Short term outlook

Outlook for 2024 (specified on October 30 2024)

DC charging market demand has been lower than Kempower has earlier anticipated. After COVID-19, there was a component shortage which created higher than normal demand for charging solutions. Also charger rollouts have been slower than earlier anticipated.

Both of these factors have created excess inventory on customers’ side. Kempower estimates the value of the excess stock of Kempower charging equipment that company’s customers have in stock to be approximately EUR 80 million and to decline slowly during the second half of the year and first half of 2025. This has a major negative impact on purchases by the customers.

Outlook has been specified regarding 2024 revenue.

Kempower expects:

• 2024 revenue; between EUR 220 million and EUR 230 million, assuming no major impact from foreign currency exchange rates (revenue 2023: EUR 283.6 million),
• 2024 operative EBIT margin % will be negative. However, the profitability is expected to improve towards the end of the year and be at break-even in Q4 2024.