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Blink Charging Co. (BLNK)·Q1 2025 Earnings Summary

Executive Summary

  • Q1 2025 was mixed: total revenue fell to $20.754m, down 44.8% year over year as product sales weakened, while service revenue rose 29.2% and gross margin held at 35.5% .
  • Significant misses versus Wall Street: revenue $20.754m vs $27.576m consensus, and Primary EPS -$0.18 vs -$0.14; EBITDA loss -$16.9m vs -$6.9m consensus. These were driven by softer product demand and a portfolio gap in value-tier chargers; management expects sequential revenue growth in Q2 2025 and improved order activity in April. Bold miss on revenue and EPS (consensus values from S&P Global)*.
  • Operating discipline continued: operating expenses fell 7.9% YoY to $28.449m, cash/cash equivalents and marketable securities totaled $42.0m, and the company reiterated focus on cost reduction and profitability .
  • Strategic catalysts: collaboration with Create Energy on turnkey storage-integrated DCFC, UK “Preferred Bidder” status in Brighton & Hove (minimum 350 chargers), and subsequent workforce reduction of ~20% targeting >$11m annual savings .

What Went Well and What Went Wrong

What Went Well

  • Service revenue momentum: “charging revenue grew by 35% in the quarter,” with service revenue up 29.2% YoY to $10.6m and up 7.5% sequentially; management highlighted increasing utilization and more DC fast chargers in mix .
  • Utilization/scale: Blink networks delivered ~50 GWh (+66% YoY) and ended Q1 with 7,091 company-owned chargers (+22% YoY), supporting recurring service revenue growth .
  • Margin resilience and cost control: gross margin was 35.5% (vs 35.7% in Q1 2024) with commentary to plan for mid-30s margins; operating expenses fell 7.9% YoY to $28.449m, the lowest in nearly three years per management .

What Went Wrong

  • Product sales undershot: product revenue dropped to $8.381m (down 69.5% YoY), reflecting a portfolio gap for value-oriented customers and macro pressure on discretionary spending; total revenue declined 44.8% YoY .
  • Profitability deterioration: net loss widened to ($20.707m) and adjusted EBITDA loss increased to ($15.489m), with adjusted EPS at ($0.18) vs ($0.13) in Q1 2024 .
  • Estimate misses: revenue and EPS missed consensus meaningfully; EBITDA loss was materially larger than expected, underscoring the drag from product sales shortfall (consensus values from S&P Global)*.

Financial Results

Headline Metrics vs Prior Year and Prior Quarter

MetricQ1 2024Q4 2024Q1 2025
Total Revenue ($USD Millions)$37.568 $30.180 $20.754
Gross Margin %35.7% 25.0% 35.5%
GAAP EPS ($)-$0.17 -$0.73 -$0.20
Adjusted EPS ($)-$0.13 -$0.15 -$0.18
Adjusted EBITDA ($USD Millions)-$10.180 -$10.554 -$15.489

Revenue Composition

Revenue Component ($USD Millions)Q1 2024Q4 2024Q1 2025
Product Revenues$27.508 $17.165 $8.381
Service Revenues$8.189 $9.840 $10.581
Other Revenues$1.871 $3.175 $1.792
Total Revenues$37.568 $30.180 $20.754

Service Revenue Detail

Service Detail ($USD Millions)Q1 2024Q4 2024Q1 2025
Charging Service Revenue$5.027 $6.228 $6.780
Network Fees$2.065 $2.412 $2.626
Car-Sharing Services$1.097 $1.200 $1.175

KPIs and Operating Metrics

KPIQ1 2024Q4 2024Q1 2025
Company-Owned Chargers (#)—6,867 7,091
Electricity Delivered (GWh)—42.5 ~50
DCFC Revenue (U.S.) YoY—~+544% FY 2024 Over 3x YoY
Operating Expenses ($USD Millions)$30.902 $81.120 (incl. impairments) $28.449
Cash, Cash Equivalents & Marketable Securities ($USD Millions)—$55 $42.0

Guidance Changes

MetricPeriodPrevious GuidanceCurrent GuidanceChange
Total RevenueQ2 2025Product revenue 1H25 similar to 2H24; service revenue to increase through 2025 Revenue to increase sequentially in Q2 2025 Maintained direction; added near-term sequential increase
Service RevenueFY 2025Increase throughout 2025 Expected to continue increasing throughout 2025 Maintained
Gross MarginFY 2024 (context)~33% target for FY 2024 Management planning for mid-30s gross margins consistency in 2025 commentary Raised qualitative tone for 2025 vs prior 33% FY24
Operating ExpensesFY 2025Cost reduction and cash burn focus Continued OpEx/cash burn reductions; workforce reduction ~20% to save >$11m annually (by end Q3 2025) Raised (additional cost actions)
Adjusted EBITDA Profitability2H 2025 (prior)Target positive adj. EBITDA in 2H 2025 Expect improved visibility on timeline as year progresses Softened timing disclosure

Earnings Call Themes & Trends

TopicQ3 2024 (Q-2)Q4 2024 (Q-1)Q1 2025 (Current)Trend
Owner-Operator focus, DCFC expansionEmphasis on Blink-owned chargers; DCFC revenue +544% YoY FY24 Continued focus; reiterated CPO future of Blink DCFC highlighted; more DC entering mix; owned chargers 7,091 Strengthening
AI/technology, network efficiencyStable Auto AI for site optimization; SPV discussion Software/network consolidation; tariffs manageable Consolidating EU networks into Blink 2.0; Create Energy NanoGrid integration Advancing capabilities
Product sales & portfolioShift away from third-party L2; lower 2024 product sales Challenging comps; alternative channels focus Product gap vs value segment; Gen 3 charger targeted for Q4 launch Repositioning to value
Europe/UK growthLEVI/SPV groundwork Strong EU trends; DCFC deployments (Royal Farms is U.S.) UK Preferred Bidder in Brighton & Hove; Europe charging revenue +22% Expanding
Cost reduction & cash burnYTD cash burn -50%; future actions planned OpEx down; margins would be >35% excluding charges OpEx down 8%; workforce reduction announced post-Q1 Intensifying
Tariffs/macro—Tariffs not significant burden; U.S./India sourcing Macro uncertainty cited for product sales; April orders improved Mixed macro; cautiously improving orders

Management Commentary

  • “While first quarter revenue fell short of expectations...charging revenue grew by 35% in the quarter...Network fees grew by 27% and we made significant progress reducing operating expenses...we anticipate sequential consolidated revenue growth in the second quarter of 2025.” — Mike Battaglia, President & CEO .
  • “We closed the quarter with 7,091 company-owned chargers...DC fast charging revenues in the U.S. increased over 3x compared to the first quarter of last year.” — Mike Battaglia .
  • “Gross profit was $7.4 million or 35.5%...Operating expenses decreased 7.9%...Blink had no cash debt as of March 31, 2025.” — Michael Rama, CFO .
  • On margins: “We see consistency throughout the year in that mid-30s range for gross margins.” — Mike Battaglia (Q&A) .
  • On service margins aspiration: “Yes, aspirationally mid-20s.” — Mike Battaglia (Q&A) .

Q&A Highlights

  • Margin sustainability: Management expects gross margins to remain in the mid-30s, aided by higher share of Blink-built L2 and disciplined mix; service margins aspirationally mid-20s .
  • Product strategy: Addressing a gap in value-oriented chargers with an internally assembled Gen 3 product targeted for Q4; leveraging production in Bowie, MD and India to avoid onerous CM MOQs and improve reliability .
  • Cost actions and path to EBITDA: Non-cash comp ~$0.9m/quarter; continued OpEx controls (facilities consolidation, renegotiating software/AWS) and working capital improvements; unwilling to commit date until visibility improves .
  • Spin-off status: S-1 filed; goal remains a NASDAQ listing for Envoy in 2025; process ongoing .
  • M&A posture: Focus on tuck-ins to capture displaced demand amid industry consolidation; selective to avoid overpaying .

Estimates Context

MetricQ1 2025 Consensus*Q1 2025 Actual
Revenue ($USD Millions)$27.576$20.754
Primary EPS ($)-$0.14-$0.18 (Primary EPS “actual” per S&P Global)*; GAAP EPS -$0.20
EBITDA ($USD Millions)-$6.900-$16.912
Revenue - # of Estimates6—
Primary EPS - # of Estimates6—
  • Result: Bold miss on revenue and EPS; EBITDA loss materially wider than consensus (values retrieved from S&P Global)*.
  • Implications: Street models likely to temper near-term product revenue assumptions and widen EBITDA loss in Q2-Q3 until Gen 3 charger ramps and sequential revenue inflection materializes; service revenue trajectory and mid-30s GM provide partial offset .

Key Takeaways for Investors

  • Service-led resilience: Recurring service revenue grew 29.2% YoY and 7.5% sequentially, underpinned by higher utilization and expanded owned network; this supports margin stability in mid-30s despite product weakness .
  • Product headwinds likely transient: The value-segment charger gap and macro caution weighed on product revenue; new Gen 3 product slated for Q4 and improved April order activity suggest potential recovery and sequential revenue increase in Q2 .
  • Profitability playbook: Continued OpEx reductions (post-quarter workforce cut targeting >$11m savings) and working capital actions provide runway; expect management to prioritize nondilutive capital for DCFC owner-operator growth .
  • Strategic differentiation: Create Energy partnership and Blink 2.0 network consolidation enhance deployment feasibility and economics for DCFC, potentially improving uptime and eliminating demand charges—key for ROI at high-traffic sites .
  • Europe as growth vector: UK Preferred Bidder win (LEVI) and Belgium momentum diversify revenue and lessen U.S.-centric macro risk .
  • Near-term trading lens: Watch for Q2 sequential revenue print and order momentum updates; margin consistency in mid-30s and service revenue trajectory are potential sentiment supports, while any delays to Gen 3 launch or soft product intake are risk factors .
  • Medium-term thesis: Execution on owner-operator DCFC, portfolio completeness in L2, and disciplined cost/capital management can shift mix toward higher-quality recurring revenue and improved EBITDA trajectory .

Values retrieved from S&P Global*