CAMPBELL, Calif.--(BUSINESS WIRE)--ChargePoint (NYSE: CHPT), a leading provider of networked charging solutions for electric vehicles (EVs), today announced a strategic reorganization designed to improve financial performance and position itself for long-term, sustainable growth. The reorganization includes an approximately 12% reduction of the ChargePoint global workforce. The reorganization is expected to lead to approximately $14 million in restructuring charges, consisting of approximately $10 millio ...

ChargePoint Holdings' (CHPT -1.12%) CEO and CFO abruptly quit in November 2023, and the company projected weak numbers for its third quarter. These announcements dealt a huge blow to investors' confidence and sent shares of the electric vehicle (EV) charging infrastructure company crashing.The last month of 2023, therefore, surprised many when ChargePoint stock rebounded and surged 25.8%, according to data provided by S&P Global Market Intelligence. It turns out that the company's new management is trying t ...

ChargePoint Holdings (CHPT -2.42%) was once a hot company pushing the electric vehicle revolution forward. Its charging stations sprouted up like weeds, fueled by a shift toward the production of EVs as it looked to stake its claim in the $100 billion market opportunity.However, the EV company faces significant headwinds as losses keep piling up, and the stock is down 86% since the start of 2022. If you're considering buying ChargePoint today, there are three things you should consider first.1. ChargePoint ...

ChargePoint Holdings (CHPT 0.61%) shares have been on a roll lately. The stock has jumped nearly 25% over the past month. But shares of the electric vehicle (EV) charging network company would have been even higher if they hadn't dropped by 12.5% this week as of early Friday, according to data provided by S&P Global Market Intelligence.Interest rates matterLast month's rise in ChargePoint shares didn't come because of any good news from the company. The stock surged as many technology and growth stocks fell ...

Revenue Performance - ChargePoint's revenue from Networked Charging Systems for the three months ended October 31, 2023, was $73.9 million, a decrease of 24.3% compared to $97.6 million in the same period of 2022[366]. - For the nine months ended October 31, 2023, revenue from Networked Charging Systems increased by 18.9% to $286.8 million from $241.3 million in the same period of 2022[366]. - Other revenue for the three months ended October 31, 2023, was $5.8 million, a decrease of 4.1% from $6.1 million in the same period of 2022[368]. - ChargePoint's subscriptions revenue for the three months ended October 31, 2023, increased by 41.0% to $30,559,000 compared to $21,670,000 for the same period in 2022, representing 27.7% of total revenue[388]. - For the nine months ended October 31, 2023, subscriptions revenue rose by 46.0% to $86,935,000 from $59,561,000 in the prior year, accounting for 22.2% of total revenue[388]. Gross Profit and Margins - ChargePoint's gross profit for the three months ended October 31, 2023, decreased primarily due to a $42.0 million inventory impairment charge related to product transitions[374]. - Gross margin for the three and nine months ended October 31, 2023, decreased due to increased costs from inventory impairment charges and other operating expenses[375]. - The cost of Networked Charging Systems revenue increased by 27.5% to $109,452,000 for the three months ended October 31, 2023, compared to $85,821,000 in 2022, with a gross margin of (21.7)%[393]. - The gross profit for the nine months ended October 31, 2023, was $7,714,000, a decrease of 85.4% from $52,942,000 in the same period of 2022, resulting in a gross margin of 2.0%[399]. Expenses - Research and development expenses increased by $9.6 million during the three months ended October 31, 2023, primarily due to headcount growth and stock-based compensation[401]. - Sales and marketing expenses for the three months ended October 31, 2023, rose by 12.6% to $39,834,000 from $35,382,000 in 2022, representing 36.1% of total revenue[403]. - General and administrative expenses increased by 49.1% to $33,463,000 for the three months ended October 31, 2023, compared to $22,445,000 in 2022, accounting for 30.3% of total revenue[405]. - The cost of subscriptions revenue increased by 49.2% to $19,999,000 for the three months ended October 31, 2023, compared to $13,400,000 in 2022, representing 65.4% of subscriptions revenue[394]. - Sales and marketing expenses increased by $10.6 million during the nine months ended October 31, 2023, primarily due to headcount growth and increased stock-based compensation[416]. Cash Flow and Financing - As of October 31, 2023, ChargePoint had cash and cash equivalents of $397.4 million, a slight decrease from $399.5 million as of January 31, 2023[411]. - For the nine months ended October 31, 2023, ChargePoint reported a net cash used in operating activities of $287.5 million, compared to $216.7 million for the same period in 2022, reflecting an increase in net loss from $266.4 million to $362.9 million[442][448]. - During the same period, ChargePoint generated net cash provided by financing activities of $300.7 million, primarily from the sale of common stock under the ATM Facility, which amounted to $287.2 million[444]. - ChargePoint's net cash provided by investing activities was $90.3 million, consisting of cash received from maturities of short-term investments of $105.0 million, partially offset by $14.7 million in property and equipment purchases[455]. - ChargePoint expects to fund its cash needs primarily through a combination of equity and debt financing until it can generate sufficient revenue to cover its costs[438]. Strategic Initiatives - ChargePoint is investing heavily in Europe, expecting it to be a significant contributor to future revenue, and has made acquisitions to support this growth[358]. - The company plans to introduce new products, including the Express Plus DC fast charger and CP6000 Level 2 AC charger, which may initially impact gross margins due to launch costs[360]. - ChargePoint's future growth is highly dependent on success in EV fleet applications, which face increasing competition and customer dependency on new vehicle arrivals[359]. - The company continues to prioritize assurance of supply and customer acquisition, which may pressure gross margins and increase operating expenses[361]. - ChargePoint's revenue from regulatory incentives has declined as a percentage of total revenue since fiscal 2021, and future availability depends on governmental support for these programs[362]. Risks and Internal Controls - ChargePoint's foreign currency risks could impact its revenue and operating results, particularly as its foreign operations expand[454]. - The company reported material weaknesses in its internal control over financial reporting, which could lead to misstatements in financial statements[462][464]. - ChargePoint redesigned and implemented IT general controls during the quarter ended October 31, 2023, to address deficiencies in its internal controls[465]. - There were no significant changes in internal control over financial reporting identified during the evaluation for the quarter ended October 31, 2023, other than those related to IT general controls[467].

ChargePoint Holdings, Inc. (NYSE:CHPT) Q3 2024 Earnings Conference Call December 6, 2023 4:30 PM ET Company Participants Patrick Hamer - Vice President, Capital Markets and Investor Relations Rick Wilmer - Chief Executive Officer Mansi Khetani - Chief Financial Officer Conference Call Participants James West - Evercore ISI Colin Rusch - Oppenheimer & Co. Bill Peterson - JPMorgan Craig Irwin - Roth MKM Chris Dendrinos - RBC Capital Markets Stephen Gengaro - Stifel Nicolaus Joseph Osha - Guggenheim Cameron Lo ...

| --- | --- | --- | --- | |---------------------------------------------------|-------|-------|-------| | | | | | | | | | | | | | | | | | | | | | Q3 Fiscal 2024 Financial Results December 6, 2023 | | | | chargepoin+ Revenue Diversity By Type By Geography | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | |-------|---------|---------|---------|---------|---------|-----------|---------|---------|---------|---------|---------| | $M | | $153 | | $150 | | $M \n$160 | | $153 | | $150 | | | ...

Revenue Growth - ChargePoint's revenue for Networked Charging Systems increased by 36.2% to $114.574 million for the three months ended July 31, 2023, compared to $84.148 million in the same period of 2022[53]. - Subscriptions revenue rose by 48.2% to $30.011 million for the three months ended July 31, 2023, up from $20.244 million in the same period of 2022, representing 19.9% of total revenue[48]. - Other revenue increased by 51.5% to $5.909 million for the three months ended July 31, 2023, compared to $3.900 million in the same period of 2022[48]. Cost and Expenses - The cost of revenue for Networked Charging Systems surged by 70.8% to $126.961 million for the three months ended July 31, 2023, from $74.352 million in the same period of 2022[61]. - Subscription revenue cost increased by 40.8% to $18,692,000 for the three months ended July 31, 2023, compared to $13,278,000 for the same period in 2022[62]. - Other revenue cost rose by 48.1% to $3,716,000 for the three months ended July 31, 2023, compared to $2,509,000 for the same period in 2022[63]. - Gross profit decreased by 93.8% to $1,125,000 for the three months ended July 31, 2023, compared to $18,153,000 for the same period in 2022, primarily due to a $28 million inventory impairment charge[68]. - Research and development expenses increased by 15.1% to $59,642,000 for the three months ended July 31, 2023, compared to $51,804,000 for the same period in 2022[73]. - Sales and marketing expenses increased by 17.1% to $39,671,000 for the three months ended July 31, 2023, compared to $33,873,000 for the same period in 2022[78]. - General and administrative expenses increased by 10.1% to $25,144,000 for the three months ended July 31, 2023, compared to $22,846,000 for the same period in 2022[82]. Future Growth and Investments - ChargePoint is investing heavily in Europe, expecting it to be a significant contributor to future revenue, and has made acquisitions to enhance its market position[37]. - ChargePoint's future growth is highly dependent on success in EV fleet applications, where competition is increasing and customer purchasing patterns may be volatile[38]. - ChargePoint expects research and development expenses to continue increasing as it invests in technology and product development[72]. - ChargePoint anticipates sales and marketing expenses to rise as it expands its sales channels and personnel, particularly in Europe[77]. Financial Position and Cash Flow - ChargePoint raised aggregate net cash proceeds of $615.7 million from redeemable convertible preferred stock and $479.2 million from the Merger by July 31, 2023[98]. - Net cash used in operating activities for the six months ended July 31, 2023, was $190.6 million, compared to $133.7 million for the same period in 2022[108]. - Net cash provided by financing activities for the six months ended July 31, 2023, was $64.0 million, a decrease from $303.6 million in the same period in 2022[112]. - ChargePoint expects to fund cash needs primarily through equity and debt financing until it generates sufficient revenue to cover costs[104]. - If ChargePoint cannot raise additional capital or generate necessary cash flows, it may need to limit its expansion plans or research and development activities[107]. Risks and Challenges - The company faces risks from geopolitical factors, including the Russia-Ukraine conflict, which may disrupt the global automotive supply chain and impact EV manufacturing[35]. - The availability of regulatory incentives for low carbon fuel programs is crucial for ChargePoint's revenue, and any changes to these programs could adversely affect future earnings[42]. - ChargePoint has foreign currency risks primarily related to the euro, which can impact revenue and operating results due to exchange rate fluctuations[119]. - ChargePoint's foreign operations may be more materially impacted by fluctuations in exchange rates as the company expands[119]. Interest and Taxation - Interest income increased by 26.0% to $1,840,000 for the three months ended July 31, 2023, compared to $1,460,000 for the same period in 2022[84]. - Interest expense for the six months ended July 31, 2023, increased by $1,991, or 51.6%, compared to the same period in 2022, primarily due to the 2027 Convertible Notes issued in April 2022[92]. - Provision for income taxes for the six months ended July 31, 2023, was $478, an increase of $2,732, or 121.2%, compared to the same period in 2022, primarily due to changes in deferred tax liability[97]. Internal Controls and Disclosure - As of July 31, 2023, ChargePoint's management concluded that its disclosure controls and procedures were not effective at the reasonable assurance level due to material weaknesses in internal control over financial reporting[122]. - The evaluation of disclosure controls and procedures involved participation from the Chief Executive Officer and Chief Financial Officer[122].

ChargePoint Holdings, Inc. (NYSE:CHPT) Goldman Sachs Communacopia & Technology Conference September 7, 2023 4:45 PM ET Company Participants Pasquale Romano - President, CEO Conference Call Participants Mark Delaney - Goldman Sachs Mark Delaney Okay, great. My name is Mark Delaney, and I have the pleasure of covering ChargePoint at Goldman Sachs. I'm very pleased to have with us, Pasquale Romano, the President and CEO of the company. Thanks so much for joining. Pasquale Romano Thanks very much for having m ...

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