Xos, Inc.

Greetings, everyone, and welcome to EXOS, Inc.' 's second quarter 2024 earnings call. At this time, all participant lines are in a listen-only mode. For those of you participating in the conference call, there will be an opportunity for your questions at the end of today's prepared comments. Please note today's conference call is being recorded. At this time, I'd like to turn the floor over to the General Counsel of EXOS, Kristen Romero. Thank you. You may begin.

Thank you, everyone, for joining us today. Hosting the call with me, our Chief Executive Officer, Dakota Simler, Chief Operating Officer, Giordano Sordone, and Acting Chief Financial Officer, Liana Pagosian. Ahead of this call, EXOS issued its second quarter 2024 earnings press release, which we will reference during the call. This can be found on the investor relations section of our website, at investors.exostrucks.com. On this call, management will be making forward-looking statements based on current expectations and assumptions, which are subject to risks and uncertainties. Actual results could differ materially from our forward-looking statements if any of our key assumptions are incorrect because of factors discussed in today's earnings news release, during this conference call, or in our latest reports and filings with the Securities and Exchange Commissions. These documents can be found on our website at investors.exostrucks.com. We do not undertake any duty to update any forward-looking statements. Today's presentation also includes references to non-GAAP financial measures and performance metrics. Please refer to the information contained in the company's second quarter 2024 earnings press release for definitional information and reconciliations of historical non-GAAP measures to the comparable GAAP financial measures. Participants should be cautioned not to put undue reliance on forward-looking statements. With that, I now turn it over to our CEO, Dakota.

Thanks, Kristen, and thank you everyone for joining us. On today's call, I will cover highlights from the second quarter of 2024 during which we generated $15.5 million in revenue, delivered 90 units, and achieved our fourth consecutive quarter of positive gross margin. Gio and Liana will then provide operational and financial updates respectively. Starting with sales and deliveries, revenue is up 18% quarter over quarter and 227% year over year. The majority of our 90 units delivered were step vans for fleet customers, namely UPS and FedEx ground contractors. supplemented by powertrain sales to Bluebird and hub sales to multiple new customers. We expect 2024 volumes to be meaningfully higher than 2023 and similarly weighted towards the second half of the year as customers respond to incentives and charging infrastructure comes online. Demand for Exos products remained robust throughout the year. In May, We attended the industry's largest conference, the Advanced Clean Transportation Expo, where potential customers demonstrated strong interest in both our vehicles and our latest generation hub. In addition to our own booth, Exos Technology was also on display by Bluebird, one of the largest school bus OEMs and a leader of EVs in the sector. We announced our exciting new powertrain partnership with Bluebird during the quarter, And at the show, they displayed a pair of parcel delivery chassis built with Exos powertrains. Bluebird's decision to partner with Exos and showcase our powertrain underscores our reputation as a leader in EV technology. The partnership resulted in significant attention to Exos products. Over the course of the show and weeks that followed, the Bluebird partnership came up repeatedly with both fleet buyers and industry insiders as a vote of confidence in XS's technical capabilities and the company's future. Turning now to our charging products, where we are experiencing stronger than expected sales activity, the hub, XS's mobile energy storage and charging product, is filling gaps felt by customers. They recognize the value of pivoting their fleets and equipment away from fossil fuels, but have to confront the realities of lagging permanent infrastructure installation timelines, limited charging options in remote locations, and the complexity of accessing grid power from work sites. This quarter, hub sales were particularly strong with firms outside our StepVan customer base, including a large government fleet. Operators across the industries are demonstrating a clear need for more flexible charging solutions, and we expect that charging solutions will grow into a robust part of Exos' overall business. The strength of the sector is evidenced by the attention it received at the ACT Expo this year, where more than a dozen firms showcased combined charging and energy storage products. We view the increased number of options as a healthy evolution of the EV market and ultimately beneficial for Exos. As a first mover in the space, the hub has a strong sales pipeline and is a mature and cost-competitive product. New market entrants are bringing more visibility to the product category than Exos alone can generate and also provide alternate paths for customers to discover Exos and our products. Most importantly, the advancement of alternative charging options will support faster adoption of our vehicles and expand the EV market to include more of the fleets without access to traditional permanent chargers. For more detail on how we are fulfilling the strong demand for EXOS products, I'll hand it over to our COO, Gio, for an operational update.