Earnings call transcript Q4 2022

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Operator

Good morning. Welcome to Lightning eMotors fourth quarter 2022 earnings call.

At this time, all participants are in a listen-only mode. A question and answer session will follow the formal presentation. If anyone should require Operator assistance during the conference, please press star, zero on your telephone keypad.

conference recorded. this reminder, a is being As

begin. I to Vice your like to you President, conference over turn the may you, host, Thank Relations Lightning would for now Investor eMotors. Mr. Brian Smith,

Brian Smith

Thank you Operator, thanks for joining us. and

today. co-Founder issued are Revenue Sethi; XXXX can and Relations press our These David fourth On CFO, Tim of Ahead presentation Kash CEO, we release Lightning’s quarter call website on Reeser; and deck, will found the this the and of Agatston. section today Chief at Officer, call, reference which be lightningemotors.com. Lightning earnings Investor our

today’s On forward-looking which statements by are are making our due that found factors statements be and this update any differ except uncertainties. release based assumptions can certain to expectations filings forward-looking could risks no to to and risk in and on which will SEC, with call, duty subject law. earnings management statements listed required Actual in these on from the also website. assume We be our as results current materially

measures. also information refer non-GAAP non-GAAP to of and financial GAAP for in Please press presentation Today’s contained reconciliations to the definitional comparable the measures today’s earnings includes measures. information release

turn over me let that, With to Tim. it

Timothy Reeser

of wrap supply a focus. and update overview. our markets of thanks overview Thank up Lightning, X a start off some managing on narrowing with product joining from you on an our will Brian, to an us Kash highlights and financial and quarter, Slide begin will today’s on progress provide for our of everyone with David today. discussion a with I’ll agenda. incentives, the chain, I then and discussion the will of products,

quarter, QX. XX% summary than XXX our of record Moving of a quarter, trains in power previous Lightning Slide record to XXX higher in the fourth a produced X, and achieved vehicles the

the delays plus in the issues announced timing As quarter January, batteries financing by Romeo impacted we customer of with and quality in incentives. revenue was

on and Next, our X our most have segments where by certain advantage, favored forces of momentum discuss specifically currently and development view narrowing discuss the focus and will to plus this DC market and of applications we and competitive just a incentives we’ll will we Class focus and finally buses refined Lightning product reduce fast charger government how introduced, allow cash our we expenses and trucks burn. our us Mobile

and and installation to we Moving Slide a ICE service Lightning power and electrification including provides full X, technology, of driving including and vehicles, train predictive mobile and of vehicles charging optimization solutions support, finally efficiency, intelligence, telematics fixed fleet range and for solutions offer offering fleet pre-owned our re-powering charging maintenance. from to energy which analytics Insights

X, Slide to let’s chain discuss landscape. the Moving supply

predictable a and supply The exciting as plus purpose-built progress very will initial the next production E are solution we OEM the first chassis the is On chassis work segment with year. half this targeted GM X electrified currently and serve our chassis is year with side, providing an in on and most sufficient of our on begin by our testing of providers A and our we school market buses. Lightning GM Type this platform, volume bus preferred Class is to of chassis only trucks

term battery shortly. battery and needs. Proterra quantities the Romeo for issue will batteries sufficient CATL On we from the front, quality high discuss of have I near our

high cost and help heat voltage and continue reduce batteries, cost diversify the suppliers conditioners chain to voltage Beyond and and to we we air management our new chassis as and are seeing supply high parts. times components, pumps, lead production higher for thermal to with such lower work heaters,

work and customizations as pack Turning battery with pack technical last years of battery for had and configurations quality battery suppliers have through with manage multiple six through our and the their early partners our multiple to to closely and has significant require internally availability the applications working suppliers, struggled challenges. OEMs customers vehicle suppliers early and that. way been service Slide X, both specifications. broad Lightning a and has Many Lightning field to team range built

the suppliers, are with We with in a our current now safety success excellent having in system partnership and built vehicle proprietary commercial applications. for fact CATL battery CATL, and Proterra have packs on CATL

which systems, actively and fit testing America battery density. and compliance, power Buy meet modular configurations, a include analyzing, and are requirements, new best-in-class for wide safety We to suppliers and validating energy of chassis our support best-in-class variety

announced due identified we Turning in we January to Slide in QX defects batteries. the Romeo in revenue constraints X, primarily to

our directly While March as Romeo and of this we expected issue us and Romeo would, obligations, in publicly of the they impact planned sales company, we not. suit honor and We battery impacted customers is support Nikola warranty parent and Class XX-XXX against filed significantly on to QX QX they X are This our stated as year and base X. and our revenues Nikola and they legacy its expected QX platform. lost revenue to

forward, supply. our of GM-based high more of Mobile batteries and Proterra all and line-up than Lightning we charger, our DC from ample fast new X Looking which quality products our CATL, use all of Class vehicle products, including have

the batteries. our platform backlog batteries had We the Class legacy of platform that GM orders X with customers convert working with are new to Romeo to for Proterra

the are for to we performance seeing While not of timing all may year. the given what half the is these having we amount orders, and are able with first to revenue of this optimistic and we our are be the replace and success currently platform, likely the impact of some process

particularly the strategy market an X leading have to we Turning both clarity and driving momentum as are early the of is on for landscape. prioritized for Class optionality $XX,XXX strong market fortunately the incentive demand now buses waited to trucks. market and seeing Act school X arrived for clarity work and terms we and landscape Class more favors momentum Reduction on on advantage regulatory is The where in vehicles. and we both product Inflation XX, Slide a in public our segment of incentives The made. development buses, shuttle School the have sentiment. has above X experience strong recently and investments terms That Class buses IRA

We mile to participate business the will on and focus passenger in continue Class less ambulances X last and vans with on a focusing delivery.

will sense, investments Class Our it have the and are we already on X vehicles capitalize platforms and where designed made. we makes produce

focus our base delays We customers their fixed are David wishing and our without fleets be which we this With growth but go can potential, development experiencing electrify taking fast especially Lightning now charger a DC last charging which orders. sacrificing are expense market game-changing product, in we to who for strategy, can we getting into This unveiled little Mobile installed. already will which for product month and more we also on a will lean out later. believe focused

Turning the our mobile train X platform to product Class built batteries GM with buses an I this trucks Slide and optimized Proterra which XX of. summarizes the plus on spoke for power and charger development focus year, next-generation

are these limited products. environment chain While the for dynamic, supply we components build not supply to currently remains

platform customers our We positive. QX a in Class and the of expected has year. with rollout ramp second in half have X should response to delivered The strong the vehicles continue first the GM been customer

or product its out team also our has and our meet of the this for as mobile Initial they been procure and charger product charging capability about our have I’m customers positive. response prospects excited needs. build job electrification proud done for can for charging be customer they to an because this development bridge their fixed

cycle sales the we working product or given the it partners. be lease through the expect to of the accelerate helping customers by little slower product our are finance lease the newness we Although high a and rent ASP, and to

ability six new will align stack these demand in we much very programs fleets at Slide the North faster to and pace. to launched how with last electrify Lightning these XX, purchase incentives significant them these customers to purchasing up you lower have a and a of inflection in their so customers buy de-risking as to Turning result the term see electric Most much can commercial opportunities believe at plans to for incentive months, the America near allowing incentives. the the their in programs stack U.S. vehicles investment, a provide new

XX, see to the Turning you can current Slide competitive landscape.

X Although there is passenger likely with from there believe of solution on we that in show the complete that with our lot competition markets well we only are noise, design not EV for designs Note today here note has is actual road world key we OEM that ahead we real are of that yet. been electrification products are on. the focusing on also Class the or miles. important listed little and completed ambulances It the competition competitors the a of an are many we and believe shuttles. We to

to an up drive provide Kash update are Now markets, our how I’ll market to stacking turn of look momentum, a incentives acceleration. sales and to the at it products,

Kash Sethi

XX. I’ll Thank you Tim. on begin Slide

our still in First deploy early because many peers be our emission environments applications. multiple to in real zero strongly commercial off, our across in we testing world positioned and vehicle target verticals markets to we vehicles development continue are of prototype while market and continue

hours vehicles on on the crossed estimates, week. million of our have recently rapidly people deployed Based number on a without fleet X.X Our over road the more and growing moving road, than and emissions. collective spent miles vehicles our XX,XXX XXX a every goods data

base. Although we are expanding orders to customer are some products’ improve receiving from continue easy our deploying expected, isn’t new repeat technologies and bumps and an reliability

built gone over to developed testing, Class partnership to XXXX battery product with has validate disengagement platform. Turning close highlight last and a through deployment. years two the airbag generation new X on I’d offering has to GM Slide rigorous XX, and in including the like been our test This crash GM

batteries passenger and and chassis we’ve deployed buses, we’ve cargo market emissions half, school and across last ambulances. batteries the vans will including using several leveraged a ZEVX our rails work zero shuttle and for packaged ease safety platform over of applications, higher be trucks, box these ZEVX We’re already frame between vans This buses, year manufacturing. on trucks,

XX, Slide summary we most onto in we drive business here that our our a to of XXXX. mature Moving expect products see

these and for all We products. have strong channels vehicle in body partnerships distribution of place

that vehicle and a in mature growth about are the talked builders to have XXXX exploring with strong partnerships actively potential partnerships new are OEMs and vehicle and we’ve We we continuing in other beyond. past

XX will the to mandates emission products zero can grants Turning state combination and of you how our and vehicles continues for XX, commercial demand and see how other, multiple and by fully incentives, paying cases grants to Tim. for federal drive Slides cost with $XX,XXX IRA Combining tax of the the stackable offset vehicle. in grants can the these each some including upfront that dramatically credit electric, are mentioned leverage going

programs these leverage We’re closely working them with customers mandates. get the very ready our for and help to upcoming

onto DC in that XX, our I’m report excited Slide Lightning second Moving production. is generation now to charger Mobile fast

feedback years We this on over generation and have developed Mobile. two of product first Lightning our from based testing

multiple orders We already and available passenger this to hurdles faced product several EV Now cars sizes are the commercial charging units and wider EVs. on the deploy infrastructure first in configurations, and solve can this industry, in half help of track both by product customer have for QX.

to it to With and on Lightning’s over an David that, outlook. update results financial I’ll provide turn

David Agatston

quarter you will our commentary on fourth provide XXXX Kash. results, outlook. Thank some followed I by now our

power loss quarter the XX. for the current which quarter, from and XXXX. period. ago $X.X fourth year of primarily million, Lightning loss versus year fourth the for generated quarter produced is $XX XX% period. Beginning XX, the XXX sold on operating to EBITDA change the million revenues trains Full we a by higher million compared adjusted in In X% vehicles The the year $XX record period. and expenses to increased a The prior was increased in revenue related Slide

of XX. to A found EBITDA income be adjusted Slide loss on reconciliation can net the

fourth Turning in quarter with cash the believe million to our Slide the next operations cash for and we XX, equivalents, $XX Lightning to which fund is sufficient ended quarters. several

yet ability credit so line to needed. we have to of but the do draw if have equity on our We

to year we We will are capital first cash are this confident sufficient the succeed. in free working operations we half flow to fund positive and to raise of

number Net of end almost the level million support third the inventory we and $XX and stems future finished million. of The goods. higher the batteries larger $XX have quarter primarily purchased at growth of chassis was inventory from to

of expect We course quarter, draw our the will the over slow inventory down which materially burn. several next to help our on cash

more our to the most in streamlined lower to discussed advantage. manner narrowing focus experience run onto Kash attractive are us and product the taking incentive burn business a the support, Tim rate. gross focus margin, expenses, terms begun and of that in market of cash This and actions allow our opportunity, improve and and products will reduce Lightning’s competitive we’ve

the announced exchange Slide of holders that today XX, we strengthening our took common another balance earlier step to our $XX.X with to by certain Turning million XXXX for convertible we stock agreeing notes. of million. sheet in end debt principal have almost on the our we $X turn third which expense million, the $XX in of interest reduced these quarter Since over of notes XXXX, lowers by by annual

evaluating to are the Lightning’s sheet to growth. opportunities strengthen We balance reduce of and our capital constantly facilitate cost

Turning XX, outlook I our to for Slide year. will summarize the

would of batteries expect vehicle first to of the doubling our in range system in issues to is Based half in the million to revenue. XXXX for units. GM-based constrain and units, conditions, ramp highlighted, current Tim XXX train of likely to million the of Romeo XXX a that the power range Class As power sales be to of revenues train the timing and $XX production to represent versus range our end related the business high and be revenue the $XX XXX we and vehicle range on XXXX; to to of be X - XXX

closing it will back over to remarks. I Tim for Now turn

Timothy Reeser

Thank you David.

remain continue excited as about very Lightning we outlook the for execute strategy. our I eMotors to

While anyone their vehicles, to or build facilities zero hands on the in vehicles medium peers of and first else. commercial in manufacturing road our still emission U.S. than customers’ U.S. working their working production we the more first put on have duty, many are

that products landscape positive getting incentive new margin. to remain the have and from introduced on benefit focused We gross

we strategic acquisition transforming scale. through to Our achieve continue to industry pursue and is opportunities our critical

accelerate focused, future. velocity growth and strong differentiated a The path a will and clear with our have We and vision, moving strategy, a passionate that tailwinds profitability. team to is believe Lightning we towards energized,

space commercial the widespread With vehicle each day to adoption programs passes, barriers falling are the EV incentive the that and growing. government in are

which very compelling horizon, accelerated subsidies. these the on most EVs, of our Although without at for have inflection versus ICE five-year even least a today a these their counterparts that commercial is programs, point provide provide an fact return products investment

partners company’s to would want high our our are executing our confidence employees in through by for at Lightning, finish thanking for of their their operating environment. who our I contributions and especially to customers I shareholders a a level like success, their our support. all for to thank challenging

open time With that, thank you now are line today. everyone and I the Operator, for questions. we appreciate to ready your

Operator

[Operator you. instructions] Thank

proceed Our first with comes question Colin question. with of from the Rusch your line Oppenheimer & Company. Please

Colin Rusch

Thanks so much, guys.

situation, on made As about all gross talk little incremental positive you and for chain you expecting the seasonality of within operations, optimizing terms you’ve you’re you’ve year at look the a reach full and guidance the margin changes in supply provided can the production? to qualifying that when bit suppliers

Timothy Reeser

Thank the you’re you doing. and hear question. you on research your start Colin. engagement let from and David Great to I’ll then again, finish appreciate all of gross so the margin

has as vehicle hoc, so it, it certainly availability. changed some space been but seasonal, past vehicle Supply been hit. focused battery seasonality you do the challenges etc. weighted we based we’ve commercial move XX of chassis to know, when level. expect towards second they’ve have half commercial of return the I will look but around the think supply, model the ad the last usually been I But out primarily on seasonality bit to and as had at chain half back certainly, years most just the even to has at primarily because new vehicles some not in expect XX chassis last business over in to months, a supply seasonality still Broadly, last that half,

talk a want to gross you margin? about little do the David,

David Agatston

now talked get think down before early ramp that we half depending GMs, had the get end margin the of of obviously of impacts do cost to Yes, could so it we’re the has towards half We hey Romeo happen first moving X, it on ’XX. of XXXX Colin. if but Class year the given and and into that more the month, the towards first about XXX Tim talked we implementing, a XXXX, probably about We’ve gross the likely of we’ve lot with of some seasonality that a from back initiatives positive, this our to volume. vehicles and batteries

Colin Rusch

as the just you’re terms in cycle, well school seeing that’s terms market of Okay, Class bidding in us X that’s super of market, obviously you about you on of helpful. what cadence number fairly into just sales backlog curious the how things as for Then for and in, guys. then of also can be on the moving folks, a win coming in an this orders and but sales update give cycle can both the your terms bus about rate, the long you’re just of

Kash Sethi

of and districts will going but again. in gasoline the whether most deliveries shuttles the Hey school using nationwide to to really - more still late be starts, the towards available, the the it the buses, but the vehicles it buses, this year we’re is but next end summer schools I with year Colin, predict before cycle buses summer for bus Kash. ready the towards get heavier EP tied is get that they their HFIP electric with X, now California Class will usually like looks when but timelines. In that’s school program like it’s to throughout QX learning buy to heavier side buses, summer, on what School the try it’s are comes on

XX/XXX existed usually when GM in XX% win platform, Both are platform. question comes it to rates, platforms more the Class and now already, bids this space we were space, than but it rates, we also bus actual of bus win we shuttle those already in the your school in XXXX win the the have X on with On addressing space. we

about a when actual a to purchase a I’m which other, of and the winning basically XX% to bid something, is I’m than option talking someone an time. when customer the agency when order. an not a win buy place buy Now, bid, everybody they state we’re and bids to contract there’s get to a more about become contracts, eligible over can product for award to trying but one try talking

Colin Rusch

so helpful. much, Thanks incredibly That’s guys.

Operator

Thank you.

with proceed Davidson. next Our Shlisky comes Mike with from the of question line Please question. your DA

Mike Shlisky

for and to taking Good thanks you I morning question. lawsuit against Romeo. filed with wanted the guess start my I

has haul claim may tell us, to you arbitration, their if to to taken you your I’m Just next you how your player may are it thing for Another also contractual. can to for it be trial out arbitration how to? might just going the of be claim couple anything a long curious go obviously is in but or have as planning this if quarters turn over without to thoughts progress here. the this confidential,

Timothy Reeser

them, We percentage of actually go go. on--it knows terms this headed to think reading do to a of who expect that’s where ends up was an are planning planning arbitration, it so when that court. the very is court. not, few--I at do But of other a we civil I to large, we to trial, going actual litigation Obviously in large them point most aren’t day at

Mike Shlisky

far what last goes, as the week, was correct? timeline would filed the be next step? And It just as

Timothy Reeser

see think filed just etc. it where take - a from exactly we’ll I courts week, last so was it the Yes, timeline,

Mike Shlisky

range, van ask much went your e-Transit wanted wonder a NTEA or maybe Ford just can question, I with week’s Class to product? saw I and to that just it about Ford my to that shorter new curious if working X supposed a show. directly. vehicle how give guess Lightning, the we passenger close GM be very is X, be from last coming guess you that going Okay. I’d or not Class you’re for much it’s with that’s your something I with to wheelhouse other compete us--is with,

Kash Sethi

truck our was We so trucks, just second us. we see but platforms, fleets up partners, show is That success. on for to to success a partners. to fleets show chassis the not lot builders, our customers show people in and XXXX, trucks to batteries. of air, box the also stage Proterra GM work they vehicle able meet vehicle meet putting of our showcased top Yes, our builders, vehicle excellent and the could and a a product vehicle It neatly buses so were packaged was our to

platform Ford seems talking Specific stage X product, to to a Ford bus a built cutaway seems be a not prototype. it underlying company, bus that product, early you’re about, be that is certified but was an by by believe itself. roadworthy don’t I E-transit to The Class

and As lot battery much payload, a a you hinted, I size it version almost - payload, twice is have the XX kilowatt a hours, think range as lower more is got and lower we’ve we so.

product will for that if carrying to we’re versus it XXX application miles, so. different eight the you XX very think miles, - XX are kids road, a hits over or XX be I kids nine the in

electric see in I more it’s proves market, right good but the worth you’re bus school about. we enter It’s that talking product very a different space, believe on, to that people focusing the it is are

Timothy Reeser

that is incentive think part we’ve I for a is because into note, product. Class Class very not important very, Class X--or ours, X, X it and are product are it’s the of different up for offerings than reason a Class the stepped the a because they again also it’s that X, not to

Mike Shlisky

color. great pass along, That’s great. Okay, it I’ll thank you.

Timothy Reeser

Thank you Mike.

Operator

you. Thank

Bank the with of Our of with Sherif next Please America. question from comes question. El Sabbahy your line proceed

Sherif El Sabbahy

morning. on good I Hi, down. a bit to wind ask more just inventory wanted the

some or been expected foresee wanting that but potential sold? write-downs the you units those said but burn given from if do to potentially customers and do You your not to that Romeo some platforms, so, any cash you see headwinds not older produced some those of expect headlines, you have help with of just those inventory somewhat,

Timothy Reeser

want a X have down to expect write our up don’t Class Proterras, product on do our good and product, HFIP the know inventory. very, At for the higher those sell customers of been this so very not level those. and are because the so expect that We are product, State We we units to state to but we’re Class produced do money, worried been not money we point, them, about not York product, New on and they so a there’s the today Romeo-based Xs, specifically Again, well that. do and it’s focus is grant money our Colorado and still moving expect for of for continue as just sold us.

this how the GM, point products, With convert in Romeo-based to we’re working see at running terms on of etc. we’ll all inventory those plays customers that off so to where write-down,

Sherif El Sabbahy

able you stood are us dollar then the of the and at at give unit backlog And what year? to on a end basis

David Agatston

like moment, like we’ve we as would Sherif. a the it for the stopped as transitions, these feel have we because some just--at it’s indicator to reporting business, as Yes, of of so don’t we backlog, We be meaningful bunch an indicator time, at of an GM just that into to these felt Romeo products Ford meaningful as wasn’t products so provide sitting we’re this business. and for in it to backlog we the that convert trying

Sherif El Sabbahy

Understood.

raises? one, the equity, these one first share next to mentioned seen as several Just some be we and you first raise have half expect quarters capital Should dilutive to in in quarters, enough capital to cash of to you expect the the several fund half. or last the with we’ve raise

David Agatston

that expect be equity, yes. via would We to

Sherif El Sabbahy

you. thank it, Got

Operator

Thank you.

Our question of line comes Abhi Sinha question. the Securities. with your with next Please from Northland proceed

Abhi Sinha

advance questions so. might in maybe apologize ask twice, I so out reason the I and for that I’ll dropped question, been of my taking have for call already the some - asked, Thanks hi. Yes,

first to understand The want options and answer or you time how I to do what [indiscernible]? the thing, have much de-listing,

David Agatston

to through We year into and back of had have compliance. six months, this so get June we address

Abhi Sinha

an how trying have, reverse you split in and do try--in options you just understand guys of option? the I’m trying terms you do Okay, to-- options terms what is to have of

David Agatston

stock [Indiscernible] certainly know, obvious options. the could a change is split one business but conditions the fortunately reverse of the could increase, if--you and

Abhi Sinha

but assume of orders from Proterra, that in were complete and know them, to able be should terms you we able will to [indiscernible] Sure, you--I can be think percentage all Romeo what to of percentage we converted? safely of that should that convert

Kash Sethi

but to number safe than hard that’s there’s say more It’s hoping we--I’m if to a assume, XX%.

Abhi Sinha

perfect. Proterra, aspects? in more contrast just the from you financial and Last elaborate difference of terms batteries, operating I the benefits to you’re on two and financial the aspects you what operating mean, one, compare and could getting if [indiscernible] when in Romeo Sure, the in

Timothy Reeser

at multiple ones, now the of in other so we’ve we and them and before and a batteries. consistent frankly, why that’s on running year year The and thing and a this higher over they lot and for reliability is, consistency, Proterra rather months quality year point standardized because obviously for them the with a road, five experience been that, were batteries Romeo, Proterra words, biggest a a more we ago Yes, validating than have manufacturing. on battery, testing

and cost, we’ve Proterra over with found I that long look year shot deep has by work batteries has you at on benefit why side, relationship with Romeo, a the Historically, has think and we the they from product engineering that’s and In all an have of a standpoint so them our with. been been less engineered well, capable and be a other obviously a switched expensive as to we won on consistently and end, that Proterra safety those certainly versus three ago. reliability, been

Abhi Sinha

Got all you. it. That’s I have. Thank

Operator

please Ladies keypad. as you’d if gentlemen, question queue, star, to press like join one a you. your on Thank the reminder, and telephone

of next line comes from with The your proceed Please the Benchmark question. Our Michael Ward question Company. with

Michael Ward

could if correct? were counted roughly units in XX produced process. order the just good as QX I There production-slash-revenue everyone. wonder is got Thanks, XXX I clarify but that only morning revenue -

David Agatston

Correct.

Michael Ward

to customer produced a those order? Were Okay. units

Timothy Reeser

some to a that. all product so combination were customers so Others of o so speculatively that getting built the re-allocated their a either of batteries, are to three willing with case the were financing, customer to the customers to willing, so now order this, those as produced those said, were, Kash them for complexity switch GM-based Romeo end rebuilt, of expect we scenarios. a are for are were them the of Some being in Proterra three-quarters delayed or some batteries, that had who

Michael Ward

Okay, revenue to counted produced be half, so that in delivered what and is are units delivered were those expected not the you’re thinking? as first but XXX that

Timothy Reeser

of will some think I be. them

Michael Ward

Okay, get resolved? they Okay. depending on when

cash Then revenue? that in see part working that’s implications for flow, and has correct, in of unwind that capital, the you the

David Agatston

Correct.

Michael Ward

of outlook going is I’m was production whatever looking rate the at the a from this looking these fourth rate, you’re year that year XXX, year, for half, lower the for in the quarter, in because next when it the first full so Then the retrofits? you’re and at

Timothy Reeser

the Yes, issues it’s Romeo because yes. of rebuilds, battery having to around resolve the

David Agatston

transition. the And

Timothy Reeser

the - transition the a time we have--it of well a new Yes, created transition product And GM to lag. are--the terms stated, does David. in whole

Michael Ward

So and QX, year-over-year to can takes full then production, place? expect as the look the half, it production but accelerate expect second transition in and QX higher at lower we

David Agatston

Correct.

Michael Ward

Beautiful, you very thank much.

Operator

Ladies the and for turn for final you. that allowed back gentlemen, our questions. time floor concludes to comments. Reeser Thank I’ll Mr.

Timothy Reeser

call. Thank you and thank time. for you everyone now Operator, our This concludes the

Operator

concludes you. conference. today’s Thank This

may time. for this disconnect You your lines participation. at Thank your you

Lightning eMotors (ZEVY) 13 Mar 232022 Q4 Earnings call transcript