Pioneer Power Solutions, Inc.

Greetings and welcome to the Pioneer Power first quarter 2025 earnings conference call. At this time, all participants are in a listen-only mode. The question and answer session will follow the formal presentation. If anyone should require operator assistance, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Brett Moss of Hayden Investor Relations. Thank you. You may begin.

Thank you, operator. The call today will be hosted by Nathan Masaryk, Chairman and Chief Executive Officer, Walter Michalik, Chief Financial Officer, and Gio Marikian, President of Pioneer eMobility. Following this discussion, there will be a Q&A session open to participants on the call. We appreciate the opportunity to review the first quarter financial results and recent business highlights. Before we get started, let me remind you this call is being recorded in webcast. During this call, management may make forward-looking statements. These statements are based on current expectations and assumptions and are subject to risks and uncertainties that could cause actual results to differ materially. Please refer to the cautionary text regarding forward-looking statements contained in the earnings release issued last Thursday, May 15th, which applies to the content of the call. I'd like to now turn the call over to Nathan Masaryk, Chairman and CEO. Nathan, please go ahead.

Thank you, Brett. Good afternoon, and thank you all for joining us today. We are off to a strong start in 2025 with first quarter revenue more than doubling to $6.7 million. This growth is a clear reflection of of the accelerating demand for our onsite power solutions and continued penetration of vertical markets for these solutions. Q1 revenue indeed validates the significant investments we have made to develop and expand the scope of our e-boost solutions. The primary contributor to first quarter revenue was the initial completion of 10 e-boost units to one of the largest public school districts in the United States. This order, which was announced in June of 2024, is for a total of 25 e-Boost mobile power units to charge the school district's first 200 electric school buses. Specifically, this order was a landmark order for Pioneer and represents the largest RFP ever administered and awarded for a mobile EV charging system. The balance of the 25 units are scheduled to be completed and delivered in the current quarter. The project was awarded after a short and intense competitive bidding process. At the time, we made the strategic decision to compete for the project at a highly competitive price in order to secure a marquee customer and prove the value of our technology at scale. As a result, our gross margins in Q1 reflected the early cost dynamic of such a large and complicated project. The first units that we developed and produced carried higher costs as we refined our processes and optimized production workflows. As we continue to execute on this order, we see improved efficiencies and benefits. We remain confident that the succeeding units will result in a better gross margin contribution for Pioneer in Q2. At the end of the first quarter, our total backlog was $23.2 million, an increase of 18 percent compared to the prior quarter. In addition to these current orders, our sales pipeline of potential new opportunities continues to expand. We are in active discussions with dozens of municipalities, transit authorities, shipping ports, and with several major national package delivery providers. whom have already committed to a multi-year electrical vehicle phasing in with the ultimate objective of 100% fleet electrification. In most instances, these delivery operators have already made the decision to transition to an all-electric fleet, but lack the requisite charging infrastructure. eBoost offers an off-grid, immediately deployable mobile solution that does not rely on extensive permitting, grid upgrades, or long lead times. Beyond our core eBoost charging platform, we have developed a residential slash light commercial power system announced in March of 2024, tentatively named HomeBoost. This new platform is a game-changing power solution that will revolutionize the way homeowners and small facility owners address energy resilience and fast charging. This cutting edge product integrates a prime rated natural gas engine with optional DC fast charging, providing the facility owner with the ability to generate, at their option, 100% of their energy and charging needs 24 hours a day. With its exceptional efficiency, compact and futuristic design, HomeBoost is perfectly positioned to meet the evolving and ever-increasing power demand from the residential and light commercial energy market. We are essentially providing the large home and the facility owner with a private power plant to operate independent of their grid connection or in tandem with such connection. Our confidence is burnished by the enthusiastic reception we've already seen from potential customers and channel partners and additionally in the residential sector and additionally the light commercial market from medical related businesses like MRI, dialysis, cataract type centers to commercial bakeries and cement producers. where power needs and fast EV charging are critical, and increased and reliable grid power availability is somewhat restricted. As we prepare for a dynamic launch in the second half of this year, we're confident that HomeBoost will be a major driver of growth and innovation for our company in 2026 and beyond. With that, I will turn the call over to Walter.