Hyliion (US:HYLN)2022-02-24 20:42Financial Data and Key Metrics Changes - In Q4 2021, the company recognized $200,000 in revenue from its Hybrid eX Powertrain solution, marking a significant milestone [8][37] - R&D spending in Q4 was $17.4 million, down $800,000 sequentially but up $12.9 million year-over-year; total R&D spending for 2021 was $58.3 million compared to $12.6 million in 2020 [37] - SG&A expenses in Q4 were $9.2 million, up $500,000 sequentially and up $3.3 million year-over-year; total SG&A for 2021 was $35.3 million compared to $9.6 million in 2020 [38] - The company reported a net loss from operations of $29.1 million in Q4, compared to a net loss of $26.8 million in Q3 and $10.3 million in Q4 2020; total net loss for 2021 was $96.1 million compared to $22.2 million in 2020 [39][41] - The balance sheet showed over $557 million available to fund commercialization plans, including $258.4 million in cash and cash equivalents [40] Business Line Data and Key Metrics Changes - The company received orders for 100 units of the Hypertruck ERX, backed by deposits, and 325 reservations for future production slots [11][12] - The company plans to continue increasing order counts as it nears production, with a confirmed backlog of nearly 2,000 units [13] Market Data and Key Metrics Changes - The competitive landscape in the Class 8 truck market has shifted, with many fleets expressing a preference for fully electric vehicles over hybrid solutions [23][24] - The company anticipates that the market will increasingly favor full electric vehicles, impacting the demand for its Hybrid eX product [56] Company Strategy and Development Direction - The company aims to become a leading provider of electrified solutions for the commercial vehicle industry, focusing on the Hypertruck ERX and Hybrid eX products [7] - The company is expanding its offerings into hydrogen fuel cell solutions and advanced software solutions, with plans to launch these after the Hypertruck ERX [30][32] - The addition of experienced industry veterans to the sales team is expected to enhance business development efforts [33] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the technology and its market potential, noting positive feedback from fleets regarding the Hypertruck ERX [18][34] - The company expects to generate revenue between $2 million and $3 million from Hybrid eX sales in 2022, with a focus on the number of units sold and the type of installations [41] - Management does not anticipate needing to raise additional funds in the near future, given the current cash position and expected revenue [68] Other Important Information - The company is on track to complete design verification development vehicles and begin production validation in 2022 [20][21] - The company has begun efforts on fuel agnostic and hydrogen fuel cell solutions, which will be subsequent releases after the Hypertruck ERX [32] Q&A Session Summary Question: Regarding the order for the 100 units backed by deposits, does that mean these are final? - Management confirmed that these orders are to secure production slots, with production expected to start in late 2023 and deliveries by the end of Q1 2024 [47] Question: Can you provide a sense of what the $2 million to $3 million revenue guidance translates to in terms of units? - Management expects to ship over 100 units, focusing on revenue rather than unit count due to varying pricing based on installation types [48] Question: What is the expected timing for Hypertruck deliveries? - Management indicated that deliveries will start ramping up in Q4 2023, with commitments to deliver all units by Q1 2024 [51] Question: How should the competitive landscape for hybrids be modeled over the next few years? - Management expects a ramp-up in 2023 and 2024, with a potential decline in 2025 as fully electric trucks enter the market [54] Question: What is the expected CapEx for 2022? - Management expects CapEx to be between $10 million and $20 million, primarily for facility expansion and tech lab development [63] Question: What feedback has been received from recent roadshows? - Positive feedback highlighted the integration and performance of the Hypertruck compared to other electric vehicles, with minor adjustments being made based on user feedback [88]