Executive Summary

Q1 2025 revenue was $0.343M (+436% YoY) with gross profit of $0.093M, reflecting improved product margins from ramped volume manufacturing; GAAP net loss narrowed to $(3.366)M and EPS to $(0.12) versus $(6.599)M and $(1.11) in Q1 2024 .
Non-GAAP cost actions reduced operating expenses to $2.537M (vs. $4.735M in Q1 2024) and non-GAAP net loss to $(2.466)M, driven by lower R&D and SG&A and fewer non-recurring items .
Liquidity improved materially: cash/equivalents were $10.085M at quarter-end, supported by $13.8M ATM proceeds raised in Q1; warrant liability fell materially, and equity turned positive vs. a deficit at year-end .
Commercial traction: PowerBridge transmitter revenue rose 483% YoY; a Fortune 10 retailer accelerated nationwide deployment across ~4,700 locations, with >4,000 units shipped since project start; additional $0.3M of product shipped post-quarter .
Estimates context: S&P Global consensus EPS and revenue were unavailable for Q1; target price coverage is thin (1 analyst), limiting beat/miss analysis; near-term stock narrative hinges on scaling deployments and margin trajectory rather than consensus surprises [GetEstimates].

What Went Well and What Went Wrong

What Went Well

Significant revenue and margin inflection: “We experienced revenue increases of over 430%... product margins improved significantly, driving a gross profit of approximately $0.1 million” .
Strategic wins with major customers: “Acceleration of a multi-stage infrastructure modernization project by a Fortune 10 multinational retailer... more than 4,700 locations nationwide” .
Cost discipline and liquidity: “Annualized cost savings of approximately $7.3 million” and “securing $13.8 million of net proceeds from our at-the-market offering program” .

What Went Wrong

Scale still small vs. losses: Despite growth, revenue of $0.343M remains modest relative to a GAAP net loss of $(3.366)M and operating expenses of $3.704M .
Non-recurring charges impacted GAAP: Q1 included severance ($0.372M) and expenses from an abandoned financing transaction ($0.656M) that elevated GAAP OpEx vs. non-GAAP .
Limited external coverage: Consensus EPS and revenue estimates were unavailable for Q1, reducing transparency for beat/miss framing; target price coverage is only 1 analyst [GetEstimates].

Financial Results

Quarterly Trend vs Prior Periods and YoY

Metric	Q3 2024	Q4 2024	Q1 2025
Revenue ($USD Millions)	$0.230	$0.400	$0.343
GAAP Net Loss ($USD Millions)	$(3.412)	N/A	$(3.366)
GAAP EPS ($USD)	$(0.50)	N/A	$(0.12)
Gross Profit Margin %	−33.0% (rev $0.230, cost $0.306)	N/A	27.1% (rev $0.343, cost $0.250)

Notes:

Q3 margin calculated from revenue and cost disclosed in the release . Q1 margin calculated from revenue and cost disclosed in Q1 release .
Q4 2024 provided revenue, but quarter-specific gross profit and EPS were not disclosed in the FY release .

Year-over-Year (Q1 2025 vs Q1 2024)

Metric	Q1 2024	Q1 2025
Revenue ($USD Millions)	$0.064	$0.343
Gross Profit (Loss) ($USD Millions)	$(0.045)	$0.093
Operating Expenses (GAAP) ($USD Millions)	$6.620	$3.704
GAAP Net Loss ($USD Millions)	$(6.599)	$(3.366)
GAAP EPS ($USD)	$(1.11)	$(0.12)

GAAP vs Non-GAAP (Q1 2025)

Metric	Q1 2025
Operating Expenses (GAAP) ($USD Millions)	$3.704
Operating Expenses (Non-GAAP) ($USD Millions)	$2.537
Net Loss (GAAP) ($USD Millions)	$(3.366)
Net Loss (Non-GAAP) ($USD Millions)	$(2.466)
Key Exclusions (Non-GAAP)	Depreciation & amortization, stock-based comp, severance, change in fair value of warrants, abandoned financing transaction expenses .

KPIs and Balance Sheet Highlights

KPI	Value
Cash & Equivalents (03/31/2025)	$10.085M
ATM Proceeds in Q1	$13.8M net
YoY Cost Savings	~$7.3M annualized
Post-quarter shipments	~$0.3M product shipped after Q1
Backlog (as of Nov 8, 2024)	~$0.2M
Weighted Avg Shares (Q1 2025)	28,443,192

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Revenue	2025	None provided	Management “expects continued steady growth of revenue in the coming quarters”	Narrative only (maintained directional)
Operating Expenses	2025	None provided	Continued cost optimization; annualized savings ~$7.3M	Narrative only
Cash Burn	2025	None provided	“Reducing the Company’s cash burn remains a priority”	Narrative only
Deployment/Commercial	2025	Prior phases underway	Fortune 10 acceleration across ~4,700 locations; >4,000 units shipped since start	Raised deployment intensity
Taxes, OI&E, Margins, Dividends	2025	Not discussed	Not discussed	N/A

Management did not issue numeric ranges; commentary points to revenue growth, cost controls, and scaling deployments .

Earnings Call Themes & Trends

No Q1 2025 earnings call transcript was found; themes reflect press releases and filings.

Topic	Previous Mentions (Q3 2024, Q4 2024)	Current Period (Q1 2025)	Trend
AI/Technology initiatives	Product/IoT wins, FCC certification for 2W PowerBridge	Introduced AI-driven PowerBridgeMOD and PowerBridge PRO+ integrated gateway; PoCs starting Q2, commercial production targeted Q4 2025	Accelerating product innovation
Supply chain visibility	Transportation efficiency use cases; higher shipments to Fortune 100 tech company	AWS Partner Network membership to enable FSMA 204 traceability; real-time temperature tracking in secure cloud	Strengthening cloud/regulatory integration
Regulatory/macro (FSMA 204)	Not highlighted in Q3/Q4	FSMA 204 cited as 2026 catalyst for retailers; potential accelerated deployments	Emerging catalyst
Customer deployments	Fortune 10 multi-phase award (~4,700 sites)	Timeline acceleration; >4,000 units shipped; equip 500+ stores/DCs in FY25	Scaling
R&D execution & OpEx	Non-GAAP OpEx reductions YoY	GAAP OpEx down to $3.704M; non-GAAP $2.537M	Continued discipline
Product performance/margins	Q3 highest commercial shipments since 2021	Gross margin positive (27.1%) on manufacturing ramp	Improving margin profile

Management Commentary

“We experienced revenue increases of over 430%... and we expect continued steady growth of revenue in the coming quarters... securing $13.8 million of net proceeds from our at-the-market offering program...” — Mallorie Burak, CEO & CFO .
“Additional PowerBridge PRO shipments to multinational retailers... setting new industry standards and best practices for automating asset tracking” — Mallorie Burak .
“Acceleration of... upgrading approximately 4,700 retail locations... PowerBridge Pro transmitter drives nationwide rollout...” — Mallorie Burak .
“Our expanded suite of PowerBridge transmitters... AI driven WPN solutions... while keeping total cost of ownership low” — Mallorie Burak .
“We remain committed to building sales momentum... optimizing our operations... enhancing our intellectual property portfolio” — Mallorie Burak (FY 2024 release) .

Q&A Highlights

No Q1 2025 earnings call transcript was available; the company’s disclosures were via press releases and the 8-K furnished materials . Guidance clarifications and tone indicators reflect written management commentary emphasizing cost controls, liquidity, and scaling deployments .

Estimates Context

S&P Global consensus for Q1 2025 was unavailable for EPS and revenue; target price coverage limited.

Metric	Q1 2025 Estimate	Coverage
Revenue Consensus Mean	N/A*	N/A*
Primary EPS Consensus Mean	N/A*	N/A*
Target Price Consensus Mean	$60.00*	1*

Values retrieved from S&P Global.

Actuals vs Estimates

Metric	Q1 2025 Actual	Q1 2025 Estimate	Surprise
Revenue ($USD Millions)	$0.343	N/A*	N/A
GAAP EPS ($USD)	$(0.12)	N/A*	N/A

Values with asterisk are retrieved from S&P Global.

Key Takeaways for Investors

Execution is translating to improving unit economics: gross margin turned positive (27.1%), supported by volume manufacturing; watch scale vs. fixed-cost absorption for continued margin gains .
Commercial adoption is broadening with a marquee Fortune 10 customer; near-term catalysts include accelerated installations (>500 sites in FY25) and incremental shipments (additional $0.3M post-quarter) .
Liquidity has improved substantially via ATM proceeds, reducing going-concern risk; continued cost actions underpin narrowing losses, but absolute revenue scale must rise to approach breakeven .
Product roadmap strengthens moat: AI-driven PowerBridgeMOD and PRO+ integrated gateway support differentiated performance and ease of deployment; PoCs in Q2 and targeted commercial production in Q4 2025 could drive late-2025 revenue .
Regulatory tailwinds (FSMA 204) and AWS alignment position WATT as a compliance-enabling solution for perishable supply chains, potentially accelerating enterprise adoption into 2026 .
With limited sell-side coverage and missing consensus EPS/revenue, stock moves may hinge on company-specific milestones (deployment updates, bookings/backlog growth, quarterly revenue scaling, margin trajectory) rather than traditional beat/miss dynamics [GetEstimates].
Near-term trading implication: sensitivity to execution headlines (large-customer rollout progress, new orders, cost/opex discipline); medium-term thesis revolves around scaling PowerBridge networks, expanding use cases, and leveraging AI-driven platform economics .

Energous Corp (WATT)·Q1 2025 Earnings Summary