NEXTNRG, INC. Q4 FY2021 earnings call

• Mike McConnell discussed the progress in 2021, including generating more customers, solidifying expansion plans, and evolving from a small company to a NASDAQ listed leader in the mobile fueling market. The commercial fleet business drives growth with recurring revenue, and new fleet fueling agreements were announced, such as with SERVPRO North Miami, 1-800-GOT-JUNK, and Alto. - Arthur Levine mentioned the company completed an IPO in September, netting proceeds of approximately $25 million, used part to repay high interest debt, had a cash position of $16.9 million at year-end, revenue growth in the fourth quarter and full year, with cost of sales and operating expenses having fluctuations, and average fuel margin per gallon having changes.

The commercial business accounts for approximately 80% of EzFill's revenue. The on demand consumer and specialty business currently contributes about 20% of the revenue. In the fourth quarter, revenue was $2 million, up 77% from $1.1 million in Q4 '20, with total gallons delivered in the fourth quarter of 2021 being approximately 577,000. Full year revenue was $7.2 million, more than double the prior year, driven by a 53% increase in gallons delivered and higher average prices.

• The company expects revenue to flow in from new fleet contracts recently awarded, but there will be a ramp-up period for new trucks with significant revenue contribution not expected until the second half of 2022. - The burn rate this quarter was over $900,000 monthly, around $2.8 - $2.9 million for the quarter, and they are looking to stabilize the burn rate. - Adjusted EBITDA loss was $2.7 million in the quarter and $5.8 million for the year, reflecting significant spending on infrastructure to grow the business.

Q: What would be an expected quarterly burn rate for 2022?

A: Arthur Levine said the burn rate this quarter was over $900,000 monthly, around $2.8 - $2.9 million for the quarter, and they are looking to stabilize it.

Q: Would Miami be considered a major city regarding new truck compliance?

A: Mike McConnell said any major city would fall under the compliant regulatory perspective with the new tank designs.

Q: Do you see high gas prices having a negative impact?

A: Mike McConnell said they haven't seen any negative impact on demand and orders in any segments so far.