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Blink Charging Co. (BLNK)·Q3 2025 Earnings Summary

Executive Summary

  • Q3 2025 delivered mixed results: revenue rose 7.3% YoY to $27.0M but came in below Street consensus, while margins and cash discipline improved meaningfully; Adjusted EPS beat expectations and GAAP EPS was essentially breakeven .
  • Revenue missed S&P Global consensus ($27.0M vs $30.1M), but EPS beat (Adjusted EPS -$0.10 vs -$0.166), with gross margin rebounding to 35.8% from Q2’s impairment-affected 7.3% .
  • Management reiterated H2 sequential revenue growth and highlighted continued momentum into Q4, underpinned by service revenue strength, better product mix, and operating expense reductions (annualized savings now ~$13M) .
  • Strategy pivot: exiting in-house manufacturing and moving to contract manufacturing to reduce overhead, protect margins, and focus on proprietary hardware/firmware/software and service revenues; Shasta L2 chargers shipping in Q4 to address value segments .

What Went Well and What Went Wrong

What Went Well

  • Service revenue hit a record $11.9M, up 35.5% YoY, driven by higher charger utilization and network expansion .
  • Gross margin rebounded to 35.8%; product gross margin reached ~39% vs ~32% last year, reflecting improved mix and pricing discipline .
  • Cash discipline: operating cash burn reduced 87% sequentially to ~$2.2M; operating expenses down 26% YoY and 15% sequentially on an adjusted basis; ~$13M annualized opex eliminated YTD .

Management quotes:

  • “We’re proud of the strides we made in Q3 2025… delivering year-over-year quarterly growth in total revenue, a strong gross margin of 36%, and more than 35% growth year-over-year in service revenues.” – Mike Battaglia, CEO .
  • “Adjusted loss per share for the quarter was $0.10… Adjusted EBITDA… a loss of $8.9 million [improved YoY].” – Michael Bercovich, CFO .

What Went Wrong

  • Top line missed consensus: $27.0M actual vs ~$30.1M S&P estimate; product revenue down slightly YoY due to timing shifts (notably in Europe) pushing some projects into Q4 .
  • Other revenues declined ~$0.9M YoY primarily due to outsourcing extended warranties (net revenue recognition vs gross) .
  • Q2 impairments (inventory/PP&E) and doubtful accounts reserve raised earlier in the year continue to weigh on year‑to‑date profitability metrics (non-cash but relevant to trajectory) .

Financial Results

MetricQ3 2024Q2 2025Q3 2025
Total Revenues ($USD Millions)$25.187 $28.667 $27.030
Gross Margin % (GAAP)36.2% 7.3% 35.8%
Diluted EPS (GAAP) ($)-$0.86 -$0.31 -$0.00
Adjusted EPS ($)-$0.16 -$0.26 -$0.10
Operating Expenses (Adjusted, $MM)$27.9 $24.2 $23.6
Net Loss ($MM)$(87.389) $(31.959) $(0.086)

Segment breakdown

Revenue Component ($USD Millions)Q3 2024Q2 2025Q3 2025
Product Sales$13.448 $14.508 $13.035
Charging Service Revenue$5.254 $7.691 $7.758
Network Fees$2.332 $2.954 $2.874
Warranty$1.405 $1.582 $1.486
Grant & Rebate$0.982 $0.032 $0.059
Car-sharing Services$1.168 $1.111 $1.231
Other$0.598 $0.789 $0.587
Total Revenues$25.187 $28.667 $27.030

KPIs and balance/cash

KPIQ1 2025Q2 2025Q3 2025
Service Revenues ($MM)$10.581 $11.756 $11.863
Product Gross Margin %n/an/a~39% (vs ~32% LY)
Charging Throughput (GWh)~50 (YoY +66%) 49 (YoY +66%) n/a
Operating Cash Burn ($MM)n/a~$16.7 used in quarter ~$2.2 used in quarter
Cash & Cash Equivalents ($MM)$42.024 $25.318 $23.110
Annualized Opex Eliminated YTD ($MM)n/a~$8 ~$13

Consensus vs Actual (S&P Global)

MetricQ3 2025 ConsensusQ3 2025 Actual
Revenue ($USD)$30.084M*$27.030M
Primary EPS ($)-$0.166*-$0.10 (Adjusted EPS)

Values retrieved from S&P Global.*

Guidance Changes

MetricPeriodPrevious GuidanceCurrent GuidanceChange
Revenue trajectoryH2 2025Sequential growth expected in H2 2025 Continued sequential growth in H2 with positive trends into Q4 Maintained/affirmed
Operating expensesOngoing~$8M annualized reductions (Q2 update) ~$13M annualized reductions achieved YTD (Q3) Raised
Cash burnH2 2025Burn rate to decrease in H2 Q3 burn ~$2.2M (87% sequential reduction) Improved
Gross marginNear-termQ2 excl. non-cash ≈30% Company gross margin 35.8% in Q3 Improved
Manufacturing model2025–2026In-house with some external sourcing Transition to contract manufacturing; exit manufacturing by early 2026 Structural shift

Earnings Call Themes & Trends

TopicPrevious Mentions (Q1 & Q2)Current Period (Q3)Trend
Service revenue and utilizationQ1: Service rev +29% YoY; mid‑20s aspirational service margins; higher L2 mix supported margins Record $11.9M service rev, 48% charging rev growth, >300% YoY DCFC rev from owned sites Strengthening
Manufacturing strategyQ1: Emphasis on proprietary build vs third-party; in-house US/India assembly Exiting in-house manufacturing; moving to contract manufacturers in US/India; protect margins Strategic pivot
Product portfolioQ2: Acquired Zemetric to fill value L2 gap; volume in Oct Launch of Shasta L2 (48A, 80A) shipping late Nov for multifamily/fleet Execution
Regional dynamicsQ2: UK LEVI SPV; Europe margins stable; US outpaced Europe QoQ growth Some Europe revenue timing shifted to Q4; continued momentum overall Timing shift
Macro/tariff/incentivesQ1–Q2: Focus on controllables; industry consolidation expected Anticipates EV sales variability post incentive expiry; stabilization by mid‑2026 Monitoring
Working capitalQ2: AR collections/receivables emphasis AR and inventory managed more tightly; inventories expected to come down under CM Improving

Management Commentary

  • “We’re entering the fourth quarter from a position of strength. The business is trending in the right direction, with improved focus, execution, and financial discipline…” – Mike Battaglia, CEO .
  • “We have reduced operating expenses, enhanced gross margins, and managed cash burn… streamlined operations, rationalized costs, and concentrated resources on the most accretive opportunities.” – Michael Bercovich, CFO .
  • “We are stopping in-house manufacturing… [outsourcing] to world-class manufacturing partners… Blink will retain full ownership of all hardware, firmware, and software design and development.” – Mike Battaglia .
  • “Product gross margin of 39%… about 700 bps higher than last year’s 32%.” – Michael Bercovich .

Q&A Highlights

  • Contract manufacturing rationale and impact: Simplifies supply chain, reduces compensation/facility costs, redesign lowers COGS; intent to preserve margins; minimal exit costs (subleasing facilities) .
  • Utilization drivers: Larger DCFC footprint; continued improvement expected via better siting and procurement .
  • Mix and margins: L2 margins historically higher; DCFC procurement costs improving; overall corporate margins expected to remain steady or improve as volume scales .
  • Working capital: Stronger AR practices; inventory expected to decline as CM ramps and DCFC remains build-to-order .

Estimates Context

  • Revenue missed S&P consensus ($27.0M vs $30.1M*), while EPS loss was smaller than expected (Adjusted EPS -$0.10 vs -$0.166*); 5 covering estimates for both revenue and EPS .
  • Implication: Street likely revises 4Q/2026 trajectories to reflect stronger margin discipline and service revenue momentum, but trims near-term top-line for delayed European recognition and product mix shift. Values retrieved from S&P Global.*

Key Takeaways for Investors

  • Near-term: Mixed print likely drives “quality over quantity” narrative—expect positive reaction to margin/opex/cash improvements, tempered by top-line miss and Europe timing; watch Q4 execution and Shasta adoption .
  • Margin durability: Product margin uplift (39%) and overall GM 35.8% suggest sustainable improvement from pricing/mix/procurement; CM shift aims to protect and potentially enhance margins .
  • Services flywheel: Record service revenue and utilization indicate growing recurring streams; owned DCFC footprint is a central pillar that should support margin/cash generation .
  • Cash discipline: Burn reduced to ~$2.2M in Q3; continued focus on AR/inventory and opex reductions ($13M annualized) lowers financing risk in the near term .
  • Execution watch items: Q4 revenue follow-through (pushed projects), Shasta shipments/ramps, CM transition milestones, and Europe contribution normalization .
  • Strategic posture: Proprietary tech maintained while production outsourced; expect more focus on accretive owner-operator DCFC and selective product sales .
  • Stock drivers: Demonstrated sequential growth in H2 with maintained/improving margins and reduced burn can be a catalyst; misses on Q4 delivery or margin backsliding would be risks .
Note: All consensus estimate values marked with * are from S&P Global.