EVgo Inc. Q1 FY2025 earnings call

Key Points - Customer consumption on EVgo's network continued to rise with average daily throughput per public stall up 36% year-over-year and public network throughput growth of 60% versus last year. - Added over 180 new operational stalls this quarter, now having over 4,200 operational stalls. - Closed on a $1.25 billion loan guarantee with the Department of Energy. - Progress on four key priorities: improving customer experience (customer success metric 'One and Done' increased 4 percentage points, autocharge+ accounted for 27% of sessions initiated), operating and capex efficiencies (converted MOU with Delta Electronics to joint development agreement to lower gross capex per stall by 30%), capturing and retaining high value customers (55% of throughput from ride share, OEM charging credit, and subscription accounts), and securing additional complementary non-dilutive financing.

EVgo had a strong quarter with total revenue growing 36% year-over-year. Public network throughput grew 60% versus the same quarter last year. Average daily throughput per public stall rose by 36% versus the same quarter last year and up more than fivefold in three years. The company added over 180 new operational stalls this quarter, with over 4,200 operational stalls now. Charging network revenues were $47.1 million in Q1, up from $31.6 million the prior year, a 49% increase. Extend revenues were $23.5 million, up from $19.2 million in the prior year, a 23% increase. Charging network revenue contributed a significant portion to total revenue.

Guidance - Total revenue expected in the range of $340 million to $380 million. - Stall growth outlook for the year remains 1,200 to over 1,400 new stalls. - Continue to expect adjusted EBITDA breakeven in 2025 with a range of negative $5 million to positive $10 million. - Fiscal capex net of offsets expected to be in the range of $160 million to $180 million. - Approximately 75% of 2025 vintage public network stalls expected to operationalize in the second half of 2025, with Q4 accounting for approximately 50% of total 2025 public network stalls.

Risks - Impact of tariffs on capex cost, with only approximately 25% of total capex cost per stall subject to tariffs. - DC fast charging station supply has been flat to declining for seven quarters, which may be further impacted in a higher tariff environment. - Policy changes regarding electric vehicles and incentives could affect the growth of electric vehicle sales and charging infrastructure development.

Q: Can you provide more cadence in terms of guidance for the rest of the year, particularly around cost of energy, ASPs, and ramp-up of DoE loan stalls?

A: Stall build schedule remains the same with 750 to 850 public network stalls for the full year, about 75% of public stalls to be in the second half of the year with about 50% in Q4. Q3 typically has higher energy costs, and average selling price is expected to be stable or slightly expanding.

Q: What is EVgo's strategy to capture the autonomous vehicle charging market?

A: EVgo has more than doubled the number of stalls serving the autonomous vehicle segment in 2024, estimates a 20% share, and sees contracted cash flows from this segment as an interesting upside with favorable regulations.

Q: Can you provide an update on private financing options?

A: Continues to get interest from others looking to finance the business, in dialogue with folks, and expects to execute if an attractive opportunity is found, aiming to diversify funding sources.

Q: How does EVgo potentially change its roll-out strategy geographically with potential changes in regulations?

A: Network plan continuously takes into account forecasts and adjusts. Has about 30,000 stalls identified across the US that meet return expectations and has optionality to shift based on demand.