Nuvve Holding (NVVE) 31 Mar 232022 Q4 Earnings call transcript

Good morning, and welcome to the Nuvve Holding Corporation Fourth Quarter and Full Year 2022 Earnings Conference Call. All participants will be in a listen-only mode. [Operator Instructions] Please note this event is being recorded.

I would now like to turn the conference over to Eduardo Royes, Managing Director, ICR. Please go ahead.

you. Thank are Officer Executive of call Robson, and Poilasne, Financial Chief Nuvve. Gregory today's Officer; Chief David On Earlier today, Nuvve fourth quarter issued a press full XXXX release year results. and announcing its

for we the will Following prepared call remarks, up questions. open

Before call contain this we you may begin, to forward-looking would remind I that statements. like

in factors they website. these projections. those could discussed and these revise results cause are the no judgment, best to forward-looking These implied risks to filings differ statements Nuvve's reflect with the in circumstances. are to or subject forward-looking earnings While from SEC which today, by actual to forward-looking available release events these and reflect or risk obligation Nuvve issued statements materially update any on current are future uncertainties our undertakes that

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

and Eduardo, funding quarter school bus our with you, of We joining us joining for awarding bus results Thank The you clean EPA in XXXX the and part program to thank grant October. moment of for hello year the a watershed call. quarter today. fourth as electrification everybody school full saw fourth

our the out first we customers phase of facilitated of November length, thrilled five-year to XX were EPA find receiving in at discussed of its As rebates bus in part as on Nuvve that district October call, XX school clean program. school this

the $X.XX it. infrastructure-based high-powered buses, hardware but with have spend $XX,XXX received our design other closely customers rebate have grant, step working the we in translates several with school we with bus. recipients and the Over flexibility we customers process in months, the just process for Nuvve is facilitated. with for chargers potential our been that were funding of one in district they the past [Grandbriters], This money along application in associated money site how and Receiving XX partners which million per infrastructure Recall electrification. into

Nuvve's Bidirectional twice the chargers for amount. more than rebate have sold

chargers, two, As EPA likely, grant such, expect the to, pay DC most funding; but more choose the purchase the addition more may some we to seek customers to funding in difference to one, one with charger; as apply the so per the or DC than their rebate chargers. more their to purchase full cost rebate chargers funding three, of AC stack EPA of for cover

that are Recall than charges DC expensive charges. AC more

because grid understand get the they order constantly company. is this a how We're the out deploying approach faster and However, a charging We using opportunity life vehicle. through importantly, significant partners, to speed includes customers technology maximize able the Nuvve more Nuvve the dollars. consolidated in to the with in fleets over bidirectional proprietary them applied allow do of chargers fashion, team just process DC our customers unlock to projects not to helping and intergeneration infrastructure provide across value successfully an of valuable world. We're help with VXG platform to which and experienced of [carbon] think the time-tested VXG a take their enable their revenues strategic them executing their of

associated With to shipments expect and EPA we occur for that orders purchase over subsequent then funding the the receive over course quarter for the hardware with said, quarters. to second of of majority the the

billion Clean provide EPA $X As a by of is funding total reminder, in the school program trying to a bus XXXX.

for our to one more program. in well applications outperform this this phase are the released XXXX We in participating weeks hope learn the We coming and trend phase look heavily to forward in expect results. as to as

of sales build, introduced the for to one invited California XX% VXG combat VXG the climate as remains another were forefront the Earlier vehicles year, the tailwinds legislation more play occupy. Nancy in critical front, climate XXXX. to electric I change should On XXX want and regulatory new that and underscore yet California update role to of promote Bill we continue you as but this Skinner regulatory where is vehicle at on can State that the they than EV Senator see focus. adoption VXG

bill for order power improving year the capable of stations be calls to grid integration by a helping higher bills while charging their grid electric stability and electric bidirectional vehicle bidirectional goals, avoid able be capable of drivers and the model energy charging outage. stations in XXXX for Specifically, establishment state-wide and reduce that to all requirement vehicles and incentives so EV vehicles to

become on the While importance the for to services stages, must developments a this products by of specifically low. resource. working Nuvve unprecedented it have is representing of recognition is and as support VXG and way new reliability through legislation policymakers This the its still policy

during Further, outages energy our Public retailing we demand of XX in with mid with and year response San help summer California this October electricity from maximum limit increasing dispatch evening the electrical to the of to California's Nuvve SDG&E. Hotmart. reducing Electric participation program, In pays of VXG effect [indiscernible] new approach grid in of or XXXX, supply pairing California pilot for short, Reduction service CPUC, ELRP launched in In is Load by late that hours. Diego a Commission, will avoid Gas in or Utilities in its typical Emergency technology afternoon our second Recall early customers of to consumption hours ELRP. periods emergency. creating the the & The or ELRP a March XXXX, program in program begin electricity and diluted or the

unprecedented over in District. at Unified this loan August, entire of forward the VXG California. San Nuvve in an gas the during grid have energy will hour to X,XXX strict of that being VXG greenhouse We to XXX in blew look Ramona XXXX metrics and School to able October Valley about XX-day of We This keep resources participating operator with season, Cajon largest how of and ELRP X Unified availability about away kilograms the this respectively. assets of or records, by this past July far, an the District operational School export reduction megawatt expanded impressive in off megawatts hit in to over equivalent Diego serve in the program ELRP leverage the year. to resulted XXX kilogram calendar

Massachusetts through & VXG or remain sales Our Grants forefront at relationships ELRP and outside and Funding to and major Asia. markets of as launch. those the Europe programs with ensuring other the including such building in North Delaware soon strengthening California, opportunities we But Rhode similar North at other teams America, are are forefront. and remain New York, America these see opportunities in we VXG and addition Island, ELRP markets developments, exist that that to of both which place in like programs

February, with a the the Nuvve half Unified purchase Also electric order shipments fast School Los or first to LAUSD, DC Angeles the market the of school year. from in in VXG-capable in chargers sell District accepted bus XX

plan In aligns respect during operational charger fact, effectiveness. with iceberg been with to strategic these set. date. order already believe And XX as our with opportunity charges represent to infrastructure we for modernize the eventual the have single programs, of LAUSD's DC many quarter first tip fast order the shipped to is XXXX. This XXXX-XXXX of potential purchase largest This just that

bus to of operates bus all largest of LAUSD school buses district represent think electric in XXX school capacity we X,XXX [electrify], the X,XXX country battery megawatts the school is fleet approximately buses. school which is with second if school estimated inevitable. the The This

with we other call. charging interface with opportunities exciting station as this at working reliant already last place us capital quarter which to whereby growth third-party third rebates that since large-scale means we OEMs, light Turning our Nuvve in view We a to infrastructure a services in revenue out call, and our On vehicles discussed layer hardware pursuing accelerating the in for on us. is of grid platform. VXG is of way and not rolling unidirectional

incredibly megawatts proud storage Denmark. power and months roadside in EV of Circle an expected charging fuel. stations in unidirectional XX operates After partnership and February. disclose of offering and across our technology VXG stationary with sites Nordics three service Circle chargers to participation fast stores of countries and five with management to we the manage approximately Through discussions initial K agreements, K market is Norway XX,XXX to XX negotiations, capacity K transportation our Nuvve and Circle several in XX were

the the year. of to expect modest and quarter to in half begin generate in for revenue second a We second gradual the ramp

recurring remain hardware the of in While the revenues a our and term, near revenue, excited elaborate our in little service I are about largest as revenue increasingly grid this remain growth today of bit. percentage lucky trajectory are way the faster will we to

applaud complete in charging first K, them After We regions. and integration countries the operators locations participation assets monetize Norway would ways with other across eventually, and to K strong we expand market stores additional high-speed EV XXX its seeking to than Norway charging Circle to with in which more for and Denmark. with through network, look Denmark Circle our and of is system to Nordic we work phase

a were technology we us happy apply Couche-Tard of their owned of this sites service is portfolio regime a X,XXX differentiator. in true transforming on portfolio Europe part covered ago our acquisition of few current of to the , stations the of going hear retail of poised XXXX. year-end weeks through with and view, service expanding be to Further, Couche-Tard K It by in a EV to can, that nearly as where that full-fledged a Circle be Circle in charging that all and K company assets [indiscernible] proposed seems VXG into hubs key are and Energy

key the focus to technology K, operation is is critical. Our today ramp-up another the of a are of Circle with of smooth to ensure pieces [perking] our making all one sure primary

gigawatts with with And and us want to you K XX stores are today, idea under so today To site station so a charging closely maximize value than per make across XXX-kilowatt standard charging drive of represents give more XX,XXX scale, we customers. management. as successful an sure colleagues our program this uptime the to with per to capacity XXX and their we stations Circle on working

opportunities update active to we remain to be year. similar hope discussion on later an this able one, additional also in We this that and to about provide

teams opening year to for of remarks, we high-level tie these as to various my a take view our and XXXX. together briefly conclude summarize last remarks I'd To revisit like XXXX

fast bus sluggish the opportunities our can of been of This our electrification in in XXXX make XXXX. DC pace compared unpredictable. the on in growth back The the in inflection the business which combination with discussed orders for in of reliance to school be we declined discipline the November, forefront subsidies reflected of we the timing half bus and chargers the in shortage have XXXX, the school we disappointed market of had in U.S. the of the As and car inflation, the specifically pace in

school remain still expect the do in we thousands We likely to thing improvement Nuvve lightly, but more proud share. in share We bus that not EV technology XXXX to even this XX% can is bus be sales believe are in both an we very more. Electric One confident estimate market we our year. hardware. our are We validates of, see hundreds than sales, we that connected of however, taken and our should the are grow stuff and will that this

the of medium near the generator be to term, business. the our In continue bigger EV our for will sale revenue charging hardware

As such, QX quarter strong orders that from XXXX we to the further program quarter report awards to in the say hardware than more With our QX we turn. to over, record XXXX and another of provide [MELA baseline have which, received XXXX. through thrilled expect good simply, course, material we a record order we quarter the improvement in We any can balance expect are expect in year. EPA and USD]. shipments this in, tide confidently the see in more Put a sales the should come for of as begins as XXXX nearly to

opportunities was of just for grid pursue is expand value to game] time, companies is we have provide megawatts Circle our provide course, At Hardware management the it the accelerating significantly we infrastructure two one themselves [AM Partnering grid one. step and importantly, call, K. discussed of we more just one is same growth such as where revenue. our differentiated in with how The under customers. services, and megawatt that the under ability our last the secured are the with on our important service Nuvve and deploying to -- the to the growth management

wanted especially can hesitant around on remain but pathway real to in in revenue Circle K management to to our early very there such we megawatts similar optimism making other predict, a pursuing, I XXXX in are for opportunities XXXX. improvement tough possible we as commercial days, service gains growth as be agreements some and sure guide partnerships in express in grid believe Through significant services, grid it and a is these to be solid we under

And our call the with discuss that, results. turn to I financial will to over now David

of I will in of fourth XXXX. the revenues results. Gregory. fourth $X.XX million $X.XX Thanks, of recap quarter, start we the In generated XXXX the by fourth and the is year-over-year decline to X/X with lower million more falling of service quarter by grant quarter revenues, total X%. balance lower XX% a compared which to and of the product decline driven revenues, declined is attributed than

for a in reflects relative XX.X% on year-over-year for with that quarter of the continued a XXXX. XXXX of primarily future service in have margins and fourth compared sales engage the share for QX fourth in XXXX, we revenues a of and than the in chargers revenues. XXXX. to customer into basis Note seen larger QX of third rights at quarter fourth on The the to a quarter DC quarter, X% discount revenue to Margins return improvement a service for XXXX doubled the of the were decision strong more the product contractual particular acceleration in sale grid

in be from addition, compared Margins service of lumpy XXXX the depending mix benefited can being quarter. quarter-to-quarter revenues revenues higher year of prior from a grid this margins fourth In on year with quarter mix. total also the

gross range AC to As approximately pricing a XX% reminder, from margins while gross standard charger margins DC are at XX%. charger XX% generally

attributed decrease service smaller in $X.X expenses, fees, a reduction revenue professional charger. the generally was Operating quarter a and a of compared increases XXXX compensation. primarily sales, revenue compensation million quarter fourth costs, to excluding a XX% in in of of DC are expenses, by was in the between range Grid the $X.X to fourth terms, rent XX%. dollar The margins cost of to million in But partially for of XXXX. legal increase share-based including offset fraction

we previously, reduce operating implemented maximize half second the order XXXX, costs of discussed As in liquidity. to and Gregory in steps to efficiencies

compensation amortization million expenses, As the third and stock depreciation quarter. was operating cash of such, excluding from declining quarter XXXX, sales, fourth $X.X in in of cost $X.X the million and

primarily quarter million with in quarters The such We income and was expense at lower or with XXXX the agreement. related $X XXXX of the XXXX. to declines third the in investor million the Levo expect of to and XXXX an the accredited fourth year is change fair quarter associated of issued fair purchase million first efficiencies for running in the formation additional other the value due future in during the increase versus million of Other $X the $X issued to an income Stonepeak value change expenses quarter infrastructure $X warrants to warrants and quarter. evolve approximately of the of in transition of in in securities ago

$X.X fourth other in due Net year. million increase of net primarily loss from to an million of The income. net is loss stockholders to to in common the decrease decreased by loss in attributable Nuvve $X.X in $X.X million a XXXX prior quarter the

Turning to full year results. our

to revenues X% margins the the for The service was half year. in in second full year of year full and product $X.X XX% to XX% service full realized XXXX, compared revenues of increase, XX.X% $X.X to of revenues grant $X.X to from XXXX, XX% the compared the lower year, compared last $X.X on increase. revenues Margins the to in decrease. a representing the first million of XX% total reflects $X.X representing million from margins a year For realized representing and generated XXXX. declined $X.X product million while million million, XX.X% prior XXXX in million a Full year we half for lower increased

We of half an decisions exchange we buses in XXXX revenue as grid first made the and early and EV strategic few sell of realized margins lower the a to avenue because in future opportunities. hardware for year in service hardware discounted

primarily year and $XX.X increase for costs to full of public million noncash of quarter other of the The excluding $XX.X income in primarily cost the for associated attributable Other warrants with year to value the in of was was of company in increase an fees with during XXXX Levo driven payroll with of increase the associated and third $XX.X million. with the the in costs, with prior year, costs. noncash formation of the financing plus issued compared in the associated expense year-over-year million for income full million issued by connection fair fair noncash entered Operating XXXX. This of and purchase the full was connection income million the year $XX.X value change change the professional XXXX in fees, warrants million formation compared sales, with $XX.X $XX.X the was consulting Levo XXXX. higher agreement of in securities into income the

improved for $XX.X million as restricted compared million we did loss in fourth attributable December stockholders the the raise excluding common XX, any in Net capital. $XX.X cash million We to by to year XXXX. of with million had the In for full approximately year not quarter, XXXX, full $XX.X $XX.X cash. $X.X million

However, offering we shares subsequent into of fourth had to our related entered the quarter at-the-market January in common we an or to that stock. ATM agreement disclosed end,

price, facility Given sparingly this have quarter we of our XXXX. first pressure the in on used stock

along megawatts through and operating registration, ability in our also us and just existing registered expenses with from into addition revenues continued provide our will of We in cash our raised we free XXXX. scale up under capital, liquidity management We our direct flexibility as to under believe to optimization $XXX,XXX February offering. shelf working with

investment charging in operation $X.X our new monetize in Switch, recently maintenance software we in in excited in are received also proceeds million and XXXX. to leader resulted We cash infrastructure to that announce that have agreed a

that only platform native charge developed reminder, to and charging a and to vehicle the everything. Switch As plug is has

We management in them technology our we to have energy June integration And into Switch of technology with with worked and VXG. in and entered order advance agreement for XXXX, strengthen years. for and an development further

partnership Switch. is benefits nondilutive strategic to At a investment in balance cash in return ability technology same favorable that put came sheet commercial our while the the about of in to of a the the The and view, million we $X a a our return financing the maintaining retaining important time various still at on allowed a event for win. way at made this and XX% while our time, Recently, partnership. an sell all-around us stake benefits

we remain price year-to-date, stock subject to shocks. of ahead, raise as that outlook the business underlying Looking remains That the our subject being our to our we have momentum most focused on opportunities manner for seen efficient and a in and in said, to very capital remains exogenous volatile uncertain the macro and shareholders. leverage fundamentals

losses operating Total cash the to fourth quarter, million, offset attributed decreased $X.X million cash $X positive by of by working primarily capital. during

quarters, in $X.X bring from receivable. investment continue expect quarter Inventory quarter end the million generate down as improve discussed, million accounts at decreased As end our we the fourth the XXXX inventory we of previously by in our will we capital working to the cash to positive million net and to XXXX. which burn third of in at future of $XX.X $XX.X

compared fashion by increased at the million to decline third Gregory. to alluded to pick inventory $X.X fourth end anticipated $X.X a of end more our expect up to in We the Accounts the payable at beginning year, of quarter as as shipments the million the quarter. the of in charger meaningful

under Now, future revenues. management service estimated megawatts turning grid to and

quantify and electric are chargers, United aggregated the VXG the stationary in we Currently, capacity addition under our school in are fleet a Europe management reminder, electrical and deployed the the of a primarily As to these which of batteries States, light-duty and Europe chargers from metric amount deployment megawatts to deployments in use the located is throughout Japan. market bus batteries. U.S. in in and VXG

of to X% XX.X% management fourth up third increased under at the quarter the Megawatts the end by quarter, XXXX XX.X%. X.X% from over

increased EV management XX%. and megawatts of the comprised megawatts X For for from chargers. batteries by full under megawatts under X.X stationary Megawatts year, management

coming We new to megawatts bus opportunity, increase under proposals Europe. charging expect the North and quarters and are station America Circle K driven commercial in on management the other nicely working our by deployments in school we

to future service on a This estimated brings which me merchant with and management revenues be deployed, under megawatts our combination revenues and megawatts based revenues. grid grid to exposed is of service associated contractor

we in be expect hardware to mentioned, of orders historical Gregory charger QX the to any As XXXX XXXX in strongest quarter XXXX. our compared and

this stages our XX.X% growth, of early of management growing with megawatts end revenues reaping at to recurring and platform. are further the XXXX, benefits at In XXXX in now incremental under of we by the expanded addition our grid service generated reaching

larger service of opportunities grid In our service growth our revenues Pending hardware to share on in revenues the prior deployments, revenues compared revenue XXXX, outpace up year. strong revenue regions geographic grid resulting our expect to we will the total service therefore, of grid making a vary.

of expansion exposed contracted grid These are we management VXG further a services markets as of We $XX are include currently per service And ranging for revenue planned key in in year merchant are revenue Europe, up we combination seeing year kilowatt service mentioned. per on. certain vehicle-to-grid with our I seeing in opportunities revenues previously services focusing between to and grid strength services, services opportunities. charging kilowatt $XXX

years. customer revenues Given deployments, periods as these generally as XX the to our long of are XX long-term up nature recurring to

December XXXX realize the off Now turning orders flat with to quarter fourth million, QX our We in during and EPA backlog services many $X.X customers $X.X quarter placing in on were the was growth Grant of of hardware associated orders XX, backlog with awards. holding in backlog. our in didn't of as nearly At anticipation million. placing

expanding our early strong to in gross be expected QX results and XXXX in pace, line performance our To a see dollars. We well conclude, XXXX at our categories service to revenues grow outlook charger even for top XXXX our bullish. both already grid expected sales faster margin as for is is with as this expanding with

QX excluding 'XX expenses, of to fourth in compared XXXX. quarter decline we cost sales of the to addition, expect In operating

reductions in net to further cash capital expect we burn. working our realize improving meaningful Finally,

first revenues of grants and coming announced the year we past in out look in we have through revenues EPA we quarter, in already service America. last expanded and will start services VXG to participation realize Europe services grid VXG both from awarded new As the online, North the that benefits

our provides XXXX, the Finally, ability under us to for management our which megawatts revenues in the customers materially earn grid grow we future. expect valuable and service to in Nuvve

with that, you back And our Gregory, up remarks. wrap to prepared

David. in district collaboration To the quarters are Thanks, coming them conclude, have we with our shipping months and four we program, in ahead. awarded been close in customers look we accepting EPA clean orders bus school to the and forward

of We into seek are LAUSD we XXXX, the through few as existing happy now out opportunities layer And we a revenue to infrastructure, such technology see both into side evidence building as service that on grid the on order. side, to momentum hardware as K Circle are months our partnership. the the

disappointing business endorsed These we This our we, business what what And was for to in of of in medium improvement remain as prospects about myriad XXXX. is flattish our recently optimistic and as point VXG regulatory and tailwind. the long-term growth well as agreements an pipeline -- our the XXXX. by rather disclosed course,

now begin Operator? for we'd our and to participation, like call turn thank to the the back your We to operator you Q&A.

with from Instructions] Eric [Operator Craig-Hallum. is question Our Stine first

announcement, obviously, K the us given Circle exciting. pretty So

you into got color be and out Any talk opportunities then you how to that the there. that play over Just curious, you've XXXX mention XXXX. can similar did provide you of out could And you in helpful. maybe expect on would those rollout terms about

are now the one their think station. I The gradual more some in are mean, region are And a they other the -- going stations and type mean we then maybe I are stationary more be storage. I there it's charging resources rollout, two right by charging storage regions. to is right? of in

here So more going though that rolled year. is out be is along the to there

to need rollout we this -- process. manage So those

understanding We -- because a need services. to grid better of also obviously, do to build

to those right, you it, have a charging a to order in station, You grid vehicle provide to but need services. connected have also

so And And a in megawatts. understanding and of full so the I very revenue full can would are XX to deep we're QX, those but the probably sure high by then for definitely optimization gathering us not scale, expect data achieving but going but through the give the of fully combination. a we to the go optimized into of level QX of yet we in growing very process small, year very the some do maybe of first iteration, end I'm

Got it. And opportunities? just then on the additional

obviously, that I in disclosed the large in type fast but there in those, chargers deployed Yes, with those mean, of are obviously, And a Europe U.S. of freeway being is we and are haven't amount cash citation.

that Now X. also application that you depots be but bidirectional have have maybe consider full vehicle might so that supportive type a are a those some application, depots of less other maybe unidirectional, of great would for I

management, had right as talk you could it's vehicle you megawatts equal under about I'm then related opportunity? in curious, the management to now. Got maybe now just the stationery we think under stationary basically of Okay. terms guess announcement megawatts I I obviously about it. mean, Japan. in the to side batteries And

you If what see percentage out years, five of stationary? Does three you you think -- the do does look look do remain I it mean, the in like to that? How a mix? meaningful mix

would I kilowatts the are that to will of are that being and say managed kilowatt grid. to high large very hours -- these a the that we priority be that providing vehicles the proportion are the

so combination have local and some site, at solar, big some and will VXG. a like some loads you definitely, bidirectional, So and but a VXG generation, vehicle local a some look unidirectional when you part, local right, of , be storage and

ahead that. about this a other And of from And over a also really like platform an the optimizing manage can VXG, local at in have are then combination, ourselves of you the we lot is managing in good generation, of that we site if managing I combination and our in are kind you are years power extract think to and the how point. load Now storage, those specific of value mix that EVs, positioning always of really, we far VXG. we local that flexibility can both is the how managing at really local talked we've piece are good representing stationary storage

Okay.

better going as about it. kinds. stationary this a very all it's it -- to mix where it's on each heavily that is so focused And will stationary site opposed to potentially to you some opportunities think there have think kind about that There's stationery, storage of be of

Yes. stationary I is But hey, with space. our acquisition storage mean always, EV the our competitive combined edge EV is valuable. is in very

with entry electrification position. starting point but That's our And with is the so starting transportation. transportation, -- no,

Okay. for And Got it. last one maybe me.

in curious, of I on your funding, for of we're are any in of that or how stage still of EPA process the of together indications but you EPA prepared about funding? kind guess, next first tranche as coming terms things kind waiting get Just involvement,

spend school just we're surprised Yes. school -- that this big mean districts. to It's round, lot step, right? grid a charging patient, the amount not the we bus on potential infrastructure mean a piece, money lot a districts of still working have right? the were first, I on by in we there of the upgrades. money but of And but I are closely was very with school the side

here, more be expect next sorry, lot looking. lot to have We a lot to a a and balanced more to lot have and call the have somebody more implementation a -- round more balanced to to be

been they more in were than what is that it. about the because expect round first the this thinking how is you with now round. project would And what a have people first firm the basically, project maybe So are

to about expect we people in something thoughts one where to be will have what need the place. So next put they more

is from with Chardan next Markets. The Capital Dobson question Brian

I little is partnership environment the suppose, the opportunity the there, as about and subsidies a Europe, and and potential also speak can coming positive. governments? you K bit growth there Circle the European to business you're So the toward very for from thinking

of So I energy been the of interesting, on have the one electric very and and mean, of part Europe and this is being volatility Russia, Ukraine because yes, of cost war is in the cost it. I lot with energy creating think this obviously right, is a

in the CRD, those of user. is CRN, XX When some don't such deal wait charger, make that you impact two go to car, through of that little for FFR you lose able infrastructure a as how bit to and with the are services they a save to the few , to as to lot the a us even hour are not helping be you're half end you in can that like fast big order the to it's if here more big money. markets than discharge an quite in there not volatility and balance called have a minute, a in that U.S. more possible one provide keeping grid brings infrastructure the cost difference There So But are be advanced seconds what's diversity deployed. to that and grid minimum market, market opportunities can a X your as

case I the advantage in market. So European the think this that's really of

Los Unified Angeles good. very And order School year from District. for the Yes, then positive that potential also next

what government, you'll you the from bus out see districts paid orders? enhance their are large think kind other grants of incentification As to EV from school do

right and that is mean happening go I to this going not think it's back. now, I wave --

no, school are I process, deployment. embrace to think the EV, is the are said, really it. it. to turned yet, and still the think we get embracing not but there, takes They -- manufacturing I ready But what the thousands it they we really are districts has bus discovering the the to maybe is biggest impediment mindset thousands. That's not biggest probably school we expect now hundreds, hurdle but which

owners] And is us expect. about and that I out. school essentially, pointed this is think this focusing about what's the districts also. -- the year, think fit wave really coming exciting been and thousands hundreds clearly that tidal big And we is is year, -- I've market moving, [big can what of I that's some next this

our I turn conference Poilasne This for over any like to remarks. Gregory concludes would closing back the question-and-answer session. to

Thank you, everybody, for joining us today.

are rolling doing making very school wins and Circle we business. further more with the as technology into into out our about are excited that and XXXX We are to K the that about we bus the sharing looking such partners we're progress forward

more of you. I the forward quarter the look to you XXXX. of at with end first Thank sharing

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

You may disconnect. now