Shoals Technologies Group Q1 2025 Earnings Report

Shoals Technologies Group EPS Results

• Actual EPS: $0.02
• Consensus EPS: $0.04
• Beat/Miss: Missed by -$0.02
• One Year Ago EPS: $0.07

Shoals Technologies Group Revenue Results

• Actual Revenue: $80.36 million
• Expected Revenue: $74.66 million
• Beat/Miss: Beat by +$5.71 million
• YoY Revenue Growth: -11.20%

Shoals Technologies Group Announcement Details

• Quarter: Q1 2025
• Date: 5/6/2025
• Time: Before Market Opens
• Conference Call Date: Tuesday, May 6, 2025
• Conference Call Time: 8:00AM ET

Shoals Technologies Group (NASDAQ:SHLS) provides electrical balance of system (EBOS) solutions and components for solar, battery energy, and electric vehicle (EV) charging applications in the United States and internationally. The company designs, manufactures, and sells system solutions for both homerun and combine-as-you-go wiring architectures, as well as offers technical support services. It provides EBOS components, including combiners; plug-n-play branch connectors and inline fuses; AC disconnects; recombiners; wireless monitoring; junction boxes; wire management; EV power cabinets; and battery energy storage systems cabinets, as well as cable assemblies, transition enclosures, and splice boxes. In addition, the company offers eMobility solutions, such as a power center, which combines equipment needed to protect the charging equipment and transform voltage levels from the electric utility to those needed on the respective site; quick connect solutions for chargers to connect to the Shoals system; big lead assembly (BLA) technology in the EV space to connect multiple chargers to a single power center; and a raceway system that protects the above ground EV BLAs in walk over and drive over applications. Further, it provides Snapshot IV, a solar operations and maintenance solution that monitors the specific voltage and current of individual solar panels and compares the results against the manufacturer's projected performance. The company sells its products to engineering, procurement, and construction firms that build solar energy projects; utilities; solar developers, independent power producers; solar module manufacturers; and charge point operators. Shoals Technologies Group, Inc. was founded in 1996 and is headquartered in Portland, Tennessee.

Shoals Technologies Group Q1 2025 Earnings Call Transcript

Key Takeaways

• Shoals delivered Q1 revenue of $80.4 million, secured roughly $91 million in new orders, and ended the quarter with a backlog and awarded orders (BLAO) of $645.1 million and a book-to-bill of 1.13.
• Adjusted gross profit margin was 35% in Q1—down on product mix and strategic pricing—but management expects mid-to-high 30% for full-year 2025 and believes 40%+ is attainable long term through productivity initiatives.
• Investments in domestic manufacturing (a 635K sq.ft. Tennessee facility), enhanced customer care, and over 15% of orders featuring new products are driving expansion into new geographies and customer segments.
• Shoals is pursuing a 12 GW international MOU in Africa, growing its Commercial & Industrial and OEM channels (e.g., First Solar partnership), and diversifying beyond utility-scale solar.
• The company is targeting the fast-growing battery energy storage solutions (BESS) market—projected at 15% CAGR through 2029—via three channels and has already booked orders with a hyperscaler and a major U.S. storage provider.
• Strong cash generation in Q1: operating cash flow of $15.6 million, free cash flow of $12.4 million ($24.4 million ex-remediation), and net debt/EBITDA at 1.2×, the lowest in four years.

Presentation

[Operator]

Good morning, and welcome to the Shoals Technologies Group First Quarter twenty twenty five Earnings Conference Call. Today's call is being recorded, and we have allocated one hour for prepared remarks and Q and A. At this time, I'd like to turn the conference over to Matt Trachtenberg, Vice President of Finance and Investor Relations for Shoals Technology Group. Thank you. You may now begin.

[Matthew Tractenberg, Vice President of Finance & Investor Relations at Shoals Technologies Group]

Thank you, Charlie, and thank you, everyone, for joining us today. Hosting the call with me is our CEO, Brandon Moss and our CFO, Dominic Bartos. On this call, management will be making projections or other forward looking statements based on current expectations and assumptions, which are subject to risks and uncertainties and should not be considered guarantees of performance or results. Those risks and uncertainties are listed for interested investors in our most recent SEC filings. Actual results could differ materially from our forward looking statements.

[Matthew Tractenberg, Vice President of Finance & Investor Relations at Shoals Technologies Group]

Today's presentation also include references to non GAAP financial measures. You should refer to the information contained in the company's first quarter press release for definitional information and reconciliations of historical non GAAP measures to the nearest comparable GAAP financial measures. Please note that the slides you see here are available for download from the Investor Relations section of our website at investors.shoals.com. With that, let me turn the call over to Brandon.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Thank you, Matt, and good morning, everyone. I'll begin by sharing some thoughts on the most recent quarter. We'll discuss the current market and demand environment for U. S. Utility scale solar and I'll review progress on our strategic growth initiatives. Dominic will dive deeper into the first quarter results and provide our outlook on the second quarter and full year 2025.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

We'll then close it out with questions from our analysts. The business performed well in the first quarter, delivering revenue of $80,400,000 slightly above the high end of our expected range. Bookings were very strong in the period as momentum continues with approximately $91,000,000 in new orders. This resulted in a robust backlog and awarded orders or BLAO of $645,100,000 and a book to bill of 1.13, supporting the growth we see in the coming quarters. As of 03/31/2025, approximately $500,000,000 of that VLAO has shipment dates in the upcoming four quarters running through Q1 of twenty twenty six.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

As a reminder, given the volume of project delays we experienced in 2024, we continue to allow for potential project timeline changes from our customers this year. That said, while it's still early in the year and uncertainty is somewhat elevated, we have not seen any concerning behavior from our customers. As expected and discussed on the last call, adjusted gross profit percentage in the quarter was softer than normal at 35% driven by product mix, strategic pricing initiatives and reduced fixed cost leverage on lower volume. As previously discussed, we may occasionally leverage price to engage with customers who utilized alternative solutions in the past to secure long term agreements or as we enter new market segments or geographies. While the impact of those price actions are expected to lessen over time, these strategic actions are enabling us to win new projects and customers.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

We expect ongoing productivity initiatives that we are aggressively pursuing to begin to take hold. While we believe that 40 plus percent gross margins are appropriate and achievable in the long run for the remainder of 2025, we expect to deliver gross margin in the mid to high 30% range. And finally, we delivered first quarter adjusted EBITDA within our expected range at $12,800,000 As we are all aware, today's headlines are dominated by geopolitical uncertainty, and we understand that creates volatility for the investor community. At times like this, we find it helpful to focus on the underlying drivers of our business and what makes Shoals unique. Low growth is increasing, energy sources are limited and costly, and solar is best positioned to deliver the energy we need quickly in a cost effective manner.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Our value proposition of combining high quality products with exceptional engineering support and service is bringing customers back to the table. Newly launched innovative products are solving real business problems. Domestic manufacturing capabilities are resonating. Improved commercial and operational initiatives are driving tangible results. And the quality of our balance sheet and ability to generate attractive levels of free cash flow in a wide variety of market climates set Shoals apart from most others in the clean energy space.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

We are excited by the progress we made and the strength of the underlying markets we participate in, but we're also acutely aware of today's headlines, which are dominated by tariffs and domestic energy policy. We continue to evaluate how these shifts in policy may or may not impact our business and industry. That said, given what we know today, we believe Shoals has limited direct exposure to many of these risks in the near term. You may recall that we do not participate in 45X credits and we have a robust supply chain with strong domestic partners. While no business is immune to market disruptions, we remain flexible and will work to identify opportunities to further protect our customers from the potential impact of tariffs.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

We are proud to be a U. S. Manufacturer and have invested heavily to improve our domestic manufacturing footprint. We're investing in technologies that will increase productivity through automation. Shoals is in a strong competitive position and we believe these improvements are resonating with new and existing EPCs and developers as they navigate a complex economic climate.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

We are encouraged by the progress we've made within our commercial organization and the strength we see this year within our core utility scale solar market. External sources reported some softness in fourth quarter twenty twenty four construction, likely driven by a number of factors including weather, labor availability and geopolitical uncertainty. As we enter 2025, project construction and tracker installations resumed a healthy pace. As you know, EVOS tends to follow tracker installations by one to two quarters, which aligns with the cadence of our full year guidance offered on our February call. Our customers' 2025 construction calendars are full and projects are moving forward as scheduled.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

We're also driving a more diverse customer base across all product lines. As seen in our recent filings, we now recognize two additional customers responsible for 10% or more of our business. The strategies we've been executing commercially are taking hold. We are identifying and cultivating relationships with EPCs that previously did little to no business with Shoals, and the progress is very encouraging to see. The investment that we made in our commercial and product management functions are paying dividends as evidenced in both the growth and quality of our order book.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Today, more than 15% of our BLAO includes projects with at least one new product released in the last four quarters. These new products are instrumental in Scholl's winning business, particularly within the 30% of the market we haven't competed for in the past. And several of the customers buying these new products are new or have recently returned to Shoals, it's a very promising sign of what's to come. As we have previously discussed, there has been intense focus on how we have engaged with our customers over the last twelve months. In addition to revitalizing our sales, product management and marketing functions, we have also stood up a world class customer care team.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

This engagement in pre project planning, project startup, training, golden row inspection and post project care, I believe is unmatched in the solar industry. I'm excited to pair that customer facing team with the operational improvements we are currently making in both talent and physical assets. This includes the startup of a state of the art facility this year. Our ongoing investments in both The U. S.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Supply chain and manufacturing base will continue to provide the highest quality products and service in our industry. Shoal's additional growth opportunities we laid out in our strategic plan, international, CC and I, OEM and BESS are progressing well. We are building on our recent international project wins in Australia and Chile and are proud to announce the signing of an MOU with UGT Renewables. This leading global developer and their subsidiary Sun Africa are driving massive infrastructure projects within emerging global markets and selected Shoals to help deliver up to 12 gigawatts of international solar power in the coming years. That decision was made based on our quality and support, fast deployment speeds and the ability to avoid skilled labor for installation.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Many of these projects have been granted significant funding from The U. S. Ex I'm Bank, which often requires domestic content. It puts Shoals in an attractive competitive position. We're excited to share more as major projects are announced.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Our Community, Commercial and Industrial business continues to gain momentum. Wood Mackenzie has recently increased their estimate of growth within the commercial market, which aligns with what we are seeing through our engagement with new and prospective customers. There is an enormous opportunity to serve smaller EPCs and owners building projects behind the meter. Sales cycles are relatively short, quoting activity is very strong, and our value proposition is resonating with customers. Our OEM business is performing well.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Our close partnership with First Solar enables visibility and consistency, valuable elements in today's business climate. You may have seen our joint press release during the quarter with First Solar expressing our belief that U. S. Manufacturing is a unique differentiator in The U. S.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Utility scale solar market. Roadmaps are aligned and the growth you see at First Solar is fueling attractive growth at Shoals. Battery energy storage solutions is an area of particular excitement at Shoals. While we have been selling products into this market for some time, the current strategy began to come together in 2024. According to Wood Mackenzie, the best market is expected to grow at 15% CAGR through 2029.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

We will serve this market via three distinct paths. First, via traditional solar EPCs. We have seen notable interest in our standardized approach to combiners and recombiners and are booking orders as we speak. Second, by partnering with providers of prefabricated storage solutions, I'm pleased to announce that we've secured a very exciting partnership with a large battery energy storage provider in The U. S.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

More to come on that. And third, by directly selling to developers and owners requiring energy storage solutions. During the quarter, we won a project to provide a custom solution to a well known hyper caler, a very good first step. The Shoals addressable BEST market is massive in size and growing at a very fast pace. Remember, BEST has applications across all energy sources, not just solar.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

We are thoughtfully allocating resources to capture this opportunity and believe it could materially change the customer and product mix of the company over the coming five years. In summary, we are executing our strategic framework of market penetration and diversification as anticipated. Customers are looking for a U. S. Source of high quality innovative solutions that allow them to manage labor costs, speed time of deployment and ensure their assets perform over a timeline that spans not years, but decades.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

That balance between low material cost today versus total cost of ownership over the useful life of the project is why EPCs and developers are more engaged than ever. With that, I'll now turn it over to Dominic, who will discuss our first quarter financial results in more detail and our outlook for 2025. Dominic?

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

Thanks, Brandon, and good morning to everyone on the call. Turning to our first quarter financial results. Net revenue declined 11.5% year over year to $80,400,000 The decline in net revenue was driven by product mix, strategic pricing actions and customer mix. Gross profit decreased to $28,100,000 compared to $36,500,000 in the prior year period. This resulted in GAAP gross profit percentage of 35% compared to 40.2% in the prior year period.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

The decline in margin was due to product mix, strategic pricing actions and a loss of fixed cost leverage on lower sales volume. General and administrative expenses were $21,700,000 which is $1,100,000 lower than the prior year period. We remain focused on controlling operating expenses and believe we are allocating resources in a reasonable and thoughtful manner. Approximately $2,500,000 of G and A expense was specifically related to the ongoing wire insulation shrink back litigation. Income from operations or operating profit was $4,300,000 compared to $11,600,000 during the prior year period.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

Operating profit margin was 5.4% compared to 12.8% a year ago, driven primarily by the decline in gross profit and reduced leverage on general and administrative expenses. Net loss was $300,000 compared to net income of $4,800,000 during the prior year period. Adjusted net income was $5,200,000 compared to $12,600,000 in the prior year period. Adjusted EBITDA was $12,800,000 compared to $20,500,000 in the prior year period. Adjusted EBITDA margin was 15.9% compared to 22.5% a year ago, driven primarily by lower sales and the reduced gross profit percentage.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

During the first quarter, we spent $9,500,000 on wire insulation shrink back remediation and had a remaining warranty liability on our balance sheet of $30,400,000 as of March 31. The current portion of the remaining liability related to shrink back is now $25,000,000 As a reminder, this represents the amount of cash we estimate we will consume during the next four quarters as we continue remediation efforts. This does not reflect any potential litigation recovery or increased reserves if our assumptions or knowledge of facts change. Our legal case against Prismean is progressing. At this time, we expect written discovery and fact depositions to be completed in the third quarter.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

Cash flow from operations in the first quarter came in at $15,600,000 a solid performance driven by stronger collections activity and the timing of some outflows. Free cash flow was $12,400,000 which reflects both the $9,500,000 impact of remediation costs and $2,500,000 of legal expenses related to the shrink back issue in the period. Excluding the impact of these two items, free cash flow would have been $24,400,000 in the quarter. Capital expenditures were $3,200,000 in the period. On the subject of capital investment, the build out of our new 1500 Shoals Way factory is progressing well.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

This state of the art plant totaling more than 635,000 square feet will allow for the consolidation of multiple manufacturing and warehouse facilities in Tennessee. It will enable an unprecedented level of efficiency and collaboration for us at Shoals. We currently expect to begin moving into the new facility at the end of the third quarter. Additionally, we've recently completed the construction of our own solar demonstration site referred to as the Shoals Innovation Field. Located on our campus on Shoals Way, this real world research and development laboratory incorporates a variety of panels and trackers paired with different Shoals eBOS solutions.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

It is providing our engineering, safety, commercial teams a hands on environment to test our innovative new products, showcase our value proposition, demonstrate installation techniques, and educate our stakeholders about the key products in the Shoals portfolio. Our balance sheet remains high quality and we ended the quarter with cash and equivalents of $35,600,000 and net debt to adjusted EBITDA of 1.2 times. Our net debt of $106,100,000 is the lowest level for Shoals in four years as a public company. With regards to capital allocation, given a number of competing priorities for our cash, shrink back remediation and factory consolidation, we did not purchase any shares in the first quarter under our share repurchase program. We have $125,000,000 currently remaining under the share repurchase authorization.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

We will continue to evaluate investment opportunities that we believe yield the highest return for shareholders. Backlog and awarded orders ended the first quarter at $645,100,000 a sequential increase of $10,000,000 Backlog constitutes $202,200,000 of the total BLAO providing us with confidence that the growth projections we have for the upcoming period can be achieved. As of March 31, approximately $500,000,000 of our backlog and awarded orders have planned delivery dates in the coming four quarters with the remaining $145,000,000 beyond that. Turning now to the outlook. While quarterly pacing within the year normally follows a strong back half, We mentioned on the previous earnings call that we expect this to be slightly more pronounced in 2025 and that remains true today.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

The production calendar is largely driven by when and where customers need us to deliver our solutions. And as you have likely seen from both industry data and peer reports, project calendars are very busy as we move into the warmer months. We expect between 4045% of annual revenue in the first half of the year and 55% to 60% in the second half. Based on what I just walked through, for the quarter ending 06/30/2025, the company expects revenue to be in the range of 100,000,000 to $110,000,000 and adjusted EBITDA to be in the range of 20,000,000 to $25,000,000 For the full year 2025, the company continues to expect revenue to be in the range of $410,000,000 to $450,000,000 and adjusted EBITDA to be in the range of 100,000,000 to $115,000,000 In addition for the full year, we continue to expect cash flow from operations to be in the range of 30,000,000 to $45,000,000 capital expenditures to be in the range of $25,000,000 to $35,000,000 and interest expense to be in the range of 8,000,000 to $12,000,000 And finally, we want to candidly share what we are seeing and hearing from customers. Many of you have asked about potential changes to the regulatory framework, including the IRA, PTC and ITC, and how they might impact industry growth.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

These items may drive elevated market volatility for the remainder of the year. While it clearly occupies the headlines, our customers are less distracted. And as a result, we do not see an increased rate of project delays relative to when our full year guidance was constructed. The range provided to you allowed room for heightened volatility and market disruptions. Therefore, even if we assume sustained uncertainty within our markets in 2025, we believe our guidance is reasonable and achievable.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

With that, I'll turn it back over to Brandon for closing remarks.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Thank you, Dominic. In this environment of heightened uncertainty, our team is doing a great job on what we can control and influence, improving the resiliency of our supply chain, exceeding customer service requirements, hitting delivery timelines, providing exceptional quality, solving real business problems with new products. The changes we are making and the team we have in place positions us exceptionally well. It is exciting to be a part of. At the same time, we cannot ignore the market data we are seeing, strong growth across both the core and new markets driven by the continued need for energy around the world.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Despite the volatile political environment, Wood Mackenzie projects The U. S. Will add between forty one fifty gigawatts of average annual solar installations from 2025 through 02/1935. This leads us to be incrementally more constructive on the market, both 2025 and beyond. While noise around energy policy remains, the data supports our thesis that markets in which we play are moving past the challenges we experienced in 2024.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

It's shaping up to be a good year. We want to thank our shareholders and customers for their continued trust and our employees for their hard work and dedication. Operator, we are now ready to take questions.

[Operator]

Our first question comes from Mark Strouse of JPMorgan. Mark, your line is open. Please go ahead.

[Michael Fairbanks, Equity Research Associate at JP Morgan]

Hey, good morning. This is Michael Fairbanks on for Mark. Maybe if you guys could just start with talking about how the competitive landscape may have shifted given the uncertainty around tariffs? Thank you.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Good morning. This is Brandon. A great question. Look, there is certainly no doubt we have seen an increase in our customer, inquiries. Our commercial team is is very active in the marketplace.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

And I think while the tariff landscape is is playing a part of that, you know, most of the conversations that we're having with customers are still centered around our our quality, our service, our capabilities, really speaking specifically to engineering helping customers solve business problems with our our new products. So, we continue to be very, very excited about our commercial execution, and I think it's gonna lead to, to great things to come.

[Michael Fairbanks, Equity Research Associate at JP Morgan]

Great. And then maybe just a follow-up. You guys mentioned the the two big wins in the best, product line. Could you maybe give some more color on on those two projects?

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Yeah. We're we're very excited about BEST, first and foremost, because of the total market opportunity. Look, for for context, that market is is essentially the same size or or slightly larger even than our core domestic utility scale solar market. So we're at the early stages as as we talked about in the prepared remarks. We've really got three channels to market there.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

And it's not only just two wins. We're we're seeing wins across the board in those three channels. We are winning business with, call it, our our core channel to market solar EPCs that are that are pairing solar and storage projects. We we are winning in alternative channels. We we called out specifically, you know, more of the industrial market that's supported by data center and AI, is a fantastic growth opportunity.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

And then specifically, partnering with through an OEM relationship, through folks building skid based solutions. And that opportunity that we referred to has has the potential to be sizable for Shoals in in years to come, and and there's others in that pipeline. So, you know, aligned with our commercial execution on the solar side, the company is doing well in its path to diversify.

[Matthew Tractenberg, Vice President of Finance & Investor Relations at Shoals Technologies Group]

Thank you. Charlie, next question.

[Operator]

Of course. Our next question comes from Brian Lee of Goldman Sachs. Brian, your line is open. Please proceed.

[Brian Lee, Vice President at Goldman Sachs]

Hey, guys. Good morning. With kudos on the solid results and thanks for taking the questions here. I guess maybe as a follow-up to the first question here, if you could, Brandon, maybe give us a bit more of the lay of the land, maybe even quantify it a little bit. Like how many of your peers like Voltage, who you've obviously been in some IP hand to hand combat with, how much exposure do your peers have to China tariffs?

[Brian Lee, Vice President at Goldman Sachs]

What percent market share in The U. S. Would you say they represent? And then what are kind of customer conversations like given the state of the state in terms of tariffs? It just seems like your U.

[Brian Lee, Vice President at Goldman Sachs]

S. Footprint and U. S. Supply chain should be giving you a huge leg up, whether it's in the ability to capture share or price or both. Just any visibility around those trends potentially becoming bigger tailwinds here as we move forward through the rest of this year?

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Yeah, Brian. Great to hear from you, and thanks for the question. Look, I don't wanna comment specifically on any one competitor in the marketplace, but I I wanna reiterate, you know, our investment in US manufacturing and supply chain started, you know, twelve, eighteen months ago. This is not a new phenomenon for Shoals. You know, you wake up each morning to a headline of so and so is building infrastructure in The United States as a result of these these tariffs.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

And, that is not the story of Shoals. We've been, we've been doing this for for the history of the company and are and are continuing, to to do it here with our investment at 1500 Shoals Way. As far as our competitive advantage in the marketplace, look, it's it's it's good for us, obviously. Anybody that is importing a finished product from from outside of the company the country has, you know, absolute tariff exposure, whereas folks that are building here may have some tariff exposure because they could be using some some imported materials. And, know, while we have largely a domestic supply chain, you know, we too do have some some imported materials like others.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

There's there's some materials where there is, no other domestic alternative when you think about some of the connectors that are specific to panel types. That being said, I like our position versus versus any others. And, look, I you know, to reference the last question again, I wanna reiterate that the, the engagement that we're having with customers right now is is is not centered around tariffs. They're they're not coming to us because they need a US alternative. They are coming to us because we've made some some really material changes in how we go to market and service the customer, and that is being, that is being recognized across across our entire customer landscape.

[Brian Lee, Vice President at Goldman Sachs]

Okay. That's great. Appreciate the color. And maybe just a follow-up on the model here. I know you guys said that the second half for the balance of the year, mid to high 30s for gross margin.

[Brian Lee, Vice President at Goldman Sachs]

But you're still backing, it sounds like, the view to be a 40% to 45% gross margin business structurally. Can you give us a bit of the bridge to what gets you back there, whether it's specific productivity measures? Is it customer or end market mix? Is it just more volume demand? Like what takes you from the levels here in the high thirties to to back to 40 plus?

[Brian Lee, Vice President at Goldman Sachs]

And and is that something you achieve in, you know, even the early part of twenty six? Thanks, guys.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

Yeah, Brian. So thanks. This is Dominic. Yeah. Great questions, and and you answered a lot of it, with with your question itself.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

There there are a number of things right now with the lower revenue production level where product mix and customer mix is certainly having an impact on margins here in the short term. As we've talked, you know, we do believe that, this first quarter was gonna be the low point for our year 2025 as we continue to migrate up. We do have visibility to what we're quoting in the future. Some of the projects that we're quoting, as we mentioned in our prepared remarks, we have about $500,000,000 worth of quotes that do carry us through the first quarter, actually, of of twenty twenty six. So we do have visibility to what we're quoting.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

We have great visibility into new products that are target starting to take shape and hold, and their accretive margins to our base. So as we've described, our margins, there are some things that we're doing from a commercial standpoint with our product. There are things that we're doing internally from an efficiency standpoint, and that is something that we really wanna, focus on. There are some products that might be new that increase our share of wallet, but they might be, perhaps a lower percentage of of gross margin. So I wanna it's not that I'm trying to deemphasize gross margin.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

We put cash dollars in the bank. I'm focusing on operating profit. I'm focusing on shareholder returns. And I wanna make sure that we always tell the story. But if I can go after an additional segment of EVOS that we haven't participated in the past, we absolutely will do that if that can drive profitable dollars to the bottom line.

[Matthew Tractenberg, Vice President of Finance & Investor Relations at Shoals Technologies Group]

Thanks, Brian. Charlie, next question.

[Operator]

Of course. Our next question comes from Colin Rusch of Oppenheimer. Colin, your line is open. Please go ahead.

[Colin Rusch, Managing Director - Head of Sustainable Growth & Resource Optimization Research at Oppenheimer & Co. Inc.]

Thanks so much, guys. Could you talk a little bit about how the portfolio is evolving in other geographies? Obviously, you moved into Europe with some new products and you're moving into Africa with this announcement. You know, I'm just curious how different are the designs, how quickly can those those things come to market, and how much traction are you getting outside of, you know, some of your core traditional markets?

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Yeah. Good morning. Great question. You know, those projects, obviously, being international, there's there's can be longer development lead, timelines, for those projects. They're just they're more complex environments than here in The States, if that's possible, but I I guess it is.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

So a little bit longer lead times. The the product by and large, speaking specifically to the MOU that we signed with UGT and Sun Africa, are very similar to what we're selling in The States. They're solutions based products, and one of the reasons that that we have partnered with them, not only because they're financed, by many of the projects are financed via XM Bank and require domestic content, are the fact that we have a easy to use solution for areas that have a lack of skilled labor. So, you know, we we called out in the press release yesterday a project in Angola that is roughly 600 megawatts. Colin, that design would look very similar to a design that we would have here in The US and will be made here in Tennessee.

[Colin Rusch, Managing Director - Head of Sustainable Growth & Resource Optimization Research at Oppenheimer & Co. Inc.]

Thanks so much. And given what we're seeing in terms of investment in long cycle industrials, can you talk a little bit about some of the supply chain, the non copper supply chain and how much that's shifting around and if there's an opportunity for you guys to start driving some cost savings there?

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Yeah. Look. We are, unbelievably engaged with our suppliers right now given the tariff environment. And, you know, thank you to them for for being flexible, during this turbulent time. Look.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

We're we're call we're trying to drive cost savings across the the business, whether it's material cost savings or or via labor efficiency projects on our plant floor that come through lean process or or automation. So, you know, there's a lot of opportunity for Shoals as we move into this new facility from a raw material standpoint being in one production facility and, and really being able to consolidate our inventory nodes, and also becoming more more efficient because of the the fact that we're under one roof in adding some new automation. So, you know, we're excited. We've got a great operations team. As as you know, we brought in Kirsten Moen, our our new COO.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

She's been in the chair along with with her team that she's building and is is driving real real impact across our organization. So great things to come.

[Matthew Tractenberg, Vice President of Finance & Investor Relations at Shoals Technologies Group]

Thanks, Colin. Charlie?

[Operator]

Our next question comes from Philip Shen of Roth Capital Partners. Philip, your line is open. Please go ahead.

[Philip Shen, Managing Director, Senior Research Analyst at Roth Capital Partners, LLC]

Thanks for taking my questions. What are you seeing in terms of bookings velocity for your business on projects looking for construction starts in the back half of next year and 2027, to what degree has the tariff environment impacted what you could be doing in the coming quarters? Thanks.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Sure. Thanks, Phil. Look. Too too early to call the ball on '26 and and '27, obviously. What I can say is I think it's probably undisputed at this point that the underlying demand environment driven by data centers and AI is, you know, going to be a force that continues to drive, you know, the the solar industry.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

I know there's a lot of uncertainty out there right now, with with tariffs and and what will or will not happen with ITC, PTC, 45 x. But even through that, we are seeing a strengthening market. We, saw our saw a softer q four in 2024 in terms of starts and in tracker installations, and that trend is reversed going into 2025. We're seeing an uptick across the board, and and you see that in our backlog and awarded orders and maybe more importantly, our conversion from awarded order to backlog. We had roughly a, you know, $50,000,000 increase quarter to quarter there.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

The great thing that we are hearing, talking to our EPC partners and and developers, they're they're confirming our our feeling of strength in the marketplace. They're not seeing a slowdown. And I think you're seeing that picked up by other industry sources that provide data. So, you know, our 25 guide guide contemplates some some uncertainty. And as we as we said on the last call, you know, if that uncertainty doesn't doesn't happen, we we will finish at the high side or above our guidance.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

So so we're we're excited about the market, in in general with what we see.

[Matthew Tractenberg, Vice President of Finance & Investor Relations at Shoals Technologies Group]

You want to follow-up, Tim?

[Philip Shen, Managing Director, Senior Research Analyst at Roth Capital Partners, LLC]

Okay. Thank you very much, Brandon. Yes. A quick follow-up here on the BEST outlook. You talked about your new products there and that is exciting and how it can serve a variety of end markets or situations beyond just solar.

[Philip Shen, Managing Director, Senior Research Analyst at Roth Capital Partners, LLC]

With the 145 China tariff, there's a big impact to battery cell packs based on our checks. I think there's a slowdown for U. S. Utility scale solar batteries. And so to what degree is that being factored into your BEST business plan for your profit line there, but also for the projects that the solar projects that are tied with BEST for twenty five and twenty six projects and construction starts, how much impact could this tariff that's already in place have on your solar deliveries because that solar project may be tied to a best project that may not be getting sales supply? Thanks.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Sure. Yes, Phil, I'll answer the second question first maybe. Just, again, to reiterate, talking to EPC customers and talking to developers, and and, you know, this is our sales team talking to them and me talking to them personally. We are not seeing any change, the abnormal changes in project timelines balance of '25 and and even into '26. I think those projects are are locked and loaded.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

So I, you know, I I know there's there's some potential volatility volatility with raw materials related to to, to battery storage. We're not seeing an impact of that currently as it as it impact, as it relates to our best business. I guess two things I'd point out there. One, this is a new business for us. We have very little market share, so we can drive, you know, strong strong growth virtually in in any market climate because because we're starting, you know, from from scratch essentially.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

So we we do see some growth there. The other thing to point out is is there are other battery technologies that may not be as impacted by, you know, these tariffs than others. And I think those will we'll see some success and and grow in the near term.

[Matthew Tractenberg, Vice President of Finance & Investor Relations at Shoals Technologies Group]

Thanks, Bill. Charlie, next question, please.

[Operator]

Of course. Our next question comes from Maheep Mandloy of Mizuho. Maheep, your line is open. Please go ahead.

[Maheep Mandloi, Director at Mizuho Financial Group]

Hey, thanks for taking the question. One thing I think on the call, in prepared remarks, you talked about a contract with hyperscaler. Could you just talk more about that? I know it's like somewhat long dated plan for you, but just curious what that product is related to? And I had a follow-up. Bye.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Yeah. Thanks, Mihid. Look. I'm not gonna specifically disclose the customer. Obviously, we can't do that.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

But, you know, the products that we're supplying to the market, whether it's into the data center space or or to a traditional solar and storage project are relatively similar. We are providing large DC combiners and and and recombiners as part of the electrical balance of systems. You know, if you think about our traditional product portfolio, these are they're larger they're they're much larger in size, a higher ASP than than typical typical range. ASP for a unit is probably between, you know, $40,000 and $80,000. So significantly different than what what you've seen maybe traditionally come from Shoals with a with a combiner box.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

If if you think back to to our investor day and and we're we're in our plant during the tour, you would have seen some of these products being built in our plant for while you were on that tour. So, we're we're excited about the opportunity and, you know, think we can take our core competency of being fast, being flexible, really building variability at scale, which is a bit of an oxymoron, we're we're able to do that. And I think that's the core strength of of Shoals. We we we believe we've got a right to win in the best space.

[Maheep Mandloi, Director at Mizuho Financial Group]

Got it. Thanks. And then maybe just one housekeeping on the shrink back litigation cost. How do we should we think about that in, q two and rest of the year? Thanks.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

Sure. This is Dominic. Maheep, yeah, the the litigation, as I've mentioned in the remarks, we're moving forward with the fact based depositions and aided discovery phases of it. The deadlines for moving through all that would would mean that in the fourth quarter, we're actually probably gonna have the first real sit down ability to sit down with because we're gonna try to do some mediation, figure out if we can come to a resolution there. If that is unsuccessful, you know, a trial date is in 2026.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

So that is gonna be a longer process. We're still actively depositions. I imagine our legal expenditures will continue until we get through this back phase at this point in time.

[Matthew Tractenberg, Vice President of Finance & Investor Relations at Shoals Technologies Group]

Thanks, Mohit. Charlie?

[Maheep Mandloi, Director at Mizuho Financial Group]

Got it. I appreciate the color.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Sure.

[Operator]

Our next question comes from Jordan Levy of Truist Securities. Jordan, your line is open. Please go ahead.

[Mo Chen, Equity Research Associate at Truist Securities]

Good morning, guys. It's Mo on for Jordan. Two questions for me. First, as you expand your international business, are you seeing more of these large scale agreements like the one you did with UGTs in Africa? And how you think about approaching supply chain for your international volumes as that has become a bigger piece of the pie? I have a follow-up.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Yeah. Sure. Great question. Yeah. I mean, we we've obviously we're very excited about this this MOU.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

It's a 12 gigawatt, you know, opportunity for Shoals in in the in the, you know, near to midterm. That is that is really a path to market that is largely via export as many of the projects are financed by the USXM Bank and require domestic content. So we we feel like we are obviously in prime position to support those projects, with Sun Africa in in in UGT. You know, there may be some other projects that, that are not built, in The States to satisfy, both this relationship and and potential projects and relationships in the future. We've we've discussed that in the past that, you know, in any strong international business, we've gotta have, both commercial resources and operational resources, in specific regions on the ground to be successfully long term, And, so more to come there.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

You know, that continues to be our intention, and and you'll hear more, as as that strategy unfolds.

[Matthew Tractenberg, Vice President of Finance & Investor Relations at Shoals Technologies Group]

Moe, do you have a follow-up?

[Mo Chen, Equity Research Associate at Truist Securities]

Thanks. Thanks.

[Mo Chen, Equity Research Associate at Truist Securities]

Yes. So regarding the 12 gigawatt contract, can you maybe talk broadly to the margin profile of this contract versus your current backlog? I think previously you mentioned international projects usually carry lower margin compared to US. Is that statement still true given that now you have project wins in Australia, Chile and Africa? Thank you.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Yeah. I won't I won't commit specifically on that arrangement and and the margin profiles. But again, I would remind projects that are funded by the Ex I'm Bank have to be domestically produced or have to require some level of domestic content. And those projects will look and feel similar to our typical US projects.

[Mo Chen, Equity Research Associate at Truist Securities]

Great. Thanks.

[Matthew Tractenberg, Vice President of Finance & Investor Relations at Shoals Technologies Group]

Yep. Charlie?

[Operator]

Our next question comes from Praneeth Satish of Wells Fargo. Praneeth, your line is open. Please go ahead.

[Praneeth Satish, Analyst at Wells Fargo]

Thanks. Good morning. Just kind of given your comment here that customers' 2025 construction calendars are full, projects are moving forward as scheduled. Has your underlying assumption for project schedules and the cushion around delays change at all relative to the prior guidance range? I mean, see the assumption now is 78% of the backlog and awarded orders convert to revenue in the next twelve months, and that is up from last quarter.

[Praneeth Satish, Analyst at Wells Fargo]

So it does seem like the overall environment here is improving despite all the IRA uncertainty. So I'm I'm just trying to get a sense of the the underlying assumption for project delays. And I guess, indirectly, if if the current conditions persist, which seem positive, then would you be tracking towards the high end of guidance?

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

Boy, oh, boy. Thank you for that question. This is Dominic. Yes. So I I remain, very cautiously optimistic.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

As we said both, prior earnings call and today, we are seeing very positive momentum here in 2025, and I'm very excited about what we're seeing. Oh, yes. We do have, more uncertainty in the back half because as you see, our backlog, which is where we have the purchase orders, has now climbed to $200,000,000, but we still have to convert some business in the back half of the year. We still have to get those purchase orders. But to your point, you know, if if those things all come through the way we have visibility, then, yes, the high end of the range and a very strong year for us in 2025 is is in the cards.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

But I I do need to be prudent and say that there is some uncertainty out there. We haven't gotten all the purchase orders to complete the year yet, and so our guide, for the full year, still remains, intact.

[Matthew Tractenberg, Vice President of Finance & Investor Relations at Shoals Technologies Group]

Praneeth, did you have a follow-up?

[Praneeth Satish, Analyst at Wells Fargo]

Got it. That's helpful. Yeah. I do have a quick follow-up. Just going back to the hyperscaler, Beth, win. I guess, first, like, do you think there's more opportunities with this hyperscaler? I guess, you're through OEM, it sounds like. I'm not sure.

[Praneeth Satish, Analyst at Wells Fargo]

But just any more opportunities in that pipeline. What does the margin profile look like versus your traditional E BOS offerings? And then, just kind of philosophically and at high level, are you seeing any more interest from data center customers to use solar and storage or wind and storage? Because predominantly, they're using natural gas now.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

So I yeah. Let me hit the first one. The channel to market for for the specific, you know, data center hyperscaler customer that that we reference is is a is a direct channel to market. Right? That is not through an OEM.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

So three distinct channels. One, essentially selling to our EPC customers that we're working with every day. Two is an OEM relationship with those folks that are building skid based solutions. So think of a containerized solution or or a containerized configuration that is pairing batteries with our products, and and our products are onboard those solutions. And thirdly, is into, the more industrial market, data center AIs specifically, where essentially the same products are used, to balance their electrical systems, whether whether they be driven by gas or, genset backups to to balance that electrical system, our products can be used in that environment, which is fantastic for us, obviously.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

So we we plan to penetrate via all three channels to market, and we are seeing activity across all three. Again, we're we're we're excited about this particular opportunity. So and expect that business to continue continue to flourish. The second part of the question, I I think, was around, you know, the margin profile, or battery energy storage business. I mean, we think of that business as having the ability to to, to generate accretive margins, for for the enterprise.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Did I answer all all the questions, or was there one more?

[Praneeth Satish, Analyst at Wells Fargo]

Yep. No. That that's that's good. Appreciate it. Thank you.

[Matthew Tractenberg, Vice President of Finance & Investor Relations at Shoals Technologies Group]

Thank you. I think we have one last question in queue.

[Operator]

That is correct. Our final question comes from Derek Soderbergh of Cantor Fitzgerald. Derek, your line is open. Please go ahead.

[Derek Soderberg, Director, Senior Equity Research Analyst at Cantor Fitzgerald]

Yes. Hey, guys. Just one question for me around C and I. Any visibility into what's sort of driving demand in the end markets for C and I? Is there a positive trend around made in America, companies securing their grids?

[Derek Soderberg, Director, Senior Equity Research Analyst at Cantor Fitzgerald]

Can you talk about what's driving some of that quoting activity in C and I? Any of some of those trends may be driving that? Thanks.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

Yeah. Thanks. A great question. Look, we're excited about our C and I business. When you can look at you know, a business where quote activity is up, bookings are up, revenue is up, that's a that's a pretty good signal what we have is working.

[Brandon Moss, Chief Executive Officer at Shoals Technologies Group]

I think people more and more, are understanding our hidden solution in the field and what value that that that we can offer to smaller projects where labor is at a premium, their their supply chains are disaggregated, and we offer a fantastic solution for them. We are excited as more potential behind the meter opportunities arise, that these EPCs may be the individuals that are doing those smaller behind the meter projects. You know, we're starting to execute commercially and operationally very well in the in that area, and we are seeing business accelerate as a result of it.

[Matthew Tractenberg, Vice President of Finance & Investor Relations at Shoals Technologies Group]

Thanks, Derek. And, Charlie, I think

[Derek Soderberg, Director, Senior Equity Research Analyst at Cantor Fitzgerald]

we Perfect. Thanks, guys.

[Matthew Tractenberg, Vice President of Finance & Investor Relations at Shoals Technologies Group]

Yeah. We had one last question jump in from Kashy. So let's go ahead and take that.

[Operator]

Of course. Our next question comes from Kashy Harrison of Piper Sandler. Kashy, your line is open. Please go ahead.

[Kashy Harrison, Senior Research Analyst at Piper Sandler Companies]

Hey, thanks for sliding me in here. I'm sorry, I joined late. Apologies again if you've already addressed this on the call, but just one quick one for me. Coming into 4Q earnings, I think you flagged you had about 2010% to 20% of revenues in book and ship. And then another key assumption you had was the level of delays this year would be not as bad as last year, but not as good but not back to normal, call it, 2023.

[Kashy Harrison, Senior Research Analyst at Piper Sandler Companies]

Just how are those two key assumptions shaping up relative to your expectations? Do you feel good do you still feel good about book and ship? And then are you seeing better delays than expected or delays worse than expected, you know, relative to what was in the original guidance? Thank you.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

Sure. So yeah. As I as I said in the first, you know, first earnings call of the year, we we definitely wanted to allow for some project delays. And and projects do move all the time. That's a part of our business.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

So we do work with customers. Sometimes they have construction issues. Sometimes they're moving things around. But as you see from the strength of of our, you know, current book of business and the purchase orders that are coming through, you can tell that we're, you know, we're very cautiously optimistic about where the year is headed. We have not seen the the level of activity of delays that we saw in 2024.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

We keep hearing from our customers when we directly ask them if their projects are sliding, and the answer is no. So we remain very cautiously optimistic that perhaps the, you know, the the allowance that we have for delays may be not not come through. So I'm I'm excited, but I I do want to hold our annual guide. I I do think that's prudent in this environment. There are some moving pieces on the macro.

[Dominic Bardos, Chief Financial Officer at Shoals Technologies Group]

We do have to understand what happens with tariffs. There's some projects that we're looking at may have a dependency on imported panels. They may slide out of the back half of the year. So we are definitely, cautiously optimistic. It's still my term, but we do wanna hold our guide where it is.

[Matthew Tractenberg, Vice President of Finance & Investor Relations at Shoals Technologies Group]

Kashi, follow-up.

[Kashy Harrison, Senior Research Analyst at Piper Sandler Companies]

Thank you.

[Matthew Tractenberg, Vice President of Finance & Investor Relations at Shoals Technologies Group]

Okay. Well, that's good. That was the only question.

[Matthew Tractenberg, Vice President of Finance & Investor Relations at Shoals Technologies Group]

Okay. Great. Thank you. So we're gonna make that our last question for today. I wanna note that we have a very active IR calendar in May and June. We're out on the road quite a bit. We've announced that in the last couple weeks via press release. It's on our website. So join us at one of those events. We'd love to see you. If we can help further, please reach out to us at investorsshoals dot com with any questions.

[Matthew Tractenberg, Vice President of Finance & Investor Relations at Shoals Technologies Group]

Thanks for joining us today. Have a great day, everyone.

[Operator]

Ladies and gentlemen, this concludes today's call. Thank you for joining. You may now disconnect your lines.

Participants

Executives

• Matthew Tractenberg, Vice President of Finance & Investor Relations
• Brandon Moss, Chief Executive Officer
• Dominic Bardos, Chief Financial Officer

Analysts

• Michael Fairbanks, Equity Research Associate at JP Morgan
• Brian Lee, Vice President at Goldman Sachs
• Colin Rusch, Managing Director - Head of Sustainable Growth & Resource Optimization Research at Oppenheimer & Co. Inc.
• Philip Shen, Managing Director, Senior Research Analyst at Roth Capital Partners, LLC
• Maheep Mandloi, Director at Mizuho Financial Group
• Mo Chen, Equity Research Associate at Truist Securities
• Praneeth Satish, Analyst at Wells Fargo
• Derek Soderberg, Director, Senior Equity Research Analyst at Cantor Fitzgerald
• Kashy Harrison, Senior Research Analyst at Piper Sandler Companies