Nuvve Holding Corp (NVVE) 2024 Q3 法說會逐字稿

Good afternoon and welcome to the Nuvve Holding Corporation third quarter 2024 earnings conference call. Please note this event is being recorded.

下午好，歡迎參加 Nuvve Holding Corporation 2024 年第三季財報電話會議。請注意，該事件正在被記錄。

On today's call we have Gregory Poilasne, Chief Executive Officer; and David Robson, Chief Financial Officer of Nuvve. Earlier today, Nuvve issued a press release announcing its third quarter 2024 results. Following prepared remarks, we will open the call up for questions.

今天的電話會議由執行長 Gregory Poilasne 主持；以及 Nuvve 財務長 David Robson。今天早些時候，Nuvve 發布了一份新聞稿，宣布了 2024 年第三季的業績。聽完準備好的發言後，我們將開始提問。

Before we begin, I would like to remind you that this call may contain forward-looking statements. While these forward-looking statements reflect Nuvve's best current judgment, they are subject to risks and uncertainties that could cause actual results to differ materially from those implied by these forward-looking projections.

在我們開始之前，我想提醒您，本次電話會議可能包含前瞻性陳述。雖然這些前瞻性陳述反映了 Nuvve 目前的最佳判斷，但它們受風險和不確定性的影響，可能導致實際結果與這些前瞻性預測所暗示的結果有重大差異。

These risk factors are discussed in Nuvve's filings with the SEC and in the earnings release issued today, which are available on our website. Nuvve undertakes no obligation to revise or update any forward-looking statements to reflect future events or circumstances.

這些風險因素在 Nuvve 提交給美國證券交易委員會 (SEC) 的文件和今天發布的收益報告中進行了討論，可在我們的網站上查閱。Nuvve 不承擔修改或更新任何前瞻性陳述以反映未來事件或情況的義務。

With that, I would like to turn the call over to Gregory Poilasne, Chief Executive Officer of Nuvve. Gregory?

接下來，我想將電話轉給 Nuvve 執行長 Gregory Poilasne。格雷戈里？

Thank you and good afternoon to everyone here today. Welcome to our third quarter 2024 results call. This quarter has been a very active one and has been very active in many ways and we are excited to share more details with you today.

謝謝大家，大家下午好。歡迎參加我們的 2024 年第三季業績電話會議。本季非常活躍，在許多方面都非常活躍，我們很高興今天與大家分享更多細節。

So this third quarter has remained challenging for Nuvve. We are seeing that the fruit of multiple efforts we have been carrying out during this period is now paying off. We have been able to reduce our expenses with minimum impact to our operational capabilities. We have been increasing our margins, while our top line sales are finally picking up, some of it driven by the kickoff of our hub project with the Fresno Economic Opportunity Commission.

因此，第三季對於 Nuvve 來說依然充滿挑戰。我們看到，我們這段時間以來的多方努力正在取得成果。我們已經能夠減少開支，同時將對營運能力的影響降到最低。我們的利潤率一直在提高，同時我們的營收也終於出現回升，部分原因是我們與弗雷斯諾經濟機會委員會合作啟動了樞紐計畫。

In the meantime, we have been working with new investors on a convertible loan that we have closed post end of the quarter. Through that period, David and myself, have provided a bridge loan to the company, showing our engagement and support into this business.

同時，我們一直在與新投資者合作籌資，以尋求可轉換貸款，並已於本季末完成貸款籌措。在此期間，大衛和我向該公司提供了過橋貸款，以表明我們對這項業務的參與和支持。

Sales in our school bus business are finally picking up after an extremely sluggish start of the year, driven by a slower than expected process from the EPA notifying school districts that are approved for funding. The new progress is based on EPA round two and round two releases. Though we will see some benefits in our Q4 revenue, we also expect revenue will slide into 2025 and we are now working on our EPA round four.

由於美國環保署通知獲得資金批准的學區的進程比預期慢，我們的校車業務銷售在經歷了今年開局極其低迷之後終於開始回升。這項新進展是基於 EPA 第二輪和第二輪的發布。儘管我們的第四季營收將有所增加，但我們預計營收將下滑至 2025 年，目前我們正致力於 EPA 第四輪。

Q3 also allowed us to finally recognize some revenue from the project with the Fresno EOC commission in the Fresno County. This key project has been for a long time in the making. It does not only bring us some critical cash through a project management fee, it also securing a strong baseline revenue for 2025.

Q3 也讓我們最終從與弗雷斯諾縣弗雷斯諾 EOC 委員會合作的項目中獲得了一些收入。這項重點項目醞釀已久。它不僅透過專案管理費為我們帶來了一些關鍵的現金，還確保了 2025 年強勁的基礎收入。

As a reminder, Nuvve GIVe software platform will be connected to a variety of resources such as solar generation, storage, charging stations, electric vehicle and a microgrid manager, providing the ability to manage and optimize site energy consumption and to aggregate resources across multiple sites to participate into ancillary services and other grid services market.

需要提醒的是，Nuvve GIVe 軟體平台將連接到各種資源，如太陽能發電、儲能、充電站、電動車和微電網管理器，提供管理和優化站點能源消耗的能力，並聚合多個站點的資源以參與輔助服務和其他電網服務市場。

The platform is acting as a true grid modernization platform, allowing fleet operators to save money, transition to EV fleets faster and optimize capital asset life. Concerning our collaboration with Taipower Corporation, we have now signed a contract with our partner, e-Formula, and a breaking ground event will most likely happen mid-February after the Chinese New Year. We are in the process of finalizing the date.

該平台是一個真正的電網現代化平台，使車隊營運商能夠節省資金、更快地過渡到電動車隊並優化資本資產壽命。至於與台電的合作，目前我們已經與合作夥伴e-Formula簽訂了合約，預計在農曆新年後的2月中旬舉行動工儀式。我們正在確定最終日期。

As a reminder, this project includes a total deployment of 90 plus charging stations and a stationary storage and is using the same technology being deployed in our Fresno EOC project. This Taiwanese project has a 20 year life and the scaling of the deployments will be adjusted based on local demand.

提醒一下，該專案總共部署了 90 多個充電站和一個固定存儲，並使用了與我們在弗雷斯諾 EOC 專案中部署的相同的技術。此台灣專案的壽命為20年，部署規模將根據當地需求進行調整。

The first phase is targeting a small feat of vehicle-to-grid compatible shuttles, providing transportation services to employees for local companies in Hsinchu, going from the train station to the company buildings. Other projects are coming up on the island of Taiwan and we hope to share more with you soon.

第一階段的目標是實現車到電網相容的小型接駁車，為新竹當地公司的員工提供從火車站到公司大樓的交通服務。台灣島上還有其他項目即將推出，我們希望很快與您分享更多內容。

Concerning our joint work with WISE EV-LLC addressing public infrastructure, multiple sites have now signed up with us and the TEP application have been or in the process of being submitted to NV Energy. In parallel, we are negotiating with different parties to provide their financing to these SPVs, supporting these deployments.

關於我們與 WISE EV-LLC 在公共基礎設施方面的合作，目前已有多個站點與我們簽約，並且 TEP 申請已經或正在提交給 NV Energy。同時，我們正在與各方進行談判，為這些特殊目的公司提供融資，以支援這些部署。

As a reminder, these SPVs are allowing us to accelerate Nuvve technology deployment, save money for EV drivers by providing attractive energy cost pricing and reliable equipment, and bring non-dilutive cash to Nuvve in the form of prepaid services. The first SPV will be financed through debt provided to the SPV for a whole project cost of $1.2 million.

提醒一下，這些 SPV 使我們能夠加速 Nuvve 技術部署，透過提供有吸引力的能源成本定價和可靠的設備為電動車駕駛員節省資金，並以預付費服務的形式為 Nuvve 帶來非稀釋性現金。第一個 SPV 將透過向 SPV 提供的債務來融資，整個專案成本為 120 萬美元。

We believe the SPV structure we have adopted makes our future revenue more forecastable and provides cash up front. Revenue recognition might be delayed in some cases, but again this will make our future revenue more forecastable. As a short update on our engagement with Capital Global, working on key strategic investments, we are still making progress and we hope to share with you some update very soon.

我們相信，我們採用的 SPV 結構使我們的未來收入更可預測，並提供預付現金。在某些情況下收入確認可能會延遲，但這也將使我們未來的收入更加可預測。關於我們與 Capital Global 合作進行關鍵策略投資的簡要更新，我們仍在取得進展，我們希望很快與您分享一些更新資訊。

Finally, a couple of remarks on the outcome of the election. At this point, I want to emphasize that Nuvve is not just an EV company. The GIVe platform creates a bridge between the need from the grid and assets such as stationary storage, local energy generation, EV and other significant loads.

最後，就選舉結果談幾點評論。在這一點上，我想強調的是，Nuvve 不僅僅是一家電動車公司。GIVe 平台在電網需求和固定儲存、本地能源發電、電動車和其他重要負載等資產之間架起了一座橋樑。

For the first time since 1990, the load in the United States grid is increasing and energy volatility is getting larger and larger. The GIVe platform capabilities, allows us to drastically reduce the peaks on the grid and is ideal for grid modernization. Without such a platform, the cost of energy will be prohibitive. The need for our platform exists with or without federal EV mandates. Less regulation can afford the opportunity to scale our business faster.

自1990年以來，美國電網負載首次增加，能源波動性越來越大。GIVe 平台的功能使我們能夠大幅降低電網峰值，是電網現代化的理想選擇。如果沒有這樣的平台，能源成本將會高得令人難以承受。無論是否有聯邦電動車強制規定，我們的平台都是需要的。減少監管可以提供我們更快擴大業務的機會。

And now, I will let David take you through the details of our financials. David?

現在，我將讓大衛向您介紹我們的財務狀況的詳細資訊。戴維？

Thanks, Gregory. I will start with a recap of third quarter 2024 results. In the third quarter, we generated total revenues of $1.9 million compared to $0.8 million in the second quarter of 2024 and $2.7 million in the third quarter of 2023.

謝謝，格雷戈里。我將先回顧 2024 年第三季的業績。第三季度，我們的總營收為 190 萬美元，而 2024 年第二季為 80 萬美元，2023 年第三季為 270 萬美元。

The $1.1 million quarter-over-quarter revenue increase this year was driven by $0.9 million increase in service revenues and a $0.2 million increase in hardware revenue. $0.6 million of the service revenues earned this quarter relates to our hub project in Fresno, California, which we kicked off earlier this year.

今年季度營收季增 110 萬美元，其中服務收入增加 90 萬美元，硬體收入增加 20 萬美元。本季獲得的 60 萬美元服務收入與我們今年稍早啟動的加州弗雷斯諾樞紐計畫有關。

When compared to last year, the third quarter decrease in revenues of $0.8 million was impacted by the non-recurring EV school bus sales sold last year of $0.9 million offset by higher service revenues.

與去年相比，第三季營收減少 80 萬美元，主要是受到去年非經常性電動校車銷售額 90 萬美元的影響，但服務收入的增加抵消了這一影響。

Year-to-date revenues through September 30, 2024 were $3.5 million compared to $6.7 million for the prior year period or a decline of $3.2 million. The $3.2 million decline was impacted by a reduction in charger hardware sales of $2.4 million and the non-recurring EV bus sales of $0.9 million.

截至 2024 年 9 月 30 日的年初至今收入為 350 萬美元，而去年同期為 670 萬美元，下降了 320 萬美元。320 萬美元的降幅受到充電器硬體銷售額減少 240 萬美元和非經常性電動車公車銷售額減少 90 萬美元的影響。

This year we have seen delays in EPA funding awards when compared to last year, which has negatively impacted the pace of hardware sales this year. Despite the reduction in revenues over last year, we have improved our gross margins. Gross margins for the third quarter 2024 were $1 million compared to $0.3 million for the third quarter last year.

與去年相比，今年環保署的資金獎勵有所延遲，這對今年的硬體銷售速度產生了負面影響。儘管收入較去年同期有所減少，但我們的毛利率有所提高。2024 年第三季的毛利為 100 萬美元，而去年第三季的毛利為 30 萬美元。

Year-to-date gross margins through September 30, 2024, were $1.5 million compared to $0.9 million for the same period last year. The increase in gross margins is primarily due to improved pricing on hardware sales and a higher mix of service revenues compared with last year.

截至 2024 年 9 月 30 日的年初至今毛利為 150 萬美元，而去年同期為 90 萬美元。毛利率的成長主要歸因於與去年相比硬體銷售價格的提高和服務收入結構的成長。

As a reminder, margins can be lumpy from quarter-to-quarter depending on the mix. DC charger gross margins at standard pricing generally range from 15% to 25%, while AC charger gross margins are approximately 50%, but in dollar terms are a small fraction of the revenue of the DC charger.

需要提醒的是，根據產品組合的不同，各季度的利潤率可能會有所不同。標準定價的直流充電器毛利率一般在 15% 至 25% 之間，而交流充電器毛利率約為 50%，但以美元計算，它們僅佔直流充電器收入的一小部分。

Grid service revenue margins are generally 30%, while software and engineering service margins are as high as 100%. Operating costs, excluding cost of sales, were $2.8 million for the third quarter of 2024 compared to $6 million for the second quarter of 2024 and $8.8 million for the third quarter of 2023.

電網服務收入利潤率一般為30%，而軟體和工程服務利潤率則高達100%。2024 年第三季的營運成本（不包括銷售成本）為 280 萬美元，而 2024 年第二季為 600 萬美元，2023 年第三季為 880 萬美元。

The $3.2 million decrease over last quarter was primarily due to lower payroll and consulting expenses. We continue to focus our efforts on improving operating efficiencies, which has resulted in lower overhead costs.

與上一季相比，減少 320 萬美元主要是由於工資和諮詢費用減少。我們持續致力於提高營運效率，從而降低了管理費用。

Cash operating expenses, excluding cost of sales, stock compensation and depreciation and amortization expense, declined to $2.2 million in the third quarter of 2024 versus $5.4 million in the second quarter of 2024 and $7.6 million in the third quarter of 2023. Other income was $187,000 in the third quarter of 2024, up from $130,000 in the year ago quarter.

現金營運費用（不含銷售成本、股票薪資和折舊及攤提費用）在 2024 年第三季下降至 220 萬美元，而 2024 年第二季為 540 萬美元，2023 年第三季為 760 萬美元。2024 年第三季的其他收入為 187,000 美元，高於去年同期的 130,000 美元。

The current period benefited from non-cash gains from the change in fair value of warrants offset by interest expense. Net loss attributed to newly common stockholders decreased in the third quarter of 2024 to $1.6 million from a net loss of $8.6 million in the third quarter 2023. The $6.9 million improvement was a result of higher gross margins of $0.7 million, lower operating expenses of $5.9 million, and increased other income of $0.3 million.

本期受惠於認股權證公允價值變動產生的非現金收益抵銷了利息費用。2024 年第三季歸屬於新普通股股東的淨虧損從 2023 年第三季的 860 萬美元淨虧損減少至 160 萬美元。690 萬美元的成長是由於毛利率提高 70 萬美元、營運費用降低 590 萬美元以及其他收入增加 30 萬美元。

Now, turning to our balance sheet, we had approximately $0.3 million in cash as of September 30, 2024, excluding $0.5 million of restricted cash, which represents a decrease of $1.1 million from June 30, 2024.

現在，回顧我們的資產負債表，截至 2024 年 9 月 30 日，我們擁有約 30 萬美元的現金，不包括 50 萬美元的受限現金，這比 2024 年 6 月 30 日減少了 110 萬美元。

The $1.1 million decrease in cash was a result of cash operating losses of $1 million, negative working capital of $2.6 million, offset by $2.5 million in cash received from the issuance of short-term promissory notes.

現金減少 110 萬美元是由於現金經營損失 100 萬美元、負營運資本 260 萬美元，但因發行短期本票而收到的現金 250 萬美元有所抵銷。

Subsequent to the quarter ended September 30, 2024, we received an additional $3.1 million in proceeds from the issuance of convertible notes this October, which will be paid off in monthly payments with interest in either cash or equity, beginning in February 2025 through April 2026.

在截至 2024 年 9 月 30 日的季度之後，我們今年 10 月發行的可轉換票據又獲得了 310 萬美元的收益，這些收益將從 2025 年 2 月開始到 2026 年 4 月以現金或股權形式每月支付利息。

During the quarter, inventories decreased by $0.3 million to $5.7 million at September 30, 2024, as we continue to reduce inventory levels. Accounts payables at the end of the third quarter of 2024, was $2.2 million, an increase of $0.3 million compared to the second quarter of $1.9 million.

本季度，由於我們繼續降低庫存水平，庫存減少了 0.3 百萬美元至 2024 年 9 月 30 日的 5.7 百萬美元。2024 年第三季末的應付帳款為 220 萬美元，較第二季的 190 萬美元增加 30 萬美元。

Accrued expenses at the end of the third quarter of 2024, was $3.3 million, a decrease of $1.7 million compared to the second quarter of $4.9 million. The reduction in accrued expenses was principally due to lower accruals for payroll and consulting expenses.

2024 年第三季末的應計費用為 330 萬美元，較第二季的 490 萬美元減少 170 萬美元。應計費用的減少主要是由於工資和諮詢費用的應計減少。

Regarding our joint venture with Stonepeak and Evolve, their conditional capital contribution commitments in our subsidiary, Legal Mobility expired on August 4, 2024, as defined in our LLC agreement.

關於我們與 Stonepeak 和 Evolve 的合資企業，根據我們的 LLC 協議定義，他們對我們的子公司 Legal Mobility 的有條件資本貢獻承諾已於 2024 年 8 月 4 日到期。

Along with the expiration of their capital commitment, during the third quarter, we purchased from Stonepeak and Evolve their interest in Legal Mobility for a nominal amount, which resulted in a reduction in our mezzanine equity to zero, as well as the cancelation of $5.1 million of liabilities associated with the joint venture, including the derivative liability for the non-controlling interest and dividend liability due to Stonepeak and Evolve.

隨著他們的資本承諾到期，在第三季度，我們以名義金額從 Stonepeak 和 Evolve 手中收購了他們在 Legal Mobility 的權益，這導致我們的夾層股權減少為零，同時取消了與合資企業相關的 510 萬美元的負債，包括非歸權益的衍生負債以及屬於 Stonepeak 和 Evolve 的股息負債。

Now, turning to our megawatts under management and estimated future grid service revenues, as a reminder, megawatts under management is a metric we use to quantify the aggregated amount of electrical capacity from the deployment of our V1G and V2G chargers, which are primarily deployed in the electric school bus market in the US and in the light duty fleet deployments in Europe, in addition to stationary batteries.

現在，談談我們管理的兆瓦數和預計的未來電網服務收入，提醒一下，管理的兆瓦數是我們用來量化部署 V1G 和 V2G 充電器所產生的總電力容量的指標，這些充電器主要部署在美國的電動校車市場和歐洲的輕型車隊部署中，還有固定電池。

Currently, these chargers and batteries are located throughout the United States, Europe and Japan. Megawatts under management in the third quarter increased 7.7% over the second quarter of 2024 to 29.2 megawatts from 27.1 megawatts, a 37.3% increase compared to the third quarter of 2023.

目前，這些充電器和電池遍布美國、歐洲和日本。2024 年第三季管理的兆瓦數較第二季的 27.1 兆瓦增加 7.7% 至 29.2 兆瓦，較 2023 年第三季增加 37.3%。

In terms of its composition, 7.1 megawatts were from stationary batteries and 22.1 megawatts were from EV chargers. We continue to expect further growth in our megawatts under management as we go through the remainder of the year and continue to commission our backlog of customer orders we have earned. In addition to new business, we anticipate winning, which we have visibility to in our pipeline for both EV chargers and stationary batteries.

從組成來看，7.1兆瓦來自固定電池，22.1兆瓦來自電動車充電器。隨著今年剩餘時間的到來以及我們繼續處理所積壓的客戶訂單，我們預計我們管理的兆瓦數量將進一步成長。除了新業務之外，我們還期待獲得成功，這對我們的電動車充電器和固定電池產品線都有清晰的預見。

Now, turning to backlog, on September 30, our hardware and service backlog decreased by $0.7 million to $17.5 million, from $18.2 million reported at June 30, 2024. Year-to-date, backlog this year has increased by $13.6 million from $3.9 million at December 31, 2023, which is primarily related to the large hub project in Fresno, California, which was closed during Q1 of this year, and revenue has begun to be recognized this quarter.

現在，談到積壓訂單，9 月 30 日，我們的硬體和服務積壓訂單從 2024 年 6 月 30 日報告的 1820 萬美元減少了 70 萬美元至 1750 萬美元。年初至今，今年的積壓訂單較 2023 年 12 月 31 日的 390 萬美元增加了 1,360 萬美元，這主要與加州弗雷斯諾的大型樞紐項目有關，該項目於今年第一季結束，本季已開始確認收入。

As we look out for the next several quarters, we expect to see more activity on the Fresno hub opportunity as this project gets built out. We also anticipate improvements in our cash burn resulting from the benefits of lower operating costs and improved gross margins compared with last year.

展望未來幾個季度，我們預計隨著該項目的建設，弗雷斯諾樞紐機會將會出現更多活動。我們也預計，與去年相比，由於營運成本降低和毛利率提高，我們的現金消耗將得到改善。

This concludes my portion of the prepared remarks. Gregory, back to you to conclude.

我的準備好的發言部分到此結束。格雷戈里，最後由你來做結論。

Thank you, David. Though this third quarter 2024 has remained challenging, we see it as a turning point. We have finally been able to close on some of our big projects, not only securing short-term cash, but also certifying our 2025 revenue. We have been managing our cash tightly, personally supporting the company when required.

謝謝你，大衛。儘管 2024 年第三季仍然充滿挑戰，但我們認為這是一個轉捩點。我們終於完成了一些大項目，不僅獲得了短期現金，還確保了 2025 年的收入。我們一直在嚴格管理現金，並在公司需要時親自提供支援。

We still see the extension of our reach within segments where we can bring significant value and where government support is essential just diversifying our source of revenue and bringing more quarter-to-quarter stability. These are also deployments where we feel like we have a better control on the timing.

我們仍然看到，在我們可以帶來重大價值且政府支持至關重要的領域中，我們的影響力正在不斷擴大，這使我們的收入來源多樣化並帶來更多的季度穩定性。在這些部署中，我們感覺可以更好地控制時間。

Mandates for renewable generation, storage and in some cases, EV deployments are being implemented in many places in the US and in Europe. With such mandates, we see Nuvve GIVe platform as a key grid modernization tool. Finally, we hope to share the progress we are making a strategic path very soon with you. Thank you very much.

美國和歐洲的許多地方正在實施再生能源發電、儲存以及在某些情況下電動車部署的強制要求。有了這樣的授權，我們將 Nuvve GIVe 平台視為關鍵的電網現代化工具。最後，我們希望很快與您分享我們在策略道路上的進展。非常感謝。

(Operator Instructions) Seeing no questions, this concludes our question-and-answer session. I would like to turn the conference back over to Gregory Poilasne for any closing remarks.

（操作員指示）沒有問題，我們的問答環節到此結束。我想將會議交還給 Gregory Poilasne，請他作最後發言。

Thank you for listening to us today and we are looking to be able to share with you more with you soon. Thank you.

感謝您今天的收聽，我們希望能夠很快與您分享更多內容。謝謝。

The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.

會議現已結束。感謝您參加今天的演講。您現在可以斷開連線。