Redwood Materials' Innovation - Redwood Materials is repurposing second-life EV batteries for energy storage, creating the world's largest deployment of reused transportation batteries and a significant microgrid in North America [1] - The company's microgrid provides a low-cost energy solution for data centers, addressing the critical need for power in AI computing [2] - Redwood's approach offers a new vision for sustainable energy by reusing batteries before recycling them, extracting additional value [4] - Redwood's recycling operations have grown significantly, increasing material processing by almost 20 times in four years [5] Market Opportunity and Demand - The energy industry seeks 24/7 renewable power, and Redwood's solution addresses the high cost of batteries, making it more feasible [5] - Data center electricity demand is rapidly increasing, with AI estimated to drive a 165% increase by 2030, creating a significant market for Redwood's microgrids [23][27] - Redwood's microgrids can be deployed rapidly, bringing up new data centers in less than five months without grid connection [25] - The company has over 1 gigawatt-hour (GWh) of reusable batteries in its inventory, equivalent to 12,500 EVs, and is designing projects up to 10 times the size of its pilot microgrid [33] Competitive Advantages and Strategy - Redwood's circularity, stemming from its battery recycling background, offers a unique appeal by using batteries that would otherwise be scrapped [13] - Redwood's "universal translator" technology allows it to integrate battery packs from various manufacturers [16] - The company aims to provide energy storage solutions at potentially half the cost of new lithium-ion batteries, despite higher management costs [30] - Redwood estimates that second-life batteries could contribute significantly to the U S grid's energy storage mix, potentially upwards of 50% for decades [35]

Energy & Technology - Redwood Materials is powering a 2,000 GPU AI data center with 805 retired EV batteries [1] - The project forms the largest microgrid in North America [1] Microgrid Development - The microgrid represents Redwood Materials' next evolution [1]

Energy & Technology - Redwood Materials is evolving to meet the power demands of the AI era [1] - 805 retired EV batteries are powering a 2,000 GPU AI data center in Nevada [1] - The data center forms the largest microgrid in North America [1] Microgrid Development - The microgrid represents Redwood Materials' next evolution in battery collection [1] - The microgrid is located in a Nevada desert [1] Application - The microgrid even powers EV-themed Pac-Man ghosts [1]

INVESTOR PRESENTATION November 2024 OUR PURPOSE: Lead the evolution to more resilient, efficient, and sustainable energy solutions. INVESTOR RELATIONS Aaron Jagdfeld PRESIDENT & CEO YorkRagen CHIEF FINANCIAL OFFICER Kris Rosemann DIRECTOR CORPORATE DEVELOPMENT & INVESTOR RELATIONS (262)506 -6064 InvestorRelations@generac.com 2 Forward Looking Statements materialized and may cause actual results to vary from these forward-looking statements. A detailed discussion ofthese and other factors that may affect fut ...

Financial Data and Key Metrics Changes - In Q1 2025, total revenues were $20.8 million, down from $37.6 million in Q1 2024 [17] - Product revenues decreased to $8.4 million from $27.5 million year-over-year [17] - Service revenues increased by 29.2% to $10.6 million compared to $8.2 million in the prior year [18] - Gross profit was $7.4 million, representing 35.5% of revenues, compared to 35.7% in the previous year [18] - Operating expenses decreased by 7.9% to $28.5 million from $30.9 million [18] - Loss per share improved to $0.20 from $0.17 year-over-year [18] - Adjusted EBITDA loss increased to $15.5 million from $10.2 million in the prior year [19] Business Line Data and Key Metrics Changes - Charging service revenue increased by 35% year-over-year, driven by higher utilization of deployed infrastructure [7] - Product sales were significantly down, indicating a gap in addressing value-oriented market segments [7] - The company closed the quarter with 7,091 company-owned chargers, a 22% increase year-over-year [12] - DC fast charging revenues in the U.S. increased over three times compared to the first quarter of last year [13] Market Data and Key Metrics Changes - EV sales in the U.S. grew by 11.4% in Q1 2025 compared to the prior year [10] - In Europe, EV sales increased by 24%, with significant gains reported in Germany, Belgium, and The Netherlands [11] - Charging revenue in Europe grew by 22%, reflecting an expanding footprint and strengthening market position [8] Company Strategy and Development Direction - The company is focused on deploying the right charging infrastructure at optimal locations [21] - A new Generation 3 charger is being developed to meet market demand, with plans to launch in Q4 2025 [7][22] - The strategic priorities include flexible customer-centric business models, expansion of DC fast charging, growth in recurring revenue, strategic positioning amid industry consolidation, and cost optimization [25][26][28][29] Management's Comments on Operating Environment and Future Outlook - The operating environment remains challenging due to macroeconomic pressures and shifts in customer behavior [7] - The company expects sequential revenue growth in Q2 2025 and continued growth in the second half of the year [19][20] - Management remains focused on reducing operating expenses and cash burn while driving towards profitability [16][20] Other Important Information - The company is actively pursuing opportunities to grow its DC fast charging portfolio [13] - Blink has been named a preferred bidder for a contract in the UK, valued at over £500,000 [14] - The company is consolidating its European software networks into a global platform for operational efficiencies [15] Q&A Session Summary Question: About gross margins and their improvement - Management noted that a larger mix of Level 2 chargers helped margins and expects consistency in the mid-30s range for gross margins throughout the year [33][35] Question: On new value-oriented products and market approach - The company is focused on building its own chargers to maintain quality and reliability, with expanded production capabilities in India and Maryland [39][40] Question: Regarding expenses related to business spin-offs - Management confirmed ongoing restructuring efforts and cost controls, with a focus on reducing compensation expenses and consolidating facilities [48][49] Question: Aspirational service margin targets - Management aims for mid-20s service margins in the future [52] Question: On market consolidation and acquisition targets - The company is considering tuck-in acquisitions to enhance growth and has specific companies in mind for potential acquisition [56][57]

Financial Data and Key Metrics Changes - Charging service revenue increased by 35% year over year, reaching a new record high [6][10] - Product sales for the quarter were $8,400,000, down sharply from $27,500,000 in Q1 2024 [16] - Total revenues for Q1 2025 were $20,800,000 compared to $37,600,000 in the prior year quarter [16] - Gross profit was $7,400,000, representing 35.5% of revenues, compared to $13,400,000 or 35.7% in Q1 2024 [17] - Operating expenses decreased by 7.9% to $28,500,000 from $30,900,000 in the prior year [17] - Loss per share was $0.20 compared to a loss of $0.17 in the prior year [17] - Adjusted EBITDA for Q1 2025 was a loss of $15,500,000 compared to a loss of $10,200,000 in the prior year [18] Business Line Data and Key Metrics Changes - Service revenue for the quarter was $10,600,000, an increase of 29.2% compared to $8,200,000 in Q1 2024 [10][17] - The company closed the quarter with 7,091 company-owned chargers, a 22% increase year over year [11] - DC fast charging revenues in the U.S. increased over three times compared to Q1 2024 [12] Market Data and Key Metrics Changes - EV sales in the U.S. grew by 11.4% in Q1 2025 compared to the prior year [8] - In Europe, EV sales increased by 24%, with significant gains in Germany, Belgium, and The Netherlands [9] Company Strategy and Development Direction - The company is focused on deploying the right charging infrastructure at optimal locations [21] - A new Generation three charger is being developed to address the value-oriented segment of the market [6][22] - The strategic priorities include flexible customer-centric business models, expansion of the DC fast charging portfolio, growth in recurring revenue, strategic positioning amid industry consolidation, and cost optimization [25][26][27][28] Management Comments on Operating Environment and Future Outlook - The operating environment remains challenging due to macroeconomic pressures and shifts in customer behavior [6] - The company expects revenue to increase sequentially in Q2 2025 and continued growth in the second half of 2025 [19][20] - Management remains focused on reducing operating expenses and cash burn while driving towards profitability [20] Other Important Information - The company is actively pursuing opportunities to grow its DC fast charging portfolio [12] - Blink has been named a preferred bidder for a contract valued at over 500,000 British pounds in the UK [13] - The company is consolidating its European software networks into a global network for operational efficiencies [14] Q&A Session Summary Question: Can you talk about gross margins and their potential for improvement? - Management noted that a larger mix of level two chargers helped margins and expects consistency in the mid-30s range for gross margins moving forward [31][34] Question: What considerations are taken into account for the new value-oriented products? - The company is focused on building its own chargers to maintain quality and reliability, with expanded production capabilities in India and Maryland [38][40] Question: Can you discuss the impact of restructuring and spin-off costs on expenses? - Management confirmed that they are continuously looking at expense profiles and expect savings from integrating acquisitions [44][48]