- Third quarter 2024 total revenues of $25.2 million; Year-to-date 2024 total revenues of $96.0 million
- Third quarter 2024 product revenues of $13.4 million; Year-to-date 2024 product revenues of $64.5 million
- 30% increase in service revenues2 to $8.8 million in third quarter of 2024 compared to $6.7 million in third quarter 2023; 35% increase in year-to-date 2024 service revenues to $25.0 million
- Service revenue contributed 35% of total revenue in third quarter 2024 compared with 16% in the same period last year
- Industry leading gross margin of 36% in the third quarter of 2024; 35% gross margin year-to-date(1)
- Third quarter 2024 operating expenses decreased 21% to $97.3 million compared to third quarter of 2023; 24% decrease in year-to-date 2024 operating expenses to $159.6 million
- 6,978 charging stations contracted, deployed or sold in third quarter of 2024; Company has surpassed 105,000 chargers contracted, deployed or sold globally since inception
The following top-line highlights are in thousands of dollars and preliminary.
| Three Months Ended | Nine Months Ended | |||||||||||||||||||||||
| September 30, | September 30, | |||||||||||||||||||||||
| 2024 | 2023 | % Change | 2024 | 2023 | % Change | |||||||||||||||||||
| Product Revenues | $ | 13,448 | $ | 35,059 | (61.6 | )% | $ | 64,538 | $ | 76,035 | (15.1 | )% | ||||||||||||
| Service Revenues (2) | 8,754 | 6,735 | 30.0 | % | 24,988 | 18,491 | 35.1 | % | ||||||||||||||||
| Other Revenues (3) | 2,985 | 1,583 | 88.6 | % | 6,491 | 3,361 | 93.1 | % | ||||||||||||||||
| Total Revenues | $ | 25,187 | $ | 43,377 | (41.9 | )% | $ | 96,017 | $ | 97,887 | (1.9 | )% | ||||||||||||
(2) Service Revenues consist of charging service revenues, network fees, and car-sharing service revenues.
(3) Other Revenues consist of warranty fees, grants and rebates, and other revenues.
"Blink delivered service revenue growth of 30% in the third quarter, primarily driven by the expansion of our global network of Blink-owned chargers and the corresponding demand for charging and networked services. We also continued to strengthen our business by reducing our year-to-date cash burn by $45 million, or 50%, excluding financing activities, and reducing our total year-to-date operating expenses by 24%. As we expected, overall product revenues decreased in the quarter, in part related to significantly stronger charger sales to automotive dealerships in 2023. However, our third quarter margin of 36%, demonstrates our ability to generate more profitable and sustainable revenue by shifting to our traditional sales verticals and leveraging our vertically integrated model.
"As we move through the balance of the year, we're focused on continuing the momentum we've built around our service offerings and on increasing our reach as the third largest charging network in the U.S. and a leading charging provider in Europe. We have continued to expand our Blink-owned network, with 28% growth in owned and operated units compared to the third quarter of 2023.
"We remain focused on our strategic priorities and have restructured our operations and optimized our processes to ensure that Blink is resilient in challenging market conditions. During the quarter, as previously communicated, we took additional improvement actions that will be completed by first quarter of 2025.
"The EV charging industry is still in its early stages, and with our product and service offerings, our network and our flexible business models designed to meet the unique needs of our customers, we're energized by the opportunities in our pipeline. As EV adoption continues to expand, we remain committed to building the global infrastructure to enable a seamless transition to electric transportation alternatives.” said Brendan Jones, President and Chief Executive Officer of Blink Charging.
Company Targets
For the full year 2024, Blink is revising its target revenues to between $125 million and $135 million. The Company expects to achieve positive adjusted EBITDA in the second half of 2025.
The Company targets gross margin for full year 2024 of approximately 33%.
Third Quarter and First Nine Months Financial Results
Revenues
Total Revenues of $25.2 million for the third quarter of 2024 compared to revenues of $43.4 million in the third quarter of 2023.
Total Revenues of $96.0 million for the first nine months of 2024 compared to $97.9 million in the first nine months of 2023.
Product Revenues of $13.4 million in the third quarter of 2024, compared to $35.1 million in the third quarter of 2023.
Product Revenues of $64.5 million in the first nine months of 2024, compared to $76.0 million in the same period of 2023.
Service Revenues, which consist of charging service revenues, network fees, and car-sharing service revenues, increased 30% to $8.8 million in the third quarter of 2024, an increase of $2.0 million from the third quarter of 2023, primarily driven by greater utilization of chargers, an increased number of chargers on the Blink networks, and revenues associated with car-sharing programs.
Service Revenues increased 35% to $25.0 million in the first nine months of 2024, an increase of $6.5 million over the same period in 2023.
Other Revenues, which are comprised of warranty fees, grants and rebates, and additional sources, increased to $3.0 million in the third quarter of 2024, an increase of $1.4 million from the third quarter of 2023.
Other Revenues increased 93% to $6.5 million in the first nine months of 2024, an increase of $3.1 million over the same period in 2023.
Gross Profit
Gross Profit was $9.1 million, or 36% of revenues, in the third quarter of 2024, compared to gross profit of $12.8 million, or 29% of revenues, in the third quarter of 2023. Gross margin increased in the third quarter of 2024 primarily due to shift in sales mix.
Gross Profit was $33.3 million, or 35% of revenues, in the first nine months of 2024, compared to gross profit of $29.6 million, or 30% of revenues, in the same period in 2023.
Operating Expenses
Operating expenses in the third quarter of 2024 decreased 21% to $97.3 million compared to $123.3 million in the third quarter of 2023.
Operating expenses in the first nine months of 2024 decreased 24% to $159.6 million compared to $210.3 million in the same period of 2023.
Operating expense in the third quarter and the first nine months of 2024 include non-cash goodwill and intangible assets impairment charges of $69.1 million related to a quantitative impairment analysis which determined that the fair value of all reporting units of the Company were less than the carrying amount. Excluding the non-cash impairment charges, operating expenses were $28.2 million and $90.5 million, respectively.
Net Loss and Loss Per Share
Net Loss for the third quarter of 2024 was $(87.4) million, or $(0.86) per share, compared to a net loss of $(112.7) million, or $(1.74) per share in the third quarter of 2023. As of September 30, 2024, the weighted average number of shares outstanding was 101.1 million. As of September 30, 2023, the weighted average number of shares outstanding was 64.6 million.
Net Loss for the first nine months of 2024 was $(124.6) million, or $(1.24) per share, compared to a net loss of $(184.0) million, or $(3.02) per share in the first nine months of 2023.
Adjusted EBITDA and Adjusted EPS
Adjusted EBITDA for the third quarter of 2024 was a loss of $(14.0) million compared to an adjusted EBITDA loss of $(11.7) million in the third quarter of 2023.
Adjusted EBITDA for the first nine months of 2024 was a loss of $(38.9) million compared to an adjusted EBITDA loss of $(43.0) million in the same period in 2023.
Adjusted EBITDA (defined as earnings/loss before interest income/expense, provision for income taxes, depreciation and amortization, stock-based compensation, acquisition related costs, impairment of goodwill and intangible assets, estimated loss related to sale of underperforming assets of subsidiary, change in fair value related to consideration payable, loss on extinguishment of notes payable, and one-time non-recurring expense) is a non-GAAP financial measure management uses as a proxy for net income/loss. See "Non-GAAP Financial Measures” for a reconciliation of GAAP to Non-GAAP financial measures included at the end of this release.
Adjusted EPS for the third quarter of 2024 was a loss of $(0.16) compared to an adjusted EPS loss of $(0.16) in the third quarter of 2023.
Adjusted EPS for the first nine months of 2024 was a loss of $(0.47) compared to an adjusted EPS loss of $(1.15) in the same period in 2023.
Adjusted EPS (defined as earnings/loss per diluted share) is a non-GAAP financial measure management uses to assess earnings per diluted share excluding non-recurring items such as amortization expense of intangible assets, acquisition related costs, estimated loss related to sale of underperforming assets of subsidiary, change in fair value related to consideration payable, impairment of goodwill and intangible assets, loss on extinguishment of notes payable, and one-time non-recurring expense. See "Non-GAAP Financial Measures” for a reconciliation of GAAP to Non-GAAP financial measures included at the end of this release.
Cash and Cash Equivalents
As of September 30, 2024, Cash and Cash Equivalents totaled $64.6 million compared to $121.7 million at December 31, 2023.
Third Quarter 2024 Highlights:
- Surpassed 100,000 chargers sold, deployed, or contracted globally
- Announced planned operational cost reductions designed to position Blink for short and long-term success
- Collaborated with WEX to enhance the integration of EV charging into mixed energy fleets
- Formed a strategic alliance with Create Energy to revolutionize energy management with a 'one-stop-shop' for next-generation EV and renewable solutions
- Announced the retirement of President and CEO Brendan Jones and the appointment of Michael Battaglia as successor
- Announced launching a £100 million Special Purpose Vehicle (SPV) to deploy charging assets and infrastructure in United Kingdom
- Awarded a $2 million grant to own and operate EV chargers for the state of Illinois
- Envoy Technologies, Blink's subsidiary and a provider of electric vehicle car-sharing services and community-based electric vehicles, teamed with UNLMTED Real Estate Group to introduce car sharing at FIAT House, a brand-new collection of luxury residences in New Jersey
- Announced a strategic agreement with Stable Auto to deploy advanced AI modeling in order to increase site utilization and efficiency
- Envoy Technologies introduced award-winning Lucid Air EVs as part of its car share programs
Blink Charging will host a conference call and webcast to discuss third quarter 2024 results today, November 7, 2024, at 4:30 PM, Eastern Time.
To access the live webcast, log onto the Blink Charging website at www.blinkcharging.com, and click on the News/Events section of the Investor Relations page. Investors may also access the webcast via the following link:
https://www.webcaster4.com/Webcast/Page/2468/51507
To participate in the call by phone, dial (877) 545-0523 approximately five minutes prior to the scheduled start time. International callers please dial (973) 528-0016. Callers should use access code: 315699.
A replay of the teleconference will be available until December 7, 2024, and may be accessed by dialing (877) 481-4010. International callers may dial (919) 882-2331. Callers should use conference ID: 51507.
###
BLINK CHARGING CO.
Unaudited Condensed Consolidated Statements of Operations
(in thousands except for share and per share amounts)
| For The Three Months Ended | For The Nine Months Ended | |||||||||||||||
| September 30, | September 30, | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Revenues: | ||||||||||||||||
| Product sales | $ | 13,448 | $ | 35,059 | $ | 64,538 | $ | 76,035 | ||||||||
| Charging service revenue - company-owned charging stations | 5,254 | 3,859 | 15,217 | 11,111 | ||||||||||||
| Network fees | 2,332 | 1,973 | 6,304 | 5,268 | ||||||||||||
| Warranty | 1,405 | 849 | 3,698 | 2,163 | ||||||||||||
| Grant and rebate | 982 | 47 | 1,617 | 284 | ||||||||||||
| Car-sharing services | 1,168 | 903 | 3,467 | 2,112 | ||||||||||||
| Other | 598 | 687 | 1,176 | 914 | ||||||||||||
| Total Revenues | 25,187 | 43,377 | 96,017 | 97,887 | ||||||||||||
| Cost of Revenues: | ||||||||||||||||
| Cost of product sales | 9,122 | 24,619 | 39,965 | 49,509 | ||||||||||||
| Cost of charging services - company-owned charging stations | 724 | 566 | 1,924 | 2,196 | ||||||||||||
| Host provider fees | 2,982 | 2,399 | 9,306 | 6,285 | ||||||||||||
| Network costs | 577 | 407 | 1,816 | 1,339 | ||||||||||||
| Warranty and repairs and maintenance | 294 | 561 | 1,880 | 2,924 | ||||||||||||
| Car-sharing services | 1,156 | 931 | 3,302 | 3,162 | ||||||||||||
| Depreciation and amortization | 1,213 | 1,109 | 4,573 | 2,853 | ||||||||||||
| - | ||||||||||||||||
| Total Cost of Revenues | 16,068 | 30,592 | 62,766 | 68,268 | ||||||||||||
| Gross Profit | 9,119 | 12,785 | 33,251 | 29,619 | ||||||||||||
| Operating Expenses: | ||||||||||||||||
| Compensation | 15,159 | 15,268 | 47,770 | 75,967 | ||||||||||||
| General and administrative expenses | 7,972 | 8,539 | 23,782 | 26,466 | ||||||||||||
| Other operating expenses | 4,739 | 5,300 | 16,135 | 13,630 | ||||||||||||
| Change in fair value of consideration payable | 364 | - | 2,811 | - | ||||||||||||
| Impairment of intangible assets | - | 5,143 | - | 5,143 | ||||||||||||
| Impairment of goodwill | 69,111 | 89,087 | 69,111 | 89,087 | ||||||||||||
| Total Operating Expenses | 97,345 | 123,337 | 159,609 | 210,293 | ||||||||||||
| Loss From Operations | (88,226 | ) | (110,552 | ) | (126,358 | ) | (180,674 | ) | ||||||||
| Other Income (Expense): | ||||||||||||||||
| Interest expense | (2 | ) | (970 | ) | (475 | ) |
| |||||||||