Nuvve (NVVE) Q1 2025 Earnings Call May 15, 2025 05:00 PM ET Company Participants Gregory Poilasne - Co-Founder, CEO & DirectorDavid Robson - CFO Operator Good morning, and welcome to the Nuvae Holding Corporation First Quarter twenty twenty five Earnings Conference Call. On today's call are Greg Blasney, Chief Executive Officer and David Robsons, Chief Financial Officer of Nuvi. Earlier today, NuVey issued a press release announcing its first quarter twenty twenty five results. Following prepared remarks, w ...

Financial Data and Key Metrics Changes - Total revenues for Q1 2025 were $900,000, an increase from $800,000 in Q1 2024, primarily driven by increased charger hardware sales [11] - Margins on products, services, and grant revenues improved to 39.9% from 34.7% year-over-year, with product and service revenue margins rising to 32.6% from 26.8% [11][12] - Operating costs, excluding cost of sales, were $6,000,000 in February 2025, down from $7,500,000 in February 2024, indicating improved operational efficiency [13] - Net loss attributable to common stockholders decreased to $6,900,000 from $7,000,000 year-over-year, reflecting lower operating expenses [14] - Cash position improved to approximately $1,200,000 as of March 31, 2025, an increase of $800,000 from December 2024 [15] Business Line Data and Key Metrics Changes - The company received 28 orders for new charging stations in Q1 2025, compared to only one order in Q1 2024, indicating significant growth in demand [3] - The hardware and service backlog increased to $19,700,000 from $18,300,000 at the end of 2024, suggesting a positive outlook for future sales [18] Market Data and Key Metrics Changes - Megawatts under management increased by 3.6% from Q4 2024 to 31.8 megawatts, and by 19.5% compared to Q1 2024, with 7.1 megawatts from stationary batteries and 24.7 megawatts from EV chargers [17] Company Strategy and Development Direction - The company is focusing on reducing cash burn and enhancing profitability while executing on its M&A strategy, including the acquisition of Fermata Energy [10][20] - A new subsidiary, NuVi Japan, has been established to drive energy storage business in Japan, indicating a strategic expansion into international markets [6][7] - The company is also opening capital in New Mexico to local investors to align interests and support infrastructure projects [5] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the transition to a drop ship model and the potential of the New Mexico contract, which could represent over $400 million in capital deployment [4][5] - The management is confident in the timing of their entry into the Japanese market and the establishment of NuVi Japan [7] - Future growth is anticipated in megawatts under management as the company continues to commission its backlog of customer orders [17] Other Important Information - The company announced the acquisition of Fermata Energy assets, which is expected to enhance its software development capabilities and expand long-term opportunities [9] - A new Digital Asset Management Committee has been formed to oversee a diversified portfolio of cryptocurrency investments [10] Q&A Session Summary Question: What are the expectations for the transformation and opportunities ahead? - Management emphasized the ongoing transformation and the opportunities being pursued, looking forward to sharing more updates in the coming months [23]

Financial Performance - Total revenue for the three months ended March 31, 2025, was $934,304, an increase of 20% compared to $779,756 for the same period in 2024[199]. - Products revenue increased by 19% to $565,551, while services revenue rose by 22% to $267,304, and grants increased by 22% to $101,449[199]. - Operating loss decreased by 23% to $5,586,614 for the three months ended March 31, 2025, compared to $7,247,375 for the same period in 2024[199]. - Net loss for the three months ended March 31, 2025, was $6,878,601, a 2% increase from $6,728,737 in the same period in 2024[199]. Expenses - Research and development expenses decreased by 44% to $883,772 for the three months ended March 31, 2025, down from $1,589,577 in the prior year[205]. - Selling, general and administrative expenses decreased by 14% to $5,075,902 for the three months ended March 31, 2025, compared to $5,928,110 in 2024[203]. Cash Flow and Debt - The cash used in operations was $1.8 million for the three months ended March 31, 2025, compared to $15.7 million and $21.3 million for the years ended December 31, 2024, and 2023, respectively[212]. - Net cash used in operating activities decreased by $2.9 million to $1.8 million for the three months ended March 31, 2025, compared to $4.7 million for the same period in 2024[225]. - Net cash provided for financing activities was $2.6 million for the three months ended March 31, 2025, compared to $8.5 million for the same period in 2024[227]. - The total outstanding principal balance of debt as of March 31, 2025, was $4,967,360, down from $5,572,001 as of December 31, 2024[218]. - The company entered into Term Loans totaling $3.75 million with a weighted average interest rate of 2.96% and 2.16% for different maturities[216]. - Interest expense paid on the Term Loan for the three months ended March 31, 2025, was $363,042, with no interest expense for the same period in 2024[216]. Future Outlook - Estimated backlog as of March 31, 2025, was $19.7 million, expected to be recognized as revenue from 2025 through 2026[195]. - The company plans to allocate up to 30% of excess cash towards bitcoin purchases as part of its treasury management program[196]. - The company expects to implement its bitcoin and digital asset strategy in the latter half of 2025[197]. - The company plans to fund current operations through debt obligations, increased revenues, and raising additional capital, although future fundraising success is uncertain[213]. Legal Matters - The company has initiated legal action against Rhombus Energy Solutions, Inc. regarding warranty and commissioning obligations related to DC Chargers purchased[223]. Equity and Financial Position - The company had a total equity deficit of $3.2 million and a cash balance of $1.2 million as of March 31, 2025[212]. - As of March 31, 2025, the company incurred operating losses of approximately $5.6 million for the three months ended March 31, 2025, and $20.5 million and $32.1 million for the years ended December 31, 2024, and 2023, respectively[212].

Financial Performance - Total revenue increased by 19.8% to $0.9 million in Q1 2025 compared to Q1 2024[4] - Operating losses decreased by 22.9% to $5.6 million in Q1 2025 compared to Q1 2024[4] - Net loss increased by 2.2% to $6.9 million in Q1 2025 compared to $6.7 million in Q1 2024[11] - Total revenue for Q1 2025 was $934,304, an increase of 19.8% compared to $779,756 in Q1 2024[24] - Product revenue increased to $565,551, up 18.7% from $476,469 in the same period last year[24] - Service revenue rose to $267,304, reflecting a 21.5% increase from $219,871 in Q1 2024[24] - Operating loss for Q1 2025 was $5,586,614, an improvement from a loss of $7,247,375 in Q1 2024[24] - Net loss attributable to Nuvve Holding Corp. common stockholders was $6,873,003, compared to $6,950,908 in Q1 2024[24] Expenses Management - Operating expenses excluding cost of sales reduced by 20.7% to $6.0 million in Q1 2025 compared to Q1 2024[4] - Research and development expenses decreased by 44.4% to $0.9 million in Q1 2025 compared to Q1 2024[9] - Selling, general and administrative expenses decreased by 14.4% to $5.1 million in Q1 2025 compared to Q1 2024[7] Cash Flow and Assets - Cash and restricted cash at the end of Q1 2025 totaled $1,509,577, a decrease from $5,763,031 at the end of Q1 2024[28] - Total assets decreased to $16,477,411 from $16,797,812 at the end of 2024[22] - Total liabilities increased to $19,719,217, up from $18,087,459 at the end of 2024[22] - The company reported a net cash used in operating activities of $1,808,781, significantly improved from $4,724,580 in Q1 2024[28] Growth and Management Outlook - Increased megawatts under management by 3.6% to 31.8 megawatts as of March 31, 2025[4] - Raised approximately $5.3 million in gross proceeds through various financing activities in Q1 2025[4] - Products and services margin increased by 5.8% to 32.6% in Q1 2025 compared to 26.8% in Q1 2024[6] - Management expressed excitement about future business expansion through potential merger and acquisition activities[3] Shareholder Information - The weighted-average shares used in computing net loss per share increased to 1,772,214 from 411,443 in Q1 2024[24]

Market Opportunities and Growth - Nuvve's GIVe platform has generated approximately $2,800 per car per year in market revenue on average from V2G services in Denmark [23]. - The monthly electricity exchanges revenue per bid EV in Denmark peaked at $5,455 in 2022, with a forecast of $1,150 for 2024 [24]. - The global EV market is projected to reach 720 million vehicles by 2040, driving the need for extensive charging infrastructure [31]. - An estimated $150-200 billion in capital investments will be required to deploy over 13 million public chargers globally by 2030 [33]. - Nuvve anticipates tripling its charging station unit sales and doubling hardware revenues in 2025 compared to 2023 [52]. - The addressable energy and capacity markets for targeted grid services are estimated to range from $3 billion to $250 billion per year [47]. - Nuvve's strategy includes capturing opportunities in the North American school bus market, with approximately 600,000 buses needing replacement [52]. - Revenue generation is expected primarily from services provided via the GIVe software platform and sales of V2G-enabled charging stations, with potential recurring mobility fees from fleet customers [57]. - The company anticipates expanding revenues by selling EV charging equipment to various customers, including school bus operators and municipal locations [89]. Technology and Innovation - Nuvve's GIVe platform transforms EVs into reliable, dispatchable, and monetizable assets, addressing grid service demands [52]. - The company is investing in expanding the GIVe software platform and V2G service capabilities, focusing on research and development, marketing, and sales [58]. - The company is focused on developing V2G technology, which aims to balance energy demand for electric transportation and improve grid resiliency [104]. - The company must continue to innovate and develop new products to keep pace with rapid technological changes in the EV charging market, as delays could adversely affect market adoption [170]. - The company may need to upgrade or adapt its V2G technology and services due to changes in EV technologies, which could involve substantial costs [172]. Financial Performance and Challenges - The company has a history of net losses and expects losses to continue in the future, indicating challenges in achieving sustained profitability [125]. - The company incurred operating losses of approximately $20.5 million and $32.1 million for the years ended December 31, 2024 and 2023, respectively, with an accumulated deficit of approximately $165.6 million as of December 31, 2024 [126]. - The company expects to continue incurring significant costs, particularly in research and development and commercialization related to its GIVe platform, which may negatively impact short-term profitability [126]. - The company has not yet demonstrated a sustained ability to generate sufficient revenue from its technology and services, impacting its financial condition [125]. - The company may need to raise additional capital in the future, and there is uncertainty regarding the availability of funds on favorable terms [218]. Competition and Market Position - The company primarily competes with less advanced charge point operator platforms, such as ChargePoint and Blink [94]. - The company believes it is a "first-mover" in the V2G space, leveraging its patent portfolio and experience to capture significant market opportunities as fleet EVs increase [59][62]. - The company faces intense competition in the EV charging market, primarily competing with companies like ChargePoint and Blink, and anticipates increased competition as new entrants emerge [135]. - The company faces intense competition for qualified personnel, which could hinder its ability to execute its global business strategy [155]. Customer and Revenue Concentration - For the years ended December 31, 2024 and 2023, three customers accounted for 33.2% and 30.3% of total revenue, respectively [91]. - The company expects customer concentration to vary based on large orders, a trend anticipated to continue in the near term [92]. - A significant portion of revenue has historically been derived from government grant-funded projects to demonstrate V2G technology and services [90]. - Three customers accounted for 33.2% and 30.3% of total revenue for the years ended December 31, 2024 and 2023, respectively, indicating a reliance on a limited customer base [212]. Risks and Regulatory Environment - The company is subject to various risks, including competition in the EV charging market and the need for effective management of growth [113]. - The company may encounter significant costs and distractions from litigation related to intellectual property claims, impacting its financial condition [191]. - The company may face increased risks related to audits or examinations by taxing authorities due to its multinational operations [225]. - The company is highly dependent on key personnel, including the CEO and COO, and the loss of these individuals could adversely affect business operations [154]. - The company may need to borrow additional funds or equity securities to support operations if cash flow levels are not achieved, which may not be available on commercially reasonable terms [127]. Employee and Governance - The company offers a total rewards package to attract and retain highly skilled employees, including base salary, cash bonuses, and equity compensation [99]. - The company has implemented several safety programs to support the well-being of its employees, including an Employee Assistance Program [101]. - The company has a corporate governance structure that includes independent directors, ensuring compliance with Nasdaq's listing standards [103]. Environmental and Social Responsibility - The company is committed to environmental sustainability and aims to mitigate the negative impact of its operations [104]. - The company continues to advocate for policies that support electric mobility and reduce barriers to V2G-capable infrastructure deployment [60].

Revenue and Financial Performance - Total revenue for Q4 2024 was $1.79 million, flat compared to $1.64 million in Q4 2023[4] - Total revenue for Q4 2024 was $1,786,075, a 8.6% increase from $1,644,677 in Q4 2023[22] - The company reported a total comprehensive loss of $5,126,469 for Q4 2024, compared to a loss of $7,330,103 in Q4 2023, reflecting a 30.1% improvement[24] - Net loss decreased by $2.2 million to $5.1 million in Q4 2024, compared to a net loss of $7.3 million in Q4 2023[9] - Net loss for Q4 2024 was $5,098,817, compared to a net loss of $7,319,240 in Q4 2023, representing a 30.3% improvement[22] - The net loss for 2024 was $17,426,412, a significant improvement from the net loss of $31,296,787 in 2023, representing a reduction of approximately 44%[26] - Operating loss for the year 2024 was $20,460,431, down from $32,105,275 in 2023, indicating a 36.3% reduction[22] Expenses and Cost Management - Operating expenses, excluding cost of sales, decreased by $2.0 million to $5.9 million in Q4 2024, down from $7.9 million in Q4 2023[3] - Research and development expenses decreased by 61.3% to $0.8 million in Q4 2024, down from $2.0 million in Q4 2023[7] - Selling, general and administrative expenses decreased by 13.7% to $5.1 million in Q4 2024, compared to $5.9 million in Q4 2023[6] - Research and development expenses for Q4 2024 were $767,558, a decrease of 61.3% from $1,981,189 in Q4 2023[22] - The company reported a depreciation and amortization expense of $337,971 in 2024, down from $396,210 in 2023, a decrease of approximately 15%[26] Assets and Liabilities - Total assets decreased to $16,797,812 in 2024 from $20,950,506 in 2023, a decline of 19.7%[20] - Total liabilities increased to $18,087,459 in 2024 from $13,960,043 in 2023, an increase of 29.5%[20] - Cash and cash equivalents decreased significantly to $371,497 in 2024 from $1,534,660 in 2023, a drop of 75.8%[20] - Accounts receivable increased to $2,148,198 in 2024 from $1,724,899 in 2023, an increase of 24.6%[20] Cash Flow and Financing - Net cash used in operating activities decreased to $15,734,334 in 2024 from $21,254,328 in 2023, indicating a 26% improvement[26] - Cash and restricted cash at the end of 2024 was $691,497, down from $2,014,660 at the end of 2023, reflecting a decrease of 66%[26] - The company raised $8,502,086 from common stock offerings in 2024, compared to $884,586 in 2023, marking an increase of over 867%[26] - The net cash provided by financing activities in 2024 was $14,462,917, a substantial increase from $5,862,746 in 2023, reflecting enhanced financing efforts[26] Operational Metrics - Customer backlog exceeded $18 million at the start of 2025, supporting growth prospects[3] - Megawatts under management increased by 22.3% to 30.7 megawatts as of December 31, 2024[3] - Cost of product and service revenues increased by 28.8% to $1.5 million in Q4 2024, up from $1.2 million in Q4 2023[5] - Other income (expense) shifted from $0.13 million of income in Q4 2023 to $0.52 million of expense in Q4 2024[8] - Inventory increased by $1,297,551 in 2024, contrasting with a decrease of $5,445,390 in 2023, indicating a shift in inventory management strategy[26] - The change in fair value of warrants liability resulted in a gain of $3,263,697 in 2024, compared to a loss of $216,263 in 2023[26] - The effect of exchange rate on cash resulted in a loss of $6,351 in 2024, compared to a gain of $35,624 in 2023, indicating potential currency risk[26] Ownership and Acquisitions - Nuvve became the 100% owner of Levo after acquiring the remaining 49% membership interest in October 2024[12] Shareholder Information - The weighted-average shares used in computing net loss per share increased to 881,144 in Q4 2024 from 107,711 in Q4 2023[22]

Core Viewpoint - Nuvve Holding Corp. will provide an update on its financial results for the fourth quarter ended December 31, 2024, during a conference call scheduled for March 31, 2025 [1][2]. Company Overview - Nuvve is a global technology leader focused on accelerating the electrification of transportation through its proprietary vehicle-to-grid (V2G) platform [3]. - The company's mission is to reduce the cost of electric vehicle ownership while facilitating the integration of renewable energy sources such as solar and wind [3]. Conference Call Details - The conference call will take place at 5:00 PM Eastern Time (2:00 PM PT) on March 31, 2025, and will cover financial results and other company developments [2]. - Participants can register and listen to the call via a live webcast available on Nuvve's investor relations website, with a replay accessible for future reference [2].

Core Points - Nuvve Holding Corp. has scheduled a Special Meeting of Stockholders on January 13, 2025, at 1:00 p.m. Eastern Time [1] - The record date for the Special Meeting is December 6, 2024 [2] - Shareholders are encouraged to vote their proxies and read the definitive proxy statement filed with the SEC on December 16, 2025 [3] Company Overview - Nuvve is a global technology leader focused on accelerating the electrification of transportation through its proprietary vehicle-to-grid (V2G) platform [4] - The company's mission is to reduce the cost of electric vehicle ownership while facilitating the integration of renewable energy sources such as solar and wind [4]

Group 1 - Nuvve Holding Corp. held a conference call on November 12, 2024, to discuss its financial results for Q3 2024 and other company developments [1] - The conference call replay is available on Nuvve's investor relations website for future access [1] - Nuvve is a global technology leader focused on accelerating the electrification of transportation through its proprietary vehicle-to-grid (V2G) platform [2] Group 2 - The company's mission is to lower the cost of electric vehicle ownership while supporting the integration of renewable energy sources such as solar and wind [2] - Nuvve provides contact information for investor and press inquiries, indicating a commitment to transparency and communication [2]

Financial Data and Key Metrics Changes - In Q3 2024, total revenues were $1.9 million, up from $0.8 million in Q2 2024 but down from $2.7 million in Q3 2023, indicating a quarter-over-quarter increase of $1.1 million driven by service revenues and hardware revenue [10][11] - Year-to-date revenues through September 30, 2024, were $3.5 million, a decline of $3.2 million compared to $6.7 million in the prior year period, primarily due to reduced charger hardware sales and non-recurring EV bus sales [11] - Gross margins improved to $1 million in Q3 2024 from $0.3 million in Q3 2023, with year-to-date gross margins at $1.5 million compared to $0.9 million last year, attributed to better pricing and a higher mix of service revenues [12][16] Business Line Data and Key Metrics Changes - The school bus business is seeing a recovery after a slow start, with revenue expected to benefit from EPA funding in Q4 but anticipated to slide into 2025 [5] - Revenue recognition from the Fresno EOC project began in Q3, contributing significantly to cash flow and establishing a revenue baseline for 2025 [6] - The hardware and service backlog decreased to $17.5 million from $18.2 million at the end of Q2 2024, but increased significantly from $3.9 million at the end of 2023, driven by the Fresno hub project [21] Market Data and Key Metrics Changes - Megawatts under management increased by 7.7% from Q2 2024 to 29.2 megawatts, a 37.3% increase compared to Q3 2023, indicating growth in both stationary batteries and EV chargers [20] - The company is actively engaging in multiple projects in Taiwan and the U.S., with a focus on public infrastructure and energy cost savings for EV drivers [7][8] Company Strategy and Development Direction - The company is positioning its GIVe platform as a key tool for grid modernization, emphasizing the importance of renewable generation and storage mandates in the U.S. and Europe [9][24] - Management is focused on diversifying revenue sources and improving cash management, with personal support from executives during challenging periods [23] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenges faced in Q3 2024 but viewed it as a turning point, with significant projects closing and revenue certification for 2025 [23] - The company anticipates further growth in megawatts under management and improved cash burn due to lower operating costs and enhanced gross margins [21][24] Other Important Information - The company reported a net loss of $1.6 million in Q3 2024, a significant improvement from a net loss of $8.6 million in Q3 2023, driven by higher gross margins and lower operating expenses [16] - Cash as of September 30, 2024, was approximately $0.3 million, reflecting a decrease due to operating losses and negative working capital, but was bolstered by cash received from short-term promissory notes [17] Q&A Session Summary - No specific questions or answers were documented in the provided content, indicating that the call concluded without a Q&A segment [25][26]