EVgo Inc. Reports Record Second Quarter 2024 Results

Rhea-AI Summary

EVgo Inc. (Nasdaq: EVGO) reported record second quarter 2024 results, with revenue reaching $66.6 million, a 32% year-over-year increase. The company achieved its 6th consecutive quarter of triple-digit year-over-year network throughput growth, reaching 66 GWh, a 164% increase. Charging network revenue grew 146% year-over-year to $36.4 million. EVgo added over 220 new operational stalls, ending the quarter with approximately 3,440 stalls in operation. The company gained over 131,000 new customer accounts, surpassing 1 million total accounts. EVgo raised the midpoint of its total revenue guidance by $10 million, now projecting $240-$270 million for 2024. The company's Adjusted EBITDA guidance is ($44)-($34) million.

Positive

• Record revenue of $66.6 million, up 32% year-over-year
• Network throughput increased 164% year-over-year to 66 GWh
• Charging network revenue grew 146% year-over-year to $36.4 million
• Added over 131,000 new customer accounts, reaching more than 1 million total
• Raised midpoint of total revenue guidance by $10 million for 2024

Negative

• Net loss of $29.6 million, worsening by 37% year-over-year
• Gross margin decreased from 10.9% to 9.6% year-over-year
• Projected negative Adjusted EBITDA for 2024 between ($44) and ($34) million

Insights

Financial Analyst

EVgo's Q2 2024 results demonstrate impressive growth across key metrics, signaling strong momentum in the EV charging market. The company reported record revenue of $66.6 million, up 32% year-over-year, driven primarily by a 146% increase in charging network revenue. This growth outpaces the overall EV adoption rate, suggesting EVgo is gaining market share.

The network throughput surge of 164% to 66 GWh is particularly noteworthy, as it marks the 6th consecutive quarter of triple-digit year-over-year growth. This rapid increase in utilization is a strong indicator of growing demand for public fast charging and EVgo's ability to capture this demand effectively.

EVgo's customer base expansion is equally impressive, with over 131,000 new accounts added in Q2, bringing the total to more than 1 million. This 59% year-over-year growth in customer accounts suggests EVgo is successfully attracting and retaining users, which is important for long-term success in this competitive market.

However, investors should note that despite the strong top-line growth, EVgo still reported a net loss of $29.6 million. While this is not unusual for a growth-stage company in a capital-intensive industry, it will be important to monitor the path to profitability as the company scales.

The updated guidance, raising the midpoint of total revenue by $10 million, reflects management's confidence in continued strong performance. However, the projected Adjusted EBITDA loss of $44 million to $34 million indicates that significant investments in growth are likely to continue in the near term.

Market Research Analyst

EVgo's Q2 results offer valuable insights into the rapidly evolving EV charging market. The 164% year-over-year increase in network throughput is a clear indicator of accelerating EV adoption and growing demand for public fast charging. This trend is likely to continue as more automakers introduce new EV models and government initiatives promote EV adoption.

The company's expansion of operational stalls to approximately 3,440, including EVgo eXtend™ stalls, demonstrates its commitment to infrastructure growth. This expansion is important for addressing range anxiety, a key barrier to EV adoption. The increase in network utilization to 20%, up from 11% in Q2 2023, suggests improving efficiency and return on infrastructure investments.

EVgo's partnership with Subaru, extending charging credits to new Solterra drivers, highlights the growing importance of charging networks in automakers' EV strategies. Such collaborations can drive customer acquisition and loyalty for both parties.

The significant growth in commercial charging, particularly in the rideshare sector, points to an emerging market segment with substantial potential. As more fleet operators transition to EVs, this could become a major revenue driver for charging networks.

The increase in Autocharge+ usage, now accounting for over 18% of total charging sessions, indicates growing consumer preference for seamless charging experiences. This trend could drive further innovations in user experience and payment systems across the industry.

Tech Expert

EVgo's Q2 results highlight the rapid technological advancements in the EV charging sector. The average daily throughput per stall increase of 103% to 227 kilowatt-hours demonstrates significant improvements in charging speeds and efficiency. This progress is important for enhancing the convenience of EV charging and reducing wait times at stations.

The growth of EVgo's Autocharge+ feature, with a 202% year-over-year increase in charging sessions, underscores the importance of user-friendly technologies in driving adoption. Autocharge+ eliminates the need for manual authentication, streamlining the charging process. This type of innovation is key to making EV charging as convenient as traditional refueling.

The expansion of EVgo eXtend™ to 190 operational stalls represents progress in the company's white-label charging solution. This technology allows EVgo to expand its network more rapidly by partnering with other businesses, potentially accelerating the overall growth of charging infrastructure.

The PlugShare platform's growth to 5.3 million registered users and 8.5 million check-ins demonstrates the increasing importance of digital tools in the EV ecosystem. Such platforms not only help drivers locate charging stations but also provide valuable data for network optimization and expansion planning.

While these technological advancements are impressive, it's worth noting that the EV charging industry is still in its early stages. Continued innovation in areas such as battery technology, charging speeds and grid integration will be important for supporting the mass adoption of electric vehicles.

Achieves 6^th Consecutive Quarter of Triple Digit Year-Over-Year Network Throughput Growth

Raises Midpoint of Total Revenue Guidance by $10 Million

• Revenue reached a record $66.6 million in the second quarter, representing an increase of 32% year-over-year.
• Charging network revenue totaled $36.4 million in the second quarter, an increase of 146% year-over-year, representing the 7^th sequential quarter of double-digit charging revenue growth.
• Network throughput reached a record 66 gigawatt-hours (“GWh”) in the second quarter, an increase of 164% year-over-year, representing the 6^th consecutive quarter of triple digit year-over-year growth.
• Added more than 220 new operational stalls during the second quarter, including EVgo eXtend™ stalls.
• Ended the second quarter with approximately 3,440 stalls in operation, including EVgo eXtend™ stalls.
• Added over 131,000 new customer accounts in the second quarter, reaching more than 1 million overall at quarter end.

LOS ANGELES--(BUSINESS WIRE)-- EVgo Inc. (Nasdaq: EVGO) (“EVgo” or the “Company”) today announced results for the second quarter ended June 30, 2024. Management will host a conference call today at 11 am ET / 8 am PT to discuss EVgo’s results and other business highlights.

Revenue reached $66.6 million in the second quarter of 2024, compared to $50.6 million in the second quarter of 2023, representing 32% year-over-year growth. Revenue growth was driven by year-over-year increases in charging network revenues.

Network throughput increased to 66 GWh in the second quarter of 2024, compared to 25 GWh in the second quarter of 2023, representing 164% year-over-year growth. The Company added over 131,000 new customer accounts during the second quarter of 2024, a 60% year-over-year increase in new accounts. The overall number of customer accounts was more than 1 million at quarter end, an increase of 59% year-over-year.

“EVgo delivered yet another quarter of great financial and operating results, including the 7^th sequential quarter of double-digit charging revenue growth,” said Badar Khan, EVgo’s CEO. “We are seeing continual record demand in the industry, which we are well situated to capture given our position as an owner operator and as evidenced by the tremendous growth in throughput and new customer accounts. We look forward to continuing to execute on our strategic priorities and building the critically important, fast charging, OEM-agnostic infrastructure necessary to deliver an excellent customer experience for EV drivers across the nation. We are confident this momentum will result in strong returns for our shareholders.”

Business Highlights

• Subaru Charging Credit: Subaru extended their charging credit program with EVgo, giving new Subaru Solterra drivers a $500 EVgo charging credit.
• Stall Development: The Company ended the quarter with approximately 3,440 stalls in operation, including EVgo eXtend™ stalls. EVgo added over 220 new DC fast charging stalls during the quarter, including EVgo eXtend™ stalls.
• EVgo eXtend™: EVgo ended the quarter with 190 operational EVgo eXtend™ stalls.
• Network Utilization: Utilization on the EVgo network in the second quarter of 2024 was 20%, up from approximately 11% in the second quarter of 2023.
• Average Daily Network Throughput: Average daily throughput per stall for the EVgo network was 227 kilowatt hours per day in the second quarter of 2024, an increase of 103% compared to 112 kilowatt hours per day in the second quarter of 2023.
• Commercial Charging: EVgo’s commercial charging business continues to grow driven by rideshare, with throughput increasing nearly threefold year-over-year.
• EVgo Autocharge+: Autocharge+ was over 18% of total charging sessions initiated in the second quarter of 2024, and the number of Autocharge+ charging sessions in the second quarter increased 202% compared to the second quarter of 2023.
• PlugShare: PlugShare reached 5.3 million registered users and achieved 8.5 million check-ins since inception.

Financial & Operational Highlights

The below represent summary financial and operational figures for the second quarter of 2024.

• Revenue of $66.6 million
• Network Throughput¹ of 66 gigawatt-hours
• Customer Account Additions of over 131,000 accounts
• Gross Profit of $6.4 million
• Net Loss of $29.6 million
• Adjusted Gross Profit² of $17.7 million
• Adjusted EBITDA² of ($8.0) million
• Net Cash Provided By Operating Activities of $7.6 million
• Capital Expenditures of $24.2 million
• Capital Expenditures, Net of Capital Offsets² of $13.8 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)		Q2'24				Q2'23				Better (Worse)				Q2'24 YTD				Q2'23 YTD				Better (Worse)
Network Throughput (GWh)			66				25			164	%				119				43			177	%
Revenue		$	66,619			$	50,552			32	%			$	121,777			$	75,852			61	%
Gross profit		$	6,398			$	5,529			16	%			$	13,239			$	5,570			138	%
Gross margin			9.6	%			10.9	%		(130) bps					10.9	%			7.3	%		360 bps
Net loss		$	(29,610	)		$	(21,539	)		(37	)%			$	(57,803	)		$	(70,620	)		18	%
Adjusted Gross Profit1		$	17,658			$	12,853			37	%			$	34,945			$	19,258			81	%
Adjusted Gross Margin1			26.5	%			25.4	%		110 bps					28.7	%			25.4	%		330 bps
Adjusted EBITDA1		$	(7,982	)		$	(10,553	)		24	%			$	(15,189	)		$	(30,620	)		50	%

____________________
1	Adjusted Gross Profit, Adjusted Gross Margin, and Adjusted EBITDA are non-GAAP measures and have not been prepared in accordance with GAAP. For a definition of these non-GAAP measures and a reconciliation to the most directly comparable GAAP measures, please see “Definitions of Non-GAAP Financial Measures” and “Reconciliations of Non-GAAP Financial Measures” included elsewhere in these materials.

(unaudited, dollars in thousands)		Q2'24				Q2'23				Change				Q2'24 YTD				Q2'23 YTD				Change
Cash flows provided by (used in) operating activities		$	7,556			$	(3,182	)		337	%			$	(6,526	)		$	(22,525	)		71	%
GAAP capital expenditures		$	24,196			$	34,811			(30	)%			$	45,267			$	100,057			(55	)%
Capital offsets:
OEM infrastructure payments		$	5,956			$	6,022			(1	)%			$	11,782			$	9,917			19	%
Proceeds from capital-build funding			4,459				2,040			119	%				6,139				4,256			44	%
Total capital offsets			10,415				8,062			29	%				17,921				14,173			26	%
Capital Expenditures, Net of Capital Offsets1		$	13,781			$	26,749			(48	)%			$	27,346			$	85,884			(68	)%

____________________
1	Capital Expenditures, Net of Capital Offsets are non-GAAP measures and have not been prepared in accordance with GAAP. For a definition of these non-GAAP measures and a reconciliation to the most directly comparable GAAP measures, please see “Definitions of Non-GAAP Financial Measures” and “Reconciliations of Non-GAAP Financial Measures” included elsewhere in these materials.

		6/30/2024		6/30/2023		Increase
Stalls in operation or under construction:
EVgo Network		3,690		3,180		16%
EVgo eXtend™		480		—		*
Total stalls in operation or under construction		4,170		3,180		31%
Stalls in operation:
EVgo Network		3,250		2,520		29%
EVgo eXtend™		190		—		*
Total stalls in operation		3,440		2,520		37%

____________________
*	Percentage not meaningful.

2024 Financial Guidance

EVgo is updating 2024 guidance as follows:

• Raising the midpoint of total revenue guidance by $10 million with total revenue guidance of $240 - $270 million
• Adjusted EBITDA^* of ($44) – ($34) million

____________________
*	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 second quarter earnings release will be held today at 11 am ET / 8 am 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: (888) 340-5044 (for U.S. callers)
Toll/International: (646) 960-0363 (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 1,000 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 and offsets; EVgo’s confidence that “this momentum will result in strong returns for our shareholders”; EVgo’s progress on its network buildout, customer experience, technological capabilities and cost efficiencies; growth in the Company’s throughput; growth in the Company’s commercial charging business; and the Company’s collaboration with partners. 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
		June 30,				December 31,
		2024				2023
(in thousands)		(unaudited)
Assets
Current assets
Cash, cash equivalents and restricted cash		$	162,736			$	209,146
Accounts receivable, net of allowance of $553 and $1,116 as of June 30, 2024 and December 31, 2023, respectively			34,771				34,882
Accounts receivable, capital-build			13,217				9,297
Prepaid expenses and other current assets			14,747				14,081
Total current assets			225,471				267,406
Property, equipment and software, net			403,418				389,227
Operating lease right-of-use assets			79,444				67,724
Other assets			2,098				2,208
Intangible assets, net			43,845				48,997
Goodwill			31,052				31,052
Total assets		$	785,328			$	806,614
Liabilities, redeemable noncontrolling interest and stockholders’ equity (deficit)
Current liabilities
Accounts payable		$	16,165			$	10,133
Accrued liabilities			38,742				40,549
Operating lease liabilities, current			6,484				6,018
Deferred revenue, current1			28,610				32,349
Other current liabilities			94				298
Total current liabilities			90,095				89,347
Operating lease liabilities, noncurrent			73,239				61,987
Earnout liability, at fair value			345				654
Asset retirement obligations			19,829				18,232
Capital-build liability			41,479				35,787
Deferred revenue, noncurrent			64,290				55,091
Warrant liabilities, at fair value			2,746				5,141
Total liabilities			292,023				266,239
Commitments and contingencies
Redeemable noncontrolling interest			479,710				700,964
Stockholders' equity (deficit)			13,595				(160,589	)
Total liabilities, redeemable noncontrolling interest and stockholders' equity (deficit)		$	785,328			$	806,614

____________________
1	In 2024, deferred revenue, current, and customer deposits were combined into a single line item. Previously reported amounts have been updated to conform to the current period presentation.

EVgo Inc. and Subsidiaries
Condensed Consolidated Statements of Operations
(unaudited)
		Three Months Ended											Six Months Ended
		June 30,											June 30,
(in thousands, except per share data)		2024				2023				Change %			2024				2023				Change %
Revenue
Charging, retail		$	22,336			$	9,085			146	%		$	40,662			$	15,700			159	%
Charging, commercial			7,094				2,418			193	%			12,933				4,133			213	%
Charging, OEM			3,638				986			269	%			6,370				1,538			314	%
Regulatory credit sales			1,749				1,613			8	%			3,783				2,828			34	%
Network, OEM			1,627				742			119	%			5,050				3,441			47	%
Total charging network			36,444				14,844			146	%			68,798				27,640			149	%
eXtend			27,667				33,281			(17	)%			46,818				43,573			7	%
Ancillary			2,508				2,427			3	%			6,161				4,639			33	%
Total revenue			66,619				50,552			32	%			121,777				75,852			61	%
Cost of sales
Charging network1			23,979				12,009			100	%			43,489				21,988			98	%
Other1			25,093				25,731			(2	)%			43,541				34,669			26	%
Depreciation, net of capital-build amortization			11,149				7,283			53	%			21,508				13,625			58	%
Total cost of sales			60,221				45,023			34	%			108,538				70,282			54	%
Gross profit			6,398				5,529			16	%			13,239				5,570			138	%
Operating expenses
General and administrative			33,827				34,333			(1	)%			68,053				72,222			(6	)%
Depreciation, amortization and accretion			4,958				4,783			4	%			9,943				9,567			4	%
Total operating expenses			38,785				39,116			(1	)%			77,996				81,789			(5	)%
Operating loss			(32,387	)			(33,587	)		4	%			(64,757	)			(76,219	)		15	%
Interest income			2,064				2,199			(6	)%			4,337				4,197			3	%
Other expense, net			(8	)			(1	)		(700	)%			(17	)			—			*
Change in fair value of earnout liability			101				2,496			(96	)%			309				433			(29	)%
Change in fair value of warrant liabilities			677				7,391			(91	)%			2,395				1,011			137	%
Total other income, net			2,834				12,085			(77	)%			7,024				5,641			25	%
Loss before income tax expense			(29,553	)			(21,502	)		(37	)%			(57,733	)			(70,578	)		18	%
Income tax expense			(57	)			(37	)		(54	)%			(70	)			(42	)		(67	)%
Net loss			(29,610	)			(21,539	)		(37	)%			(57,803	)			(70,620	)		18	%
Less: net loss attributable to redeemable noncontrolling interest			(19,233	)			(14,513	)		(33	)%			(37,593	)			(50,518	)		26	%
Net loss attributable to Class A common stockholders		$	(10,377	)		$	(7,026	)		(48	)%		$	(20,210	)		$	(20,102	)		(1	)%
Net loss per share to Class A common stockholders, basic and diluted		$	(0.10	)		$	(0.08	)					$	(0.19	)		$	(0.25	)
Weighted average common stock outstanding, basic and diluted			105,584				85,320							105,130				78,196

____________________
*	Not meaningful
1	In the fourth quarter of 2023, the Company changed the presentation of cost of sales to disaggregate such costs between “charging network” and “other.” Previously reported amounts have been updated to conform to the current presentation.

EVgo Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows
(unaudited)
		Six Months Ended
		June 30,
(in thousands)		2024				2023
Cash flows from operating activities
Net loss		$	(57,803	)		$	(70,620	)
Adjustments to reconcile net loss to net cash used in operating activities
Depreciation, amortization and accretion			31,451				23,192
Net loss on disposal of property and equipment, net of insurance recoveries, and impairment expense			5,497				6,008
Share-based compensation			10,103				14,922
Change in fair value of earnout liability			(309	)			(433	)
Change in fair value of warrant liabilities			(2,395	)			(1,011	)
Other			5				(155	)
Changes in operating assets and liabilities
Accounts receivable, net			112				(11,422	)
Prepaid expenses, other current assets and other assets			1,324				3,779
Operating lease assets and liabilities, net			(3	)			642
Accounts payable			6,130				(2,872	)
Accrued liabilities			(5,764	)			2,925
Deferred revenue1			5,461				12,458
Other current and noncurrent liabilities			(335	)			62
Net cash used in operating activities			(6,526	)			(22,525	)
Cash flows from investing activities
Capital expenditures			(45,267	)			(100,057	)
Proceeds from insurance for property losses			152				159
Net cash used in investing activities			(45,115	)			(99,898	)
Cash flows from financing activities
Proceeds from issuance of Class A common stock under the ATM			—				5,828
Proceeds from issuance of Class A common stock under the equity offering			—				128,023
Proceeds from capital-build funding			6,139				4,256
Payments of deferred debt issuance costs			(908	)			—
Payments of deferred equity issuance costs			—				(4,751	)
Net cash provided by financing activities			5,231				133,356
Net (decrease) increase in cash, cash equivalents and restricted cash			(46,410	)			10,933
Cash, cash equivalents and restricted cash, beginning of period			209,146				246,493
Cash, cash equivalents and restricted cash, end of period		$	162,736			$	257,426

____________________
1	In 2024, deferred revenue, current, and customer deposits were combined into a single line item. 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.”

Definitions of Non-GAAP Financial Measures

This release includes some, but not all of the following non-GAAP financial measures, in each case as defined below: “Charging Network Margin,” “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.

Charging Network Margin, 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 Charging Network Margin as total charging network revenue less charging network cost of sales divided by total charging network revenue. 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 (gain) 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)		Q2'24				Q2'23				Change				Q2'24 YTD				Q2'23 YTD				Change
GAAP revenue		$	66,619			$	50,552			32	%			$	121,777			$	75,852			61	%
GAAP net loss		$	(29,610	)		$	(21,539	)		(37	)%			$	(57,803	)		$	(70,620	)		18	%
GAAP net loss margin			(44.4	%)			(42.6	%)		(180) bps					(47.5	)%			(93.1	)%		4,560 bps
Adjustments:
Depreciation, net of capital-build amortization			11,288				7,407			52	%				21,764				13,875			57	%
Amortization			4,342				4,117			5	%				8,805				8,236			7	%
Accretion			477				542			(12	)%				882				1,081			(18	)%
Interest income			(2,064	)			(2,199	)		6	%				(4,337	)			(4,197	)		(3	)%
Interest expense			—				—			* %					—				—			* %
Income tax expense			57				37			54	%				70				42			67	%
EBITDA		$	(15,510	)		$	(11,635	)		(33	)%			$	(30,619	)		$	(51,583	)		41	%
EBITDA margin			(23.3	%)			(23.0	%)		(30) bps					(25.1	)%			(68.0	)%		4,290 bps
Adjustments:
Share-based compensation		$	5,402			$	8,495			(36	)%				10,103				14,922			(32	)%
Loss on disposal of property and equipment, net of insurance recoveries, and impairment expense			2,757				2,389			15	%				5,497				5,849			(6	)%
Loss on investments			—				5			(100	)%				5				4			25	%
Bad debt expense			81				56			45	%				311				153			103	%
Change in fair value of earnout liability			(101	)			(2,496	)		96	%				(309	)			(433	)		29	%
Change in fair value of warrant liabilities			(677	)			(7,391	)		91	%				(2,395	)			(1,011	)		(137	)%
Other1			66				24			175	%				2,218				1,479			50	%
Total adjustments			7,528				1,082			596	%				15,430				20,963			(26	)%
Adjusted EBITDA		$	(7,982	)		$	(10,553	)		24	%			$	(15,189	)		$	(30,620	)		50	%
Adjusted EBITDA Margin			(12.0	%)			(20.9	%)		890 bps					(12.5	%)			(40.4	)%		2,790 bps

____________________
*	Percentage greater than 999%, bps greater than 9,999 or not meaningful.
1	For the six months ended June 30, 2024, comprised primarily of costs related to the organizational realignment announced by the Company on January 17, 2024. For the six months ended June 30, 2023, comprised primarily of costs related to the previous reorganization of Company resources announced by the Company on February 23, 2023 and 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").

The following unaudited table presents a reconciliation of Charging Network Margin to the most directly comparable GAAP measures:

(unaudited, dollars in thousands)		Q2'24				Q2'23				Change				Q2'24 YTD				Q2'23 YTD				Change
GAAP total charging network revenue		$	36,444			$	14,844			146	%			$	68,798			$	27,640			149	%
GAAP charging network cost of sales			23,979				12,009			100	%				43,489				21,988			98	%
Charging Network Margin			34.2	%			19.1	%		1,510 bps					36.8	%			20.4	%		1,640 bps

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)		Q2'24				Q2'23				Change				Q2'24 YTD				Q2'23 YTD				Change
GAAP revenue		$	66,619			$	50,552			32	%			$	121,777			$	75,852			61	%
GAAP cost of sales			60,221				45,023			34	%				108,538				70,282			54	%
GAAP gross profit		$	6,398			$	5,529			16	%			$	13,239			$	5,570			138	%
GAAP cost of sales as a percentage of revenue			90.4	%			89.1	%		130 bps					89.1	%			92.7	%		(360) bps
GAAP gross margin			9.6	%			10.9	%		(130) bps					10.9	%			7.3	%		360 bps
Adjustments:
Depreciation, net of capital-build amortization		$	11,149			$	7,283			53	%			$	21,508			$	13,625			58	%
Share-based compensation			111				41			171	%				198				63			214	%
Total adjustments			11,260				7,324			54	%				21,706				13,688			59	%
Adjusted Cost of Sales		$	48,961			$	37,699			30	%			$	86,832			$	56,594			53	%
Adjusted Cost of Sales as a Percentage of Revenue			73.5	%			74.6	%		(110) bps					71.3	%			74.6	%		(330) bps
Adjusted Gross Profit		$	17,658			$	12,853			37	%			$	34,945			$	19,258			81	%
Adjusted Gross Margin			26.5	%			25.4	%		110 bps					28.7	%			25.4	%		330 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)		Q2'24				Q2'23				Change				Q2'24 YTD				Q2'23 YTD				Change
GAAP revenue		$	66,619			$	50,552			32	%			$	121,777			$	75,852			61	%
GAAP general and administrative expenses		$	33,827			$	34,333			(1	)%			$	68,053			$	72,222			(6	)%
GAAP general and administrative expenses as a percentage of revenue			50.8	%			67.9	%		(1,710) bps					55.9	%			95.2	%		(3,930) bps
Adjustments:
Share-based compensation		$	5,291			$	8,454			(37	)%			$	9,905			$	14,859			(33	)%
Loss on disposal of property and equipment, net of insurance recoveries, and impairment expense			2,757				2,389			15	%				5,497				5,849			(6	)%
Bad debt expense			81				56			45	%				311				153			103	%
Other1			66				24			175	%				2,218				1,479			50	%
Total adjustments			8,195				10,923			(25	)%				17,931				22,340			(20	)%
Adjusted General and Administrative Expenses		$	25,632			$	23,410			9	%			$	50,122			$	49,882			0	%
Adjusted General and Administrative Expenses as a Percentage of Revenue			38.5	%			46.3	%		(780) bps					41.2	%			65.8	%		(2,460) bps

____________________
1	For the six months ended June 30, 2024, comprised primarily of costs related to the organizational realignment announced by the Company on January 17, 2024. For the six months ended June 30, 2023, comprised primarily of costs related to the previous reorganization of Company resources announced by the Company on February 23, 2023 and the 205 Petition.

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)		Q2'24				Q2'23				Change				Q2'24 YTD				Q2'23 YTD				Change
GAAP capital expenditures		$	24,196			$	34,811			(30	)%			$	45,267			$	100,057			(55	)%
Capital offsets:
OEM infrastructure payments		$	5,956			$	6,022			(1	)%			$	11,782			$	9,917			19	%
Proceeds from capital-build funding			4,459				2,040			119	%				6,139				4,256			44	%
Total capital offsets			10,415				8,062			29	%				17,921				14,173			26	%
Capital Expenditures, Net of Capital Offsets		$	13,781			$	26,749			(48	)%			$	27,346			$	85,884			(68	)%

 

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Source: EVgo

FAQ

What was EVgo's revenue for Q2 2024?

EVgo reported record revenue of $66.6 million for Q2 2024, representing a 32% increase year-over-year.

How much did EVgo's network throughput grow in Q2 2024?

EVgo's network throughput reached 66 GWh in Q2 2024, a 164% increase year-over-year, marking the 6th consecutive quarter of triple-digit growth.

How many new customer accounts did EVgo add in Q2 2024?

EVgo added over 131,000 new customer accounts in Q2 2024, reaching more than 1 million total accounts at quarter end.

What is EVgo's updated revenue guidance for 2024?

EVgo raised its total revenue guidance for 2024 to $240-$270 million, increasing the midpoint by $10 million.