Wallbox NV Q3 FY2024 earnings call

• Adjusted organizational structure to business unit-driven, focusing on common business and fast charging segments to optimize customer experience and resource alignment. • Optimized organization based on market environment, improving top-line visibility via sell-in/sell-out analysis and pipeline strengthening. • Implemented action plans to improve gross margin through procurement optimization, inventory management, BOM analysis, and strategic partnerships. • Expanding sales with improved commercial strategy and new products like Quasar 2 and Eichrecht certified Supernova 220. • AC portfolio remains key revenue driver with strong partnerships (e.g., Engie, Generac). • DC segment affected by customer inventory issues, but focusing on profitability and network utilization. • Software/services showing growth, with Electromaps up 55% q-o-q.

Europe contributed €22.9 million (66% of total revenue) with modest growth (+1% y-o-y). North America generated €9.7 million (28% of total revenue) with 45% y-o-y growth. APAC contributed €1.2 million (4%), LatAm was ~€800,000 (2%). AC sales were €23.7 million (~68% of consolidated revenue), including Home and Business segments. DC sales were €4.4 million (13% of revenue), impacted by customer order delay. Software, services, and others contributed €6.6 million (19% of total revenue), with Electromaps showing 55% q-o-q growth.

• Q4 revenue expected in the range of €40 million to €45 million, representing ~23%-38% year-over-year growth. • Gross margin targeted back to the 38%-40% range. • Adjusted EBITDA loss expected between €7 million and €10 million. • Aim for profitability and cash generation in 2025.

• Volatility in the EV market impacting performance. • Inventory provision due to obsolete components in product development. • Competition from firms without diversified positions and scale. • Macro environment factors (regulations, subsidies, EV market trends) affecting results.

Q: George Gianarikas asks about when Wallbox hopes to get back to EBITDA flat to positive and ties it to balance sheet strength.

A: Enric states they are growing in key markets like North America, adapting structure to current revenue, and aiming for profitability in 2025.

Q: Ben Kallo asks about manufacturing footprint and outsourcing.

A: Enric mentions keeping own manufacturing in NA and Europe for advantages, controlling supply chain for margin improvement; Luis adds they're ready with existing facilities for future growth.