NEXTNRG, INC. Q3 FY2022 earnings call

• Revenue Growth: Third quarter 2022 revenue was $4.1 million, a significant jump from the prior year. Nine-month revenue also saw substantial growth. - Customer and Fleet Expansion: In 2022, over 75 new fleet customers were added, with more than 25 new ones in the third quarter alone. The fleet of trucks has expanded from 13 to 38. - Geographic Expansion: Operations have been extended to West Palm Beach, Tampa, Orlando, and most recently Jacksonville. - Business Focus: The commercial business makes up over 80% of revenue, and the company is also looking to expand on-demand consumer and specialty markets like marine. - Hurricane Response: EzFill took part in relief efforts during Hurricane Ian, delivering fuel to first responders and affected residents. - Future Plans: Planning to partner with other companies to introduce new products and services, and aiming to expand to other states.

In the third quarter of 2022, EzFill reported revenues of $4.1 million, which is a 120% increase from the $1.9 million in the prior year period. On a nine-month basis, revenues grew to $10.2 million from $5.2 million, marking a 95% increase. The commercial business currently constitutes over 80% of the company's revenue.

• Expect to maintain a healthy margin as the company continues to add commercial fleet accounts and more consumers. - The company plans to evaluate the need for additional delivery trucks in 2023 based on new market openings. - Marketing expenses are expected to remain flat going forward.

• Market Volatility: Fuel price volatility, which is beyond the company's control, poses a risk. - Capital Constraints: Expanding to new markets requires significant capital, which is a limiting factor. - Operational Challenges: Ensuring trucks are sufficiently utilized to generate positive cash flow in new markets is a challenge.

Q: Tate Sullivan inquired about the truck target for year-end and when new trucks would start generating profits.

A: Arthur Levine responded that they are currently at 38 trucks and intend to reach 42 by year-end, and a truck needs to be approximately 60%-70% utilized to start generating positive cash flow.

Q: Tate Sullivan also asked about marketing expenses and new products.

A: Arthur Levine stated that marketing expenses will be flat, and Mike McConnell mentioned evaluating products such as mobile carwash and continuing to invest in the fleet portal technology.

Q: Jason Kolbert asked about discussions with Florida regarding emergency services and limiting factors to revenue growth.

A: Michael McConnell said there are discussions to formalize emergency service relationships, and Arthur Levine noted that capital is the biggest limiting factor in expanding to new states.