Tritium DCFC Ltd (DCFCQ)

[WeTheMarket]

Tritium Announces Record Preliminary Year-To-Date Results and Increases CY2023 Guidance
May 11, 2023
https://investors.tritiumcharging.com/news-releases/news-release-details/tritium-announces-record-preliminary-year-date-results-and

Financial information presented herein is preliminary and unaudited. Complete financial results for the fiscal year ended June 30, 2023 will be published by the Company on Form 20-F within the standard timeframes prescribed by applicable SEC and exchange rules. Results presented in this year-to-date update through April 30, 2023 are intended to provide information on Tritium’s calendar year-to-date performance following its recently announced financing event on May 5, 2023. The Company undertakes no obligation to update the financial information presented herein in advance of its filing on Form 20-F.

Highlights

- The Company set a new production record, with preliminary results from January 1, 2023 through April 30, 2023 of approximately 3,200 units, nearly achieving the Company’s total production of 3,572 units for calendar year 2022 in the first four months of calendar year 2023.
- Secured a $40 million capital investment from St Baker and O-Corp, two existing and longstanding Tritium investors, to continue the advancement of the Company’s business plan.
- Given strong production, revenues, and performance in the calendar year-to-date, the Company is increasing its revenue guidance to a range of $210 million to $225 million.
- The Company confirms its previously announced expectation to become EBITDA* positive during the first half of calendar year 2024.

BRISBANE, Australia, May 11, 2023 (GLOBE NEWSWIRE) -- Tritium DCFC Limited (“Tritium” or the “Company”) (Nasdaq: DCFC), a global leader in direct current (“DC”) fast chargers for electric vehicles (“EVs”), today provided an update on the business.

Preliminary Results – January 1, 2023 - April 30, 2023

- Achieved record revenue of $57 million between January 1, 2023 and April 30, 2023, a year-over-year growth rate of 237% over the $17 million achieved in the same timeframe the previous year.
- The Company has built an order backlog valued at approximately $153 million at April 30, 2023, driven by continued strong orders in the calendar year-to-date period, compared to $120 million for the same timeframe in the previous year. Strength in the backlog coupled with calendar year-to-date revenues is leading the Company to increase its revenue guidance to a range of $210 million to $225 million.
- Sales orders for the period between January 1, 2023 through April 30, 2023 amounted to $49 million, compared to $64 million for the same timeframe in the previous year. The Company continues to see indications of strong order growth in the balance of the calendar year as customer indications for 2024 deployments translate into purchases.

Capital Investment

The Company secured a $40 million capital investment, comprised of $35 million from Sunset Power Pty Ltd as trustee of the St Baker Family Trust (“St Baker”) and $5 million from O-Corp EV LLC (“O-Corp”). These funds will be used to fund working capital to continue to scale production volumes, further product development, and grow service operations around the world.

“Both the ongoing support from our largest investor and our preliminary results for the period January 1, 2023 through April 30, 2023 demonstrate the continued strong demand for Tritium’s products and services, and successful manufacturing scale-up to meet the demand for fast-charging infrastructure as the world shifts towards electrification,” said Tritium CEO Jane Hunter. “With our rapidly expanding production capacity and strategic customer partnerships, Tritium has maintained a strong market position and we believe the Company is well-positioned to compete for number one in market share.”

Business Update

- Tritium is deploying its new tranche of funding to working capital investments to meet the continued growth in demand across its customer base. Tritium now has inventory assets valued at $144 million, comprised of finished goods, raw material, and work-in-progress, as well as cash and cash equivalents of approximately $50 million, as of May 10, 2023. This compares to total inventory assets valued at $47 million and cash and cash equivalents of $96 million, for the same timeframe in the previous year.
- Tritium continues to expand its customer footprint, both in scale and geography. The Company previously announced the following new orders in calendar year 2023:
--- In January, Tritium secured the largest order in company history with bp. These chargers are planned to be installed for fleets and the general public in the United States, the United Kingdom, Europe, and Australia.
--- Also in January, Tritium was named the preferred fast charger provider to Evyve, the UK charging network. Evyve has ordered 350 Tritium fast chargers to date as part of their plans to install 10,000 EV charging stations by 2030 to become the UK’s largest charger network.
--- In February, Tritium secured a 300 fast charger purchase order by OK a.m.b.a. (“OK”), Denmark’s largest fuel retailer.

Calendar Year 2023 – Guidance

- The Company previously announced revenue guidance in excess of $200 million, with approximately 35% forecasted for the first half of calendar year 2023 and the balance in the second half of calendar year 2023. In light of calendar year-to-date revenue and backlog, the Company is increasing revenue guidance to a range of $210 million to $225 million.
- Confirms previously announced gross margin guidance of 10% to 12% for calendar year 2023. Investors should note that Tritium reports gross margin in accordance with U.S. GAAP. However, certain other publicly traded electric vehicle charging manufacturers report gross margin as revenue less only materials cost of goods sold, excluding costs associated with labor and/or other variable expenses. We believe utilizing such calculations would result in a significantly higher gross margin for Tritium.
- Confirms previously announced global unit production guidance of 11,000 units for calendar year 2023 and 16,000 global annualized unit production guidance based on projected production by December 2023.
- Confirms previously announced expectation to become EBITDA* positive during the first half of the calendar year 2024.

Tennessee Factory and Production Update

The Company’s Tennessee facility is rapidly scaling to meet demand across all the Company’s customer channels, as evidenced by the Company’s aggregate production of approximately 3,200 units from January 1, 2023 through April 30, 2023, nearly achieving the total production of 3,572 units for the calendar year 2022.

Tritium now has the largest published global production plans for DC fast chargers outside China and the largest published planned production capacity onshore in America. This production capacity places the Company in a strong position to capitalize on the anticipated surge in demand for Buy America-compliant EV fast chargers over the next five years, as a result of funding from the National Electric Vehicle Infrastructure (“NEVI”) Formula Program, Charging and Fueling Infrastructure (“CFI”) Discretionary Grant Program, and the Inflation Reduction Act.

In March 2023, Tritium began accepting orders for the Company’s first product offering for the NEVI program. Tritium’s NEVI system is expected to achieve the Build America, Buy America Act waiver milestones set by the Federal Highway Administration.

About Tritium

Founded in 2001, Tritium (NASDAQ: DCFC) designs and manufactures proprietary hardware and software to create advanced and reliable DC fast chargers for electric vehicles. Tritium’s compact and robust chargers are designed to look great on Main Street and thrive in harsh conditions, through technology engineered to be easy to install, own, and use. Tritium is focused on continuous innovation in support of our customers around the world.

For more information, visit tritiumcharging.com.