EVgo Inc.

Thank you for standing by. My name is Gilles and I will be your conference operator today. At this time, I would like to welcome everyone to the EVGO fourth quarter and full year 2025 earnings call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, simply press star followed by the number one on your telephone keypad. If you would like to withdraw your question, simply press star one again. I would now like to turn the conference over to Heather Davis, Vice President of Investor Relations. You may begin.

Good morning, and welcome to EVGo's fourth quarter and full year 2025 earnings call. My name is Heather Davis, and I am the Vice President of Investor Relations at EVGo. Joining me on today's call are Badr Khan, EVGo's Chief Executive Officer, and Kiefer Lehner, EVGo's Chief Financial Officer. Today, we will be discussing EVGo's fourth quarter and full year 2025 financial results followed by a Q&A session. Today's call is being webcast and can be accessed on the investor section of our website at investors.edgo.com. The call will be archived and available there, along with the company's earnings release and investor presentation after the conclusion of this call. During the call, management will be making forward-looking statements that are subject to risk and uncertainties, including expectations about future performance. Factors that could cause actual results to differ materially from our expectations are detailed in our SEC filings, including in the risk factor section of our most recent annual report on Form 10-K and quarterly reports on Form 10-Q. The company's SEC filings are available on the investor section of our website. These forward-looking statements apply as of today, and we undertake no obligation to update these statements after the call. Also, please note that we will be referring to certain non-GAAP financial measures on this call. Information about these non-GAAP measures, including a reconciliation to the corresponding GAAP measures, can be found in the earnings materials available on the investor section of our website. With that, I'll turn the call over to Badr Khan, EVgo CEO.

Thank you, Heather. When I first joined EVgo as CEO at the end of 2023, we set a goal to be adjusted even to break even in 2025. And I am pleased to say we achieved that goal in the fourth quarter. This significant milestone demonstrates the growth, scale, operating leverage, and durability of the EVgo business and the dedication and hard work of our team. As I'll touch on later, we're now focused on our next milestone of achieving the real operating leverage inflection point, which will allow us to further accelerate adjusted growth and margin expansion. EVGO delivered another excellent year of results, with total revenue of $384 million, a 50% increase over last year, and record charging network revenues. We ended 2025 with 5,100 stalls in operation, following a very large stall deployment of 500 new stalls in the fourth quarter. Total energy dispensed in our public network increased over 30%, which is more than our stall growth. Our pilot, approximately 100 J3400 connectors, also known as NACs, during 2025 was successful and will be rolling out over 400 more NACs connectors in 2026, both at new sites and retrofits at existing sites. with the goal of effectively doubling our addressable market over time. Given the returns we expect to generate from new stalls, we've tried to increase our public stalls deployed by over 50%. This increased pace with deployment significantly increases the number of next connectors and our next generation charging architecture represent real investments in 2026 to drive longer term value creation. EVGO continues to offer drivers more choices on where to charge their EVs as our own public network and extend network expands across the U.S. Today, drivers can find over 1,200 EVGO operated stations across 47 states. EVGO is the third largest and second fastest growing network in the U.S., serving all EV models with key OEM, rideshare, and site host partnerships. And I look forward to expanding our network even further in 2026. Our network stands at over 5,100 stalls and is one of the most highly used EV charging networks in the United States. While we know charging station deployments have grown significantly over the last several years, the reality is that the usage of America's EV network is disproportionately concentrated amongst three largest charge point operators, or CPOs. EVgo, Tesla, and Electrify America. This is according to an independent third party. The concentration of consumer demand among these top three operators demonstrates the importance of network effect, an already established customer base, which in our case encompasses 1.6 million customers, and scale as a driving force behind this unmatched network utilization. EVgo's fourth quarter utilization was 24%, which is higher than the average of the top three and nearly five-fold higher than the large group of subscale CPOs, most of whom see usage in the single digits. Personal demand growth for EVGO's charging network continues to outpace the industry. Since Q1 2024, EVGO's utilization has grown four percentage points, while the rest of the industry, excluding the top three, has actually declined by two percentage points. In other words, according to this third-party data, EVgo has emerged as a clear leader in the EV charging space in the United States, representing outsized consumer demand for our network as compared to the competition. It's clear to me that EVgo has a strong competitive moat that is enduring and continues to strengthen over time. We've developed superior AI-driven and scalable site selection algorithms and host partnerships that allow us to build charging stations where drivers want to be, conveniently near where people shop, eat, and run their daily errands. We're continuing to scale with strong grocery and retail partnerships, including an expanded partnership with Kroger, which we announced earlier this year. Vigo now has almost 14 times the average number of stalls of the rest of the industry outside the top three CPOs. We have partnerships with rideshare companies such as Uber and Lyft, who we believe partner with EVGO in part because of our enormous scale advantage versus the dozens of smaller operators and the value drivers get with discounted rates on the EVGO network. As you may have seen recently in the news, EVGO and Uber are in discussions to expand our partnership to meet rising demand for our services from rideshare drivers. We've developed and are continuing to deploy leading customer engagement tools and capabilities to enhance our customer experience. The investments we're able to make in our EVGO app and other technologies are only possible given we have the scale, network effect, talent, and capital to build the tech stack. Of note is Auto Charge Plus, where eligible drivers enroll their vehicle and payment method, and when they pull up to a charger, they simply plug in and charge. It's a seamless customer experience and 30% of our sessions are now initiated with Order Charge Plus. Indigo continues deploying more 350 kilowatt or faster chargers that now make up the majority of our network, offering a full charge in under 15 minutes, compared to just 19% for the rest of the industry, excluding the top three. Our products and hardware teams work tirelessly to improve the charging experience, including ongoing maintenance campaigns targeted at improving reliability on our existing chargers and to our next generation charging architecture. Finally, unlike many in the industry, we have the non-diluted financing in place to build at scale. This competitive advantage is not solely driven by EVGO's superior site selection, but rather the combination of all the factors I've described, built over 15 years of doing what we do. In the second half of 2026, We expect to reach a critical milestone in the evolution of the business, achieving a key operating leverage inflection with gross profit from our charging operations without any contribution from our non-charging business covering adjusted G&A. At the same time, we're intentionally investing in three key areas that we believe will strengthen the long-term competitiveness, resilience, and value of the ELEGO platform. We will build on our already significant scale advantage by wrapping up our deployment teams to meet market demand. Further separate ourselves from the dozens of smaller operators and significantly increase the number of new owned stalls we bring online in 2026 with even higher growth planned in 2027. We'll roll out more next connectors this year, doubling our addressable market in the long term. This represents an investment in 2026 as we're trading highly productive CCS stalls with NAX stalls, where performance is lower than CCS initially, but growing over time as NAX drivers discover these stalls through our customer marketing campaign. And our investment in next generation charging architecture improves the fundamentals of the business as we scale. It simplifies the hardware, reduces failure points, improves reliability, and lowers operating costs over time. but also giving us the flexibility to support higher-powered vehicles and standards like MAX, and ultimately delivering a better customer experience. That combination is critical to sustaining high utilization and expanding margins as the EDGO network grows. Over the last two years, we've deployed over 1,200 stalls on our network each year, including our Xtend network. In 2026, we expect this will increase to 1,650. And importantly, we plan to increase the number of new owned and operating stalls deployed by over 50%. Approximately two thirds of these stalls will be deployed in the second half of 2026. We are targeting cash on cash paybacks of three to five years with our highest performing top 15% of stalls achieving paybacks in as little as one to two years. These strong returns support our ability to continue accelerating stall deployment, enabled by the non-diluted financing we have in place that positions us to further scale our build-out in 2027 and beyond. Our autonomous vehicle partnerships remain an important source for further growth and potential upside to these forecasts. And as discussed before, new stalls from our existing extend partnerships are expected allowing us to transfer build capacity to our owned and operated business. The industry transition to NACs is an exciting opportunity for EVgo. Over half the EVs on the roads today have NACs inlets. Mainly Teslas today, but new models from other OEMs are being launched with native NACs. We expect to add over 400 NACs connectors to the EVgo network by the end of 2026, allowing drivers to charge at our stores without an adapter. and effectively more than doubling our addressable market. In 2025, we deployed about 100 NAX connectors in our existing sites on a pilot basis with the goals of validating the technology and determining how to grow NAX throughput as quickly as possible. I'm pleased with how the NAX connectors are performing from a technology perspective. I do want to thank our hardware team who worked tirelessly to make these liquid-cooled cables happen for our fast charger. EV drivers can find our NAX locations through EVGO mobile app or from the distinctive yellow signage at these sites. Throughput for NAX stalls is currently lower than our CCS stalls at the same site, but we are clearly seeing it grow, driven by increasing numbers of Tesla drivers charging at these stalls. Over the course of this year, we expect to grow NAX per stall usage through our customer communications efforts driving awareness. This is an important medium to long-term goal as native NAICS vehicles' share of overall VIO grows. I've highlighted a number of company-specific sources of competitive advantage, and now I want to turn to some of the industry-wide tailwinds we continue to see driving the share of public fast charging that EVgo also benefits from. Today, we are beyond the early adopter phase of EVs, with almost 6 million EVs on the road. American drivers are choosing to go electric, and EV prices continue to fall relative to ICE vehicles. making EVs more affordable, which in turn makes EV ownership more accessible to more Americans, including to those that live in multifamily housing. These drivers often don't have access to a garage or private driveway, and therefore are more reliant on public fast charging. In fact, they charge approximately one and a half times more on the EVgo network than those drivers that live in single-family homes. The electrification of rideshare is another key tailwind has been and is continuing to drive the share of public fast charging. Rideshare drivers are adopting EVs five times faster than regular motorists and are more likely to live in multifamily housing or otherwise not have access to home charging and charge significantly more on a UDOS network than the average retail customer. Companies like Uber and Lyft have their own targets and incentive programs to help rideshare drivers make the switch. And on the policy side, New York City and California both have policies in place to encourage increased rideshare electrification each year through 2030, which other states like Massachusetts are also considering. Over the last three years, commercial rideshare throughput as a percentage of total throughput on EVGO's network has almost doubled and is roughly a quarter of EVGO's public network throughput today. We are pleased to have reached an initial agreement with Uber they will guarantee a minimum level of utilization that incentivizes indigo to build a number of new larger charging stations in key urban locations in san francisco la boston and the new york metro areas this expanded partnership with uber is designed to address a key concern amongst electric rideshare drivers which in turn we expect will continue to accelerate the electrification of rideshare i'm excited to share more details of this expanded partnership once it's finalized. More portable vehicles, increasing number of drivers living in multifamily housing, accelerating rideshare electrification together with faster vehicle charge rates are all driving the growth of public fast charging. And we remain very focused on capitalizing on these exciting tailwinds to fuel EVGO's continued growth. Finally, EVGO is well positioned to benefit from the growth in autonomous rideshare. Autonomous vehicles are electric, and just like human-operated rideshare, vehicle downtime when an EV is charging is lost revenue. So fast charging is key to maximizing their utilization and revenue. Given the amount of technology in these vehicles, they consume more kilowatt hours per mile driven, and as a result, are even more reliant on fast charging. The EV market is poised for tremendous growth over the next five expected by 2030. EVGO has been operating dedicated charging stations for autonomous rideshare fleet since 2020. Today, we have 140 dedicated charging stalls for autonomous vehicle companies. We're proud to be Waymo's charging partner in San Francisco and LA, and we operate charging sites for another AV company as well. While this is a small part of the EVGO business today, our track record, partnerships, competitive strengths, positioned us well to support the rapid expansion of the AV market, which should in turn provide meaningful upside to our business plans over the medium and long term. Before Kiefer shares more detail on our fourth quarter and four-year results, I want to take a moment to introduce him to our investors and analysts. We are thrilled with the nearly two decades of operational and financial expertise Kiefer brings as a public company CFO, former investment banker, and private equity investor. He's a great addition to the Madison team, and I look forward to partnering with him to try and share value. Now, I'll turn it over to Keith.