Balyo (BALYO) H1 2024 earnings summary

Executive summary

• Revenue for H1 2024 was €13.8M, down 7% year-over-year, mainly due to the end of Linde's order commitments that boosted H1 2023 sales.

• Net loss widened to €7.4M from €2.4M in H1 2023, with a loss per share of €0.22 versus €0.07.

• Direct sales increased, especially in the US (+103%) and APAC (+54%), while EMEA declined 45%.

• Order intake surged 69% in Q2 2024, and the order backlog grew to €17.9M (+74% year-over-year).

• Cash position as of June 30, 2024 was €4.7M, with financial visibility until end of November 2024.

Financial highlights

• Gross margin dropped to 21% from 41% due to higher base vehicle costs, a shift in product mix, and exceptional inventory write-downs.

• Operating expenses rose: R&D (+17%), marketing & sales (+7%), and G&A (+11%), mainly from increased personnel costs and trade fair participation.

• Cash and equivalents fell to €4.7M at June 30, 2024, and further to €2.4M by September 24, 2024.

• Equity declined to -€19.6M, and financial debt increased, with non-current liabilities up to €23.3M.

• Gross profit fell 52% to €2.94M in H1 2024.

Outlook and guidance

• Strong rebound in direct sales expected in H2 2024, but total sales growth will not offset the loss of Linde's annual order commitments.

• The company expects to maintain commercial momentum despite inflation and supply chain challenges.

• Financial visibility extends to November 2024; a €36M capital increase backed by SoftBank is planned to secure funding for at least 12 months post-completion.

• SoftBank intends to support the rights issue and maintain listing for at least 12 months post-transaction.