Enovix Corporation

Thank you for standing by and welcome to the Inovix Corporation fourth quarter 2024 earnings conference call. Currently, all participants are in a listen only mode. After the speaker's presentation, there will be a question and answer session. As a reminder, today's program will be recorded. And now I'd like to introduce your host for today's program, Robert Leahy, head of investor relations. Please go ahead, sir.

Thank you. Hello, everyone. Welcome to the Novix Corporation's fourth quarter and full year 2024 Financial Results Conference Call. With us today are President and Chief Executive Officer, Dr. Raj Chiluri, Chief Accounting Officer, Christina Truong, and Chief Operating Officer, Ajay Marathi. Raj and Christina will provide an overview, and then we'll take your questions. After the Q&A session, we'll conclude our call. Before we continue, let me kindly remind you that we released our fourth quarter 2024 shareholder letter after the market closed today. It's available on our website at ir.inovix.com. A replay of this video call will be available later today on the investor relations page of our website. that the shareholder letter, press release, and this conference call all contain forward-looking statements that are subject to risks and uncertainties. These forward-looking statements are based on current expectations and may differ materially from actual future events or results due to a variety of factors. For a discussion of those factors that could affect our future financial results in business, please refer to the disclosures in today's shareholder letter and our filings with the Securities and Exchange Commission. All of our statements are made as of today, February 19th, 2025, based on information currently available to us. We can give no assurance that these statements will prove to be correct, and we do not intend and undertake no duty to update these statements except as required by law. During this call, we will also discuss non-GAAP financial measures, which are not prepared in accordance with the generally accepted accounting principles. You can find a reconciliation of the GAAP financial measures to non-GAAP financial measures in our shareholder letter, which is posted on the investor relations page of our website. I'll now turn the call over to Raj to begin. Raj.

Thank you, Rob. And thanks to everybody for joining us today. For our format today, I'm going to start with a recap of our recent results and some of our recent milestones before I turn it over to Christina for financials and outlook. I'll have a few closing comments and then we'll take your questions. We had a very productive 2024, especially Q4. To recap our recent achievements, first, our revenues in the fourth quarter were $9.6 million, near the high end of our guidance range. For the year 2024, total revenues were 23.1 million, up 7.6 million, up from 7.6 million in 2023. Second, we completed our top manufacturing and product objectives for the quarter by completing site acceptance testing of our high-volume manufacturing line and shipping our first samples of EX2M to customers. Third, we shipped early engineering samples to our lead smartphone OEM, with the results confirming the critical safety tests are all passing. Additionally, we received the cell dimensions as a continuation of the agreement we made with them. These dimensions are actually of the cell that they expect to be shipping in 2025. Now we're on track now for commercial smartphone launches in 2025, pending successful completion of the customer qualification. Fourth, in line with the agreement we announced in June 2024, We also delivered our first battery packs of our first custom cells from Malaysia with packs built in our Korea facility. In addition, we secured a purchase order from a custom battery from a second marquee Smart Eyewear customer. The ramp of Fab2 in Malaysia in 2024 stands out as a pivotal accomplishment for the company. We managed to complete SAT of our HVM line in just one year after our first tools arrived. Yields are now well beyond the final levels we achieved in fab one. And we have incremental targets in place throughout the year. And we believe that we believe will ensure readiness for smartphone mass production in the fourth quarter of 25. We now have multiple customer audits going on, serving as a strong testament to our manufacturing readiness and our customer's interest in using our products. While we remain focused on smartphones, we're also prioritizing segments where major battery constraints or supply chain requirements are creating a strong competitive advantage for our technology. Recently, smart eyewear emerged as one of these segments, and we're now in the process of developing custom cells for marquee customers in this space. Another market that recently emerged as a unique growth opportunity for us is the defense industry, where we recognized a significant portion of our 2024 revenues with conventional graphite battery products. Since the US elections last November, we observed an increase in inbound interest from drone manufacturers and defense suppliers seeking battery solutions that comply with allied country supply chain requirements. Earlier this year, we secured a sample purchase order from one of these suppliers for autonomous AI systems. While these developments are still evolving, we're optimistic about the potential upside from these. And on the product front, it's also been a very productive 2024 and Q4 for us. We successfully completed testing of EX1M and performance results indicate that we're on track to meet targets of energy density, cycle life, and fast charging. For EX2M, we delivered early engineering samples to OEMs across both smartphone and IoT markets, and we received positive feedback that the EX2M energy density is meeting customer targets. And looking ahead, we've officially kicked off the design phase of EX3M, incorporating feedback from our lead OEMs to ensure alignment with their evolving requirements. Now with that, I'll turn it over to Christina for the financials. Christina.