Company expects margins to improve as sales volumes rise and cost reductions take effect
Beam Global sees international expansion, especially in Europe and the Middle East, as growth drivers
Company expects to benefit from cost savings after relocating manufacturing to Yuma, Arizona
Overview
US energy storage provider's Q2 revenue rose 21% yr/yr, beating analyst expectations
Q2 net loss narrowed and beat analyst estimates
Operating expenses declined, aided by cost cuts and manufacturing move
Result drivers
Europe expansion - Co said European operations generated about half of Q2 revenue and contributed significantly to quarter-over-quarter growth
New product applications - Co cited expanded sales in advanced battery technology for drones, AI data centers, robotics, and industrial uses as drivers for revenue growth
Cost reduction - Co said operating expenses fell due to cost cuts, including moving manufacturing to Yuma, Arizona, resulting in rent savings
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the renewable energy equipment & services peer group is "buy"
Wall Street's median 12-month price target for Beam Global is $2.50, about 117.4% above its August 18 closing price of $1.15
BEEM•
