Electric vehicle (EV) charging solution provider ChargePoint reported a net loss of $125.3 million in the second quarter of fiscal 2024, a 35% increase year-over-year (YoY) from the loss of $92.7 million.

This increase in losses was primarily due to an inventory impairment charge of $28 million during the period.

In Q2, the company recorded a revenue of $150.5 million, marking a 39% increase from $108.3 million generated in the same quarter of the previous year.

Specifically, networked charging systems revenue amounted to $114.6 million, reflecting a 36% YoY growth from $84.1 million. The subscription revenue also showed significant growth, reaching $30 million, a 48% YoY increase compared to the $20.2 million.

The adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) loss for Q2 was $81.2 million, also reflecting the impact of the inventory impairment charge.

Pasquale Romano, President and CEO of ChargePoint said, “In the quarter, we fortified our access to working capital with a $150 million revolving credit facility and $38 million raised via our ‘at-the-market’ offering. We took an inventory impairment charge to address a significant supply-chain related issue, and we announced an estimated $30 million in annualized operating expense savings from reorganizing the business for agility, efficiency, and scale.”

1H 2023

During the first half (1H) of the year, the company recorded a net loss of $204.64 million, a YoY increase of 12%.

ChargePoint posted a revenue of $212.89 million, a YoY increase of 48.18% from $143.7 million during the period.

The company’s adjusted EBITDA loss was recorded at $130.07 million, a 5.4% increase YoY.

Currently, ChargePoint is reorganizing its operations, which involves reducing its global workforce by about 10%.

This restructuring is expected to result in around $8 million in charges, mainly for severance and facility-related costs, primarily occurring in the third quarter. However, this move is expected to generate significant annual cost savings of approximately $30 million.

The company’s net loss narrowed by 11% YoY to $79.4 million for the first quarter of fiscal 2024, primarily driven by the higher revenue from the company’s networked charging systems.

According to a study published by BloombergNEF, ChargePoint led the charging infrastructure market in the United States in February 2023.