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Exro Technologies Announces Impressive Financial Results for 2024

Exro Technologies Inc. (TSX: EXRO) (OTCQB: EXROF), a leader in clean technology focused on e-mobility, has unveiled its financial results for the fourth quarter and full year ended December 31, 2024. This announcement comes on the heels of a transformative year for the company, marked by significant revenue generation and crucial partnerships with major Original Equipment Manufacturers (OEMs).

Record Revenue Growth and Strategic Moves

In 2024, Exro achieved record revenue of $23.1 million, attributed to the successful delivery of 153 electric propulsion systems to its OEM partners. The company saw remarkable growth following its merger with SEA Electric Inc., which resulted in streamlined operations and strategic cost reductions. These changes included facility closures and workforce optimization, halving the employee count from 266 in April 2024 to approximately 130 by March 31, 2025. The CEO of Exro, Sue Ozdemir, stated, "Despite facing macroeconomic challenges, our efforts led to record revenue and a solid footing for future growth."

Innovations and Product Development

The year 2024 was not only about numbers. Exro made significant advancements in its technology offerings, particularly its e-propulsion systems, Coil Driver™, and Cell Driver™ programs. Noteworthy accomplishments included launching an innovation partnership with Stellantis N.V. to develop the Coil Driver™ for passenger vehicles and initiating a pilot program with a leading commercial vehicle OEM. The company has also achieved ETL Certification for the Cell Driver™, underscoring its commitment to safety and efficiency in energy storage solutions.

Cost Optimization Achievements

Exro exceeded expectations regarding cost-saving initiatives, achieving over $15 million in annualized savings against an initial target of $10 million. This proactive approach is expected to yield further benefits in 2025, as the company refines its operations and optimizes costs across various levels.

Continued Partnerships and Market Expansion

Exro's partnerships are pivotal as the company navigates into 2025. The ongoing series production deliveries for e-propulsion systems are set to continue into the new year with two prominent OEM partners. Furthermore, a pilot program with another top-five OEM is on track for on-road trials scheduled for Q3 2025, demonstrating Exro's commitment to innovation and growth.

As the North American automotive landscape evolves, Exro is positioning itself as a powerful player in the battery-electric and hybrid markets, particularly through its work with Stellantis. The company remains optimistic about securing new partnerships with two additional automotive OEMs, funded to test the integration of Exro's leading technologies into their electric and hybrid platforms.

Outlook for 2025 and Beyond

Looking ahead, Exro faces certain market uncertainties, particularly in the context of potential regulatory changes under the current U.S. administration. While short-term challenges exist, there is optimism amidst increasing investments by several OEMs in U.S. manufacturing for electric vehicles. Market momentum in states like Texas and Florida remains robust, fostering a long-term growth trajectory. Exro has decided to withdraw its previously issued revenue guidance for 2025 to provide a transparent outlook amidst changing market conditions.

To support its strategic growth plans, Exro is actively exploring funding alternatives. As of March 31, 2025, financial support has been secured from an existing investor, but the company is simultaneously assessing other funding options to ensure its ongoing operations and development.

Conclusion

Exro Technologies Inc. stands at a critical juncture in its development, realizing significant milestones in terms of revenue, partnerships, and technological advancements while navigating the complexities of a fluctuating market. The company remains committed to its mission of transforming the e-mobility landscape with innovative solutions that promise to reshape energy consumption globally. As Exro moves forward, it will continue to adapt, innovate, and prepare for the next wave of growth in electric mobility.

For further developments and information about Exro's innovative products, visit Exro Technologies.