Pioneer Power Reports Strong Growth in Q4 and Full-Year 2024 Results Following Strategic Divestiture and e-Boost Expansion
Pioneer Power Solutions, Inc, a leader in the design, manufacture, service, and integration of distributed energy resources and mobile EV charging solutions, has released its audited financial results for the fourth quarter and full year ended December 31, 2024. These final results follow the company’s preliminary earnings announcement issued on February 19, 2025.
A pivotal component of Pioneer’s 2024 performance was the completion of its previously announced sale of its Electrical Infrastructure segment to Mill Point Capital. The $50 million transaction, paid in both cash and equity, was finalized on October 29, 2024, and is reflected in the financial results under income from discontinued operations.
Strategic and Operational Milestones in 2024
Throughout 2024, Pioneer Power executed several key initiatives that not only strengthened its financial position but also underscored its role as an emerging player in clean, distributed power technologies:
- Divested Electrical Infrastructure Business: The $50 million sale to Mill Point Capital has significantly bolstered Pioneer’s cash reserves and simplified its business model.
- Renewed Major Service Contract: Pioneer extended a long-term service agreement with a prominent U.S. retailer for on-site power services. The new three-year contract is expected to generate approximately $6 million in total revenue.
- Secured Major Municipal Order: The City of Portland, Oregon placed a $1.3 million order for multiple e-Boost© Mobile EV charging units, fulfilled through distribution partner Graybar Electric Company, Inc.
- Launched High-Profile Pilot Program: A Fortune 100 e-commerce retailer selected Pioneer’s e-Boost platform for a pilot project aimed at mitigating the “grid gap” between EV fleet charging needs and the limited capacity of local electrical grids.
- Surging Charging Sessions: Usage of e-Boost surged with 14,500 charging sessions in 2024—up 93% from 7,500 in the previous year, illustrating rising demand and broader market adoption.
Financial Performance Overview
Fourth Quarter 2024 Highlights
- Revenue: Q4 revenue reached $9.8 million, a 265% increase compared to $2.7 million in the same period of 2023. The growth was driven primarily by increased shipments and rentals of Pioneer’s mobile EV charging units under the e-Boost line.
- Gross Profit and Margin: Gross profit came in at $2.8 million for the quarter, representing a 29% gross margin—an improvement from $0.6 million and a 23% margin in Q4 2023. This growth stems from stronger sales performance and better utilization of high-margin products.
- Operating Loss (Continuing Ops): Operating loss from continuing operations narrowed to $1.1 million, compared to a loss of $1.9 million in the same quarter last year. This 45% improvement is attributed to higher revenue and service sales tied to e-Boost.
- Non-GAAP Operating Income: Excluding overhead, R&D, and non-recurring professional fees, non-GAAP operating income from continuing operations was $1.6 million—up sharply from $0.1 million in Q4 2023.
- Net Income: Net income totaled $36.3 million, including $35.5 million in income from discontinued operations. This compares favorably to a net loss of $4.5 million in Q4 2023, which included a $3.1 million loss from discontinued operations.
Full-Year 2024 Highlights
- Revenue: Annual revenue doubled year-over-year, increasing to $22.9 million from $11.1 million in 2023. The primary contributor to this growth was e-Boost equipment sales and rentals.
- Gross Profit and Margin: Gross profit reached $5.5 million, yielding a 24% gross margin—up from $2.2 million and a 20% margin the year prior.
- Operating Loss (Continuing Ops): Operating loss from continuing operations was $5.2 million, improving by $1.8 million compared to a $7.0 million loss in 2023.
- Non-GAAP Operating Income: Pioneer posted a non-GAAP operating income of $1.7 million for 2024, reversing a non-GAAP operating loss of $1.3 million in 2023—a year-over-year swing of $3.0 million.
- Net Income: Full-year net income came in at $31.9 million, including $35.2 million in income from the divested Electrical Infrastructure segment. This contrasts with a net loss of $1.9 million in 2023, which had included $4.4 million in income from discontinued operations.
- Backlog and Liquidity: As of year-end 2024, Pioneer reported a backlog of $19.8 million, up from $16.7 million a year earlier. Cash on hand stood at $41.6 million, a significant increase from $3.6 million at the close of 2023. Working capital rose to $26.7 million, with no bank debt outstanding. Additionally, the company paid a one-time special cash dividend of $16.7 million on January 7, 2025.
Balance Sheet Strength and Strategic Positioning
Pioneer enters 2025 with a fortified balance sheet, thanks to the divestiture of its Electrical Infrastructure business and the continued growth of its mobile EV charging business. With over $41 million in cash and no long-term debt, the company is well-positioned to invest in new product development, including its upcoming HOMe-Boost solution, while supporting expansion across its existing product lines.
