Electrovaya achieves over 40% revenue growth, first full year of profitability, and outlines strong future outlook for fiscal 2026.
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Summary
- Electrovaya reported a 40% year-over-year revenue growth, achieving profitability for the first time in its history and marking a significant financial and strategic inflection point.
- The company secured a $25 million facility from the Bank of Montreal and a $51 million direct loan from Ex-Im, supporting the build-out of its Jamestown lithium-ion cell manufacturing facility.
- Electrovaya expanded its institutional investor base, raising approximately $40 million in gross proceeds from equity issuances to support long-term growth.
- The company is advancing its technology platform, focusing on new verticals like robotics, airport ground equipment, and energy storage systems (ESS), with initial orders and trials underway.
- Electrovaya plans to scale its Infinity ESS platform, targeting applications like data centers and backup power, with pilot deployments expected in 2026.
- Management anticipates over 30% revenue growth in fiscal 2026, with significant contributions from material handling and new verticals.
- The company improved gross margins to 31% for Q4, driven by product mix and cost control, and expects to maintain strong margins through 2026.
- Electrovaya ended the fiscal year with positive net working capital of $38.5 million and available liquidity of over $40 million.
- The Jamestown facility is central to the company's strategy, supporting supply chain resilience and domestic manufacturing incentives.
- Management emphasized disciplined capital allocation, focusing on profitable growth opportunities, technology leadership, and a strong balance sheet.
Related to forward looking information. We will provide information relating to our current views regarding market trends, including their size and potential for growth and our competitive position within our target markets. Although we believe that expectations reflected in such forward looking statements are reasonable, they do obviously involve risks and uncertainties and actual results may differ materially from those expressed or implied in such statements. Additional information about factors that could cause actual results to differ materially from expectations and about material factors or assumptions applied in making forward looking statements may be found in the Company's press release announced in the Q4 fiscal 2025 results and the most recent Annual Information Form and Management's Discussion and Analysis under Risks and Uncertainties, as well as in other public disclosure documents filed with Canadian and US Security regulatory authorities. Also, please note that all numbers discussed on this call are in US Dollars unless otherwise noted. And now I'd like to turn the call over to Raj.
Thank you John and good evening everyone. It is a pleasure to speak with you today as we review our fourth quarter and full fiscal 2025 results. Fiscal 2025 has been the most significant year in my tenure as CEO of Electrovaya. It marked a clear financial and strategic inflection point for the company characterized by strong profitable growth, major balance sheet improvements and continued execution of our long term technology road. Let me highlight a few key milestones. We grew revenue by over 40% year over year and achieved the first full year of profitability in Electrovaya's history. This is a structural improvement driven by operational scale, product mix and disciplined execution. Not a one time event. We further strengthened our financial firepower with a new $25 million facility from Ben bank of Montreal replacing our former high cost private lender. We closed a $51 million direct loan from Ex Im under the Make More in America program and have begun drawing funds as we build out our Jamestown lithium ion cell manufacturing facility. As a nice surprise, we were honored to receive EX IM's deal of the Year award. Last year's winner was Abetta Technologies, so we are in good company. We expanded our institutional investor base and improved liquidity with approximately $40 million in gross proceeds from two equity issuances over the last 12 months, which supports our long term growth trajectory and positions us well as we continue scaling beyond these financial achievements. We made major strides in advancing our technology platform, entering new applications and positioning Electrov at the forefront of the lithium ion battery industry. Surpassing $20 million in quarterly revenue is another important milestone and notably we achieved this without straining our operational resources. This reinforces the scalability of our business model and supports our view that Electrovaya is now entering a sustained period of profitable growth. Given the number of new investors who have joined the Electrovaya story this year, I'd like to revisit our technology vision and roadmap. Electrovaya is at its core a battery technology company. Our Infinity lithium ion battery platform delivers industry leading longevity, safety and increasingly high performance attributes that are becoming essential across mission critical applications. Earlier systems deployed at Walmart in 2018 have already outlasted the vehicles they power and continue operating. Our respected US Testing lab recently informed us that our cells are tracking towards approximately 15,000 cycles, providing rare real world evidence of multi decade performance on safety. Our ceramic separator technology continues to maintain a perfect safety record with lithium ion related recalls affecting electric vehicles, buses, consumer electronics and energy storage installations worldwide. We believe our safety profile is a unique competitive advantage and one that is gaining increasing market visibility. As a subsequent event to the fiscal year in November we completed a $28 million equity raise. Funds from this round are partially planned to be utilized to support our future technology roadmap. Reinforcing that Electrovaya is not only scaling profitably today but also actively investing in our future. Some aspects of our roadmap include rapid charging cell development project including both cell and system level architecture targeting, sub 5 minute charging capabilities for select applications such as robotics and autonomous systems, next generation separator technologies aimed at further improving safety, high temperature stability as well as domestic manufacturing of this key technology solid state battery development where we continue to make progress and expect to leverage our existing ceramic. Focused intellectual property and know how to provide a strong foundation. We are investing in our electrovi lab site to enable production of larger cells that can be sampled to potential strategic partners. These initiatives underscore that Electrovaya is executing a dual mandate deliver profitable high growth revenue while advancing the technologies that will define the next decade of the lithium ion battery industry. Turning to our commercial progress, our core material handling vertical continues to be a strong and durable foundation. We now have over 10,000 systems deployed globally supporting 247 operations for some of the world's largest companies. This year we deployed a record number of units with the largest drivers of demand being a few Fortune 500 and Fortune 100 companies, especially in the retail sector. Demand indications from our largest end customers point to continued growth into fiscal 2026. With this foundation solidly in place and expanding at sustainable levels, we are scaling into multiple additional mission critical verticals. The first is robotics. This is one of the most exciting long term opportunities we have Autonomous systems require exceptional longevity, reliability and rapid charging, all areas where our technology excels. We have received initial orders and expect to scale deliveries beginning in the second quarter of fiscal 2026. Another vertical that we are bullish on is airport ground equipment, or gse. We showcased our first GSE products in Las Vegas in September and several units are now in trials with a major US Airline. Safety and durability are key differentiators here and we expect meaningful contributions in revenue beginning in 2026. In the long run, I expect stationary energy storage systems, or ess, to become a key element of our business. Our Infinity ESS platform, launched at this September, is receiving strong early interest for applications such as data centers, backup power and rapid charging infrastructure. Pilot deployments are expected in 2026 with commercial scale beginning in 2027. I believe we provide a solution that fits an underserved part of the strategic industry, namely solutions that provide high power density with reliable, safe performance metrics that are critical for backup power in data centers. Especially importantly, domestic cell production from Jamestown will qualify for full US Investment tax credits, enhancing both the competitiveness of product and potential margins for our offering. Defense applications are also a strategic target for Electrovaya. We continue to see growing interest from defense customers, particularly in sea and land based unmanned systems. We expect deeper collaboration with two global defense firms in the coming year with whom we have already had initial development work in progress. Finally, we are also targeting recurring revenue opportunities. We have historically highlighted the potential for recurring revenue through energy as a service model, software and telemetry platforms, aftermarket and maintenance contracts. As our installed base grows and as we deploy systems into new verticals such as robotics, GSE and energy storage, we expect recurring revenue to become a more meaningful contributor to the long term profitability and cash flow stability of the company. Turning to Jamestown, construction is progressing well. The first components of the dry room arrived last week with additional major infrastructure. Over the coming months. Jamestown is central to our strategy. It supports supply chain resilience, domestic content requirements, margin expansion and qualification US manufacturing incentives like 45x and investment tax credits. Before I hand it back to John, I want to reiterate that our approach to capital allocation remains disciplined and focused. We will continue investing in profitable growth opportunities in high impact R&D that strengthens our technology leadership and in preserving a strong and flexible balance sheet. Our goal is long term sustainable value creation. With that, I'll now turn the call over to John for a detailed review of our financial results.