Bay Street News

Beam Global Reports Record Year End 2023 Operating Results

SAN DIEGO, April 16, 2024 (GLOBE NEWSWIRE) — Beam Global, (Nasdaq: BEEM, BEEMW), (the “Company”), the leading provider of innovative and sustainable infrastructure solutions for the electrification of transportation and energy security, today announced operating results for the year ended December 31, 2023.

2023 and Recent Company Highlights

“The Beam Team delivered a tripling of revenues, positive and significantly improved gross profits, significantly reduced operating costs as a percentage of revenues, a tangible path to cash flow, and growing pipeline and healthy backlog,” said Desmond Wheatley, CEO of Beam Global. “We executed a major geographic expansion into the world’s largest market for our products through our acquisition of Amiga DOO and won an important government contract award and our first million-dollar EV ARC™ order from a European military within five months of creating Beam Europe. We made significant enhancements to our operational, engineering and leadership teams and implemented efficiencies and design enhancements which enabled us to reduce direct costs and improve our products. We were awarded multiple new and meaningful patents and several awards for our existing products. We are now fabricating the first physical components of a major new product launch – EV Standard – in our European and Chicago facilities and we intend to bring that product to market early in the second half of this year. We achieved all of this in the same year without taking on debt and without meaningful dilution. 2023 was the best operational year by far in our history, and we believe that we have laid the groundwork for continued improvements in 2024.”

2023 Financial Summary

Revenues
For the fourth quarter of 2023, Beam Global reported record revenues of $20.0 million, a 154% increase over the same period in 2022. Full year revenues for 2023 were a record $67.4 million, a 206% increase over 2022. The 2023 revenue growth is primarily attributable to an increase in federal orders from larger orders we received in late 2022.

Gross Profit
Gross profit for the quarter ended December 31, 2023 was $0.4 million, or 2% of sales, compared to a gross loss of $0.7 million, or 9% of sales in the fourth quarter of the prior year. As a percentage of sales, our gross profit improved by 11%. For the year ended December 31, 2023, our gross profit was $1.2 million, or 2% of sales, compared to a gross loss of $1.7 million, or 7% of sales in 2022. As a percentage of sales, the full year margin improved by 9%. Excluding non-cash intangible amortization from the 2023 gross margin, increases gross profits to $2.1 million. The improvement in gross margin is primarily due to the increase in production levels compared to the prior year which resulted in favorable fixed overhead absorption, as well as cost savings from engineering design changes, labor efficiencies and reduction in material costs.

Operating Expenses
Operating Expenses were $5.5 million or 28% of revenues for the fourth quarter of 2023, compared to $7.1 million or 90% of revenues for the same period in the prior year, an improvement of 62% year over year. Operating expenses decreased by $1.9 million for non-cash contingent consideration related to the All Cell Technologies acquisition and for non-cash stock compensation expense, partially offset by increases for sales commissions. For the year ended December 31, 2023, total operating expenses were $17.5 million or 26% of revenues compared to $18.0 million, or 82% of revenues for the same period in 2022, an improvement of 56% as a percentage of revenues. Expenses in 2023 included a $5.3 million reduction in the fair value of contingent consideration expense related to the All Cell Technologies acquisition which was recorded in 2022 but was not required in 2023. Operating expense increases included commissions due to the increase in sales, the addition of operating expenses for Amiga for Q4 following the acquisition and increased salaries and consultants including R&D related to the development of the new EV Standard™ product.

Net Loss
Net loss was $5.1 million, or 25% of revenue for the fourth quarter of 2023, compared to $7.8 million, or 99% of revenue, for the same period in 2022 an improvement of 74% year over year. Net Loss was $16.1 million or 24% of revenues for the year ended December 31, 2023, compared to $19.7 million or 90% of revenues for 2022 an improvement of 66% year over year. The year-to-date net loss included non-cash expense items such as depreciation, intellectual property amortization and non-cash compensation expense of $4.3 million in 2023 and $9.2 million in 2022. 2023 net loss excluding noncash items was $11.8 million or 18% of revenues.

Cash and Working Capital
On December 31, 2023, we had cash of $10.4 million, compared to $1.7 million at December 31, 2022. The cash increase was primarily due to a capital raise in June 2023, offset by increased accounts receivable due to the increased revenues, operating losses and cash payments for the acquisition of Amiga in the fourth quarter. Our working capital increased from $6.8 million to $23.8 million from December 31, 2022 to December 31, 2023 due to the cash from the capital raise and the increase in accounts receivable and inventories resulting from the increased orders and revenues.

Conference Call April 17, 2024 at 4:30 p.m. ET

Management will host a conference call on Wednesday April 17, 2024 at 4:30 p.m. ET to review financial results and provide an update on corporate developments. Following management’s formal remarks, there will be a question-and-answer session.

Participants can register for the conference through the following link:
https://dpregister.com/sreg/10188501/fc58d5e2fd
Please note that registered participants will receive their dial in number upon registration.

Those without internet access or unable to pre-register may dial in by calling:
PARTICIPANT DIAL IN (TOLL FREE): 1-844-739-3880
PARTICIPANT INTERNATIONAL DIAL IN: 1-412-317-5716
Please ask to be joined into the Beam Global call.
   

A webcast archive is available at the above URL for one year following the call.

About Beam Global

Beam Global is a clean technology innovator which develops and manufactures sustainable infrastructure products and technologies. We operate at the nexus of clean energy and transportation with a focus on sustainable energy infrastructure, rapidly deployed and scalable EV charging solutions, safe energy storage and vital energy security. With operations in the U.S. and Europe, Beam Global develops, patents, designs, engineers and manufactures unique and advanced clean technology solutions that power transportation, provide secure sources of electricity, save time and money and protect the environment. Headquartered in San Diego with facilities in Chicago, Belgrade and Kraljevo, Beam Global has a deep patent portfolio and is listed on Nasdaq under the symbols BEEM and BEEMW. For more information visit BeamForAll.comLinkedInYouTube and X (formerly Twitter).

Forward-Looking Statements

This Beam Global Press Release contains forward-looking statements including but not limited to statements about the Company’s belief about its future profitability. All statements in this Press Release other than statements of historical facts are forward-looking statements. Forward-looking statements are generally accompanied by terms or phrases such as “estimate,” “project,” “predict,” “believe,” “expect,” “anticipate,” “target,” “plan,” “intend,” “seek,” “goal,” “will,” “should,” “may,” or other words and similar expressions that convey the uncertainty of future events or results. These statements relate to future events or future results of operations, including, but not limited to the following statements: statements regarding the acquisition of Amiga, its expected benefits, and the anticipated future financial performance as a result of the acquisition. These statements are only predictions and involve known and unknown risks, uncertainties and other factors, which may cause Beam Global’s actual results to be materially different from these forward-looking statements. Except to the extent required by law, Beam Global expressly disclaims any obligation to update any forward-looking statements.

Investor Relations:
Core IR
+1 516-222-2560
IR@BeamForAll.com

Media Contact:
Skyya PR
+1 651-335-0585
Press@BeamForAll.com

 
Beam Global
Consolidated Balance Sheets
(In thousands)
     
    December 31,
    2023
  2022
Assets            
Current assets            
Cash   $ 10,393     $ 1,681  
Accounts receivable, net   15,943     4,429  
Prepaid expenses and other current assets   2,453     1,579  
Inventory   11,933     12,246  
Total current assets   40,722     19,935  
             
Property and equipment, net   16,513     1,548  
Operating lease right of use assets   1,026     1,638  
Goodwill   10,270     4,600  
Intangible assets, net   9,050     9,947  
Deposits   62     62  
Total assets   $ 77,643     $ 37,730  
             
Liabilities and Stockholders’ Equity            
Current liabilities            
Accounts payable   $ 9,732     $ 2,865  
Accrued expenses   2,737     1,687  
Sales tax payable   209     33  
Deferred revenue, current   828     1,183  
Note payable, current   40      
Deferred consideration, current   2,713      
Contingent consideration, current       6,776  
Operating lease liabilities, current   615     628  
Total current liabilities   16,874     13,172  
             
Deferred revenue, noncurrent   402     266  
Note payable, noncurrent   160      
Contingent consideration, noncurrent   4,725     15  
Other long-term liabilities   5,485      
Operating lease liabilities, noncurrent   455     1,070  
Total liabilities   28,101     14,523  
             
Total stockholders’ equity   49,542     23,207  
Total liabilities and stockholders’ equity   $ 77,643     $ 37,730  
Beam Global
Consolidated Statements of Operations
(In thousands, except per share amounts)
 
    Year Ended
    December 31,
    2023
  2022
             
Revenues   $ 67,353     $ 21,995  
Cost of revenues   66,149     23,662  
Gross profit (loss)   1,204     (1,667 )
             
Operating expenses   17,465     18,049  
Loss from operations   (16,261 )   (19,716 )
             
Total other income, net   213     36  
             
Loss before income tax expense   (16,048 )   (19,680 )
Income tax expense   12     2  
Net loss   $ (16,060 )   $ (19,682 )
             
Net loss per share – basic and diluted   $ (1.30 )   $ (1.99 )
Weighted average shares outstanding – basic and diluted   12,345     9,909  

Bay Street News