Eos Energy Enterprises, Inc. · NASDAQ:EOSE
Eos Energy Enterprises — FY2023 Earnings Presentation
17 slides from Eos Energy Enterprises's earnings presentation, Mar 5, 2024
Slide 1: Eos Energy Enterprises 2023 Financial Results
Eos Energy Enterprises 2023 Financial Results March 5, 2024
Slide 2: Disclaimer: Forward-Looking Statements
Disclaimer Forward-Looking Statements This presentation includes “forward-looking statements” within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, but are not limited to, statements regarding our expected reve
Slide 3: 2023 Highlights
2023 Highlights 41% YoY gross margin improvement, 66% Q4 gross margin improvement vs. prior year period Achieved two highest quarters of company revenue with last Gen 2.3 production (Q1) and first full Eos Z3 production (Q4) First Title XVII non-lithium-ion battery manufacturer with conditiona
Slide 4: Operating Highlights
Operating Highlights Booked Orders 2 1 Commercial Pipeline Orders Backlog at 12/31 1 $13 billion $95.5 million $534.8 million 77% increase YoY Significantly lower than 2023 target 15% increase YoY 2023 Revenue 1 Cash On Hand at 12/31 2 Discharge Energy 3 1.8 GWh $16.4 million $69.5 million ~1.4 GWh
Slide 5: Eos Z3 Program Update
Highlights Eos Z3TM Program Update Transitioned entire manufacturing and product offering from Gen 2.3 to Eos Z3 Cube Progress to Date 1H24 Focus 2024 Cost-Out Expectation ~30% Q4 cost reduction R&D / Engineering Direct Materials Commercial Pipeline Supply Chain Direct Labor 1.9 GWh in late-stage
Slide 6: Commercial Opportunity Pipeline & Orders Backlog
Commercial Opportunity Pipeline & Orders Backlog 6
Slide 7: Current Commercial Activity
Commercial Opportunity Pipeline & Orders Backlog Current Commercial Activity Total commercial opportunity pipeline increased 77% vs. prior year end of 2022 1 1 1 Lead Generation Commercial Opportunity Pipeline - $13B Backlog Active proposals LOI / Firm commitments ~$7B ~$2B ~$9B ~$2B $534.8M ~24GWh
Slide 8: Worldwide Adoption of Energy Storage
Commercial Opportunity Pipeline & Orders Backlog Worldwide Adoption of Energy Storage Positioning Eos for future growth in 3 key international markets New Delhi Washington, D.C. Rome Canberra USA Italy Australia India Market Drivers Market Drivers Market Drivers Market Drivers National security co
Slide 9: Operational Scale & Capacity
Operational Scale & Capacity 9
Slide 10: State-of-the-Art (SotA) Manufacturing Line 1 Update
Operational Scale & Capacity State-of-the-Art (SotA) Manufacturing Line 1 Update Currently on schedule for Q2 2024 installation and commissioning in Turtle Creek, PA Recent Accomplishments Highly capital Completed full assembly layout on Acro floor efficient model Achieved “power on” status of a
Slide 11: Expanding Strategic Partnerships with World Class Partners
Operational Scale & Capacity Expanding Strategic Partnerships with World Class Partners Locking in supply agreements for core battery components to support scaling Eos Z3TM battery production Zinc-Bromide Four–year supply agreement supplying 75% High-performance minimum total finished electrolyte
Slide 12: Achieving Progress on Cost Roadmap
Operational Scale & Capacity Achieving Progress on Cost Roadmap Cost Roadmap Cutting in various cost-out initiatives into production in late Q1 2024 Increased felt surface Replaced titanium terminal ~30% of the Z3 cost reduction area in each cell by 15% electrodes with conductive plastic goal has be
Slide 13: Financial Results & Forecast
Financial Results & Forecast 13
Slide 14: Fourth Quarter 2023 Eos Income Statement
Financial Results & Forecast Fourth Quarter 2023 Eos Income Statement Revenue COGS ($ in millions) $ in millions $ in millions Q4 2023 Q4 2022 +148% -1% 6.6 30.4 30.8 Revenue 6.6 2.7 Cost of Goods Sold 30.4 30.8 Gross Loss (23.7) (28.1) 2.7 R&D expense 5.0 3.6 Q4 2023 Q4 2022 Q4 2023 Q4 2022 SG&A ex
Slide 15: Full Year 2023 Eos Income Statement
Financial Results & Forecast Full Year 2023 Eos Income Statement Revenue COGS ($ in millions) $ in millions $ in millions 2023 2022 -9% -41% 17.9 153.3 Revenue 16.4 17.9 16.4 Cost of Goods Sold 89.8 153.3 89.8 Gross Loss (73.4) (135.3) R&D expense 18.7 18.5 2023 2022 2023 2022 SG&A expense 53.7 60.6
Slide 16: Aligning Production to Customer Commitments & Cost Roadmap
Financial Results & Forecast Aligning Production to Customer Commitments & Cost Roadmap First full Eos Z3 manufacturing quarter produces second highest revenue quarter to date Year-over-Year Sequential Quarter 2024 Production Annual Revenue Q4 Revenue QoQ Revenue $ in millions $ in millions $ in mil
Slide 17: Initiating 2024 Outlook and Upcoming Key Events
Financial Results & Forecast Initiating 2024 Outlook Upcoming Key Events Revenue Contribution SotA Line 1 FAT / SAT Margin 1H 2024 Annual Shareholder Meeting $60M - $90M Positive in Q4 May 1, 2024 Expects to increase manufacturing volumes Defined as sales price less direct labor, direct throughout Q
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