Expion360 Reports First Quarter 2025 Financial Results
Rhea-AI Summary
Expion360 (NASDAQ: XPON) reported strong Q1 2025 financial results, with revenue reaching $2.0 million, marking a 111% increase from Q1 2024 and its 5th consecutive quarter of growth. The company achieved a gross profit of $0.5 million (25% margin) and reduced its net loss by 48% to $1.2 million.
Key developments include the launch of their e360 Home Energy Storage Solutions (HESS) product line and closing a $2.6 million registered direct offering. The company's growth was driven by a rebounding RV market, with RV shipments increasing 14% in Q1 2025. Expion360 is working on supply chain diversification and potential US-based manufacturing collaboration with NeoVolta.
The company's cash position improved to $1.1 million as of March 31, 2025, compared to $0.5 million at the end of 2024, while net cash used in operations decreased to $1.2 million from $1.7 million year-over-year.
Positive
- Revenue grew 111% year-over-year to $2.0 million
- Gross margin improved to 25% from 23% year-over-year
- Net loss decreased 48% to $1.2 million
- Successfully launched HESS product line with initial shipments
- SG&A expenses decreased 25% to $1.6 million
- Strengthened balance sheet with $2.6 million capital raise
Negative
- Still operating at a net loss of $1.2 million
- Negative operating cash flow of $1.2 million
- Potential impact from new tariffs on supply chain
- Dependent on external manufacturing with current overseas supply chain
News Market Reaction
On the day this news was published, XPON declined 3.06%, reflecting a moderate negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
Q1 2025 Revenue Growth of
5th Consecutive Quarter of Robust Revenue Growth
Began Shipping e360 Home Energy Storage Solutions
REDMOND, Ore., May 15, 2025 (GLOBE NEWSWIRE) -- Expion360 Inc. (Nasdaq: XPON) (“Expion360” or the “Company”), an industry leader in lithium-ion battery power storage, today reported its financial and operational results for the first quarter ended March 31, 2025.
First Quarter 2025 & Subsequent Financial & Operational Highlights
- Q1 2025 revenue totaled
$2.0 million , up111% from Q1 2024, and3% sequentially from Q4 2024. - 5th consecutive quarter of sequential revenue growth.
- Began fulfilling purchase orders for our e360 Home Energy Storage Solutions (“HESS”).
- Closed a
$2.6 million registered direct offering and private placement priced at the market under Nasdaq rules.
Management Commentary
"The first quarter of 2025 was underscored by continued strong revenue momentum, margin expansion and a strengthened balance sheet as we focus on entering into new OEM partnerships and distributor relationships and building our Home Energy Storage Solutions vertical,” said Brian Schaffner, Chief Executive Officer and Interim Chief Financial Officer of Expion360. “Revenue grew
“In January, we began production shipments for our HESS products. The LiFePO4 battery HESS enables residential and small business customers to create their own stable micro-energy grid and lessen the impact of increasing power fluctuations and outages. HESS is designed with adaptability in mind, ready to evolve alongside changing energy requirements. We also anticipate HESS will benefit from incentives available through California's Self-Generation Incentive Program and federal tax credits, and we are working on additional orders in 2025.
“Operationally during the quarter, we took the opportunity to prepare for continued growth and tariff mitigation by adding 6-12 months of inventory early in the quarter, before new tariffs were introduced. We are also working to diversify our supply chain with potential sourcing from additional countries and have undertaken several initiatives to increase margins and reduce costs within our current line of batteries. Our long-term goal is to onshore to the U.S. manufacturing of most of our components and assemblies, including cell manufacturing. To that end, we continue to work with NeoVolta to combine our strengths toward a potential collaboration that aims to engineer a US-based state-of-the-art battery manufacturing facility and develop innovative lithium-ion battery cell and module product designs.
“Looking ahead, we are successfully executing on our efforts to expand sales across our product portfolio and new Home Energy Storage Solutions vertical. With a strengthened balance sheet from a recent
First Quarter 2025 Financial Summary
Revenue in the first quarter of 2025 totaled
Gross profit in the first quarter of 2025 totaled
Selling, general and administrative expenses in the first quarter of 2025 decreased
Net loss in the first quarter of 2025 totaled
Cash and cash equivalents totaled
Net cash used in operating activities totaled
First Quarter 2025 Results Conference Call
Brian Schaffner, Chief Executive Officer and Interim Chief Financial Officer of Expion360, will host the conference call, followed by a question-and-answer period. The conference call will be accompanied by a presentation, which can be viewed during the webcast or accessed via the investor relations section of the Company’s website here.
To access the call, please use the following information:
| Date: | Thursday, May 15, 2025 |
| Time: | 4:30 p.m. Eastern Time (1:30 p.m. Pacific Time) |
| Dial-in: | 1-844-825-9789 |
| International Dial-in: | 1-412-317-5180 |
| Conference Code: | 10199138 |
| Webcast: | https://viavid.webcasts.com/starthere.jsp?ei=1716448&tp_key=0cfcd7be75 |
A telephone replay will be available approximately three hours after the call and will remain available through May 29, 2025, by dialing 1-844-512-2921 from the U.S., or 1-412-317-6671 from international locations, and entering replay pin number: 10199138. The replay can also be viewed through the webcast link above and the presentation utilized during the call will be available via the investor relations section of the Company’s website here.
About Expion360
Expion360 is an industry leader in premium lithium iron phosphate (LiFePO4) batteries and accessories for recreational vehicles, marine applications, Light EV and residential energy storage.
The Company’s lithium-ion batteries feature half the weight of standard lead-acid batteries while delivering three times the power and ten times the number of charging cycles. Expion360 batteries also feature better construction and reliability compared to other lithium-ion batteries on the market due to their superior design and quality materials. Specially reinforced, fiberglass-infused, premium ABS and solid mechanical connections help provide top performance and safety. With Expion360 batteries, adventurers can enjoy the most beautiful and remote places on Earth even longer.
The Company is headquartered in Redmond, Oregon. Expion360 lithium-ion batteries are available today through more than 300 dealers, wholesalers, private-label customers, and OEMs across the country. To learn more about the Company, visit expion360.com.
Forward-Looking Statements
The foregoing material may contain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, each as amended. Forward-looking statements include all statements that do not relate solely to historical or current facts, including without limitation statements regarding the Company’s business prospects, and can be identified by the use of words such as “may,” “will,” “expect,” “project,” “estimate,” “anticipate,” “plan,” “believe,” “potential,” “should,” “continue” or the negative versions of those words or other comparable words. Forward-looking statements included in this press release include, but are not limited to, statements relating to the Company’s beliefs, plans, and expectations about its operations, product development and pipeline, growth prospects, market expectations and opportunity, the availability of incentives and tax credits, potential partnership with NeoVolta, and growth expectations. Forward-looking statements are not guarantees of future actions or performance. These forward-looking statements are based on information currently available to the Company and its current plans or expectations and are subject to a number of risks and uncertainties that could significantly affect current plans. Should one or more of these risks or uncertainties materialize, or the underlying assumptions prove incorrect, actual results may differ significantly from those anticipated, believed, estimated, expected, intended, or planned. Although the Company believes that the expectations reflected in the forward-looking statements are reasonable, the Company cannot guarantee future results, performance, or achievements. Except as required by applicable law, including the security laws of the United States, the Company does not intend to update any of the forward-looking statements to conform these statements to actual results.
Company Contact:
Brian Schaffner, CEO and Interim CFO
541-797-6714
Email Contact
External Investor Relations:
Chris Tyson, Executive Vice President
MZ Group - MZ North America
949-491-8235
XPON@mzgroup.us
www.mzgroup.us
| EXPION360 INC. BALANCE SHEETS | ||||||||
| As of March 31, 2025 (Unaudited) | As of December 31, 2024 | |||||||
| Assets | ||||||||
| Current Assets | ||||||||
| Cash and cash equivalents | $ | 1,092,607 | $ | 547,565 | ||||
| Accounts receivable, net | 592,625 | 613,022 | ||||||
| Inventory | 6,036,033 | 4,831,461 | ||||||
| Prepaid/in-transit inventory | 149,541 | 1,612,686 | ||||||
| Prepaid expenses and other current assets | 208,373 | 236,461 | ||||||
| Total current assets | 8,079,179 | 7,841,195 | ||||||
| Property and equipment | 909,603 | 914,081 | ||||||
| Accumulated depreciation | (460,866 | ) | (430,191 | ) | ||||
| Property and equipment, net | 448,737 | 483,890 | ||||||
| Other Assets | ||||||||
| Operating leases – right-of-use asset | 689,046 | 754,832 | ||||||
| Deposits | 25,471 | 27,471 | ||||||
| Total other assets | 714,517 | 782,303 | ||||||
| Total assets | $ | 9,242,433 | $ | 9,107,388 | ||||
| Liabilities and stockholders’ equity | ||||||||
| Current liabilities | ||||||||
| Accounts payable | $ | 367,457 | $ | 338,091 | ||||
| Customer deposits | 41,920 | 48,474 | ||||||
| Accrued expenses and other current liabilities | 196,874 | 187,464 | ||||||
| Current portion of operating lease liability | 255,676 | 256,153 | ||||||
| Current portion of long-term debt | 31,275 | 31,758 | ||||||
| Suspended Liability | 4,485,948 | 4,985,948 | ||||||
| Total current liabilities | 5,379,150 | 5,847,888 | ||||||
| Long-term debt, net of current portion and discount | 190,564 | 198,412 | ||||||
| Operating lease liability, net of current portion | 476,115 | 542,764 | ||||||
| Total liabilities | $ | 6,045,829 | $ | 6,589,064 | ||||
| Stockholders’ equity | ||||||||
| Preferred stock, par value | — | — | ||||||
| Common stock, par value | 3,144 | 2,096 | ||||||
| Additional paid-in capital | 38,920,698 | 37,091,468 | ||||||
| Accumulated deficit | (35,727,238 | ) | (34,575,240 | ) | ||||
| Total stockholders’ equity | 3,196,604 | 2,518,324 | ||||||
| Total liabilities and stockholders’ equity | $ | 9,242,433 | $ | 9,107,388 | ||||
| EXPION360 INC. STATEMENTS OF OPERATIONS (UNAUDITED) | ||||||||
| For the Three Months Ended March 31, | ||||||||
| 2025 | 2024 | |||||||
| Net sales | $ | 2,049,331 | $ | 971,859 | ||||
| Cost of sales | 1,547,764 | 749,337 | ||||||
| Gross profit | 501,567 | 222,522 | ||||||
| Selling, general and administrative | 1,649,435 | 2,189,475 | ||||||
| Loss from operations | (1,147,868 | ) | (1,966,953 | ) | ||||
| Other (income) / expense: | ||||||||
| Interest income | (1 | ) | (26,865 | ) | ||||
| Interest expense | 5,668 | 253,286 | ||||||
| (Gain) / Loss on sale of property and equipment | (1,625 | ) | 306 | |||||
| Other (income) / expense | 50 | (1,200 | ) | |||||
| Total other expense | 4,092 | 225,527 | ||||||
| Loss before taxes | (1,151,960 | ) | (2,192,480 | ) | ||||
| Franchise taxes | 38 | 460 | ||||||
| Net loss | $ | (1,151,998 | ) | $ | (2,192,940 | ) | ||
| Net loss per share (basic and diluted) | $ | (0.37 | ) | $ | (31.30 | ) | ||
| Weighted-average number of common shares outstanding | 3,109,522 | 70,057 | ||||||
| EXPION360 INC. STATEMENTS OF CASH FLOWS (UNAUDITED) | ||||||||
| For the Three Months Ended March 31, | ||||||||
| 2025 | 2024 | |||||||
| Cash flows from operating activities | ||||||||
| Net loss | $ | (1,151,998 | ) | $ | (2,192,940 | ) | ||
| Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | ||||||||
| Depreciation | 34,028 | 49,444 | ||||||
| Amortization of convertible note costs | — | 166,786 | ||||||
| (Gain) / Loss on sale of property and equipment | (1,625 | ) | 306 | |||||
| Stock-based compensation | 50,721 | 315,853 | ||||||
| Changes in operating assets and liabilities: | ||||||||
| (Increase) / Decrease in accounts receivable | 20,397 | (83,986 | ) | |||||
| (Increase) / Decrease in inventory | (1,204,572 | ) | 44,773 | |||||
| Decrease in prepaid/in-transit inventory | 1,463,145 | 45,137 | ||||||
| (Increase) / Decrease in prepaid expenses and other current assets | 28,088 | (43,753 | ) | |||||
| Decrease in deposits | 2,000 | — | ||||||
| Increase / (Decrease) in accounts payable | 29,366 | (4,565 | ) | |||||
| Decrease in customer deposits | (6,554 | ) | (6,497 | ) | ||||
| Increase in accrued expenses and other current liabilities | 9,410 | 33,669 | ||||||
| Increase / (Decrease) in right-of-use assets and lease liabilities | (1,340 | ) | 3,855 | |||||
| Decrease in suspended liability | (500,000 | ) | — | |||||
| Net cash used in operating activities | (1,228,934 | ) | (1,671,918 | ) | ||||
| Cash flows from investing activities | ||||||||
| Purchases of property and equipment | — | (10,550 | ) | |||||
| Net proceeds from sale of property and equipment | 2,750 | 87,684 | ||||||
| Net cash provided by investing activities | 2,750 | 77,134 | ||||||
| Cash flows from financing activities | ||||||||
| Principal payments on convertible note | — | (43,575 | ) | |||||
| Principal payments on long-term debt | (8,331 | ) | (93,855 | ) | ||||
| Principal payments on stockholder promissory notes | — | (62,500 | ) | |||||
| Net proceeds from exercise of warrants | — | (4 | ) | |||||
| Net proceeds from issuance of common stock | 1,779,557 | 125,153 | ||||||
| Net cash provided by / (used in) financing activities | 1,771,226 | (74,781 | ) | |||||
| Net change in cash and cash equivalents | 545,042 | (1,669,565 | ) | |||||
| Cash and cash equivalents, beginning | 547,565 | 3,932,698 | ||||||
| Cash and cash equivalents, ending | 1,092,607 | 2,263,133 | ||||||
FAQ
What was Expion360's (XPON) revenue growth in Q1 2025?
How much did Expion360 (XPON) raise in their 2025 offering?
What is Expion360's (XPON) new HESS product?
What was Expion360's (XPON) gross margin in Q1 2025?
How much cash did Expion360 (XPON) have at the end of Q1 2025?
