Hyliion Holdings Corp. Q4 FY2025 earnings call

• UL certification progress: Nearing completion, completed testing for linear electric motor and battery pack, initial round of testing on full power module with refinements underway, expect to complete in second quarter. - Power production: Achieved over 150 kilowatts, then 175 kilowatts, expect to reach 200 - kilowatt design power by year - end. - Fuel flexibility: Demonstrated dynamic fuel switching between natural gas and propane, ran on diesel fuel meeting Tier 4 final emissions without exhaust after treatment. - 2026 outlook: Plan to deploy ~10 early adopter units, strong demand in commercial, data center and military markets, strategic partnership with ABM Industries, manufacturing readiness with additive manufacturing machines and plans to improve throughput. - Milestones: Expect UL certification in second quarter, achieve 200 - kilowatt design power, complete early adopter units, develop multi - KARNO core platform, secure additional military contracts with $40M - $50M revenue opportunity, generate ~$10M revenue in 2026.

In the fourth quarter, revenue from research and development services related to contracts with the Office of Naval Research was $700,000, cost of sales was $600,000. For full year 2025, revenue from R&D services was $3.5 million, gross profit was $170,000. Full year operating expenses were $65.7 million, net loss was $57.2 million.

• Expect to generate approximately $10 million in revenue in 2026 from R&D services and commercial customers. - Plan to slow capital spending in 2026, expect net spending of just over $50 million, year - end cash and investment balance ~$100 million. - Filed S3 shelf registration statement for additional capital raising flexibility.

Q: About commercialization end markets and customer interest, A: Military focus with units for unmanned autonomous ships, other applications include prime power and data centers.

Q: About manufacturing capacity and CapEx, A: Focus on using existing printers better, improving throughput, details on printer cost vary.

Q: About military revenue and recognition, A: $20M Navy revenue with ~$15M remaining, new contracts with $40M - $50M opportunity, milestones for recognition.

Q: About control systems, A: Developed in - house, Hyliion's IP, can integrate with other site systems