Chantal

Chantal asked about the timing and margin cadence of the Nextpower Arabia joint venture, specifically how the 2.25 GW project will flow through over time.

Answer

Dan Shugar, CEO and Founder, confirmed the Saudi JV is operational, with material delivery on the 2.25 GW project already underway this quarter, supported by existing and new factories. Chuck Boynton, CFO, explained the JV is structured as roughly 50/50 and will not be consolidated, generating revenue through technology sales, royalties, and Nextpower's share of profits. Dan Shugar also discussed the power conversion initiative, emphasizing its potential for higher efficiency, reliability, and safety, driven by the need to improve global operating fleets. He noted the launch in the U.S. with alpha units and planned beta projects this year.