EV Charging Provider ChargePoint Sinks on Weak Guidance
ChargePoint (CHPT:US), a company specializing in electric vehicle (EV) charging infrastructure, provided revenue forecasts for the third quarter and the full fiscal year 2024, which both missed analyst targets.
Third-quarter revenue is expected to be in the range of $150 million to $165 million, missing the consensus of $181.1 million. Revenue for the full year is projected to be between $605 million to $630 million, while analysts were looking for $675 million.
For this quarter, the company reported a loss of $0.35 per share, compared to a loss of $0.28 per share in the same period the previous year. The EV company generated revenue of $150.5 million in the second quarter, reflecting a 39% increase compared to the same quarter in the previous year. This revenue exceeded the consensus of $153.1 million.
"Our revenue of $150 million represents a 39% year-over-year increase despite a hesitant economy," said Pasquale Romano, President and CEO of ChargePoint.
“We took an inventory impairment charge to address a significant supply-chain related issue, and we announced an estimated $30 million in annualized operating expense savings from reorganizing the business for agility, efficiency and scale. We remain committed to delivering on our goal of generating positive non-GAAP adjusted EBITDA by the end of calendar 2024.”
Additionally, ChargePoint announced a workforce reduction of about 10% as part of a reorganization effort, with expected annual operating expense savings of approximately $30 million. This restructuring will also result in around $8 million in charges.
Congressman Daniel Goldman has been trading CHPT shares in recent months. Most recently, he sold $15,000 - $50,000 worth of shares on July 12, when the stock closed at $8.99.
Shares were seen trading just above the $5 apiece mark on Thursday.
