Financial Data and Key Metrics Changes - In Q2 2025, total revenues were $28.7 million, a decrease from $33.3 million in Q2 2024, but showed a sequential growth of 38% [21][10] - Product revenues for Q2 2025 were $14.5 million, down from $23.6 million in Q2 2024, but increased by 73% sequentially [21][10] - Service revenues reached $11.8 million, up 46% year over year and 11% sequentially [12][21] - Gross profit was $2.1 million, representing 7.3% of revenues, compared to $10.7 million or 32% of revenues in the prior year [22][23] - Loss per share for Q2 was $0.31 compared to a loss of $0.20 in the prior year [25] Business Line Data and Key Metrics Changes - Product revenue growth was primarily driven by strong demand for DC fast chargers and Level 2 units, with a 73% increase sequentially [11][10] - Service revenue growth reflects increased demand for charging and network services, particularly in Europe and the U.S. [11][12] - The company delivered a record 49 gigawatt hours of energy, a 66% year-over-year increase [12] Market Data and Key Metrics Changes - The U.S. market saw a 47% growth in service revenue, while Europe experienced a 26% growth [57] - The company anticipates continued sequential growth in revenue, driven by improved demand signals and operational efficiencies [28][26] Company Strategy and Development Direction - The company is focused on becoming a profitable technology-driven leader in EV charging, emphasizing innovation and operational discipline [5][8] - The acquisition of Zometric aims to fill a gap in the product portfolio for lower-cost chargers, enhancing the company's offerings in fleet and multifamily markets [14][15] - The company is committed to reducing operating expenses by $8 million annually through various initiatives [30][24] Management's Comments on Operating Environment and Future Outlook - Management noted that industry consolidation is expected to accelerate, and the company is focused on adapting to changing market dynamics [28] - The company is optimistic about revenue growth in the second half of the year, driven by both product and service sales [30][38] - Management emphasized the importance of maintaining a strong cash position and improving working capital practices [26][44] Other Important Information - The company resolved uncertainties surrounding its Envoy subsidiary, releasing it from payment obligations in exchange for stock and performance-based warrants [19] - The company ended the quarter with $25.3 million in cash and cash equivalents, down from $55 million at the end of 2024, but remains debt-free [25][26] Q&A Session Summary Question: Inquiry about gross margins and product sales - Management acknowledged that the gross margin was impacted by a higher mix of lower-margin DC fast chargers but expects margins to remain healthy moving forward [34][35] Question: Expectations for cash flow improvement - Management indicated that cash burn is expected to decrease in the second half of the year due to improved working capital practices and reduced operating expenses [44][45] Question: Clarification on the Envoy restructuring - The transaction effectively eliminates contingent liabilities associated with Envoy, providing a clearer balance sheet [48][49] Question: Details on the Zometric acquisition and its impact - The acquisition is expected to enhance product offerings and revenue through both product sales and charge point operator business [61][65]

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]

Core Viewpoint - XCharge Limited has filed its annual report on Form 20-F for the fiscal year ended December 31, 2024, with the SEC, highlighting its position as a leader in integrated EV charging solutions [1]. Company Overview - XCharge, founded in 2015, is recognized as a global leader in integrated EV charging solutions, offering a range of products including DC fast chargers and advanced battery-integrated DC fast chargers [3]. - The company focuses on enhancing EV charging efficiency through proprietary charging technology and energy storage systems, aiming to contribute to a sustainable green future [3]. Annual Report Details - The annual report includes audited consolidated statements and is accessible on both the SEC's website and XCharge's investor relations website [1]. - Shareholders and ADS holders can request a hard copy of the annual report free of charge [2].