Via Renewables(US:VIA)2025-11-13 14:30Financial Data and Key Metrics Changes - In Q3 2025, the company's revenue grew by 32% year over year, with a platform annual revenue run rate of $439 million [7][30] - The number of customers on the platform increased to 713, representing an 11% year-over-year growth [7][32] - Adjusted gross margin improved to 39.6%, compared to 39.2% in Q3 2024 [37] Business Line Data and Key Metrics Changes - Revenue from government customers increased by $26.5 million, or 34% year over year [8] - Revenue from U.S. customers rose by $23.1 million, or 42% year over year [9] - The student transportation vertical saw more than two times growth in the number of customers subscribing to solutions [25] Market Data and Key Metrics Changes - The serviceable addressable market in North America and Western Europe is estimated at $82 billion, with the company capturing less than 1% of this market [10] - The company has identified approximately 63,000 potential customers in North America and Europe, with 713 currently on the platform [10] Company Strategy and Development Direction - The company aims to broaden its platform, deepen its vertical stack, and innovate its go-to-market strategy to capture more market share [24] - A new strategic partnership with Waymo aims to advance the use of autonomous vehicles in public transit [28] - The company is focused on leveraging AI to enhance transit planning and operations, positioning itself as a leader in the digital transformation of public transportation [41] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to maintain strong performance and capitalize on the digital transformation in public transit [40] - The company has not seen any impact from the federal government shutdown on its services [12][39] - Management highlighted the importance of referenceability and customer success stories in driving future growth [49] Other Important Information - The company has invested over $500 million in R&D, with R&D expenses representing 19.1% of revenue as of Q3 2025 [35] - The company is experiencing a flywheel effect in Michigan, where existing customer success is driving new customer opportunities [34] Q&A Session Summary Question: How would you characterize both the catalyst and barriers in converting more of the 63,000 customer opportunity? - Management noted that the primary barrier is the customer's aversion to risk and reluctance to change, but this barrier is starting to come down [43][44] Question: How do you balance growth and investment? - Management emphasized focusing investment on areas with growth potential, particularly in new products and core geographies [45] Question: What is the makeup of the 24 net new customer additions this quarter? - Management indicated strong demand in North America and traction around new products, including the schools product [46][47] Question: Has the IPO changed awareness and interest in the platform? - Management observed a positive reception from customers post-IPO, contributing to pipeline development [47] Question: How should investors assess the durability of future revenue growth? - Management highlighted the importance of referenceability and proof points from existing customers in driving future growth [49] Question: What is the impact of COVID-era funding expiration on transit funding? - Management stated that while some funding is expiring, overall transit funding is expected to continue growing [60][61]