Fluence Energy, Inc. · NASDAQ:FLNC
Fluence Energy — Investor Presentation (January 2025)
30 slides from Fluence Energy's investor presentation, January 2025
Slide 1: Investor Presentation
January 2025 Investor Presentation
Slide 2: Disclaimer
Disclaimer Forward-Looking Statements The statements herein and referenced on the Company's earnings call that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as a
Slide 3: Investment Thesis
1 Investment Thesis © Fluence Energy, Inc. All rights reserved. | 3
Slide 4: Fluence Investment Thesis
Fluence Investment Thesis 1. Massive total addressable market: Installed base expected to add 2,529 GWh of utility scale storage between now and 20351 2. Fluence is the leader in the energy storage sector: Top 3 market share both globally and in the United States (deployed and contracted projects)2
Slide 5: Robust Energy Storage Demand; added ~$1.2B Order Intake During Q4'24
Robust Energy Storage Demand; added ~$1.2B Order Intake During Q4'24 We Believe that U.S. Demand for Energy Storage Will Not be Significantly Impacted By Change in Political Landscape Demand for electricity is rising Renewables + Storage is one Declining cost of energy of the fastest sources of stor
Slide 6: Sustainable Supply Chain Strategy
Sustainable Supply Diversity of Component and Battery Suppliers • Multiple battery suppliers: China, South Korea, Sweden, USA. Chain Strategy Capacity Agreements • Multi-year capacity agreements in place to ensure adequate supply and timely deliveries. • Capacity agreement prices subject to market a
Slide 7: About Us
2 About Us © Fluence Energy, Inc. All rights reserved. | 7
Slide 8: Our Mission
OUR MISSION Transform the way we power our world to create a more sustainable future. PURPOSE-BUILT PURPOSE-DRIVEN © Fluence Energy Inc. All rights reserved. | 8
Slide 9: Best-In-Class Global Energy Storage Solutions Provider
Best-In-Class Global Energy Storage Solutions Provider We provide comprehensive energy storage solutions for our customers most complex challenges PCS. Prequalified to work with Safety. Standard safety components include Batteries. Cubes come pre-assembled leading power conversion systems fire detec
Slide 10: Key Highlights Fluence Contract Manufacturing Locations
Key Highlights Fluence Contract Manufacturing Locations Regionalizing our supply chains Utah facility well positioned following USA – Utah facility passage of IRA operational since Asia – Vietnam facility September 2022 operational since 2020 Potential for an additional USA based facility following
Slide 11: US Supply Chain Key to Enabling Domestic Content Leadership
US Supply Chain Key to Enabling FLNC’s Domestic Content Leadership & Ability to Provide 100% Non-Chinese Product Chiller / HVAC Manufacturing Illinois Battery Module Manufacturing & Integration Battery Cell Utah Manufacturing Tennessee Inverter Manufacturing South Carolina Enclosure & DCPM Manufactu
Slide 12: US Manufactured Battery Cells Provide Advantage Over Peers
US Manufactured Battery Cells Provide Advantage Over Peers • Line 1 at AESC’s Tennessee facility started producing its initial 305-amp hour battery cells • FLNC made strategic decision to upgrade Line 2 to 530-amp hour cell • Provides superior density, better degradation and more value to customers
Slide 13: A trusted partner for leading companies globally
A trusted partner for leading companies globally A broad range of customers across multiple segments and geographies UTILITIES / IPPs FINANCIALS 13
Slide 14: FLNC the Preferred Supplier of Storage Solutions
FLNC the Preferred Supplier of Storage Solutions; Builds Strong Customer Relationships and Drives Long-Term Service Contracts Customers cite safety, performance, bankability, and supply chain assurance in selecting FLNC Safety Performance Bankability Supply Chain Assurance 77% 73% 73% 69% 58% Batter
Slide 15: Fluence Offerings
3 Fluence Offerings © Fluence Energy, Inc. All rights reserved. | 15
Slide 16: Configurable storage solutions, service, and digital application packages
We help customers manage the energy transition through configurable storage solutions, service, and digital application packages Fluence Energy Storage Solutions & OS Fluence Long-Term Services Digital Apps for Renewables and Storage Purpose-built energy storage with integrated hardware Comprehensiv
Slide 17: Expanding Gridstack Pro Offerings
Expanding Gridstack Pro Offerings Adding the Gridstack Pro 5000 Series, a more energy-dense 5-6 MWh enclosure, optimizing land use and efficiency. GRIDSTACK PRO 1000 ONE GRIDSTACK PRO PLATFORM A series of offerings that provide flexibility and faster integration of new cell technology, all on the sa
Slide 18: Fluence Battery Pack
Fluence Battery Pack Enables easier implementation of integrated solutions while commoditizing battery cells Fluence Mosaic Battery Cell FROM AESC DCPM Cell Supplier 2 The "brains" of the Pack System, the Cell Supplier 3 Battery Module DCPM collects battery data for Fluence OS Cell Supplier 4 commun
Slide 19: FY 2024 Fourth Quarter Financial Highlights
FY 2024 Fourth Quarter 4 Financial Highlights © Fluence Energy, Inc. All rights reserved. | 19
Slide 20: Executive Summary
Executive Summary Revenue Adjusted EBITDA2 Order Intake • Met or exceeded FY'24 financial guidance metrics Q4 $1.2B Q4 $87M (3.6 GWh Energy Q4’24 GAAP Q4 $1.2B • Finished FY'2024 with approximately Storage Solutions1) Net Income $68M ~4.6 GWh Solutions3, 3.2 GWh Services, $963M of liquidity2 FY’24 ~
Slide 21: Continued GAAP Gross Profit Margin Improvement on Rolling LTM Basis
Continued GAAP Gross Profit Margin Improvement on Rolling LTM Basis, Reflecting Strong Project Execution Double Digit Gross Profit Margins for Fifth Consecutive Quarter Last 12 Months GAAP Gross Margin % 12.1% 12.6% 9.0% 7.3% 6.4% 3.8% 2.9% 0.2% Q4'22 Q1'23 Q2'23 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24
Slide 22: Backlog Grew 55% Year-Over-Year
Backlog Grew 55% Year-Over-Year Providing Continued Visibility to Future Revenue FLNC Chart in billions USD as of Sept 30, 2024 $4.5 $2.9 Backlog Q4 FY23 Backlog Q4 FY24 * Refer to Backlog definition within appendix. © Fluence Energy, Inc. All rights reserved. | 22
Slide 23: Robust Global Utility Scale Pipeline Underpins Strong Growth Outlook
Robust Global Utility Scale Pipeline Underpins Strong Growth Outlook 60% Year Over Year Pipeline Growth PIPELINE FLNC Chart in billions USD as of Sept 30, 2024 Pipeline increased 26% nearly $500M, to $20.9 FLNC approx. $21B, $20.9 Billion 44% quarter-to-quarter, Utility Scale $13 Pipeline even after
Slide 24: Fourth Quarter 2024 Financial Performance
Fourth Quarter 2024 Financial Performance HIGHLIGHTS Continued improvement in Gross Profit Margins 1 Generated $1,228M revenue in Q4, 82% increase from same quarter last year. All figures in $ million, unless specified2 Q4’23 Q4’24 Revenue 673 1,228 2 Delivered $159M adjusted gross profit1 , an incr
Slide 25: Solid Liquidity Profile, Significantly Improved versus FY 2023
Solid Liquidity Profile, Significantly Improved versus FY 2023 All figures in $ million, unless specified $425 $963 $444 Available $275 Available under Revolver For Letters of and Supply Credit Chain Facilities $663 $200 Available $519 $19 $150 Available For Letters of to Draw Credit $519 Ending $46
Slide 26: Initiate FY 2025 Guidance
Initiate FY 2025 Guidance HIGHLIGHTS 1 65% of midpoint of FY’25 revenue guidance is covered by backlog; aligned with same All figures in $ million, FY 2024 percentage coverage as prior FY 2025 Guidance unless specified Results year 2 Expect 10-15% adjusted gross $2,699 $3,600-$4,400 profit margin1 f
Slide 27: Appendix
Appendix © Fluence Energy, Inc. All rights reserved. | 27
Slide 28: Definitions
Definitions Item Definition Backlog represents the unrecognized revenue value of our contractual commitments, which include deferred revenue and amounts that will be billed and recognized as revenue in future periods. The Company’s backlog may vary significantly each reporting period based on the ti
Slide 29: IRA Offers Material Tax Incentives For Energy Storage
IRA Offers Material Tax Incentives For Energy Storage Section 48: Investment Tax Credit (ITC) Section 45X: Production Tax Credit (PTC) Directly Benefits Customers; Directly Benefits Fluence Indirectly Benefits Fluence $10 per kWh of Battery Modules Up to 50% of Project Cost in Credits Produced at ou
Slide 30: Non-GAAP Financial Measures & Reconciliations
Non-GAAP Financial Measures & Reconciliations1 FY24 FY24 ($ in millions) Q4'23 FY23 Q1'24 Q2’24 Q3’24 Q4’24 ($ in millions) Q4'23 FY23 Q1’24 Q2’24 Q3’24 Q4’24 YTD YTD GROSS PROFIT 76.3 141.0 36.4 64.2 83.0 157.5 341.1 NET INCOME (LOSS) 4.8 (104.8) 30.4 (25.6) (12.9) 1.1 67.7 Gross Profit Margin % 11
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