Financial Data and Key Metrics Changes - Revenue for Q1 2025 was $11.2 million, a decrease from $12.1 million in Q1 2024, attributed to delivery timing rather than production or order volume [20] - Gross margin for the quarter was 30.5%, an increase from 29.2% in the prior quarter, with battery system margin slightly higher at 30.8% [22] - Adjusted EBITDA was $0.5 million, flat compared to the prior year, marking seven consecutive quarters of positive adjusted EBITDA [24] - Net loss for the quarter was $0.4 million, compared to $0.2 million in the prior year, with a positive cash flow from operating activities of $1 million [25][26] Business Line Data and Key Metrics Changes - The company secured a $51 million direct loan approval from the Export-Import Bank of the United States to expand lithium-ion cell manufacturing [9] - An equity raise generated gross proceeds of approximately $12.8 million, strengthening the balance sheet and financial position [10] - Sales momentum was noted from material handling OEM partners and end customers, with a leasing program showing high sales interest [14][15] Market Data and Key Metrics Changes - Interest in Electrovaya's products is growing in Japan, particularly through partnerships with Sumitomo Corporation, with expectations of material contracts [16] - The company is on track to ship its first modules to a global construction OEM in Japan later this quarter [15] Company Strategy and Development Direction - The company is focused on domestic manufacturing, aligning with global trends and U.S. policies [28] - Plans to accelerate battery system assembly operations at the Jamestown facility, with commercial operations expected to commence by April 2025 [12] - A robust tariff mitigation strategy is being implemented to address potential trade barriers [13] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's position for success, citing strong technology and market focus on domestic manufacturing [28] - The company anticipates a ramp-up in production and revenue growth throughout fiscal 2025, maintaining a revenue guidance of over $60 million [22][66] Other Important Information - The company ended Q1 2025 with positive net working capital of $12.6 million, compared to negative net working capital of $0.4 million in the prior year [25] - Total debt decreased to $15.3 million from $18.4 million in the prior year, with management focused on conservative cash management [26] Q&A Session Summary Question: Are existing facilities becoming more of an opportunity for customers? - Management confirmed that existing facilities represent a larger opportunity size, with expectations for more customers to follow suit [32][33] Question: Will U.S. administration policies lead to delays in orders? - Management has not seen any delays thus far, with some customers trying to place orders sooner due to potential price increases [35] Question: Update on EXIM Bank loan finalization? - Management indicated that they are working on loan documents and expect to close the loan this quarter [39][40] Question: Interest from Sumitomo Corporation? - Most interest is coming from the construction space, with ongoing discussions with multiple OEMs in Japan [42] Question: Guidance for revenue expectations throughout fiscal 2025? - Management expects a gradual increase in revenue each quarter, with a step-up anticipated based on backlog [45][47] Question: Update on new markets and growth opportunities? - Management highlighted various opportunities in robotics, mining, and defense, with a focus on seeding opportunities for future growth [52][54] Question: Status of solid-state battery development? - Solid-state battery technology is still in the lab, with ongoing optimization before customer testing [91] Question: Capacity and ramp-up plans for Jamestown? - The Jamestown facility has a capacity of approximately $200 million, with battery system assembly starting in April and cell production in mid-2026 [98]

Financial Performance - Electrovaya Inc. reported a quarterly loss of $0.01 per share, which was better than the Zacks Consensus Estimate of a loss of $0.02, representing an earnings surprise of 50% [1] - The company posted revenues of $11.17 million for the quarter ended December 2024, missing the Zacks Consensus Estimate by 4.46%, and down from $12.09 million year-over-year [2] - Over the last four quarters, Electrovaya has surpassed consensus EPS estimates two times but has not beaten revenue estimates [2] Stock Performance - Electrovaya shares have lost approximately 4.2% since the beginning of the year, while the S&P 500 has gained 2.9% [3] - The current Zacks Rank for Electrovaya is 3 (Hold), indicating that the shares are expected to perform in line with the market in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.03 on revenues of $16.89 million, and for the current fiscal year, it is $0.06 on revenues of $66.92 million [7] - The trend of earnings estimate revisions for Electrovaya is mixed, which could change following the recent earnings report [6] Industry Context - Electrovaya operates within the Zacks Electronics - Miscellaneous Products industry, which is currently ranked in the bottom 46% of over 250 Zacks industries [8] - Research indicates that the top 50% of Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1 [8]

Offering Details - Electrovaya Inc. is offering a total of 5,175,000 common shares at a price of US$2.01025 per share[54] - The aggregate purchase price for the closing shares will be determined based on the number of shares purchased by each underwriter as specified in Schedule I[54] - An over-allotment option is granted to the representative to purchase up to 776,250 additional common shares at the same share purchase price[56] - The offering is expected to be made public as soon as deemed advisable by the representative[2] - The closing of the purchase and sale of the shares is contingent upon the satisfaction of certain conditions outlined in the agreement[55] - The offering is part of a Canadian Base Shelf Prospectus that qualifies for distribution of up to US$100,000,000 of the company's securities[7] - The company will deliver the shares to the underwriters upon receipt of the closing purchase price in US dollars[55] - The offering is structured to comply with Canadian Securities Laws and will be filed with the Canadian Securities Administrators[11] Regulatory Compliance - The Company has filed a Registration Statement with the SEC, which became effective on September 25, 2024, for the registration of Public Shares[73] - The Canadian Base Shelf Prospectus and the Canadian Prospectus Supplement complied with applicable Canadian Securities Laws at the time of filing[74] - The Company has filed all required reports under applicable Canadian Securities Laws and the Securities Act, ensuring compliance for the past two years[83] - Financial statements included in the SEC Reports comply with applicable accounting requirements and fairly present the Company's financial position[83] - The Company is in compliance with all applicable requirements of the Sarbanes-Oxley Act and similar Canadian legislation[95] - The Company is currently in compliance with all listing and maintenance requirements of the Trading Market[99] - The Company will comply with all legal requirements necessary to continue to qualify the Public Shares for distribution in each Canadian Jurisdiction[126] Shareholder and Financial Information - The Company has an unlimited number of Common Shares issuable, and all corporate actions required for the authorization, issuance, and sale of the Public Shares have been duly taken[79] - The Closing Shares have been approved for listing on NASDAQ, subject only to official notice of issuance[65] - The Public Shares will be duly and validly issued, fully paid, and non-assessable when issued and paid for[79] - The Company has not declared any dividends or made distributions to shareholders since the latest audited financial statements[84] - The fair saleable value of the Company's assets exceeds the amount required to be paid on its existing debts and liabilities[104] - The Company has made or filed all required tax returns and has paid all material taxes due[107] - The Company has not made any significant acquisitions in the current or prior financial years that require additional financial statements[120] Internal Controls and Assets - The Company maintains a system of internal accounting controls sufficient to provide reasonable assurance regarding financial reporting[95] - The Company possesses all necessary regulatory permits to conduct its business, with no notices of revocation or modification received[89] - The Company has good and marketable title to all material assets, free of significant liens[90] - There have been no material adverse events or liabilities incurred since the latest audited financial statements[84] - No material adverse change has occurred in the Company's business condition or prospects prior to the Closing Date[64] Intellectual Property and Security - The Company has taken reasonable measures to protect its intellectual property rights, which are enforceable and not subject to known infringements[91] - There has been no security breach or compromise of the Company's IT systems and data[115] - The Company is in compliance with all applicable data privacy and security laws and regulations[117] - The Company has received all necessary permits and licenses required under Environmental Laws[118] Indemnification and Liability - The Company agrees to indemnify Underwriters against any losses arising from untrue statements in the Registration Statement or Prospectus[153] - Underwriters are only liable to indemnify the Company for amounts not exceeding the underwriting discounts and commissions applicable to the Public Shares purchased[156] - Contribution rights are established for indemnification claims, with Underwriters contributing based on their underwriting discount percentage[158] Miscellaneous Provisions - The Company will apply the net proceeds from the Offering in a manner consistent with the application described under the caption "Use of Proceeds" in the Prospectus and the Canadian Prospectus[136] - The Company will reimburse Roth for its reasonable out-of-pocket expenses related to the Offering in an amount up to US$175,000[135] - The Company will deliver to the Underwriters complete conformed copies of the Registration Statement and Canadian Prospectus as requested[123] - The Company will notify the Underwriters promptly if any event occurs that makes the Prospectus or Canadian prospectus misleading[125] - The Company will make generally available to its security holders an earnings statement covering a period of at least twelve consecutive months beginning after the Execution Date[137] - The Company will not issue any press releases or engage in publicity without the Representative's prior written consent for a specified period[140] - The Company will prepare and file any supplementary material that may be necessary or advisable at the request of the Underwriters[126] - The Company is prohibited from entering into any Variable Rate Transaction for 90 days after the Closing Date[145] - The Company has not relied on Underwriters for legal, tax, or accounting advice related to the Offering[147] - If any Underwriter fails to purchase the agreed shares, the Representative will have 36 hours to procure other Underwriters to fulfill the purchase[150] - If the defaulting Underwriter's failure exceeds 10% of the shares, the Company has the right to terminate the Agreement without liability[150] - The Representative can terminate the Agreement if there are material disruptions in the securities markets or if the Company sustains a material loss[162] Underwriter Contributions - The total closing shares issued by the underwriters amount to 5,175,000 shares, with a total closing purchase price of US$10,403,043.75[185] - Roth Capital Partners, LLC is responsible for 2,587,500 shares, contributing US$5,201,521.87 to the total[185] - Craig-Hallum Capital Group LLC and Raymond James Ltd. each acquired 1,293,750 shares, with respective contributions of US$2,600,760.94[185]

Core Viewpoint - Electrovaya Inc. has announced a public offering of 5,175,000 common shares priced at US$2.15 per share, aiming to raise approximately US$11.1 million, potentially US$12.8 million if the over-allotment option is fully exercised [1][3]. Group 1: Offering Details - The offering is managed by Roth Capital Partners as the sole book-running manager, with Raymond James Ltd. and Craig-Hallum Capital Group LLC as co-lead managers [2]. - The gross proceeds from the offering are expected to be approximately US$11.1 million, or US$12.8 million if the over-allotment option is exercised in full [3]. - The offering is expected to close on or about December 18, 2024, subject to customary closing conditions [4]. Group 2: Use of Proceeds - The net proceeds from the offering will be used to satisfy cash collateral conditions for a loan approved by the Export-Import Bank of the United States, repay existing working capital facility amounts, and cover costs related to financing and the purchase of the Jamestown, New York manufacturing facility [3]. Group 3: Regulatory and Compliance - The offering is made in the United States under a shelf registration statement declared effective by the SEC and will be qualified for distribution in Canada, excluding the Province of Québec [5]. - A preliminary prospectus supplement has been filed with the SEC and will be available for free on the SEC's website [6].

Financial Data and Key Metrics Changes - Revenue for fiscal 2024 was $44.6 million, a slight increase from $44.1 million in fiscal 2023, with Q4 revenue at $11.6 million [26] - Gross margin improved to 30.7% in fiscal 2024 from 26.9% in the prior fiscal year, translating into an additional $1.8 million of gross profit [27] - Adjusted EBITDA grew by $0.8 million to $4.1 million for the year, with Q4 adjusted EBITDA at $1.5 million, marking six consecutive quarters of positive adjusted EBITDA [29] - Net loss for fiscal 2024 was $1.4 million, flat compared to the prior year, with positive cash flow from operating activities of $1 million, a significant improvement from cash used of $5.2 million in the prior year [30] Business Line Data and Key Metrics Changes - The battery system margin was slightly higher at 31.3% for the year, indicating strong operational performance [28] - The company experienced a flat revenue performance despite delays from customers, reflecting a higher degree of customer diversification [18] Market Data and Key Metrics Changes - There is increasing demand for material handling battery products, particularly from newly constructed distribution centers and retrofit opportunities [15] - A significant order was received from a Fortune 500 retailer to equip two distribution centers, with plans for further conversions [16] Company Strategy and Development Direction - The company secured a $51 million direct loan from the Export-Import Bank of the United States to expand lithium-ion cell manufacturing in Jamestown, New York, which is expected to enhance capacity and margins [11] - The Jamestown facility is anticipated to start commercial cell manufacturing in the first half of 2026, with battery system manufacturing beginning in 2025 [14] - The company is focusing on vertical integration to improve gross margins and reduce lead times, which will facilitate larger purchases from customers [15] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for fiscal year 2025, expecting revenue growth to exceed $60 million driven by robust customer demand [11] - The company is well-positioned to navigate potential tariff impacts due to its domestic manufacturing capabilities [56] - Management highlighted the importance of domestic manufacturing and the potential for improved margins with the Jamestown facility coming online [58] Other Important Information - The company is developing new products based on its Infinity technology and progressing with solid-state battery development, with expectations for product launches in 2025 [23][24] - The company has established supply agreements for high voltage battery systems in various applications, including defense and electrified locomotives [22] Q&A Session Summary Question: What is the level of visibility into customer orders for fiscal '25? - Management indicated that the Fortune 100 customer, which typically orders over $10 million annually, had a disappointing fiscal 2024 but has already started ordering for 2025, with expectations to return to historical levels [40] Question: How does the company plan to approach fiscal '25 revenue guidance? - Management stated that they have been conservative in their approach and will provide updates each quarter, with expectations to ramp production starting in January [46] Question: How will the Jamestown facility impact gross margins? - Management expects vertical integration to improve margins by eliminating costs associated with overseas contract manufacturers and shipping [60] Question: How is the company addressing tariff-related issues? - Management believes the Jamestown operations will insulate the company from tariff impacts, allowing for domestic production [56] Question: What are the expectations for adjusted EBITDA margins once Jamestown is operational? - Management anticipates that Jamestown will be OpEx light, contributing significantly to EBITDA as revenue increases [91]

Core Viewpoint - The market is mispricing Electrovaya (NASDAQ: ELVA), with an estimated value of nearly $10 per share while currently trading at $2 [1] Company Analysis - The next earnings call for Electrovaya is anticipated in January, although the exact date has not been announced [1] - The focus is on small to mid-cap companies with disruptive technology, indicating a strategic investment approach [1] - The analyst emphasizes the importance of competitive analysis and researching company founders and their previous endeavors [1] Investment Strategy - The investment horizon is typically two years, but positions may be held for longer periods depending on performance [1] - The analyst has a background in investment, having experienced various market cycles, which informs their investment strategy [1] Historical Context - The analyst's family has a history of investing, with lessons learned from past market downturns, including the 1929 stock market crash and the oil crises of the 1970s [1] - The analyst's focus has shifted to the electrification of various sectors, reflecting current market trends [1]

Electrovaya Inc. (NASDAQ:ELVA) Q3 2024 Earnings Conference Call August 13, 2024 5:00 PM ET Company Participants Rajshekar DasGupta - CEO John Gibson - CFO Conference Call Participants Eric Stine - Craig-Hallum Craig Irwin - ROTH Capital Partners Amit Dayal - H.C. Wainwright Operator Greetings. Welcome to the Electrovaya Q3 2024 Financial Results Conference Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. [Operator Instructions ...

Company Participants Conference Call Participants Operator I will now turn the conference over to your host, John Gibson, CFO. You may begin. Thank you. Good morning, everyone, and thank you for joining today's call to discuss Electrovaya's Q2 2024 financial results. Today's call is being hosted by Dr. Raj Das Gupta, CEO of Electrovaya; and myself, John Gibson, CFO. As with previous calls, our comments today are subject to the normal provisions related to forward-looking information. We will provide informa ...

Electrovaya Inc. (ELVA) came out with a quarterly loss of $0.02 per share versus the Zacks Consensus Estimate of $0.03. This compares to break-even earnings per share a year ago. These figures are adjusted for non- recurring items. This quarterly report represents an earnings surprise of -166.67%. A quarter ago, it was expected that this company would post a loss of $0.01 per share when it actually produced break-even earnings, delivering a surprise of 100%. Over the last four quarters, the company has surp ...

Amit Dayal I think it's just a process. Yes, there's no other significant milestones. As Raj alluded to, the environmental work would usually take five, six to eight weeks to complete, but that due diligence has been cut down quite significantly. So, that was really one of the only things that kind of was lingering in the background. So, now it's just a process going through the remaining questions with the lender and getting over the line. Jeffrey Campbell Okay. Thank you, Gib. Appreciate the answers. Pave ...