EVgo Inc. CEO Cathy Zoi announced during the company’s second-quarter earnings call Aug. 2 that she will retire later this year. Zoi, who has led the company since 2017, had a long career in clean energy prior to joining the company, including positions in the U.S. Department of Energy and at the U.S. Environmental Protection Agency. She will be replaced by Badar Khan, a member of EVgo’s Board of Directors.
“It has been a highlight of my career leading EVgo from a 50-person private enterprise focused on a then nascent EV sector in 2017 to what it is today, a market-leading public company serving nearly 700,000 customers across the trillion-dollar EV market,” Zoi said.
She also endorsed Khan as her replacement, saying that his 25-year-long career aligned ideally “with the opportunity ahead for EVgo.”
Zoi will remain fully in her role until the company’s third-quarter earnings call, after which Khan will formally take over and she will transition to serving in an active advisory capacity until the end of the year. The transition is expected to take place around Nov. 9.
The retirement news comes amidst EVgo’s most impressive quarter yet: The company posted a more-than-450% increase in revenue—$50 million compared to Q2 2022’s $9.1 million and nearly double Q1 of this year. The growth, according to Interim CFO Stephanie Lee, is largely attributed to the eXtend partnership with Pilot Flying J, where EVgo builds and operates charging stations on behalf of partners, as well as retail charging revenue.
The eXtend program was recently awarded $13.8 million in Ohio from the National Electric Vehicle Infrastructure (NEVI) program. eXtend brought in $33.3 million in revenue for Q2 due to hardware sales and site construction, although it’s expected to be less in the coming quarters. The company added 210 stalls to its network, bringing the total installed or under construction to 3,200.
Capital expenditures were down nearly 50% compared to Q1 to $34.8 million. And while Lee said that capex for the year would be lower than 2022, costs will pick up again late this year.
“We purchased most of our equipment needed for 2023 stall deployments in the first quarter of this year and capex for the third quarter of 2023 is expected to remain lower as a result. Capex will begin to ramp back up in the fourth quarter of 2023, as we begin mobilization for stalls expected to be operationalized in the early parts of 2024,” she said.
As a result of the positive Q2 finish, executives updated their full-year revenue guidance from a range if $105 - $150 million to somewhere between $120 and $150 million.
EVgo reported earnings after the closing bell on Aug. 2 and its shares opened Aug. 3 trading at $4.87 per share after closing at $4.24 the previous day. As of writing, it sits at $4.91, which has grown the company’s market capitalization to $1.46 billion.
