Wallbox N.V.(WBX) - 2024 Q2 - Quarterly Report

Interim Condensed Consolidated Financial Statements Interim Condensed Consolidated Statements of Financial Position As of June 30, 2024, Wallbox's total assets decreased to €429.3 million from €483.5 million at year-end 2023, primarily due to a reduction in cash and cash equivalents Consolidated Statement of Financial Position (in thousand Euros) | | June 30, 2024 () | December 31, 2023 | | :--- | :--- | :--- | | Total Non-Current Assets | 224,613 | 226,617 | | Total Current Assets | 204,696 | 256,924 | | Total Assets | 429,309 | 483,541 | | Total Equity | 97,599 | 149,811 | | Total Non-Current Liabilities | 155,053 | 142,956 | | Total Current Liabilities | 176,657 | 190,774 | | Total Liabilities | 331,710 | 333,730 | | Total Equity and Liabilities | 429,309 | 483,541 | Interim Condensed Consolidated Statements of Profit or Loss and Other Comprehensive Income For the six months ended June 30, 2024, revenue increased by 35% year-over-year to €91.9 million, while the net loss improved to €58.2 million from €70.6 million in the prior-year period Consolidated Statement of Profit or Loss (in thousand Euros) | | Six months ended June 30, 2024 () | Six months ended June 30, 2023 () | | :--- | :--- | :--- | | Revenue | 91,893 | 68,020 | | Employee benefits | (36,991) | (45,069) | | Other operating expenses | (27,962) | (34,603) | | Impairment of goodwill | (2,349) | — | | Operating Loss | (49,049) | (67,605) | | Loss before Tax | (59,501) | (72,253) | | Loss for the Period | (58,235) | (70,632) | | Basic and diluted losses per share (euros) | (0.31) | (0.40) | Interim Condensed Consolidated Statements of Changes in Equity Total equity decreased from €149.8 million at the start of 2024 to €97.6 million as of June 30, 2024, primarily due to the €58.2 million net loss for the period Changes in Equity for the six months ended June 30, 2024 (in thousand Euros) | Description | Amount | | :--- | :--- | | Balance at January 1, 2024 | 149,811 | | Loss for the Period | (58,235) | | Other comprehensive income (loss) | 3,873 | | Total comprehensive loss for the period | (54,362) | | Contribution of equity (Execution of options and warrants) | 441 | | Share based payments | 1,981 | | Others | (272) | | Total contributions and distributions | 2,150 | | Balance at June 30, 2024 | 97,599 | Interim Condensed Consolidated Statements of Cash Flows For the first six months of 2024, net cash used in operating activities significantly improved to €17.6 million, leading to a €41.4 million decrease in cash and cash equivalents, ending the period at €59.7 million Consolidated Statement of Cash Flows (in thousand Euros) | | Six months ended June 30, 2024 () | Six months ended June 30, 2023 (*) | | :--- | :--- | :--- | | Net cash used in operating activities | (17,593) | (44,459) | | Net cash used in investing activities | (25,661) | (29,054) | | Net cash from financing activities | (2,034) | 97,160 | | Net increase/(decrease) in cash and cash equivalents | (45,288) | 23,647 | | Cash and cash equivalents at beginning of period | 101,158 | 83,308 | | Cash and cash equivalents at the end of the period | 59,748 | 105,554 | Notes to the Interim Condensed Consolidated Financial Statements Note 1 & 2: Reporting Entity and Basis of Preparation Wallbox N.V. develops, manufactures, and sells electric vehicle charging solutions, with interim financial statements prepared under IAS 34, and management affirming going concern despite a €58.2 million net loss and €17.6 million operating cash outflow - The Group is primarily involved in the development, manufacturing, and sales of innovative solutions for charging electric vehicles and is listed on the NYSE under the ticker WBX[12][13] - The financial statements have been prepared on a going concern basis, despite the company incurring a net loss of €58.2 million and using €17.6 million in operating cash flows during the first six months of 2024 Management believes available cash and funding are sufficient for the next 12 months[16][17][18] Note 3: Use of Judgements and Estimates The preparation of financial statements requires critical judgments and estimates, with no significant changes in assumptions during H1 2024, except for an impairment test on the Nordics Cash Generating Unit (CGU) - No significant changes occurred in judgments and estimates from the 2023 financial statements, except for an impairment indicator identified for the Nordics CGU[23][24] - Critical judgments and estimates include the going concern assessment and the fair value measurement of share-based payments, which involves estimating the number of equity instruments expected to vest[25][26] Note 7: Operating Segments The Group operates in EMEA, NORAM, and APAC segments, with EMEA generating €74.7 million in revenue for H1 2024, and Germany becoming the largest single market at 25% of total revenue Segment Performance for Six Months Ended June 30, 2024 (in thousand Euros) | (In thousand Euros) | EMEA | NORAM | APAC | Consolidated | | :--- | :--- | :--- | :--- | :--- | | Sales of Goods | 75,400 | 12,566 | 750 | 83,946 | | Sales of Services | 4,033 | 3,890 | 216 | 7,947 | | Operating Loss | (40,801) | (8,263) | (34) | (49,049) | | Total Assets | 359,396 | 162,451 | 998 | 429,309 | | Total Liabilities | 373,956 | 49,811 | 1,476 | 331,710 | External Revenue by Location (in thousand Euros) | Country | 2024 Revenue | % | 2023 Revenue | % | | :--- | :--- | :--- | :--- | :--- | | Spain | 11,484 | 12% | 14,892 | 22% | | United States | 13,399 | 15% | 11,840 | 17% | | Italy | 4,935 | 5% | 7,016 | 10% | | Germany | 22,715 | 25% | 1,896 | 3% | | Other countries | 39,360 | 43% | 32,376 | 48% | | Total | 91,893 | 100% | 68,020 | 100% | Note 10: Intangible Assets and Goodwill As of June 30, 2024, total intangible assets increased to €99.4 million, while goodwill decreased to €11.1 million due to a €2.3 million impairment charge for the Nordics CGU Intangible Assets Intangible assets grew to €99.4 million, with €15.5 million in additions during H1 2024, primarily from €14.1 million in capitalized development costs for DC, AC, and MyWallbox software products Movement of Intangible Assets (in thousand Euros) | Description | Software | Trademarks and customer relationships | Development costs | Total | | :--- | :--- | :--- | :--- | :--- | | Balance at Dec 31, 2023 | 8,251 | 19,390 | 66,408 | 94,049 | | Additions | 1,373 | 4 | 14,099 | 15,476 | | Amortization for the period | (1,773) | (1,178) | (7,209) | (10,160) | | Balance at June 30, 2024 | 9,371 | 18,196 | 71,791 | 99,358 | - Additions to internally developed intangibles (Development costs and Software) amounted to €12.4 million for the six months ended June 30, 2024, primarily for DC products (Quasar, Supernova), AC products (Pulsar, Cooper, Commander), and MyWallbox software[52] Goodwill Goodwill decreased from €13.4 million to €11.1 million in H1 2024 due to a €2.3 million impairment of the Nordics CGU, triggered by reduced activity and local regulatory changes - The Group recognized a goodwill impairment of €2,349 thousand for the Nordics CGU due to reduced activity and low performance driven by local regulatory changes[55][57] Goodwill Breakdown by CGU (in thousand Euros) | CGU | June 30, 2024 | December 31, 2023 | | :--- | :--- | :--- | | Ares | 4,424 | 4,424 | | Coil | 3,199 | 3,101 | | Nordics | — | 2,403 | | Electromaps / Software | 3,457 | 3,457 | | Total | 11,080 | 13,385 | Note 11: Financial Assets and Financial Liabilities As of June 30, 2024, total financial assets were €50.2 million, while total financial liabilities stood at €256.7 million, with loans and borrowings being the largest component at €216.7 million Financial Assets Total financial assets as of June 30, 2024, amounted to €50.2 million, primarily comprising €41.9 million in customer receivables, with an expected credit loss expense of €1.2 million recognized for the period - The total expense for expected credit losses on trade receivables was €1,195 thousand for the six months ended June 30, 2024 The total provision for doubtful debts stood at €7,239 thousand (€2,364 thousand for balances <180 days and €4,875 thousand for balances >180 days)[69] Financial Assets Breakdown (in thousand Euros) | | June 30, 2024 | December 31, 2023 | | :--- | :--- | :--- | | Non-current financial assets | 1,579 | 1,521 | | Trade and other financial receivables (Current) | 42,590 | 43,416 | | Other current financial assets | 6,002 | 5,810 | | Total Current Financial Assets | 48,592 | 49,226 | Financial Liabilities Total financial liabilities were €256.7 million as of June 30, 2024, including €216.7 million in loans and borrowings, with available credit lines of €135.4 million and €95.6 million drawn down Financial Liabilities Breakdown (in thousand Euros) | | June 30, 2024 | December 31, 2023 | | :--- | :--- | :--- | | Non-Current | | | | Loans and borrowings | 90,925 | 80,861 | | Lease liabilities | 33,232 | 34,063 | | Current | | | | Loans and borrowings | 125,757 | 126,496 | | Derivative warrant liabilities | 1,977 | 3,119 | | Lease liabilities | 4,855 | 4,914 | | Trade and other financial payables | 36,948 | 45,081 | - The Group had available credit lines of €135.4 million, of which €95.6 million was drawn down as of June 30, 2024[77][78] - Derivative warrant liabilities decreased from €3.1 million to €2.0 million, primarily due to a €1.2 million positive change in fair value[83] Note 14: Capital and Reserves As of June 30, 2024, the company's issued share capital was €50.6 million, comprising 217.3 million shares, with capital increases driven by stock plan executions and a structural exchange of Class B shares for Class A and C shares Share Capital and Share Premium Movements (in thousand Euros) | Description | Share Capital | Share Premium | | :--- | :--- | :--- | | At December 31, 2023 | 50,352 | 481,615 | | Stock option plan executions (Jan-Jun 2024) | 293 | 8,299 | | Other movements | 5 | (276) | | At June 30, 2024 | 50,646 | 489,598 | - The company exchanged 3,750,000 Class B shares (10 votes per share) for 3,750,000 Class A shares (1 vote per share) and 3,750,000 Class C shares (9 votes per share), maintaining the voting power of the original shares[96] Note 17: Revenue from Contracts with Customers Total revenue for the first six months of 2024 was €91.9 million, a 35% increase, with sales of goods accounting for 91% of revenue and EMEA remaining the dominant market at €74.7 million Revenue by Type (in thousand Euros) | | June 30, 2024 | June 30, 2023 | | :--- | :--- | :--- | | Sales of goods | 83,946 | 60,274 | | Sales of services | 7,947 | 7,746 | | Total | 91,893 | 68,020 | Revenue by Geographical Market (in thousand Euros) | | June 30, 2024 | June 30, 2023 | | :--- | :--- | :--- | | EMEA | 74,741 | 55,124 | | NORAM | 16,456 | 12,526 | | APAC | 696 | 370 | | Total | 91,893 | 68,020 | - No individual customer exceeded 10% of total revenues during the first half of 2024 or 2023[113] Note 19: Employee Benefits Total employee benefit expenses decreased to €37.0 million in H1 2024, primarily due to a significant reduction in share-based payment expenses, which fell to €1.4 million from €11.1 million Employee Benefits Expense (in thousand Euros) | | June 30, 2024 | June 30, 2023 | | :--- | :--- | :--- | | Wages and salaries | 26,659 | 24,130 | | Share-based payment plans expenses | 1,404 | 11,059 | | Social Security | 8,928 | 9,880 | | Total | 36,991 | 45,069 | Stock Option and RSU Movements (Number of warrants) | | ESOP | MSOP | Founders | RSU Employees | RSU Management | RSU Coil & Ares | ESPP | Total | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | At Dec 31, 2023 | 910,382 | 3,003,867 | 1,013,609 | 2,984,802 | 1,458,334 | 350,615 | — | 9,721,609 | | Granted | — | — | — | 2,302,540 | 1,200,000 | — | 439,124 | 3,941,664 | | Exercised | (38,317) | (785,222) | — | (895,995) | (191,668) | (59,219) | (439,124) | (2,409,545) | | Cancelled | — | — | — | (725,458) | (333,333) | (31,889) | — | (1,090,680) | | At June 30, 2024 | 872,065 | 2,218,645 | 1,013,609 | 3,665,889 | 2,133,333 | 259,507 | — | 10,163,048 | Note 23: Related Party Disclosures Remuneration for the Board of Directors totaled €586 thousand and senior management €1.9 million for H1 2024, both decreasing primarily due to the absence of new share-based payments Remuneration of Directors and Key Management (in thousand Euros) | (In thousand Euros) | June 30, 2024 | June 30, 2023 | | :--- | :--- | :--- | | Board of Directors Remuneration | 586 | 762 | | Short-term benefits | 340 | 282 | | Non-executive directors remuneration | 246 | 180 | | Share-based payment plan | — | 300 | | Senior Management Remuneration | 1,937 | 2,414 | | Short-term benefits | 951 | 1,118 | | Termination benefits | 390 | 14 | | Share-based payment plan expenses | 596 | 1,282 | - In private placements during 2023, key related parties including Enric Asuncion Escorsa (CEO), Orilla Asset Management, AM Gestio, and others purchased Class A Shares[155][156] Note 24: Financial Risk Management The Group manages credit, market, and liquidity risks, with working capital at €28.0 million as of June 30, 2024, and sensitivity analyses indicating a €834 thousand impact from a 100 basis point interest rate change and a €248 thousand impact from a 10% USD/EUR exchange rate movement - A 100 basis point change in interest rates would impact profit or loss by +/- €834 thousand due to floating rate loans[167][168] - A 10% movement in the USD/EUR exchange rate would impact profit or loss by +/- €248 thousand[170][171] Working Capital (in thousand Euros) | | June 30, 2024 | December 31, 2023 | | :--- | :--- | :--- | | Current assets | 204,696 | 256,924 | | Current liabilities | 176,657 | 190,774 | | Total | 28,039 | 66,150 | Note 25: Events after the Reporting Period Subsequent to the reporting period, Wallbox issued over 13 million warrants to Generac on July 30, 2024, and closed a private placement on August 5, 2024, raising $45 million from the sale of 36.3 million Class A shares - On July 30, 2024, the company issued a total of 13,102,971 warrants to Generac, exercisable for Class A Shares at a price of up to $3.05 per share[177] - On August 5, 2024, the company closed a private placement, selling 36,334,277 Class A Shares for aggregate gross proceeds of $45 million at a price of $1.2385 per share[178]