EVgo Inc. Reports Fourth Quarter and Full Year 2023 Results

Rhea-AI Summary

EVgo Inc. (Nasdaq: EVGO) reported a strong performance in Q4 2023 and full year 2023, with revenue reaching $50.0 million in Q4, a 83% YoY increase, and $161.0 million for the full year, a 195% YoY increase. Network throughput also saw significant growth, reaching 50 GWh in Q4 and 130 GWh for the full year. Despite a net loss of $36.6 million in Q4 and $135.5 million for the full year, Adjusted EBITDA outperformed the high end of the guidance range. EVgo added over 110,000 new customer accounts in Q4 and approximately 366,000 in 2023, ending the year with more than 884,000 overall accounts.

Positive

• Revenue in Q4 2023 reached $50.0 million, an 83% YoY increase.
• Full year 2023 revenue was $161.0 million, a 195% YoY increase.
• Network throughput reached 50 GWh in Q4 and 130 GWh for the full year.
• Added over 110,000 new customer accounts in Q4, totaling more than 884,000 by year-end.
• Net loss was $36.6 million in Q4 and $135.5 million for the full year.
• Adjusted EBITDA was ($14.0) million in Q4 and ($58.8) million for the full year, surpassing guidance.
• Ended 2023 with approximately 3,550 stalls in operation or under construction.
• EVgo had a strong performance in 2023 focusing on customer experience and station development.

Negative

• Net loss of $36.6 million in Q4 and $135.5 million for the full year.
• Adjusted EBITDA was negative at ($14.0) million in Q4 and ($58.8) million for the full year.
• Capital expenditures of $158.9 million for the full year.
• Increasing net loss trend year-over-year.

Insights

Financial Analyst

The reported financial results of EVgo Inc. for the fourth quarter and full year of 2023 demonstrate significant revenue growth, with an 83% increase in the fourth quarter and a 195% increase for the full year compared to the previous year. This growth surpasses the company's own guidance range, indicating a stronger performance than anticipated by management. The substantial increase in network throughput, reaching 50 GWh in the fourth quarter and 130 GWh for the full year, reflects a growing demand for EV charging services, likely driven by the increasing adoption of electric vehicles (EVs).

However, the reported net loss of $36.6 million for the fourth quarter and $135.5 million for the full year, along with a negative Adjusted EBITDA, suggests that while revenue is growing, the company is still in a phase of heavy investment and has not yet achieved profitability. The capital expenditures, although reduced from the previous year, remain substantial, emphasizing the company's continued expansion efforts. Investors should note the company's target for Adjusted EBITDA breakeven by 2025, which could be a pivotal point for EVgo's financial stability.

It is also important to consider the non-GAAP measures such as Adjusted EBITDA and Adjusted Gross Profit, which the company uses to provide a different perspective on its financial health. These measures exclude certain expenses that are significant for understanding the company's operating performance. Investors should carefully review the reconciliations of these non-GAAP measures to their nearest GAAP measures to fully understand the implications.

Market Research Analyst

EVgo's impressive growth in customer accounts, with over 110,000 new accounts added in the fourth quarter and 366,000 during 2023, signals a strong market position and brand recognition within the EV charging industry. The expansion of the company's network by over 930 new stalls, including the first NEVI-funded site in the U.S., indicates strategic use of government funding to support infrastructure development. The increased utilization rate from 8% to over 19% within a year showcases efficient asset use and growing consumer demand.

Additionally, the introduction of new services such as EVgo eXtend™ stalls and Autocharge+ feature, which now accounts for approximately 17% of total charging sessions, reflects the company's focus on innovation and enhancing user experience. The PlugShare platform's user growth to over 4.6 million registered users further emphasizes the company's ecosystem's reach and influence.

From a market perspective, EVgo's operational milestones and strategic partnerships, such as those with the Pilot Company and GM, are likely to enhance its competitive edge and support its long-term growth trajectory, especially considering the broader context of the EV market's expansion and supportive government policies.

Energy Sector Analyst

The reported network throughput and stall development figures from EVgo offer valuable insights into the EV charging infrastructure sector's growth. The record throughput of 50 GWh in the fourth quarter and 130 GWh for the full year suggests a rapidly increasing utilization of EV charging services, likely linked to the growth in EV adoption. The company's focus on DC fast charging technology is particularly relevant given the market's trend towards faster charging solutions to support longer-range EVs and consumer expectations for convenience.

The strategic development of EVgo eXtend™ stalls, which can be seen as a response to the need for charging infrastructure in underserved areas, aligns with broader industry trends towards expanding EV accessibility. The active participation in the NEVI program demonstrates EVgo's alignment with federal infrastructure initiatives, which could provide a tailwind for future growth as the program continues to roll out.

Investors and stakeholders should monitor the energy sector's regulatory environment, as policy changes can significantly impact the growth prospects of companies like EVgo. The transition to renewable energy sources and the electrification of transportation remain key drivers for the sector, which EVgo appears to be capitalizing on effectively.

• Revenue reached $50.0 million in the fourth quarter, representing an increase of 83% year-over-year.
• For the full year 2023, revenue reached $161.0 million, an increase of 195% over full year 2022, and exceeding the high-end of the Company’s guidance range.
• Network throughput reached a record 50 gigawatt-hours (“GWh”) in the fourth quarter, an increase of 257% year-over-year.
• Network throughput for the full year 2023 increased to 130 GWh, representing growth of 189% over full year 2022.
• Ended 2023 with approximately 3,550 stalls in operation or under construction, including EVgo eXtend™ stalls, with over 260 new operational stalls added during the fourth quarter.
• Added over 110,000 new customer accounts in the fourth quarter and approximately 366,000 during 2023, reaching more than 884,000 overall at the end of the year.
• Net loss was $36.6 million for the fourth quarter of 2023 and $135.5 million for the full year 2023.
• Adjusted EBITDA¹ was ($14.0) million for the fourth quarter of 2023, and ($58.8) million for the full year 2023, outperforming the high-end of the Company’s guidance range.

LOS ANGELES--(BUSINESS WIRE)-- EVgo Inc. (Nasdaq: EVGO) (“EVgo” or the “Company”) today announced results for the fourth quarter and full year ended December 31, 2023. Management will host a conference call today at 11:00 a.m. ET / 8:00 a.m. PT to discuss EVgo’s results and other business highlights.

Revenue reached $50.0 million in the fourth quarter of 2023, compared to $27.3 million in the fourth quarter of 2022, representing 83% year-over-year growth. For the full year 2023, revenue reached $161.0 million, compared to $54.6 million for the full year 2022, an increase of 195% year-over-year. Revenue growth was primarily driven by year-over-year increases in charging revenues and eXtendrevenue.

Network throughput increased to 50 GWh in the fourth quarter of 2023, compared to 14 GWh in the fourth quarter of 2022, representing 257% year-over-year growth. For the full year 2023, network throughput reached 130 GWh, reflecting an increase of 189% year-over-year. The Company added over 110,000 new customer accounts during the fourth quarter of 2023, bringing the overall number of customer accounts to more than 884,000 at the end of the year, an increase of 60% year-over-year.

“EVgo had a fantastic 2023 as we relentlessly focused on customer experience, a digital-first approach, and station development resulting in revenue growth that nearly tripled,” said Badar Khan, EVgo’s CEO. “Our throughput growth continues to significantly exceed growth in EVs in operation. We added over 930 new stalls during the year including opening the first NEVI-funded site in the U.S. in London, Ohio with the Pilot Company and GM. Utilization and throughput growth accelerated driven by retail and fleet drivers.”

Mr. Khan concluded, “EVgo passed an important inflection point in 2023 in that as a result of the utilization and throughput levels we are now seeing across our network, the installed base is now profitable on a stand-alone basis. In 2024, we are well positioned to continue to expand our network and increase revenues while continuing to realize operational leverage as we target Adjusted EBITDA² breakeven in 2025.”

¹ Adjusted EBITDA is a non-GAAP measure and has not been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”). For additional information, please see “Definitions of Non-GAAP Financial Measures” and “Reconciliations of Non-GAAP Financial Measures” included elsewhere in this release.
² A reconciliation of projected Adjusted EBITDA (non-GAAP) to net income (loss), the most directly comparable GAAP measure, is not provided because certain measures, including share-based compensation expense, which is excluded from Adjusted EBITDA, cannot be reasonably calculated or predicted at this time without unreasonable efforts. For a definition of Adjusted EBITDA, please see “Definitions of Non-GAAP Financial Measures” included elsewhere in this release.

Business Highlights

• Stall Development: The Company ended 2023 with 2,990 stalls in operation, including 100 EVgo eXtend™ stalls. EVgo added more than 260 new DC fast charging stalls during the quarter and over 930 over the full year.
• Network Utilization: Utilization on the EVgo network in December 2023 was over 19%, up from 8% in December 2022.
• Network Throughput: Average daily throughput per stall for the EVgo network was 201 kilowatt hours per day in December 2023, an increase of 179% compared to 72 kilowatt hours per day in December 2022.
• Fleet Charging: EVgo’s public fleet charging business continues to grow, as full year 2023 fleet throughput grew over five times above full year 2022 fleet throughput driven by rideshare.
• National Electric Vehicle Infrastructure Program (“NEVI”): EVgo and its eXtend™ partners opened the first and third sites in the country under the NEVI program in Ohio and Pennsylvania, respectively.
• EVgo eXtend^TM: EVgo ended 2023 with 100 operational EVgo eXtend™ stalls.
• EVgo Autocharge+: Autocharge+ was approximately 17% of total charging sessions initiated in the fourth quarter and Autocharge+ charging sessions in the fourth quarter increased 191% compared to the fourth quarter of 2022.
• PlugShare: PlugShare reached over 4.6 million registered users and achieved 7.9 million check-ins since inception.

Financial & Operational Highlights

The below represent summary financial and operational figures for the fourth quarter of 2023.

• Revenue of $50.0 million
• Network Throughput¹ of 50 gigawatt-hours
• Customer Account Additions of more than 110,000 accounts
• Gross Profit of $3.5 million
• Net Loss of $36.6 million
• Adjusted Gross Profit² of $13.3 million
• Adjusted EBITDA² of ($14.0) million
• Cash Flows Used in Operating Activities of $7.3 million
• Capital Expenditures of $34.8 million
• Capital Expenditures, Net of Capital Offsets² of $21.8 million

The below represent summary financial and operational figures for the full year 2023.

• Revenue of $161.0 million
• Network Throughput¹ of 130 gigawatt-hours
• Customer Account Additions of more than 366,000 accounts
• Gross Profit of $9.7 million
• Net Loss of $135.5 million
• Adjusted Gross Profit² of $41.8 million
• Adjusted EBITDA² of ($58.8) million
• Cash Flows Used in Operating Activities of $37.1 million
• Capital Expenditures of $158.9 million
• Capital Expenditures, Net of Capital Offsets² of $122.8 million

¹ Network throughput for EVgo network excludes EVgo eXtend™ sites.
² Adjusted Gross Profit, Adjusted EBITDA, and Capital Expenditures, Net of Capital Offsets are non-GAAP measures and have not been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”). For a definition of these non-GAAP measures and a reconciliation to the most directly comparable GAAP measure, please see “Definitions of Non-GAAP Financial Measures” and “Reconciliations of Non-GAAP Financial Measures” included elsewhere in this release.

(unaudited, dollars in thousands)		Q4'23				Q4'22				Better (Worse)			FY 2023				FY 2022				Better (Worse)
Network Throughput (GWh)			50				14			257	%			130				45			189	%
Revenue		$	49,994			$	27,303			83	%		$	160,953			$	54,588			195	%
Gross profit (loss)		$	3,540			$	(1,099	)		422	%		$	9,714			$	(5,651	)		272	%
Gross margin			7.1	%			(4.0	)%		1,110 bps				6.0	%			(10.4	)%		1,640 bps
Net loss		$	(36,589	)		$	(17,049	)		(115	)%		$	(135,466	)		$	(106,240	)		(28	)%
Adjusted Gross Profit1		$	13,253			$	4,993			165	%		$	41,792			$	13,246			216	%
Adjusted Gross Margin1			26.5	%			18.3	%		820 bps				26.0	%			24.3	%		170 bps
Adjusted EBITDA1		$	(13,962	)		$	(20,058	)		30	%		$	(58,830	)		$	(80,246	)		27	%

(unaudited, dollars in thousands)		Q4'23				Q4'22				Change			FY 2023				FY 2022				Change
Cash flows used in operating activities		$	(7,274	)		$	(1,457	)		(399	)%		$	(37,055	)		$	(58,794	)		37	%
Capital expenditures		$	34,811			$	66,366			(48	)%		$	158,896			$	200,251			(21	)%
Capital offsets:
OEM infrastructure payments			5,695				7,000			(19	)%			21,633				7,000			209	%
Proceeds from capital-build funding			7,353				3,224			128	%			14,432				10,088			43	%
Total capital offsets			13,048				10,224			28	%			36,065				17,088			111	%
Capital Expenditures, Net of Capital Offsets1		$	21,763			$	56,142			(61	)%		$	122,831			$	183,163			(33	)%

			12/31/2023			12/31/2022		Increase
Stalls in operation or under construction:
EVgo Network			3,360			2,830		19	%
EVgo eXtend™			190			—		* %
Total stalls in operation or under construction			3,550			2,830		25	%
Stalls in operation:
EVgo Network			2,890			2,180		33	%
EVgo eXtend™			100			—		* %
Total stalls in operation			2,990			2,180		37	%
* Percentage not meaningful.

¹ Adjusted Gross Profit, Adjusted Gross Margin, Adjusted EBITDA, and Capital Expenditures, Net of Capital Offsets are non-GAAP measures and have not been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”). For a definition of these non-GAAP measures and a reconciliation to the most directly comparable GAAP measure, please see “Definitions of Non-GAAP Financial Measures” and “Reconciliations of Non-GAAP Financial Measures” included elsewhere in this release.

2024 Financial Guidance

EVgo is introducing 2024 guidance as follows:

• Total revenue of $220 – $270 million
• Adjusted EBITDA¹ of ($48) – ($30) million

¹ A reconciliation of projected Adjusted EBITDA (non-GAAP) to net income (loss), the most directly comparable GAAP measure, is not provided because certain measures, including share-based compensation expense, which is excluded from Adjusted EBITDA, cannot be reasonably calculated or predicted at this time without unreasonable efforts. For a definition of Adjusted EBITDA, please see “Definitions of Non-GAAP Financial Measures” included elsewhere in this release.

Conference Call Information

A live audio webcast and conference call for EVgo’s fourth quarter and full year 2023 earnings release will be held today at 11:00 a.m. ET / 8:00 a.m. PT. The webcast will be available at investors.evgo.com, and the dial-in information for those wishing to access via phone is:

Toll Free: (800) 715-9871 (for U.S. callers)
Toll/International: (646) 307-1963 (for callers outside the U.S.)
Conference ID: 6304708

This press release, along with other investor materials that will be used or referred to during the webcast and conference call, including a slide presentation and reconciliations of certain non-GAAP measures to their nearest GAAP measures, will also be available on that site.

About EVgo

EVgo (Nasdaq: EVGO) is a leader in electric vehicle charging solutions, building and operating the infrastructure and tools needed to expedite the mass adoption of electric vehicles for individual drivers, rideshare and commercial fleets, and businesses. EVgo is one of the nation’s largest public fast charging networks, featuring over 950 fast charging locations across more than 35 states, including stations built through EVgo eXtend™, its white label service offering. EVgo is accelerating transportation electrification through partnerships with automakers, fleet and rideshare operators, retail hosts such as grocery stores, shopping centers, and gas stations, policy leaders, and other organizations. With a rapidly growing network and unique service offerings for drivers and partners including EVgo Optima™, EVgo Inside™, EVgo Rewards™, and Autocharge+, EVgo enables a world-class charging experience where drivers live, work, travel and play.

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of words such as “estimate,” “plan,” “project,” “forecast,” “intend,” “will,” “expect,” “anticipate,” “believe,” “seek,” “target,” “assume” or other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These forward-looking statements are based on management’s current expectations or beliefs and are subject to numerous assumptions, risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. You are cautioned, therefore, against relying on any of these forward-looking statements. These forward-looking statements include, but are not limited to, express or implied statements regarding EVgo’s future financial and operating performance, revenues, market size and opportunity, capital expenditures, stalls in operation or under construction, network throughput, business strategies and utilization growth; EVgo being “well positioned to continue to expand [its] network and increase revenues while continuing to realize operational leverage” and “target Adjusted EBITDA breakeven in 2025;” EVgo’s expectation of market position and progress on its network buildout, customer experience, technological capabilities and cost efficiencies; growth in the Company’s throughput versus the growth in electric vehicles (“EVs”) in operation; growth in the Company’s fleet business; the Company’s collaboration with partners enabling effective deployment of chargers, including under its contract with the Pilot Company and GM; and anticipated awards of funding in connection with the NEVI program and associated state programs. These statements are based on various assumptions, whether or not identified in this press release, and on the current expectations of EVgo’s management and are not predictions of actual performance. There are a significant number of factors that could cause actual results to differ materially from the statements made in this press release, including changes or developments in the broader general market; EVgo’s dependence on the widespread adoption of EVs and growth of the EV and EV charging markets; competition from existing and new competitors; EVgo’s ability to expand into new service markets, grow its customer base and manage its operations; the risks associated with cyclical demand for EVgo’s services and vulnerability to industry downturns and regional or national downturns; fluctuations in EVgo’s revenue and operating results; unfavorable conditions or disruptions in the capital and credit markets and EVgo’s ability to obtain additional financing on commercially reasonable terms; EVgo’s ability to generate cash, service indebtedness and incur additional indebtedness; any current, pending or future legislation, regulations or policies that could impact EVgo’s business, results of operations and financial condition, including regulations impacting the EV charging market and government programs designed to drive broader adoption of EVs and any reduction, modification or elimination of such programs; EVgo’s ability to adapt its assets and infrastructure to changes in industry and regulatory standards and market demands related to EV charging; impediments to EVgo’s expansion plans, including permitting and utility-related delays; EVgo’s ability to integrate any businesses it acquires; EVgo’s ability to recruit and retain experienced personnel; risks related to legal proceedings or claims, including liability claims; EVgo’s dependence on third parties, including hardware and software vendors and service providers, utilities and permit-granting entities; supply chain disruptions, inflation and other increases in expenses; safety and environmental requirements or regulations that may subject EVgo to unanticipated liabilities or costs; EVgo’s ability to enter into and maintain valuable partnerships with commercial or public-entity property owners, landlords and/or tenants (collectively “Site Hosts”), original equipment manufacturers (“OEMs”), fleet operators and suppliers; EVgo’s ability to maintain, protect and enhance EVgo’s intellectual property; and general economic or political conditions, including the conflicts in Ukraine, Israel and the broader Middle East region, and elevated rates of inflation and associated changes in monetary policy. Additional risks and uncertainties that could affect the Company’s financial results are included under the captions “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations of EVgo” in EVgo’s most recent Annual Report on Form 10-K, filed with the Securities and Exchange Commission (the “SEC”), as well as its other SEC filings, copies of which are available on EVgo’s website at investors.evgo.com, and on the SEC’s website at www.sec.gov. All forward-looking statements in this press release are based on information available to EVgo as of the date hereof, and EVgo does not assume any obligation to update the forward-looking statements provided to reflect events that occur or circumstances that exist after the date on which they were made, except as required by applicable law.

Financial Statements

EVgo Inc. and Subsidiaries Condensed Consolidated Balance Sheets
		December 31,				December 31,
		2023				2022
(in thousands)		(unaudited)
Assets
Current assets
Cash, cash equivalents and restricted cash		$	209,146			$	246,193
Accounts receivable, net of allowance of $1,116 and $687 as of December 31, 2023 and 2022, respectively			34,882				11,075
Accounts receivable, capital-build			9,297				8,011
Prepaid expenses and other current assets1			14,081				10,205
Total current assets			267,406				275,484
Property, equipment and software, net			389,227				308,112
Operating lease right-of-use assets			67,724				51,856
Restricted cash			—				300
Other assets			2,208				2,308
Intangible assets, net			48,997				60,612
Goodwill			31,052				31,052
Total assets		$	806,614			$	729,724
Liabilities, redeemable noncontrolling interest and stockholders’ deficit
Current liabilities
Accounts payable		$	10,133			$	9,128
Accrued liabilities			40,549				39,233
Operating lease liabilities, current			6,018				4,958
Deferred revenue, current			23,114				16,023
Customer deposits			9,235				17,867
Other current liabilities			298				136
Total current liabilities			89,347				87,345
Operating lease liabilities, noncurrent			61,987				45,689
Earnout liability, at fair value			654				1,730
Asset retirement obligations			18,232				15,473
Capital-build liability			35,787				26,157
Deferred revenue, noncurrent			55,091				23,900
Warrant liabilities, at fair value			5,141				12,304
Total liabilities			266,239				212,598
Commitments and contingencies
Redeemable noncontrolling interest			700,964				875,226
Stockholders' deficit			(160,589	)			(358,100	)
Total liabilities, redeemable noncontrolling interest and stockholders’ deficit		$	806,614			$	729,724
1 During the year ended December 31,2023, prepaid expenses and other current assets were combined into a single line item. Previously reported amounts have been updated to conform to the current period presentation.

EVgo Inc. and Subsidiaries Consolidated Statements of Operations (unaudited)
		Three Months Ended											Year Ended
		December 31,											December 31,
(in thousands, except per share data)		2023				2022				Change %			2023				2022				Change %
Revenue
Charging, retail		$	16,678			$	5,828			186	%		$	45,735			$	18,895			142	%
Charging, commercial			6,316				1,322			378	%			14,491				3,363			331	%
Charging, OEM			2,171				349			522	%			5,186				941			451	%
Regulatory credit sales			2,044				968			111	%			6,679				5,652			18	%
Network, OEM			1,126				626			80	%			5,681				2,451			132	%
Total charging network			28,335				9,093			212	%			77,772				31,302			148	%
eXtend			18,314				16,689			10	%			72,362				18,443			292	%
Ancillary			3,345				1,521			120	%			10,819				4,843			123	%
Total revenue			49,994				27,303			83	%			160,953				54,588			195	%
Cost of sales
Charging network1			18,490				9,259			100	%			56,034				26,536			111	%
Other1			18,353				13,106			40	%			63,350				14,924			324	%
Depreciation, net of capital-build amortization			9,611				6,037			59	%			31,855				18,779			70	%
Total cost of sales			46,454				28,402			64	%			151,239				60,239			151	%
Gross profit (loss)			3,540				(1,099	)		422	%			9,714				(5,651	)		272	%
Operating expenses
General and administrative			38,792				36,785			5	%			143,015				126,713			13	%
Depreciation, amortization and accretion			5,564				4,604			21	%			20,106				17,139			17	%
Total operating expenses			44,356				41,389			7	%			163,121				143,852			13	%
Operating loss			(40,816	)			(42,488	)		4	%			(153,407	)			(149,503	)		(3	)%
Interest expense			—				—			* %				—				(21	)		100	%
Interest income			2,659				2,152			24	%			9,754				4,479			118	%
Other expense, net			(11	)			(46	)		76	%			(10	)			(815	)		99	%
Change in fair value of earnout liability			201				2,153			(91	)%			1,076				3,481			(69	)%
Change in fair value of warrant liabilities			1,378				21,176			(93	)%			7,163				36,157			(80	)%
Total other income, net			4,227				25,435			(83	)%			17,983				43,281			(58	)%
Loss before income tax benefit (expense)			(36,589	)			(17,053	)		(115	)%			(135,424	)			(106,222	)		(27	)%
Income tax benefit (expense)			—				4			(100	)%			(42	)			(18	)		(133	)%
Net loss			(36,589	)			(17,049	)		(115	)%			(135,466	)			(106,240	)		(28	)%
Less: net loss attributable to redeemable noncontrolling interest			(23,985	)			(12,612	)		(90	)%			(93,039	)			(78,665	)		(18	)%
Net loss attributable to Class A common stockholders		$	(12,604	)		$	(4,437	)		(184	)%		$	(42,427	)			(27,575	)		(54	)%
Net loss per share to Class A common stockholders, basic and diluted		$	(0.12	)		$	(0.06	)					$	(0.46	)		$	(0.40	)
Weighted average common stock outstanding, basic and diluted			102,874				69,330							90,589				68,714
1 During the year ended December 31, 2023, charging network and other were broken out from cost of revenue and presented separately. Previously reported amounts have been updated to conform to the current period presentation.
* Not meaningful

EVgo Inc. and Subsidiaries Consolidated Statements of Cash Flows
		Year Ended
		December 31,
		2023				2022
(in thousands)		(unaudited)
Cash flows from operating activities
Net loss		$	(135,466	)		$	(106,240	)
Adjustments to reconcile net loss to net cash used in operating activities
Depreciation, amortization and accretion			51,961				35,918
Net loss on disposal of property and equipment, net of insurance recoveries, and impairment expense1			11,496				8,278
Share-based compensation			29,724				25,048
Change in fair value of earnout liability			(1,076	)			(3,481	)
Change in fair value of warrant liabilities			(7,163	)			(36,157	)
Other			34				777
Changes in operating assets and liabilities
Accounts receivable, net			(23,810	)			(8,516	)
Receivables from related parties			1				1,500
Prepaid expenses and other current assets and other assets			(2,697	)			(2,364	)
Operating lease assets and liabilities, net			1,492				(519	)
Accounts payable			654				1,371
Accrued liabilities			8,287				7,320
Deferred revenue			38,282				13,070
Customer deposits			(8,632	)			6,275
Other current and noncurrent liabilities			(142	)			(1,074	)
Net cash used in operating activities			(37,055	)			(58,794	)
Cash flows from investing activities
Capital expenditures			(158,896	)			(200,251	)
Proceeds from sale-leaseback transactions			15,273				—
Proceeds from insurance for property losses			311				710
Purchases of investments			—				(37,332	)
Proceeds from sale of investments			—				37,166
Net cash used in investing activities			(143,312	)			(199,707	)
Cash flows from financing activities
Proceeds from issuance of Class A common stock under the ATM			5,828				10,654
Proceeds from issuance of Class A common stock under the equity offering			128,023				—
Proceeds from capital-build funding			14,432				10,088
Proceeds from exercise of warrants			—				3
Payments of withholding tax on net issuance of restricted stock units			—				(25	)
Payments of deferred debt issuance costs			(286	)			—
Payments of deferred equity issuance costs			(4,977	)			(907	)
Net cash provided by financing activities			143,020				19,813
Net decrease in cash, cash equivalents and restricted cash			(37,347	)			(238,688	)
Cash, cash equivalents and restricted cash, beginning of period			246,493				485,181
Cash, cash equivalents and restricted cash, end of period		$	209,146			$	246,493

¹ During the year ended December 31, 2023, the Company reclassified insurance proceeds from property losses from “other” to “loss on disposal of property and equipment, net of insurance recoveries, and impairment expense.” Previously reported amounts have been updated to conform to the current period presentation.

Use of Non-GAAP Financial Measures

To supplement EVgo’s financial information, which is prepared and presented in accordance with GAAP, EVgo uses certain non-GAAP financial measures. The presentation of non-GAAP financial measures is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP. EVgo uses these non-GAAP financial measures for financial and operational decision-making and as a means to evaluate period-to-period comparisons. EVgo believes that these non-GAAP financial measures provide meaningful supplemental information regarding the Company’s performance by excluding certain items that may not be indicative of EVgo’s recurring core business operating results.

EVgo believes that both management and investors benefit from referring to these non-GAAP financial measures in assessing EVgo’s performance. These non-GAAP financial measures also facilitate management’s internal comparisons to the Company’s historical performance. EVgo believes these non-GAAP financial measures are useful to investors both because (1) they allow for greater transparency with respect to key metrics used by management in its financial and operational decision-making and (2) they are used by EVgo’s institutional investors and the analyst community to help them analyze the health of EVgo’s business.

For more information on these non-GAAP financial measures, including reconciliations to the most comparable GAAP measures, please see the sections titled “Definitions of Non-GAAP Financial Measures” and “Reconciliations of Non-GAAP Financial Measures” included at the end of this release.

Definitions of Non-GAAP Financial Measures

This release includes the following non-GAAP financial measures, in each case as defined below: “Adjusted Cost of Sales,” “Adjusted Cost of Sales as a Percentage of Revenue,” “Adjusted Gross Profit (Loss),” “Adjusted Gross Margin,” “Adjusted General and Administrative Expenses,” “Adjusted General and Administrative Expenses as a Percentage of Revenue,” “EBITDA,” “EBITDA Margin,” “Adjusted EBITDA,” “Adjusted EBITDA Margin,” and “Capital Expenditures, Net of Capital Offsets.” With respect to Capital Expenditures, Net of Capital Offsets, pursuant to the terms of certain OEM contracts, EVgo is paid well in advance of when revenue can be recognized, and usually, the payment is tied to the number of stalls that commence operations under the applicable contractual arrangement while the related revenue is deferred at the time of payment and is recognized as revenue over time as EVgo provides charging and other services to the OEM and the OEM’s customers. EVgo management therefore uses these measures internally to establish forecasts, budgets, and operational goals to manage and monitor its business, including the cash used for, and the return on, its investment in its charging infrastructure. EVgo believes that these measures are useful to investors in evaluating EVgo’s performance and help to depict a meaningful representation of the performance of the underlying business, enabling EVgo to evaluate and plan more effectively for the future.

Adjusted Cost of Sales, Adjusted Cost of Sales as a Percentage of Revenue, Adjusted Gross Profit (Loss), Adjusted Gross Margin, Adjusted General and Administrative Expenses, Adjusted General and Administrative Expenses as a Percentage of Revenue, EBITDA, EBITDA Margin, Adjusted EBITDA, Adjusted EBITDA Margin, and Capital Expenditures, Net of Capital Offsets are not prepared in accordance with GAAP and may be different from non-GAAP financial measures used by other companies. These measures should not be considered as measures of financial performance under GAAP and the items excluded from or included in these metrics are significant components in understanding and assessing EVgo’s financial performance. These metrics should not be considered as alternatives to net income (loss) or any other performance measures derived in accordance with GAAP.

EVgo defines Adjusted Cost of Sales as cost of sales before (i) depreciation, net of capital-build amortization, and (ii) share-based compensation. EVgo defines Adjusted Cost of Sales as a Percentage of Revenue as Adjusted Cost of Sales as a percentage of revenue. EVgo defines Adjusted Gross Profit (Loss) as revenue less Adjusted Cost of Sales. EVgo defines Adjusted Gross Margin as Adjusted Gross Profit (Loss) as a percentage of revenue. EVgo defines Adjusted General and Administrative Expenses as general and administrative expenses before (i) share-based compensation, (ii) loss on disposal of property and equipment, net of insurance recoveries, and impairment expense, (iii) bad debt expense (recoveries), and (iv) certain other items that management believes are not indicative of EVgo’s ongoing performance. EVgo defines Adjusted General and Administrative Expenses as a Percentage of Revenue as Adjusted General and Administrative Expenses as a percentage of revenue. EVgo defines EBITDA as net income (loss) before (i) depreciation, net of capital-build amortization, (ii) amortization, (iii) accretion, (iv) interest income, (v) interest expense, and (vi) income tax expense (benefit). EVgo defines EBITDA Margin as EBITDA as a percentage of revenue. EVgo defines Adjusted EBITDA as EBITDA plus (i) share-based compensation, (ii) loss on disposal of property and equipment, net of insurance recoveries, and impairment expense, (iii) loss on investments, (iv) bad debt expense (recoveries), (v) change in fair value of earnout liability, (vi) change in fair value of warrant liabilities, and (vii) certain other items that management believes are not indicative of EVgo’s ongoing performance. EVgo defines Adjusted EBITDA Margin as Adjusted EBITDA as a percentage of revenue. EVgo defines Capital Expenditures, Net of Capital Offsets as capital expenditures adjusted for the following capital offsets: (i) all payments under OEM infrastructure agreements excluding any amounts directly attributable to OEM customer charging credit programs and pass-through of non-capital expense reimbursements, and (ii) proceeds from capital-build funding. The tables below present quantitative reconciliations of these measures to their most directly comparable GAAP measures as described in this paragraph.

Reconciliations of Non-GAAP Financial Measures

The following unaudited table presents a reconciliation of EBITDA, EBITDA Margin, Adjusted EBITDA, and Adjusted EBITDA Margin to the most directly comparable GAAP measure:

(unaudited, dollars in thousands)		Q4'23				Q4'22				Change				FY 2023				FY 2022				Change
Revenue		$	49,994			$	27,303			83	%			$	160,953			$	54,588			195	%
Net loss		$	(36,589	)		$	(17,049	)		(115	)%			$	(135,466	)		$	(106,240	)		(28	)%
Net loss margin			(73.2	)%			(62.4	)%		(1,080) bps					(84.2	)%			(194.6	)%		* bps
Adjustments:
Depreciation, net of capital-build amortization			9,729				6,140			58	%				32,350				19,103			69	%
Amortization			4,831				4,057			19	%				17,331				14,900			16	%
Accretion			615				444			39	%				2,280				1,915			19	%
Interest income			(2,659	)			(2,152	)		(24	)%				(9,754	)			(4,479	)		(118	)%
Interest expense			—				—			* %					—				21			(100	)%
Income tax (benefit) expense			—				(4	)		100	%				42				18			133	%
EBITDA			(24,073	)			(8,564	)		(181	)%				(93,217	)			(74,762	)		(25	)%
EBITDA margin			(48.2	)%			(31.4	)%		(1,680) bps					(57.9	)%			(137.0	)%		7,910 bps
Adjustments:
Share-based compensation			8,701				7,607			14	%				29,724				25,048			19	%
Loss on disposal of property and equipment, net of insurance recoveries, and impairment expense1			3,431				4,411			(22	)%				11,496				8,278			39	%
Loss on investments			10				34			(71	)%				26				783			(97	)%
Bad debt expense (recoveries)			118				(85	)		239	%				470				(18	)		* %
Change in fair value of earnout liability			(201	)			(2,153	)		91	%				(1,076	)			(3,481	)		69	%
Change in fair value of warrant liabilities			(1,378	)			(21,176	)		93	%				(7,163	)			(36,157	)		80	%
Other1,2			(570	)			(132	)		(332	)%				910				63			* %
Adjusted EBITDA		$	(13,962	)		$	(20,058	)		30	%			$	(58,830	)		$	(80,246	)		27	%
Adjusted EBITDA Margin			(27.9	)%			(73.5	)%		4,560 bps					(36.6	)%			(147.0	)%		* bps
* Percentage greater than 999%, bps greater than 9,999 or not meaningful.
1 During the year ended December 31, 2023, the Company reclassified insurance proceeds from property losses from "other" to "loss on disposal of property and equipment, net of insurance recoveries, and impairment expense." Previously reported amounts have been updated to conform to the current period presentation.
2 For the year ended December 31, 2023, comprised primarily of costs related to the reorganization of Company resources previously announced by the Company on February 23, 2023, the petition filed by EVgo in the Delaware Court of Chancery in February 2023 seeking validation of EVgo's charter and share structure (the “205 Petition”), and employee retention tax credits (“ERCs”) earned under the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”).

The following unaudited table presents a reconciliation of Adjusted Cost of Sales, Adjusted Cost of Sales as a Percentage of Revenue, Adjusted Gross Profit and Adjusted Gross Margin to the most directly comparable GAAP measures:

(unaudited, dollars in thousands)		Q4'23				Q4'22				Change				FY 2023				FY 2022				Change
Revenue		$	49,994			$	27,303			83	%			$	160,953			$	54,588			195	%
Cost of sales			46,454				28,402			64	%				151,239				60,239			151	%
Gross profit (loss)		$	3,540			$	(1,099	)		422	%			$	9,714			$	(5,651	)		272	%
Cost of sales as a percentage of revenue			92.9	%			104.0	%		(1,110) bps					94.0	%			110.4	%		(1,640) bps
Gross margin			7.1	%			(4.0	)%		1,110 bps					6.0	%			(10.4	)%		1,640 bps
Adjustments:
Depreciation, net of capital-build amortization		$	9,611			$	6,037			59	%			$	31,855			$	18,779			70	%
Share-based compensation			102				55			85	%				223				118			89	%
Total adjustments			9,713				6,092			59	%				32,078				18,897			70	%
Adjusted Cost of Sales		$	36,741			$	22,310			65	%			$	119,161			$	41,342			188	%
Adjusted Cost of Sales as a Percentage of Revenue			73.5	%			81.7	%		(820) bps					74.0	%			75.7	%		(170) bps
Adjusted Gross Profit		$	13,253			$	4,993			165	%			$	41,792			$	13,246			216	%
Adjusted Gross Margin			26.5	%			18.3	%		820 bps					26.0	%			24.3	%		170 bps

The following unaudited table presents a reconciliation of Adjusted General and Administrative Expenses and Adjusted General and Administrative Expenses as a Percentage of Revenue to the most directly comparable GAAP measures:

(unaudited, dollars in thousands)		Q4'23				Q4'22				Change				FY 2023				FY 2022				Change
Revenue		$	49,994			$	27,303			83	%			$	160,953			$	54,588			195	%
General and administrative expenses		$	38,792			$	36,785			5	%			$	143,015			$	126,713			13	%
General and administrative expenses as a percentage of revenue			77.6	%			134.7	%		(5,710) bps					88.9	%			232.1	%		* bps
Adjustments:
Share-based compensation		$	8,599			$	7,553			14	%			$	29,501			$	24,929			18	%
Loss on disposal of property and equipment, net of insurance recoveries, and impairment expense1			3,431				4,411			(22	)%				11,496				8,278			39	%
Bad debt expense (recoveries)			118				(85	)		239	%				470				(18	)		* %
Other1,2			(570	)			(132	)		(332	)%				910				63			* %
Total adjustments			11,578				11,747			(1	)%				42,377				33,252			27	%
Adjusted General and Administrative Expenses		$	27,214			$	25,038			9	%			$	100,638			$	93,461			8	%
Adjusted General and Administrative Expenses as a Percentage of Revenue			54.4	%			91.7	%		(3,730) bps					62.5	%			171.2	%		* bps
* Percentage greater than 999% or bps greater than 9,999
1 During the year ended December 31, 2023, the Company reclassified insurance proceeds from property losses from "other" to "loss on disposal of property and equipment, net of insurance recoveries, and impairment expense." Previously reported amounts have been updated to conform to the current period presentation.
2 For the year ended December 31, 2023, comprised primarily of costs related to the reorganization of Company resources previously announced by the Company on February 23, 2023, the 205 petition, and ERCs earned under the CARES Act.

The following unaudited table presents a reconciliation of Capital Expenditures, Net of Capital Offsets, to the most directly comparable GAAP measure:

(unaudited, dollars in thousands)		Q4'23			Q4'22			Change				FY 2023			FY 2022			Change
Capital expenditures		$	34,811		$	66,366		(48	)%			$	158,896		$	200,251		(21	)%
Capital offsets:
OEM infrastructure payments		$	5,695		$	7,000		(19	)%			$	21,633		$	7,000		209	%
Proceeds from capital-build funding			7,353			3,224		128	%				14,432			10,088		43	%
Total capital offsets			13,048			10,224		28	%				36,065			17,088		111	%
Capital Expenditures, Net of Capital Offsets		$	21,763		$	56,142		(61	)%			$	122,831		$	183,163		(33	)%

Source: EVgo Inc.

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Source: EVgo

FAQ

What was EVgo's revenue in Q4 2023?

EVgo's revenue in Q4 2023 was $50.0 million, representing an 83% increase YoY.

How many new customer accounts did EVgo add in 2023?

EVgo added approximately 366,000 new customer accounts in 2023, reaching more than 884,000 overall by the end of the year.

What was EVgo's Adjusted EBITDA for the full year 2023?

EVgo's Adjusted EBITDA for the full year 2023 was ($58.8) million, outperforming the high end of the guidance range.

How many stalls did EVgo end 2023 with?

EVgo ended 2023 with approximately 3,550 stalls in operation or under construction.

What was the net loss for EVgo in Q4 2023?

EVgo reported a net loss of $36.6 million in Q4 2023.

What was the network throughput for EVgo in Q4 2023?

EVgo's network throughput reached 50 GWh in Q4 2023.

What was the percentage increase in network throughput for EVgo in 2023?

EVgo's network throughput for the full year 2023 increased by 189% over full year 2022.

What was the total revenue for EVgo in 2023?

EVgo's revenue for the full year 2023 was $161.0 million, a 195% YoY increase.

How many new DC fast charging stalls did EVgo add in Q4 2023?

EVgo added more than 260 new DC fast charging stalls during Q4 2023.

What is EVgo's ticker symbol?

EVgo's ticker symbol is EVGO.