - Management believes that successful execution of its strategic plan may generate sufficient revenue to continue operations, although there is no assurance of achieving these objectives[130].

Core Viewpoint - Beam Global reported its Q1 2025 financial results, highlighting a revenue of $6.3 million and a focus on international expansion despite challenges in the U.S. market [1][4]. Financial Highlights - Revenues for Q1 2025 were $6.3 million, with a revenue CAGR of 60% over the past 60 months [5][7]. - Gross profit for the quarter was $0.5 million, representing an 8% gross margin, down from $1.5 million and 10% in Q1 2024 [8]. - The company reported a net loss of $15.5 million for Q1 2025, which included $12.5 million in non-cash expenses [10]. Operational Highlights - Sales of the flagship product EV ARC™ increased in Q1 2025, with a significant shift towards enterprise customers, which accounted for 53% of revenues compared to 16% in Q1 2024 [5][4]. - International customers contributed 25% of total revenue, up from 11% in the same period last year [5]. - The company achieved CE certification for EV ARC™ and expanded its European sales network with three new distribution partners [7]. Cash and Liquidity - As of March 31, 2025, the company had cash of $2.5 million, down from $4.6 million at the end of 2024 [11]. - The net cash used in operations for Q1 2025 was $1.8 million, an improvement from $3.0 million in Q1 2024 [11]. Goodwill and Operating Expenses - Total operating expenses for Q1 2025 were $16.0 million, including a $10.8 million goodwill impairment due to a decrease in market capitalization [9]. - Operating expenses, net of non-cash items, were $4.1 million, a slight increase from $3.8 million in Q1 2024 [9]. Future Outlook - The CEO expressed confidence in the company's ability to return to growth, citing a strong foundation for future opportunities despite current market uncertainties [4].

Revenue Performance - Revenues for 2024 were $49.3 million, more than double any previous year's revenue in the company's history excluding 2023, with a five-year revenue CAGR of 68%[5] - Revenues from non-government commercial entities increased by 229% from 2023 to 2024, accounting for 38% of total revenues in 2024[7] - GAAP total revenue for 2024 was $49,336 million, a decrease of 26.7% from $67,353 million in 2023[23] Profitability and Margins - Gross profit was $7.3 million, representing a gross margin of 15%, an improvement of 13 percentage points over 2023[8] - GAAP gross profit increased to $7,296 million in 2024 from $1,204 million in 2023, reflecting a significant improvement[23] - Non-GAAP gross profit for 2024 was $10,451 million, compared to $2,174 million in 2023, resulting in a gross margin of 21%[25] - The company reported a gross margin improvement from 3% in 2023 to 21% in 2024, indicating better cost management[25] Operational Efficiency - Net cash used in operations for 2024 was $2.2 million, a significant decrease from $13.3 million in 2023[11] - Loss from operations decreased to $11.7 million in 2024, compared to $16.3 million in 2023, reflecting improved gross profit and management of operating expenses[10] - Non-GAAP loss from operations decreased to $8,905 million in 2024 from $11,775 million in 2023[25] - Operating expenses increased to $19.0 million in 2024, primarily due to a full year of expenses from the Serbian acquisition[9] - Operating expenses for 2024 were $18,953 million, up from $17,465 million in 2023[23] Financial Position - The company maintained a backlog of $5.6 million as of December 31, 2024, and remains debt-free with a $100 million line of credit available and unused[5] - The net loss for 2024 was $11,282 million, an improvement from a net loss of $16,060 million in 2023[23] - Total comprehensive loss for 2024 was $13,063 million, compared to $15,436 million in 2023, indicating a reduction in overall losses[23] - Interest income decreased to $205 million in 2024 from $261 million in 2023[23] Product Development and Market Expansion - The company launched four new products: BeamSpot™, BeamBike™, BeamPatrol™, and BeamWell™[5] - Beam Global expanded its geographic reach into Middle Eastern and African markets through reselling partnerships[5] - The company achieved CE certification and compliance with the Build America, Buy America Act for its EV ARC™ systems[5] Shareholder Information - The weighted average shares outstanding increased to 14,621 million in 2024 from 12,345 million in 2023[23]

Core Viewpoint - Beam Global, a provider of sustainable infrastructure solutions for electrification and energy security, will report its Q1 2025 operating results on May 15, 2025, after market close, followed by a conference call to discuss the results and corporate developments [1]. Group 1: Conference Call Details - The conference call is scheduled for May 15, 2025, at 4:30 p.m. Eastern / 1:30 p.m. Pacific [2]. - Callers are required to pre-register for the call through a provided link and should dial in approximately 10 minutes before the scheduled start time [2]. Group 2: Company Overview - Beam Global is a clean technology innovator focused on sustainable energy infrastructure, EV charging solutions, energy storage, and energy security [4]. - The company operates in the U.S. and Europe, developing and manufacturing advanced clean technology solutions [4]. - Beam Global is headquartered in San Diego, CA, with additional facilities in Broadview, IL, and Serbia [4].

Core Insights - Beam Global has reported a 23% quarter-over-quarter increase in orders for its EV ARC™ off-grid solar-powered charging units, indicating a growing demand for clean infrastructure solutions despite a reduction in federal demand [2][4] - The company is shifting its focus towards commercial customers while still receiving orders from federal entities, reflecting a strategic adaptation to market conditions [4] Company Overview - Beam Global is a clean technology innovator that develops sustainable infrastructure products and technologies, focusing on the intersection of clean energy and transportation [6][7] - The company operates in the U.S. and Europe, with headquarters in San Diego, CA, and additional facilities in Broadview, IL, and Serbia [7] Market Demand - The increase in orders aligns with the growth of electric vehicle sales in the U.S., which have risen by 29% globally and 16% in North America in 2025 [4] - Recent orders have come from a diverse range of clients, including municipal and county governments, state and federal agencies, environmental organizations, and private sector companies in construction, clean energy, and technology [3]