ATLANTA--(BUSINESS WIRE)--Preferred Apartment Communities, Inc. (NYSE: APTS) ("PAC" or the "Company") today announced that it has published its inaugural Environmental, Social and Governance (ESG) Report. While ESG values have long been core to the Company’s business practices, this publication provides a comprehensive overview of PAC’s ESG efforts, both for the Company’s core operations and for PAC’s broader real estate portfolio.

In addition to providing quantitative results for calendar year 2021, PAC’s ESG report provides insights into the Company’s strategic focus and purposeful approaches to corporate responsibility regarding PAC’s own operations and community impact as well as the operations and impacts of the residents and tenants across PAC’s portfolio.

“While we have featured Environmental, Social and Governance information on our website for some time now, we are excited to share our ESG efforts and successes through this formal ESG Report. This is a key focus of our Board and entire team, and we are committed to all aspects of corporate responsibility, for our stakeholders, communities, and the broader world,” stated Joel T. Murphy, PAC’s Chairman and Chief Executive Officer.

This inaugural ESG Report reflects the ongoing commitment from PAC’s senior leadership team to corporate responsibility, and the work of the Company’s ESG Committee. Members of the Committee include: John Isakson, Chief Financial Officer; Mike Cronin, Chief Accounting Officer; Paul Cullen, Executive Vice President, Investor Relations; Ginger Park, Chief Accounting Officer - Retail; Michael Mangrum, Director of Internal Audit; and Jared Seff, SVP, Deputy General Counsel and Assistant Corporate Secretary.

Environmental

Core areas of Environmental focus include reducing energy and water consumption at the property operations and resident and tenant levels, improving waste management and recycling programs, and encouraging the use of reduced-emissions transportation options.

Key highlights include:

• Use of reclaimed or retained water for landscape irrigation across properties where feasible
• Annual irrigation audits across multifamily properties to ensure responsible water usage
• 60% of properties in PAC’s portfolio are fully equipped with LED lighting and PAC is evaluating additional installation across remaining properties
• Initial installation of EV charging stations at select properties with expansion plans

Social

On the Social front, PAC’s people remain the Company’s most valuable asset, and PAC is investing it its team and communities through workforce development, health and wellness, and community involvement programs.

Key highlights include:

• Established a Diversity, Equity and Inclusion (DE&I) committee with a mission and vision statement to drive DE&I efforts
• PAC was named a Top Workplace in Atlanta by the Atlanta Journal Constitution for five consecutive years
• PAC was rated as the top multifamily REIT nationwide by J Turner’s Online Reputation Assessment two years in a row
• PAC participated in volunteer and philanthropic efforts with organizations such as the Atlanta Community Food Bank, Toys for Tots, Breast Cancer Awareness, the American Heart Association, the March of Dimes, and the Andrew P. Stewart Center

Governance

Corporate Governance has long been an area of strength for the Company. PAC operates under a Code of Business Conduct and Ethics dedicated to maintaining the highest integrity and standards of ethics, and PAC’s Board of Directors has developed and adopted Corporate Governance Guidelines to promote the functioning of the Board and its committees.

Accessing the Report

This Environmental, Social and Governance Report follows the SASB Reporting Guidelines, which represents the industry gold standard for corporate ESG reporting. Readers can access the digital version of the report by clicking [here].

About Preferred Apartment Communities, Inc.

Preferred Apartment Communities, Inc. (NYSE: APTS) is a real estate investment trust engaged primarily in the ownership and operation of Class A multifamily properties, with select investments in grocery anchored shopping centers. Preferred Apartment Communities’ investment objective is to generate attractive, stable returns for stockholders by investing in income-producing properties and acquiring or originating multifamily real estate loans. As of March 31, 2022, the Company owned or was invested in 113 properties in 13 states, predominantly in the Southeast region of the United States. Learn more at www.pacapts.com.

Forward-Looking Statements

This press release 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. These statements may be identified by the use of forward-looking terminology such as "may", "trend", "will", "expects", "plans", "estimates", "anticipates", "projects", "intends", "believes", "goals", "objectives", "outlook" and similar expressions. Because such statements include risks, uncertainties and contingencies, actual results may differ materially from the expectations, intentions, beliefs, plans or predictions of the future expressed or implied by such forward-looking statements. PAC undertakes no obligation to update these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events, except as may be required by law.

Preferred Apartment Communities, Inc.
John A. Isakson 770-818-4109
Chief Financial Officer
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.

Preferred Apartment Communities, Inc.
Paul Cullen 770-818-4144
Executive Vice President-Investor Relations
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DUBLIN--(BUSINESS WIRE)--The "Smart Transportation Market Research Report by Type, Component, Communication Technology, Roadway, Railway, Airway, Maritime, Application, Roadways type, Region - Global Forecast to 2027 - Cumulative Impact of COVID-19" report has been added to ResearchAndMarkets.com's offering.

The Global Smart Transportation Market size was estimated at USD 88.10 billion in 2021, USD 97.68 billion in 2022, and is projected to grow at a Compound Annual Growth Rate (CAGR) of 11.05% to reach USD 165.29 billion by 2027.

Competitive Strategic Window:

The Competitive Strategic Window analyses the competitive landscape in terms of markets, applications, and geographies to help the vendor define an alignment or fit between their capabilities and opportunities for future growth prospects. It describes the optimal or favorable fit for the vendors to adopt successive merger and acquisition strategies, geography expansion, research & development, and new product introduction strategies to execute further business expansion and growth during a forecast period.

FPNV Positioning Matrix:

The FPNV Positioning Matrix evaluates and categorizes the vendors in the Smart Transportation Market based on Business Strategy (Business Growth, Industry Coverage, Financial Viability, and Channel Support) and Product Satisfaction (Value for Money, Ease of Use, Product Features, and Customer Support) that aids businesses in better decision making and understanding the competitive landscape.

Market Share Analysis:

The Market Share Analysis offers the analysis of vendors considering their contribution to the overall market. It provides the idea of its revenue generation into the overall market compared to other vendors in the space. It provides insights into how vendors are performing in terms of revenue generation and customer base compared to others. Knowing market share offers an idea of the size and competitiveness of the vendors for the base year. It reveals the market characteristics in terms of accumulation, fragmentation, dominance, and amalgamation traits.

The report provides insights on the following pointers:

1. Market Penetration: Provides comprehensive information on the market offered by the key players

2. Market Development: Provides in-depth information about lucrative emerging markets and analyze penetration across mature segments of the markets

3. Market Diversification: Provides detailed information about new product launches, untapped geographies, recent developments, and investments

4. Competitive Assessment & Intelligence: Provides an exhaustive assessment of market shares, strategies, products, certification, regulatory approvals, patent landscape, and manufacturing capabilities of the leading players

5. Product Development & Innovation: Provides intelligent insights on future technologies, R&D activities, and breakthrough product developments

The report answers questions such as:

1. What is the market size and forecast of the Global Smart Transportation Market?

2. What are the inhibiting factors and impact of COVID-19 shaping the Global Smart Transportation Market during the forecast period?

3. Which are the products/segments/applications/areas to invest in over the forecast period in the Global Smart Transportation Market?

4. What is the competitive strategic window for opportunities in the Global Smart Transportation Market?

5. What are the technology trends and regulatory frameworks in the Global Smart Transportation Market?

6. What is the market share of the leading vendors in the Global Smart Transportation Market?

7. What modes and strategic moves are considered suitable for entering the Global Smart Transportation Market?

Market Dynamics

Drivers

• Rising government focus on building smart cities
• Increasing IoT integration to enhancing transportation services
• Increasing urbanization rate

Restraints

• Lack of uniform policy and technology

Opportunities

• Advent of autonomous vehicles
• Emphasis on Analytics in smart transportation

Challenges

• Integration complexities
• Cybersecurity risk

Companies Mentioned

• Bestmile
• Cubic Corporation
• DENSO Corporation
• Doublemap
• Efkon AG
• Electricfeel
• FLIR Systems Inc.
• Garmin Ltd.
• Geotoll
• Kapsch TrafficCom AG
• Nutonomy
• Q-Free ASA
• Siemens AG
• Thales S.A.
• Tomtom International B.V.

For more information about this report visit https://www.researchandmarkets.com/r/ysyvsh

ResearchAndMarkets.com
Laura Wood, Senior Press Manager
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For E.S.T Office Hours Call 1-917-300-0470
For U.S./CAN Toll Free Call 1-800-526-8630
For GMT Office Hours Call +353-1-416-8900

Unique coalition aims to develop a clean hydrogen ecosystem to help cut carbon dioxide emissions in the state

TEMPE, Ariz.--(BUSINESS WIRE)--Four Arizona energy providers and the state’s three public universities are forming a new, interdisciplinary coalition with the goal of attaining a carbon neutral economy in Arizona. Faced with the complexity of reducing carbon dioxide (CO₂) emissions across economic sectors, and the urgency to respond to the climate crisis, this coalition will combine its expertise to launch a new center to begin working immediately on strategies and solutions.

Leading professionals from Arizona Public Service Co., Salt River Project, Tucson Electric Power and Southwest Gas, and from Arizona State University, the University of Arizona and Northern Arizona University, will play a crucial leadership role in helping Arizona explore options and strategic pathways that move the state toward a carbon-neutral and thriving economy.

To begin, the coalition established a new ASU-based center called the “Center for an Arizona Carbon-Neutral Economy,” housed within the Julie Ann Wrigley Global Futures Laboratory™ on the ASU Tempe campus. Among its first undertakings, the center will pursue the creation of a regional clean hydrogen hub.

Hydrogen can fuel chemical reactions that release clean energy and produce only water – H₂O, not CO₂. That means much of the energy used to create pure hydrogen can be essentially “stored” in the gas itself and used to provide carbon-free energy or feedstock on demand. Tapping this potential could help reduce carbon emissions in many sectors of the economy.

In late-October 2021, the U.S. Congress passed the bipartisan Infrastructure Investment and Jobs Act, which the President signed in mid-November 2021. The law establishes program guidance and funding to create regional clean hydrogen hubs, which the coalition will seek. The clean hydrogen hub, while still being fully defined, will include hydrogen producers, consumers, and a connected infrastructure so that supply and demand are in sync and appropriately buffered with storage.

A successful regional clean hydrogen hub will help address difficult-to-reduce carbon dioxide emissions in the state, as well as grow Arizona’s economy, attract new businesses and create high-quality jobs. When fully operational, a new hub would help support a reliable and resilient electric grid, provide clean energy for the electric, transportation and industrial sectors, and potentially create economic development opportunities in communities that are adversely impacted by the closure of fossil-fueled plants.

Involving these communities in the process is a critical component of the coalition’s work. By engaging a wide range of diverse stakeholders, the group will develop a shared strategy to create a new hydrogen ecosystem and industry in Arizona. Stakeholders will be part of a collaborative network that directly involves communities, tribes, businesses, universities, government agencies, nonprofit organizations, and other interested parties in the process.

Collectively defining the vision, governance, and organizational structure for the hub requires a deeper dive into a myriad of assets and resources available in the state, and this effort is already underway.

Arizona is one of the nation's sunniest states, with significant available undeveloped land and abundant clean energy resources. It has the largest nuclear power plant in the nation, energy providers that have committed to reduce carbon dioxide emissions, world-class innovative universities, an established and growing industry base, and a healthy environment for innovation and start-ups. These resources, along with the region’s highly skilled workforce, can be used in producing, moving, storing and using hydrogen. While Arizona is currently a net energy importer, these assets could help the state become an energy exporter, bolstering its economy and helping others’ efforts to achieve their clean energy goals.

Company remarks:

Arizona State University
“ASU’s Global Futures Laboratory exists precisely to take on the challenge of creating a future of opportunity,” said Peter Schlosser, Vice President and Vice Provost of the Julie Ann Wrigley Global Futures Laboratory at ASU. “We welcome the establishment of this new Center, and we are eager to work with the brightest minds from Arizona’s leading energy companies and our sister universities to explore the most effective ways to develop a sustainable and thriving carbon neutral economy.”

University of Arizona
“The University of Arizona is dedicated to a future for Arizona that is both economically and environmentally resilient. The new coalition, as well as the Center for an Arizona Carbon-Neutral Economy, will help create and secure that future,” said Elizabeth “Betsy” Cantwell, UArizona senior vice president for research and innovation. “We are thrilled to partner with our fellow state universities and local utilities to leverage the power of our place in a living laboratory and create scalable infrastructure for a clean, resilient Arizona.”

Northern Arizona University:
“NAU has a long legacy of leadership and commitment to sustainability, and this new partnership creates incredible opportunities for our students, faculty and staff to help tackle the important work of creating a carbon-neutral future for Arizona,” said Jason Wilder, NAU Vice President for Research. “We’re thrilled to be able to help design a cleaner economy that will sustain Arizona into the future and to train the workforce that will be essential to bring these innovations into practice.”

Arizona Public Service
“The need to address the causes and impacts of climate change has never been more important. By partnering with Arizona’s universities and peer utilities, this statewide hub will help advance hydrogen as a clean-energy solution with tremendous potential to accelerate decarbonization,” said APS Chairman, President and CEO Jeff Guldner. “It also will further Arizona’s reputation as a national leader in the clean energy transition while creating economic opportunities for our state and its people.”

Salt River Project
“This challenge is bigger than any one company or industry. SRP appreciates the support and vision of this diverse set of partners willing to roll up their sleeves, work together and find solutions to become a low-net-carbon Arizona.” said Mike Hummel, CEO and General Manager of Salt River Project.

Tucson Electric Power
“The development of a regional clean hydrogen hub could provide critical support for our ongoing transition to a cleaner, cleaner grid,” said Susan Gray, President and CEO of TEP and its parent company, UNS Energy. “We’re looking forward to working together to turn this vision into real, sustainable growth for Arizona’s economy.”

Southwest Gas
“Southwest Gas is committed to helping our customers and the communities we serve achieve emissions reductions goals. Advancing hydrogen technology and increasing availability of hydrogen to the market is strategically important to achieving our clean energy goals. With existing infrastructure that can be used to transport this powerful clean fuel, Southwest Gas is excited to work with this coalition and stakeholders to lead efforts to bring a regional hydrogen hub to our State,” said Dr. Laura Nelson, Vice president, Sustainability and Public Policy

Arizona Sen. Mark Kelly
“Arizona has tremendous potential to lower greenhouse gas emissions by producing clean-burning hydrogen using solar energy,” said Senator Mark Kelly. “I look forward to working with the coalition to increase hydrogen production in our state.”

Arizona Sen. Kyrsten Sinema
“Today’s partnership will pave the way towards a carbon-neutral economy by 2050, creating the jobs of the future and fueling innovation and sustainable energy sources throughout our state,” said Arizona senior Senator Kyrsten Sinema.

Company information

Arizona Public Service (APS)
APS serves more than 1.3 million homes and businesses in 11 of Arizona’s 15 counties, and is a leader in delivering affordable, clean and reliable energy in the Southwest. The company is committed to serving customers with 100% clean power by 2050. As owner and operator of Palo Verde Generating Station, the nation’s largest producer of carbon-free electricity, and with one of the country’s most substantial renewable energy portfolios, APS’s current energy mix is 50% clean. With headquarters in Phoenix, APS is the principal subsidiary of Pinnacle West Capital Corp. (NYSE: PNW).

Salt River Project
SRP is a community-based, not-for-profit public power utility and the largest electricity provider in the greater Phoenix metropolitan area, serving approximately 1.1 million customers. SRP provides water to about half of the Valley’s residents, delivering more than 244 billion gallons of water (750,000 acre-feet) each year, and manages a 13,000-square-mile watershed that includes an extensive system of reservoirs, wells, canals and irrigation laterals.

Southwest Gas
Celebrating 90 years of providing clean, affordable natural gas service, Southwest Gas Corporation proudly serves over two million customers in Arizona, California, and Nevada safely and reliably. For more information about Southwest Gas, please visit www.swgas.com

Tucson Electric Power (TEP)
TEP provides safe, reliable electric service to more than 438,000 customers in Southern Arizona. For more information, visit tep.com. TEP and its parent company, UNS Energy, are subsidiaries of Fortis Inc. (TSX/NYSE: FTS), which owns utilities that serve more than 3 million customers across Canada and in the United States and the Caribbean. For more information, visit fortisinc.com.

Arizona State University
Arizona State University, ranked No. 1 “Most Innovative School” in the nation by U.S. News & World Report for seven years in succession, has forged the model for a New American University by operating on the principles that learning is a personal and original journey for each student; that they thrive on experience and that the process of discovery cannot be bound by traditional academic disciplines. Through innovation and a commitment to accessibility, ASU has drawn pioneering researchers to its faculty even as it expands opportunities for qualified students.

Northern Arizona University
Northern Arizona University is a high-research institution providing exceptional educational opportunities in Arizona and beyond. NAU delivers a student-centered experience to its nearly 30,000 students in Flagstaff, statewide and online through rigorous academic programs in a supportive, inclusive and diverse environment. Dedicated, world-renowned faculty help ensure students achieve academic excellence, experience personal growth, have meaningful research opportunities and are positioned for personal and professional success.

The University of Arizona
The University of Arizona, a land-grant university with two independently accredited medical schools, is one of the nation's top 50 public universities, according to U.S. News & World Report. Established in 1885, the university is widely recognized as a student-centric university and has been designated as a Hispanic Serving Institution by the U.S. Department of Education. The university ranked in the top 20 in 2020 in research expenditures among all public universities, according to the National Science Foundation, and is a leading Research 1 institution with $761 million in annual research expenditures. The university advances the frontiers of interdisciplinary scholarship and entrepreneurial partnerships as a member of the Association of American Universities, the 66 leading public and private research universities in the U.S. It benefits the state with an estimated economic impact of $4.1 billion annually.

• Arizona State University
  Sandra Leander, This email address is being protected from spambots. You need JavaScript enabled to view it., (480) 727-3396
• Northern Arizona University
  Kimberly Ott, This email address is being protected from spambots. You need JavaScript enabled to view it., (928) 523-1894
• University of Arizona
  Stephanie Doster, This email address is being protected from spambots. You need JavaScript enabled to view it., (520) 626-3451
• APS
  Alan Bunnell, This email address is being protected from spambots. You need JavaScript enabled to view it., 602.250.3376
• Salt River Project
  Erica (Sturwold) Roelfs, This email address is being protected from spambots. You need JavaScript enabled to view it., P: (602) 236-2576 | M: (847) 571-0326
• Southwest Gas
  Amy Washburn, This email address is being protected from spambots. You need JavaScript enabled to view it., (602) 763-3289
• TEP
  Joe Barrios, This email address is being protected from spambots. You need JavaScript enabled to view it., (520) 884-3725

Appoints: Commercial Managing Director, Europe; and Chief Growth Officer

BURLINGTON, Ontario--(BUSINESS WIRE)--Anaergia Inc. (“Anaergia” or the “Company”) (TSX: ANRG) announces the promotion of two members of its leadership team to fill newly created executive roles that will position the company to benefit from growth opportunities in Europe. Alessandro Massone was appointed as Commercial Managing Director, Europe, and Kunal Shah was appointed as Chief Growth Officer of the Company.

"The addition of Alessandro and Kunal to our senior leadership team will better position the company in the face of increasing opportunities for Anaergia in Europe and around the world. Both individuals have extensive expertise that will positively affect the Company’s commercial activities in this continent where Anaergia has seen a consequential improvement to market fundamentals," said Dr. Andrew Benedek, Anaergia's Chairman and CEO. "We are very fortunate to have the right people within the company to maximize the opportunities we are now seeing within the European countries where we are already active, and also for those countries into which we plan to grow."

Alessandro will lead Anaergia’s European expansion and coordinate its commercial activities across the region. Based in Italy, Alessandro will utilize the Company’s management team in offices across Europe (located in Italy, Germany, Denmark, the United Kingdom and the Netherlands) to replicate the success already achieved in Italy.

Prior to this, Alessandro led the commercial activities of the Company’s Italian operations, where Anaergia is rapidly developing a portfolio of Build-Own-Operate (BOO) facilities that turn organic waste into renewable natural gas (RNG), while also achieving high market penetration in its capital sales activities. Before joining Anaergia, he was CEO of the Austep Group, which developed biogas projects internationally. Over the course of his career, Alessandro obtained extensive experience as an international professional environmental engineer with deep scientific background.

Kunal will be responsible for developing the company’s global strategies and partnerships, as well as its global marketing and branding efforts. Kunal will strengthen Anaergia’s positioning worldwide with a special emphasis on activities to accelerate success in Europe.

Prior to his new appointment, Kunal led Anaergia’s efforts to drive sales and grow business activities in Asia. Before joining Anaergia, he was a part of VA Tech Wabag’s management team, building water and wastewater treatment infrastructure. Kunal is actively engaged in a number of professional activities such as serving as council member of World Biogas Association, council member of Singapore Water Association and Global Advisory Council Member of Global Water Impact Fund.

About Anaergia

Anaergia was created to eliminate a major source of greenhouse gases by cost effectively turning organic waste into renewable natural gas (“RNG”), fertilizer and water, using proprietary technologies. With a proven track record from delivering world-leading projects on four continents, Anaergia is uniquely positioned to provide end-to-end solutions for extracting organics from waste, implementing high efficiency anaerobic digestion, upgrading biogas, producing fertilizer and cleaning water. Our customers are in the municipal solid waste, municipal wastewater, agriculture, and food processing industries. In each of these markets Anaergia has built many successful plants including some of the largest in the world. Anaergia owns and operates some of the plants it builds, and it also operates plants that are owned by its customers.

Forward-Looking Statements

This news release may contain forward-looking information within the meaning of applicable securities legislation, which reflects the Company’s current expectations regarding future events. Forward-looking information is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond the Company’s control. Such risks and uncertainties include, but are not limited to, the factors discussed under “Risk Factors” in the Company’s annual information form dated March 28, 2022 for the fiscal year ended December 31, 2021. Actual results could differ materially from those projected herein. Anaergia does not undertake any obligation to update such forward-looking information, whether as a result of new information, future events or otherwise, except as expressly required under applicable securities laws.

For further information please see: www.anaergia.com

Source: Anaergia Inc.

For media relations: Melissa Bailey, Director, Marketing & Corporate Communications, This email address is being protected from spambots. You need JavaScript enabled to view it.
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FORT LAUDERDALE, Fla.--(BUSINESS WIRE)--#Actuator--Motor Services Hugo Stamp and Governor Control Systems are rebranding as one entity named MSHS. The unification marks the next milestone in the company’s successful history spanning nearly 40 years of engine sales and services, control systems, and engineered solutions for marine, industrial, energy, defense and government clients.

Previously operating as separate entities, Governor Control Systems and Motor Services Hugo Stamp have been leaders in their respected fields and recognized worldwide for their technical expertise and turn-key solutions. Through the unification and rebranding, MSHS makes doing business easier and provides greater value achieved through operational efficiencies, process refinements and resource collaborations.

“After years of cooperation and synergy between the two companies, the time has come to unite them under one brand,” said David A. Santamaria, CEO of the newly unified MSHS. “Many of our customers’ power generation and propulsion systems require service for their engines and auxiliary equipment, as well as their control systems. Now they will benefit from one trusted partner to support their systems, thus offering a streamlined, integrated approach to service and support.”

MSHS will maintain its headquarters in Fort Lauderdale, Florida where Motor Services Hugo Stamp and Governor Control Systems have shared facilities for nearly 40 years. Two locations in Louisiana and one in the state of Washington will continue to serve customers under the unified MSHS brand. All four locations provide access to one of the largest, in-stock original equipment manufacturer (OEM) parts inventories in the Northern Hemisphere.

“MSHS has a long history of engineering excellence which, coupled with our commitment to the highest levels of service, has enabled us to establish strong relationships with the world’s leading brands as an authorized channel partner and service center,” said Lea E. Kellogg, CFO for the new MSHS. “Unifying as MSHS further strengthens these partnerships, while making it easier for all customers to do business with us.”

The modern design of the new logo communicates MSHS’ customer commitment to “Keeping Business Moving Forward.” A tribute to the impressive history of Motor Services Hugo Stamp and Governor Control Systems, the logo’s block shapes, and curve elements represent MSHS’ strength and approachability. The logo is complemented by green and blue, symbolizing land and water—the broad landscapes in which MSHS does business.

“The logo invites viewers to see familiar elements of our history, such as an M for Motor Services or the subtle G outline for Governor Control,” said Randall J. Nunmaker, Director of Sales and Marketing at MSHS. “But most importantly, the logo conveys our brand’s strength, commitment and the forward energy of our teams—the heroes and innovators who continue to serve our trusted partners and valued customers.”

About MSHS:

From controls, actuation, safety and governor systems to new high-speed engine sales and high-, medium- and low-speed engine services and support, MSHS specializes in power generation and distribution solutions for all types of prime-movers (diesel, gas, and dual-fuel engines; hydro, gas, and steam turbines; as well as solar, battery, and other micro-grid solutions). MSHS is the largest Woodward Channel Partner in the Americas and provides clients with unparalleled service and technical expertise from full-service workshops in the Gulf Coast, Pacific Northwest and South Florida. MSHS creates value by integrating engine services and engineered solutions with world-class brands. MSHS is a trusted partner for custom and turn-key solutions that reduce downtime, while improving operational efficiency.

MSHS Media Contact
Stacy Payne
Brand, Communications Manager
MSHS
+1 954.410.6225
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HALIFAX, Nova Scotia--(BUSINESS WIRE)--Today Emera (TSX: EMA) reported 2022 first quarter financial results.

Highlights

• Quarterly adjusted net income⁽¹⁾ of $242 million is consistent with Q1 2021. Quarterly adjusted EPS⁽¹⁾ was $0.92, a decrease of $0.04 from $0.96 in Q1 2021. Contribution from regulated utilities increased adjusted EPS⁽¹⁾ $0.11 year-over-year largely driven by new rates at Tampa Electric and continued growth at People’s Gas (“PGS”). This was offset primarily by lower contributions from Emera Energy due to extreme market conditions in 2021 and by higher share count.
• Quarterly reported net income increased by $89 million to $362 million compared to $273 million in Q1 2021 and quarterly reported EPS increased by $0.30 to $1.38 from $1.08 in Q1 2021 due to mark-to-market (“MTM”) gains.
• On track to deploy close to $3 billion of capital investment in 2022 to advance Emera’s strategy, including our clean energy transition.

“Our regulated utilities performed well this quarter, particularly in Florida where robust economic and customer growth continue,” said Scott Balfour, President and CEO of Emera Inc. “We are proud of our track record of delivering growth through the energy transition but we recognize that there is significant work ahead to meet ambitious government climate targets in a way that manages costs for customers and does not sacrifice system reliability. Our proven strategy and progress to date positions us well to address this challenge, and to continue to deliver value and growth to our shareholders.”

Q1 2022 Financial Results

Q1 2022 reported net income was $362 million, or $1.38 per common share, compared with net income of $273 million, or $1.08 per common share, in Q1 2021.

Q1 2022 adjusted net income⁽¹⁾ was $242 million, or $0.92 per common share, compared with $243 million, or $0.96 per common share, in Q1 2021.

Adjusted net income was consistent with Q1 2021. Increased earnings contributions from Tampa Electric were offset by decreased earnings at Emera Energy Services (“EES”) and increased corporate costs.

(1) See “Non-GAAP Financial Measures and Ratios” noted below and “Segment Results and Non-US GAAP Reconciliation” below for reconciliation to nearest USGAAP measure.

Consolidated Financial Review

The following table highlights significant changes in adjusted net income attributable to common shareholders from 2021 to 2022.

Segment Results and Non-GAAP Reconciliation

¹ Non-GAAP Financial Measures and Ratios

Emera uses financial measures that do not have standardized meaning under USGAAP and may not be comparable to similar measures presented by other entities. Emera calculates the non-GAAP measures and ratios by adjusting certain GAAP measures for specific items. Management believes excluding these items better distinguishes the ongoing operations of the business. For further information on the non-GAAP financial measure, adjusted net income, and the non-GAAP ratio, adjusted earnings per common share – basic, refer to the "Non-GAAP Financial Measures and Ratios" section of the Emera’s Q1 2022 MD&A which is incorporated herein by reference and can be found on SEDAR at www.sedar.com. Reconciliation to the nearest GAAP measure is included in “Segment Results and Non-GAAP Reconciliation” above.

Forward Looking Information

This news release contains forward-looking information within the meaning of applicable securities laws. By its nature, forward-looking information requires Emera to make assumptions and is subject to inherent risks and uncertainties. These statements reflect Emera management’s current beliefs and are based on information currently available to Emera management. There is a risk that predictions, forecasts, conclusions and projections that constitute forward-looking information will not prove to be accurate, that Emera’s assumptions may not be correct and that actual results may differ materially from such forward-looking information. Additional detailed information about these assumptions, risks and uncertainties is included in Emera’s securities regulatory filings, including under the heading “Business Risks and Risk Management” in Emera’s annual Management’s Discussion and Analysis, and under the heading “Principal Risks and Uncertainties” in the notes to Emera’s annual and interim financial statements, which can be found on SEDAR at www.sedar.com.

Teleconference Call

The company will be hosting a teleconference today, Friday, May 13, at 9:30 a.m. Atlantic (8:30 a.m. Eastern) to discuss the Q1 2022 financial results.

Analysts and other interested parties in North America are invited to participate by dialing 1-866-521-4909. International parties are invited to participate by dialing 1-647-427-2311. Participants should dial in at least 10 minutes prior to the start of the call. No pass code is required.

A live and archived audio webcast of the teleconference will be available on the Company's website, www.emera.com. A replay of the teleconference will be available two hours after the conclusion of the call by dialing 1-800-585-8367 and entering pass code 2094713.

About Emera

Emera Inc. is a geographically diverse energy and services company headquartered in Halifax, Nova Scotia, with approximately $34 billion in assets and 2021 revenues of more than $5.7 billion. The company primarily invests in regulated electricity generation and electricity and gas transmission and distribution with a strategic focus on transformation from high carbon to low carbon energy sources. Emera has investments in Canada, the United States and in four Caribbean countries. Emera’s common and preferred shares are listed on the Toronto Stock Exchange and trade respectively under the symbol EMA, EMA.PR.A, EMA.PR.B, EMA.PR.C, EMA.PR.E, EMA.PR.F, EMA.PR.H, EMA.PR.J and EMA.PR.L. Depositary receipts representing common shares of Emera are listed on the Barbados Stock Exchange under the symbol EMABDR and on The Bahamas International Securities Exchange under the symbol EMAB. Additional information can be accessed at www.emera.com or at www.sedar.com.

Emera Inc.
Investor Relations
Dave Bezanson, VP, Investor Relations & Pensions
902-474-2126
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Arianne Amirkhalkhali, Manager, Investor Relations
902-425-8130
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Media
902-222-2683
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Net Sales of $207.7M and GAAP Net Loss of $12.1M;
Firm Order Backlog of Record 6,600+ units;
Electric Type C & D Bus Backlog of nearly 360 units;
Adjusted EBITDA of $(10.7)M with 1,931 Buses Sold

MACON, Ga.--(BUSINESS WIRE)--Blue Bird Corporation (“Blue Bird”) (Nasdaq: BLBD), the leader in electric and low-emission school buses, announced today its fiscal 2022 second quarter results. GAAP net loss for the quarter of $12.1 million was $11.5 million higher than the same FY2021 fiscal period. Adjusted EBITDA for the quarter was $(10.7) million, $18.2 million below prior year level. Order backlog remains strong at a record 6,600 buses, worth approximately $700 million.

Blue Bird faced a challenging second quarter marked by supply chain disruptions and inflationary pressures exacerbated by Russia’s war in Ukraine and COVID lockdowns in China. The continued rise in raw material, freight, and labor costs, as well shortages on a number of key components drove increased costs to manufacture the units in the quarter, the majority of which were ordered nearly a year ago and were delayed due to supply chain constraints. Blue Bird consciously chose to honor pricing on those units in the quarter to preserve long-standing franchised dealer and customer relationships.

Blue Bird continued to implement its multi-source supplier strategy for a number of critical components successfully addressing supply chain issues that had previously impacted production. However, new supply chain issues emerged amid geo-political global upheaval. Blue Bird again brought its pricing in line with expected cost increases. The Company has implemented price increases totaling more than 25% over the past 10 months and expects that pricing to catch up with costs in the latter half of the fiscal year.

As an employee-centric organization, Blue Bird continued to invest in its workforce and workplace upgrades to further improve safety, quality, cost and delivery. In addition, the company is finalizing a transformation of its leadership team and filled two key leadership positions in the quarter with seasoned industry veterans, including new top executives for electrification and global supply chain management. Blue Bird also advanced its Lean Transformation initiatives with efforts starting to show material improvements in the quarter in the areas of efficiency, quality, cost, and throughput. Many of these improvements are being overshadowed by the difficult supply chain environment.

Blue Bird continues to stay focused on capitalizing on significant growth opportunities in the areas of electric commercial chassis and the growing demand for electric school buses accelerated by the Clean School Bus Rebate Program.

The Company unveiled this week a flexible electric commercial chassis at the 2022 Advanced Clean Transportation (ACT) Expo. Blue Bird will expand its product reach beyond its core school transportation market to start serving the dynamic commercial vehicle sector. "We are combining our first-rate chassis-building capabilities with our technology leadership in electric zero-emission transportation solutions,” said Matthew Stevenson, President and CEO of Blue Bird Corporation. “Blue Bird showcased at ACT Expo a flexible Class 5-6 electric chassis which will enable a broad range of zero-emission vehicles, including last-mile delivery step vans, motorhomes, and other specialty vehicles. With a market size of more than 30,000 units we will effectively double our total addressable market.”

The Clean School Bus Rebate Program is part of the Bipartisan Infrastructure Law (BIL), which allocates $5B in funding for electric and low-emission school buses and supporting infrastructure. The U.S. Environmental Protection Agency (EPA) recently announced its 2022 Clean School Bus Rebate Program which earmarks the first $500M for the replacement of diesel-powered student transportation with electric and low-emission school buses. The EPA plans to accept online applications starting this month and notify applicants by October 2022. Selected school districts are required to order electric or low-emission school buses by April 2023 to qualify for the rebates. The EPA will provide up to $375,000 per electric bus.

Added Stevenson: “Blue Bird remains committed to further grow its share of electric and low-emission school buses in North America.” “Blue Bird is the proven technology leader for zero-emission electric school buses. We anticipate scaling up our electric vehicle production capacity to 4,000 vehicles a year by 2024 to meet increasing demand. Blue Bird continues to transform the transportation industry.”

2022 Guidance Revised

“The previously anticipated recovery in the supply base in the second half of the fiscal year has been delayed due primarily to Russia’s war in Ukraine and to COVID-related lockdowns in China,” said Razvan Radulescu, CFO of Blue Bird Corporation. “We still expect to see gradual relief beginning in fiscal Q4 as fully-priced orders begin to be delivered, however it is unclear how the supply disruptions will trend. Given what we have seen in the recent months, we are revising our guidance for fiscal 2022 to Net Revenue of $800-900M, Adj. EBITDA of $20-30M and Adj. Free Cash Flow of $15-25M.”

Fiscal 2022 Second Quarter Results

Net Sales

Net sales were $207.7 million for the second quarter of fiscal 2022, an increase of $43.0 million, or 26.1%, from prior year period. Bus unit sales were 1,931 units for the quarter compared with 1,489 units for the same period last year, contributing to a $38.2 million increase. This was largely due to a return to in-person learning and increased demand, partially offset by constraints in the Company's ability to produce and deliver buses due to shortages of critical components. Additionally, there was an increase of $4.8 million in parts segment sales, primarily attributed to (a) more schools offering in-person learning during the 2021/2022 school year when compared with the 2020/2021 school year, which increased school bus units in operation and thus increased bus repair and maintenance activities and (b) pricing actions taken by management to offset increases in purchased part costs.

Gross Profit

Second quarter gross profit of $3.2 million represented a decrease of $15.3 million from the second quarter of last year. The decrease was primarily driven by increases in manufacturing costs attributable to both a) supply chain disruptions that resulted in higher purchase costs for components and freight and b) increased manufacturing inefficiencies resulting from the shortage of certain critical components that required more off-line labor to produce buses. Gross profit margin declined 9.7 points to 1.5%.

Net Loss

Net loss was $12.1 million for the second quarter of fiscal 2022, which was $11.5 million higher than the same period last year. The increase was primarily driven by the $15.3 million decrease in net profit. Also contributing was an increase of $2.5 million in SG&A, which was largely a result of increases in professional services related to operational transformational initiatives, increases in R&D, and increases in payroll. These increases were partially offset by a $6.9 million increase in income tax benefit.

Adjusted Net (Loss) Income

Adjusted Net (Loss) Income was $(10.1) million, representing a decrease of $11.5 million compared with the same period last year. This decrease is primarily due to the $11.5 million increase in net loss.

Adjusted EBITDA

Adjusted EBITDA was $(10.7) million, which was a decrease of $18.2 million compared with the second quarter last year. This decrease is primarily due to the $17.7 million increase in loss before income taxes.

Conference Call Details

Blue Bird will discuss its second quarter 2022 results in a conference call at 4:30 PM ET today. Participants may listen to the audio portion of the conference call either through a live audio webcast on the Company's website or by telephone. The slide presentation and webcast can be accessed via the Investor Relations portion of Blue Bird's website at www.blue-bird.com.

• Webcast participants should log on and register at least 15 minutes prior to the start time on the Investor Relations homepage of Blue Bird’s website at http://investors.blue-bird.com. Click the link in the events box on the Investor Relations landing page.

• Participants desiring audio only should dial 1-844-826-3035 or 1-412-317-5195

A replay of the webcast will be available approximately two hours after the call concludes via the same link on Blue Bird’s website.

About Blue Bird Corporation

Blue Bird (NASDAQ: BLBD) is recognized as a technology leader and innovator of school buses since its founding in 1927. Our dedicated team members design, engineer and manufacture school buses with a singular focus on safety, reliability, and durability. Blue Bird buses carry the most precious cargo in the world – the majority of 25 million children twice a day – making us the most trusted brand in the industry. The company is the proven leader in low- and zero-emission school buses with more than 20,000 propane, natural gas, and electric powered buses in operation today. Blue Bird is transforming the student transportation industry through cleaner energy solutions. For more information on Blue Bird's complete product and service portfolio, visit www.blue-bird.com. For Blue Bird's line of emission-free electric buses, visit www.bluebirdelectricbus.com.

Key Non-GAAP Financial Measures We Use to Evaluate Our Performance

This press release includes the following non-GAAP financial measures “Adjusted EBITDA,” "Adjusted EBITDA Margin," "Adjusted Net Income," "Adjusted Diluted Earnings per Share," “Free Cash Flow” and “Adjusted Free Cash Flow”. Adjusted EBITDA and Free Cash Flow are financial metrics that are utilized by management and the board of directors to determine (a) the annual cash bonus payouts, if any, to be made to certain members of management based upon the terms of the Company’s Management Incentive Plan, and (b) whether the performance criteria have been met for the vesting of certain equity awards granted annually to certain members of management based upon the terms of the Company’s Omnibus Equity Incentive Plan. Additionally, consolidated EBITDA, which is an adjusted EBITDA metric defined by our Amended Credit Agreement that could differ from Adjusted EBITDA discussed above as the adjustments to the calculations are not uniform, is used to determine the Company's ongoing compliance with several financial covenant requirements, including being utilized in the denominator of the calculation of the Total Net Leverage Ratio. Accordingly, management views these non-GAAP financial metrics as key for the above purposes and as a useful way to evaluate the performance of our operations as discussed further below.

Adjusted EBITDA is defined as net income or loss prior to interest income; interest expense including the component of operating lease expense (which is presented as a single operating expense in selling, general and administrative expenses in our GAAP financial statements) that represents interest expense on lease liabilities; income taxes; and depreciation and amortization including the component of operating lease expense (which is presented as a single operating expense in selling, general and administrative expenses in our GAAP financial statements) that represents amortization charges on right-of-use lease assets; as adjusted for certain non-cash charges or credits that we may record on a recurring basis such as stock-compensation expense and unrealized gains or losses on certain derivative financial instruments; net gains or losses on the disposal of assets as well as certain charges such as (i) significant product design changes; (ii) transaction related costs; (iii) discrete expenses related to major cost cutting initiatives; or (iv) costs directly attributed to the COVID-19 pandemic. While certain of the charges that are added back in the Adjusted EBITDA calculation, such as transaction related costs and operational transformation and major product redesign initiatives, represent operating expenses that may be recorded in more than one annual period, the significant project or transaction giving rise to such expenses is not considered to be indicative of the Company’s normal operations. Accordingly, we believe that these, as well as the other credits and charges that comprise the amounts utilized in the determination of Adjusted EBITDA described above, should not be used in evaluating the Company’s ongoing annual operating performance. We define Adjusted EBITDA Margin as Adjusted EBITDA as a percentage of net sales. Adjusted EBITDA and Adjusted EBITDA Margin are not measures of performance defined in accordance with GAAP. The measures are used as a supplement to GAAP results in evaluating certain aspects of our business, as described below.

We believe that Adjusted EBITDA, Adjusted EBITDA margin, Adjusted Net Income, and Adjusted Diluted Earnings per Share are useful to investors in evaluating our performance because the measures consider the performance of our ongoing operations, excluding decisions made with respect to capital investment, financing, and certain other significant initiatives or transactions as outlined in the preceding paragraph. We believe the non-GAAP measures offer additional financial metrics that, when coupled with the GAAP results and the reconciliation to GAAP results, provide a more complete understanding of our results of operations and the factors and trends affecting our business.

Adjusted EBITDA, Adjusted EBITDA margin, Adjusted Net Income and Adjusted Diluted Earnings per Share should not be considered as alternatives to net income or GAAP earnings per share as an indicator of our performance or as alternatives to any other measure prescribed by GAAP as there are limitations to using such non-GAAP measures. Although we believe the non-GAAP measures may enhance an evaluation of our operating performance based on recent revenue generation and product/overhead cost control because they exclude the impact of prior decisions made about capital investment, financing, and other expenses, (i) other companies in Blue Bird’s industry may define Adjusted EBITDA, Adjusted EBITDA margin, Adjusted Net Income, and Adjusted Diluted Earnings per Share differently than we do and, as a result, they may not be comparable to similarly titled measures used by other companies in Blue Bird’s industry, and (ii) Adjusted EBITDA, Adjusted EBITDA margin, Adjusted Net Income, and Adjusted Diluted Earnings per Share exclude certain financial information that some may consider important in evaluating our performance.

We compensate for these limitations by providing disclosure of the differences between Adjusted EBITDA, Adjusted EBITDA margin, Adjusted Net Income, and Adjusted Diluted Earnings per Share and GAAP results, including providing a reconciliation to GAAP results, to enable investors to perform their own analysis of our operating results.

Our measures of “Free Cash Flow” and "Adjusted Free Cash Flow" are used in addition to and in conjunction with results presented in accordance with GAAP and free cash flow and adjusted free cash flow should not be relied upon to the exclusion of GAAP financial measures. Free cash flow and adjusted free cash flow reflect an additional way of viewing our liquidity that, when viewed with our GAAP results, provides a more complete understanding of factors and trends affecting our cash flows. We strongly encourage investors to review our financial statements and publicly-filed reports in their entirety and not to rely on any single financial measure.

We define Free Cash Flow as total cash provided by/used in operating activities as adjusted for net cash paid for the acquisition of fixed assets and intangible assets. We use Free Cash Flow, and ratios based on Free Cash Flow, to conduct and evaluate our business because, although it is similar to cash flow from operations, we believe it is a more conservative measure of cash flow since purchases of fixed assets and intangible assets are a necessary component of ongoing operations.

Forward Looking Statements

This press release includes forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements relate to expectations for future financial performance, business strategies or expectations for our business. Specifically, forward-looking statements include statements in this press release regarding guidance, seasonality, product mix and gross profits and may include statements relating to:

• Inherent limitations of internal controls impacting financial statements
• Growth opportunities
• Future profitability
• Ability to expand market share
• Customer demand for certain products
• Economic conditions (including tariffs) that could affect fuel costs, commodity costs, industry size and financial conditions of our dealers and suppliers
• Labor or other constraints on the Company’s ability to maintain a competitive cost structure
• Volatility in the tax base and other funding sources that support the purchase of buses by our end customers
• Lower or higher than anticipated market acceptance for our products
• Other statements preceded by, followed by or that include the words “estimate,” “plan,” “project,” “forecast,” “intend,” “expect,” “anticipate,” “believe,” “seek,” “target” or similar expressions

These forward-looking statements are based on information available as of the date of this press release, and current expectations, forecasts and assumptions, and involve a number of judgments, risks and uncertainties. Accordingly, forward-looking statements should not be relied upon as representing our views as of any subsequent date, and we do not undertake any obligation to update forward-looking statements to reflect events or circumstances after the date they were made, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws. The factors described above, as well as risk factors described in reports filed with the SEC by us (available at www.sec.gov), could cause our actual results to differ materially from estimates or expectations reflected in such forward-looking statements.

Mark Benfield
Investor Relations
(478) 822-2315
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• Demonstrated innovation and expertise to outpace the oil & gas industry recovery by adding new lines of business through expanded relationships with current customers and also adding new customers
• First quarter revenue rose $1.7 million to $4.1 million over the prior-year period and was up 4.5% sequentially on strong demand and as production capacity improved with staffing efficiencies
• Tool revenue grew 66% over the prior-year period and Contract Services revenue was up 79%
• Achieved net income of $150 thousand and Adjusted EBITDA* of $1.0 million or 24.5% as a percent of revenue
• Strengthened balance sheet: $2.9 million of cash and $6.5 million in shareholders’ equity at quarter-end

*Adjusted EBITDA is a non-GAAP measure. See comments regarding the use of non-GAAP measures and the reconciliation of GAAP to non-GAAP measures in the tables of this release

VERNAL, Utah--(BUSINESS WIRE)--Superior Drilling Products, Inc. (NYSE American: SDPI) (“SDP” or the “Company”), a designer and manufacturer of drilling tool technologies, today reported financial results for the first quarter of 2022 ended March 31, 2022.

“Our team once again has demonstrated our ability to perform exceptionally well. Over the last two years, we have delivered in the face of adversity and now with markets accelerating are expanding capacity, producing efficiently and meeting customer demand. As a result, we had an excellent first quarter that demonstrated the significant leverage inherent in our operations with EBITDA margin expanding 360 basis points to 24.5% over the trailing December quarter on just 4.5% increase in revenue,” commented Troy Meier, Chairman and CEO. “A regularly growing number of operators in North America are realizing the value of our Drill-N-Ream^® wellbore conditioning tool (“DNR”), demand is also increasing for our quality manufacturing and refurbishment services and our markets are consistently improving. We are encouraged with the development of our new associates brought on last year that are now producing at a higher rate, which has also allowed us to take on more contract service work.”

He added, “Our commitment to training and efficiency remain a priority as we make further investments in building out our team with skilled experts. In addition, to support our growth expectations, we recently invested $1.1 million in new machinery that is expected to increase our capacity for both the manufacture and refurbishment of drill bits as well as other contract manufacturing work. We are excited about our future and believe that we can continue to outperform as we advance through 2022 and beyond.”

First Quarter 2022 Review ($ in thousands, except per share amounts) (See at “Definitions” the composition of product/service revenue categories.)

Revenue growth reflects the continued recovery in the North America oil & gas industry, strengthened market share for the DNR and continued strong demand for the manufacture and refurbishment of drill bits and other related tools.

For the first quarter of 2022, North America revenue comprised approximately 90% of total revenue, with remaining sales all within the Middle East. International markets, while showing improvement year-over-year, remain under pressure as pandemic-related restrictions persist and remain an obstacle to travel and labor recruitment. Revenue in North America grew year-over-year from increased tool revenue and strong growth in Contract Services.

First Quarter 2022 Operating Costs

⁽¹⁾ Adjusted EBITDA is a non-GAAP measure defined as earnings before interest, taxes, depreciation, and amortization, non-cash stock compensation expense, and unusual items. See the attached tables for important disclosures regarding SDP’s use of Adjusted EBITDA, as well as a reconciliation of net loss to Adjusted EBITDA.

Higher volume combined with cost discipline, improved processes and operational efficiencies are resulting in enhanced leverage despite continued investments in people and inflationary pressures. Selling, general & administrative expenses were 39.9% of revenue, a measurable improvement from the prior-year period, and were 210 basis points lower sequentially.

Depreciation and amortization expense decreased approximately 40% year-over-year to $411 thousand as a result of fully amortizing a portion of intangible assets and fully depreciating manufacturing center equipment.

Net income for the quarter was $150 thousand, or $0.01 per diluted share, up from a net loss of $1.1 million in the first quarter of 2021. Net income for the sequential fourth quarter was elevated due to the recovery of principal and interest of a related party note receivable during the period.

Adjusted EBITDA increased to $1.0 million, or 24.5% of sales, further demonstrating the strong inherent operating leverage in the business. The Company believes that when used in conjunction with measures prepared in accordance with U.S. generally accepted accounting principles (“GAAP”), Adjusted EBITDA, which is a non-GAAP measure, helps in the understanding of its operating performance.

Balance Sheet and Liquidity

Cash at the end of the quarter was $2.9 million, up slightly from year-end 2021. Cash generated by operations for the quarter was $1.1 million compared with $205 thousand in the year ago period, largely reflecting the improvement in net income. Capital expenditures were $919 thousand in the quarter and included a down payment of $287 thousand to secure a new CNC machine.

Long-term debt, including the current portion, at quarter-end, was $2.3 million, down 5% from December 31, 2021. The final $750 thousand of principal due on the Hard Rock note is payable on October 5, 2022.

Webcast and Conference Call

The Company will host a conference call and live webcast today at 10:00 am MT (12:00 pm ET) to review the results of the quarter and discuss its corporate strategy and outlook. The discussion will be accompanied by a slide presentation that will be made available prior to the conference call on SDP’s website at www.sdpi.com/events. A question-and-answer session will follow the formal presentation.

The conference call can be accessed by calling (201) 689-8470. Alternatively, the webcast can be monitored at www.sdpi.com/events. A telephonic replay will be available from 1:00 p.m. MT (3:00 p.m. ET) the day of the teleconference until Friday, May 20, 2022. To listen to the archived call, please call (412) 317-6671 and enter conference ID number 13729000 or access the webcast replay at www.sdpi.com, where a transcript will be posted once available.

Definitions and Composition of Product/Service Revenue:

Contract Services Revenue is comprised of repair and manufacturing services for drill bits and other tools or products for customers.

Other Related Tool Revenue is comprised of royalties and fleet maintenance fees.

Tool Sales/Rental revenue is comprised of revenue from either the sale or rent of tools to customers.

Tool Revenue is the sum of Other Related Tool Revenue and Tool Sales/Rental revenue.

About Superior Drilling Products, Inc.

Superior Drilling Products, Inc. is an innovative, cutting-edge drilling tool technology company providing cost saving solutions that drive production efficiencies for the oil and natural gas drilling industry. The Company designs, manufactures, repairs and sells drilling tools. SDP drilling solutions include the patented Drill-N-Ream® wellbore conditioning tool and the patented Strider™ oscillation system technology. In addition, SDP is a manufacturer and refurbisher of PDC (polycrystalline diamond compact) drill bits for a leading oil field service company. SDP operates a state-of-the-art drill tool fabrication facility, where it manufactures its solutions for the drilling industry, as well as customers’ custom products. The Company’s strategy for growth is to leverage its expertise in drill tool technology and innovative, precision machining in order to broaden its product offerings and solutions for the oil and gas industry.

Additional information about the Company can be found at: www.sdpi.com.

Safe Harbor Regarding Forward Looking Statements

This news release contains forward-looking statements and information that are subject to a number of risks and uncertainties, many of which are beyond our control. All statements, other than statements of historical fact included in this release, including, without limitations, the continued impact of COVID-19 on the business, the Company’s strategy, future operations, success at developing future tools, the Company’s effectiveness at executing its business strategy and plans, financial position, estimated revenue and losses, projected costs, prospects, plans and objectives of management, and ability to outperform are forward-looking statements. The use of words “could,” “believe,” “anticipate,” “intend,” “estimate,” “expect,” “may,” “continue,” “predict,” “potential,” “project”, “forecast,” “should” or “plan, and similar expressions are intended to identify forward-looking statements, although not all forward -looking statements contain such identifying words. These statements reflect the beliefs and expectations of the Company and are subject to risks and uncertainties that may cause actual results to differ materially. These risks and uncertainties include, among other factors, the duration of the COVID-19 pandemic and related impact on the oil and natural gas industry, the effectiveness of success at expansion in the Middle East, options available for market channels in North America, the deferral of the commercialization of the Strider technology, the success of the Company’s business strategy and prospects for growth; the market success of the Company’s specialized tools, effectiveness of its sales efforts, its cash flow and liquidity; financial projections and actual operating results; the amount, nature and timing of capital expenditures; the availability and terms of capital; competition and government regulations; and general economic conditions. These and other factors could adversely affect the outcome and financial effects of the Company’s plans and described herein. The Company undertakes no obligation to revise or update any forward-looking statements to reflect events or circumstances after the date hereof.

FINANCIAL TABLES FOLLOW.

⁽¹⁾ Adjusted EBITDA represents net income adjusted for income taxes, interest, depreciation and amortization and other items as noted in the reconciliation table. The Company believes Adjusted EBITDA is an important supplemental measure of operating performance and uses it to assess performance and inform operating decisions. However, Adjusted EBITDA is not a GAAP financial measure. The Company’s calculation of Adjusted EBITDA should not be used as a substitute for GAAP measures of performance, including net cash provided by operations, operating income and net income. The Company’s method of calculating Adjusted EBITDA may vary substantially from the methods used by other companies and investors are cautioned not to rely unduly on it.

For more information, contact investor relations:
Deborah K. Pawlowski
Kei Advisors LLC
(716) 843-3908
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HOUSTON--(BUSINESS WIRE)--USD Partners LP (NYSE:USDP) (the “Partnership”) announced today that members of its senior management team will participate at the Energy Infrastructure Council 2022 Investor Conference in West Palm Beach, Florida, on May 16 and May 17, 2022.

The related presentation materials will be made available on the Partnership’s website in advance of the conference at www.usdpartners.com on the “Events & Presentations” sub-tab under the “Investors” tab.

About USD Partners LP

USD Partners LP is a fee-based, growth-oriented master limited partnership formed in 2014 by US Development Group, LLC (“USD”) to acquire, develop and operate midstream infrastructure and complementary logistics solutions for crude oil, biofuels and other energy-related products. The Partnership generates substantially all of its operating cash flows from multi-year, take-or-pay contracts with primarily investment grade customers, including major integrated oil companies, refiners and marketers. The Partnership’s principal assets include a network of crude oil terminals that facilitate the transportation of heavy crude oil from Western Canada to key demand centers across North America. The Partnership’s operations include railcar loading and unloading, storage and blending in on-site tanks, inbound and outbound pipeline connectivity, truck transloading, as well as other related logistics services. In addition, the Partnership provides customers with leased railcars and fleet services to facilitate the transportation of liquid hydrocarbons and biofuels by rail.

USD, which owns the general partner of USD Partners LP, is engaged in designing, developing, owning, and managing large-scale multi-modal logistics centers and energy-related infrastructure across North America. USD’s solutions create flexible market access for customers in significant growth areas and key demand centers, including Western Canada, the U.S. Gulf Coast and Mexico. Among other projects, USD is currently pursuing the development of a premier energy logistics terminal on the Houston Ship Channel with capacity for substantial tank storage, multiple docks (including barge and deepwater), inbound and outbound pipeline connectivity, as well as a rail terminal with unit train capabilities. For additional information, please visit texasdeepwater.com. Information on websites referenced in this release is not part of this release.

Adam Altsuler, 281-291-3995
Executive Vice President, Chief Financial Officer
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Jennifer Waller, 832-991-8383
Senior Director, Financial Reporting & Investor Relations
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• First Quarter Revenue Increased 77% Year-Over-Year to $8.4 million  
• Media (Behavior and Commerce) Revenue Increased 73% Year-over-Year to $6.1 million
• 39% Year-Over-Year Growth in Total Installed Stalls – 2,548 as of March 31, 2022
• Added New Media Brand partners Showtime, Zoom, Bank of the West and T-Mobile to the platform; additional campaigns for PepsiCo, Disney, Aetna, and Sephora

SAN FRANCISCO--(BUSINESS WIRE)--Volta Inc. (NYSE: VLTA, VLTA WS) (“Volta” or the “Company”), an industry-leading electric vehicle (“EV”) charging network powering vehicles and commerce, today announced financial results for its fiscal first quarter ended March 31, 2022.

“We made continued progress against our strategy with total revenue growing 77%, media revenue up 73%, and total installed stalls growing 39% year-over-year,” said Brandt Hastings, Interim CEO, CRO at Volta. “New and expanded partnerships with top retail locations like Tanger Outlets and Six Flags, national advertisers such as T-Mobile and PepsiCo, as well as enhancements to our AI and data-science offerings, position us to further accelerate growth and ownership of the rapidly expanding electric mobility marketplace.”

Recent Key Company Highlights in 2022

New Partnership with Tanger Outlets – Announced a plan to install Volta charging stations at Tanger locations in nine U.S. markets, unlocking two new geographies for Volta. This agreement provides shoppers with access to a mix of DC Fast and AC charging with eye-catching charging stations located near the entrances of Tanger’s premium outlets. Tanger will also leverage Volta’s media network nationally, regionally, and locally as part of its omnichannel marketing partnership strategy.

Six Flags -Expanded relationship with this high-traffic entertainment venue where Volta’s charging and media model resonates. This expansion deal was for an additional five sites and 85 incremental stalls.

Volta Media Network™ Momentum - Added new media partners Showtime, Zoom, Bank of the West, and T-Mobile to the platform and ran additional campaigns for PepsiCo, Disney, Aetna, and Sephora.

Alabama's Electric Vehicle Infrastructure Plan - The State of Alabama leveraged Volta’s PredictEV^Ⓡ software product in its plan to deploy infrastructure intelligently, efficiently, and equitably to boost the economic impact of electric vehicle charging across the state.

Walgreens - Expanded partnership with 1,000 DC fast charging stalls at over 500 Walgreens throughout the U.S. This agreement furthers Volta’s DC fast charging expansion strategy and Walgreens’ support of initiatives that aim to lower emissions and make the planet healthier for communities everywhere.

First Quarter 2022 Financial Highlights

• Revenues increased 77% year-over-year to $8.4 million, compared to $4.7 million in the prior-year period.

Revenue by Category

• Selling, general and administrative expenses excluding stock-based compensation were $39.7 million, compared to $15.3 million in the prior period.
• Net loss was $48.1 million, compared to a loss of $65.2 million in the prior-quarter period.
• Adjusted EBITDA was $41.4 million loss, compared to $15.9 million loss in the prior-year period.
• Cash and marketable securities were $205.4 million as of March 31, 2022.
• Weighted average shares outstanding for the three months ended March 31, 2022 were 172.0 million.

Total Stalls Connected, including Site Partners

Total stalls connected as of March 31, 2022 was 2,548, representing a 39% year-over-year increase. A stall is attributed to a station based on the number of vehicles that can charge concurrently and there are certain configurations of Volta sites where one station is capable of charging more than one vehicle at a time. The Company added 218 stalls in the three months ended March 31, 2022 and now has stalls in 26 states.

Full Year 2022 Outlook

Based on current business conditions, business trends and other factors, for the full year ending December 31, 2022, the Company reiterates guidance of:

• Full year 2022 Revenue in the range of $70 million to $80 million
• Total incremental, connected stalls in the range of 1,700 to 2,000
• Total incremental, connected sites to be in the range of 650 to 750 sites

Second Quarter Outlook

Based on current business conditions, business trends and other factors, for the three months ending June 30, 2022, the Company provides guidance of:

• Second quarter Revenue in the range of $13 million to $14 million

Webcast and Conference Call Information

Company management will host a webcast and conference call on May 13, 2022, at 8:00 a.m. Eastern Time, to discuss the Company’s financial results and business operations updates.

Interested investors and other parties can listen to a webcast of the live conference call and access the Company’s first quarter update presentation by logging onto the Investor Relations section of the Company’s website at https://investors.voltacharging.com/.

The conference call can be accessed live over the phone by dialing +1-844-825-9789 (domestic) or + 1-412-317-5180 (international). A telephonic replay will be available approximately two hours after the call by dialing +1-844-512-2921, or for international callers, +1-412-317-6671. The pin number for the replay is 10166826. The replay will be available until 11:59 p.m. Eastern Time on May 27, 2022.

About Volta Inc.

Volta Inc. (NYSE: VLTA) is an industry-leading electric vehicle (“EV”) charging network powering vehicles and commerce. Volta’s vision is to build EV charging networks that capitalize on and catalyze the shift from combustion-powered miles to electric miles by placing stations where consumers live, work, shop, and play. By leveraging a data-driven understanding of driver behavior to deliver EV charging solutions that fit seamlessly into people’s daily routines, Volta’s goal is to benefit consumers, brands, and real-estate locations while helping to build the infrastructure of the future. As part of Volta’s unique EV charging offering, its stations allow it to enhance its site hosts’ and strategic partners’ core commercial interests, creating a new means for them to benefit from the transformative shift to electric mobility. To learn more, visit www.voltacharging.com.

Non-GAAP Financial Information

This press release contains references to EBITDA and Adjusted EBITDA of Volta, which are adjusted from results based on generally accepted accounting principles in the United States (“GAAP”) and exclude certain expenses, gains and losses. The Company defines and calculates EBITDA as net loss attributable to Volta before the impact of interest income or expense, provision for income taxes, depreciation and amortization. The Company defines and calculates Adjusted EBITDA as EBITDA adjusted to exclude stock-based compensation expense and warrant valuation.

These non-GAAP financial measures are provided to enhance the user’s understanding of our prospects for the future and the historical performance for the context of the investor. The Company’s management team uses these non-GAAP financial measures in assessing performance, as well as in planning and forecasting future periods. These non-GAAP financial measures are not computed according to GAAP and the methods the Company uses to compute them may differ from the methods used by other companies. Non-GAAP financial measures are supplemental, should not be considered a substitute for financial information presented in accordance with GAAP and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP.

Refer to the attached financial supplement for a reconciliation of these non-GAAP financial measures to their most directly comparable GAAP measures for the three months ended March 31, 2022 and March 31, 2021.

Total Stalls Installed

Volta management considers “Total Stalls” as the total size of its installed charging network at the end of the period, including Volta-owned and network partner-owned charging stations operated by Volta. Volta’s management uses Total Stalls Installed for internal network planning and forecasting purposes, including evaluating the potential Behavior and Commerce revenue generating capacity of its charging network, which is generated through delivery of content by Volta’s partners across both Volta-owned and its network partner-owned charging stalls. In addition, Total Stalls Installed provides the basis for Volta’s assessment of its charging network operations as well. Volta believes that this performance measure provides meaningful, supplemental information regarding the Volta charging network that helps illustrate trends in its business and operating performance. Volta believes that this performance measure is helpful to its investors as it is used by management in assessing the growth of the Volta charging network.

Forward-Looking Statements

This press release includes forward-looking statements, which are subject to the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These statements may be identified by words such as “anticipates,” “feels,” “believes,” expects,” “estimates,” “projects,” “intends,” “should,” “is to be,” or the negative of such terms, or other comparable terminology and include, among other things, statements regarding Volta’s strategy and other future events that involve risks and uncertainties. Such forward-looking statements are not guarantees of future performance and are subject to risks and uncertainties, which could cause actual results to differ materially from the forward-looking statements contained herein due to many factors, including, but not limited to: intense competition faced by Volta in the EV charging market and in its content activities; the possibility that Volta is not able to build on and develop strong relationships with real estate and retail partners to build out its charging network and content partners to expand its content sales activities; market conditions, including seasonality, that may impact the demand for EVs and EV charging stations or content on Volta’s digital displays; risks, cost overruns and delays associated with construction and installation of Volta’s charging stations; risks associated with any future expansion by Volta into additional international markets; cost increases, delays or new or increased taxation or other restrictions on the availability or cost of electricity; rapid technological change in the EV industry may require Volta to continue to develop new products and product innovations, which it may not be able to do successfully or without significant cost; the impact of competing technologies that could reduce the demand for EVs; the risk that Volta’s shift to including a pay-for-use charging business model and the requirement of mobile check-ins adversely impacts Volta’s ability to retain driver interest, content partners and site hosts; the EV market may not continue to grow as expected; the risk that Volta may fail to effectively build scalable and robust processes to manage the growth of its business and to expand its geographic footprint; the ability to protect its intellectual property rights; and those factors discussed in Volta’s Annual Report on Form 10-K for the year ended December 31, 2021 under the heading “Risk Factors,” filed with the Securities and Exchange Commission (the “SEC”), as supplemented by other reports and documents Volta files from time to time with the SEC. Any forward-looking statements speak only as of the date on which they are made, and Volta undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date of this press release.

For Investor/Analyst:
Katherine Bailon, VP of Investor Relations
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For Media/Press:
Jette Speights, VP of Communications
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HOUSTON--(BUSINESS WIRE)--WM (NYSE: WM) announced today that it will redeem the entire outstanding principal amount of its 2.90% Senior Notes due 2022 (the “Notes”). The redemption date for the Notes is June 15, 2022 (the “Redemption Date”). The aggregate principal amount of the Notes outstanding is $500 million. The redemption price for the Notes is equal to 100% of the aggregate principal amount of the Notes, plus accrued and unpaid interest on the Notes to the Redemption Date.

Notices of redemption are being sent to all currently registered holders of the Notes. For more information, holders of the Notes may call The Bank of New York Mellon Trust Company, N.A., the trustee for the Notes, at 1-800-254-2826. This press release is not an offer to sell or a solicitation of an offer to buy any securities.

ABOUT WM
WM (WM.com) is North America’s largest comprehensive waste management environmental solutions provider. Previously known as Waste Management and based in Houston, Texas, WM is driven by commitments to put people first and achieve success with integrity. The company, through its subsidiaries, provides collection, recycling and disposal services to millions of residential, commercial, industrial and municipal customers throughout the U.S. and Canada. With innovative infrastructure and capabilities in recycling, organics and renewable energy, WM provides environmental solutions to and collaborates with its customers in helping them achieve their sustainability goals. WM has the largest disposal network and collection fleet in North America, is the largest recycler of post-consumer materials and is the leader in beneficial reuse of landfill gas, with a growing network of renewable natural gas plants and the most gas-to-electricity plants in North America. WM’s fleet includes nearly 11,000 natural gas trucks – the largest heavy-duty natural gas truck fleet of its kind in North America – where more than half are fueled by renewable natural gas. To learn more about WM and the company’s sustainability progress and solutions, visit Sustainability.WM.com.

FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements that involve risks and uncertainties. Factors that could cause actual results to differ materially from those expressed or implied by the forward-looking statements in this press release are discussed in WM’s most recent Annual Report on Form 10-K and subsequent reports on Form 10-Q.

Analysts
Ed Egl
713.265.1656
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Media
Toni Werner
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All economic and financial indicators grew:

• Consolidated turnover of €440.9 million (+25.1%);
• EBITDA of €70.9 million (€59.6 million in 2021);
• EBIT of € 57.7 million (€47.9 million in 2021);
• Profit before tax amounts to € 59.4million (€47.6 million in 2021).

TURIN, Italy--(BUSINESS WIRE)--Today, the Board of Directors of Reply S.p.A. [EXM, STAR: REY] approved the results as at 31 March 2022.

Since the beginning of the year, the Group has recorded a consolidated turnover amounting to €440.9 million, an increase of 25.1% compared to the corresponding data for 2021.

All indicators are positive for the period. In the first quarter of 2022 the consolidated EBITDA was €70.9 million compared to €59.6 million in 2021, equal to 16.1% of the turnover.

EBIT, from January to March, was €57.7 million (€47.9 million in 2021), and is equal to 13.1% of the turnover.

The profit before tax, from January to March, was €59.4 million (€47.6 million in 2021), equal to 13.5% of the turnover.

The net financial position of the Group on 31 March 2022 is also positive by 279.7 million. The net financial position on 31 December 2021 was positive for €193.2 million.

The comparison with the figures recorded at the end of March 2020 is even sharper. Over the past 24 months, first-quarter turnover increased by 39.1%, EBITDA by 48.8%, period EBIT by 51.6% and pre-tax profit by 74.9%. Finally, the net financial position generated a positive balance of EUR 120.4 million.

“The first quarter of 2022 - stated Mario Rizzante, Reply's Chairman - was very positive, both in terms of revenue growth and margin. These results were achieved thanks to our exclusive focus on new technological niches and the high efficiency of our network model. The combination of these two factors has allowed us to continue to grow, despite the significant uncertainty of recent months."

"Today, - continues Mario Rizzante - the tail end of the pandemic, together with the dramatic events in Ukraine, are heavily influencing economic trends, defining a market dynamic that will depend mainly on how the crisis on Europe's eastern borders evolves."

Mario Rizzante concludes: "For the time being, the future, therefore, remains uncertain. In any case, the process of transformation towards a new digital economy, which began in 2020, cannot be stopped and opens up opportunities for growth and development for companies like ours. High-speed communication software infrastructures, e-commerce, new immersive digital experiences and a strong acceleration towards automation and green tech represent the key elements of the economy of the coming years."

The manager responsible for preparing the company's financial reports, Giuseppe Veneziano, states in accordance with Paragraph 2 of Article 154-bis of the Consolidated Finance Act, that the accounting information contained in this press release corresponds to the company's records, ledgers and accounting entries.

Reply
Reply [EXM, STAR: REY, ISIN: IT0005282865] specialises in the design and implementation of solutions based on new communication channels and digital media. Reply is a network of highly specialised companies supporting key European industrial groups operating in the telecom and media, industry and services, banking, insurance and public administration sectors in the definition and development of business models enabled for the new paradigms of AI, cloud computing, digital media and the Internet of Things. Reply services include: Consulting, System Integration and Digital Services www.reply.com

This press release is a translation, the Italian version will prevail.

Media Contacts
Reply
Fabio Zappelli
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IR Contacts
Reply
Riccardo Lodigiani
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Michael Lueckenkoetter
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Tel. +49524150091017

Third Quarter 2022 Revenue Increased 89% to $13.2 Million Representing 15th Consecutive Quarter of Year-Over-Year Revenue Growth

Received $20.5 Million in New Purchase Orders During Third Quarter with Customer Order Backlog at Record $38.6 Million

Strategic Initiatives Drive Increased Backlog Conversion, Higher Inventory Turns & Improved Gross Margins Resulting in Progress to Profitability

Management to Host Conference Call Today at 4:30 p.m. Eastern Time

VISTA, Calif.--(BUSINESS WIRE)--Flux Power Holdings, Inc. (NASDAQ: FLUX), a developer of advanced lithium-ion energy storage solutions for electrification of commercial and industrial equipment, has reported its financial and operational results for the fiscal third quarter ended March 31, 2022.

Key Financial & Operational Highlights for the Third Quarter Fiscal Year 2022

• Revenue increased 89% to $13.2 million in Q3’22 compared to Q3’21 revenue of $7.0 million.
• Achieved 15th consecutive quarter of year-over-year revenue growth.
• Received $20.5 million in customer purchase orders for deliveries in coming months from both existing and new customers.
• Customer order backlog increased to $38.6 million as of March 31, 2022.
• Introduced three new products in March 2022 at MODEX material handling trade show:
  • L36 lithium-ion battery pack, a 36-volt option for 3-wheel forklifts;
  • C48 lithium-ion battery pack for Automated Guided Vehicles (AGV) and Autonomous Mobile Robots (AMR); and
  • S24 lithium-ion battery pack providing twice the capacity (210Ah) for Walkie Pallet Jacks for heavy duty applications
• Appointed Cheemin Bo-Linn, a global technology industry veteran, to the Board of Directors as an independent director, as a member of the Audit Committee, Compensation Committee, and as Chair of the Nominating and Governance Committee. Ms. Bo-Linn’s appointment as an independent director increases the total number of board members to five, with three independent directors.
• Implementing Strategic Supply Chain & Profitability Improvement Initiatives to accelerate the path to cash flow breakeven, including:
  • Identifying more competitive carriers to reduce shipping costs;
  • Utilizing lower cost steel suppliers that meet required specifications;
  • Improving manufacturing capacity and production processes (including implementing Lean Manufacturing) to increase throughput, reduce the time to fulfill customer orders and improve gross margins;
  • Increasing inventory turns from 2.0x to 2.5x during the quarter;
  • Introducing new product designs to lower costs, simplify part count and cost, and improve serviceability;
  • Expanded customer base, particularly among Fortune 500 companies.

CEO Commentary

“The third quarter of fiscal year 2022 produced a record revenue of $13.2 million for the Company, continuing our 15th consecutive quarter of year-over-year revenue growth,” said Ron Dutt, Chief Executive Officer of Flux Power.

“Ongoing customer demand produced $20.5 million in purchase orders received from new and existing customers. We are highly focused on the timely shipment of our record backlog of $38.6 million as of March 31, 2022, which has been helped by improvement in sourcing actions to mitigate part shortages and to increase confidence in future supplier performance. Beyond our current backlog, we received a non-binding multi-year LOI (letter of intent) in the third quarter from one of our Fortune 100 customers; they want to preserve build slots as part on their ongoing fleet conversion to lithium.

“During the third quarter, we introduced new product designs to respond to customer requests. Some of the improvements included higher capacities for extra-long and demanding shifts, easier servicing, lower total cost of ownership, and other features to solve a variety of existing performance challenges of customer operations. We continue to introduce new product designs for margin enhancement, part commonality and improved serviceability.

“With ongoing global supply chain disruptions, we have been improving production process improvements and better supply chain management. We are now working to leverage increased pack volumes to re-source steel and board components to low cost regions and to high volume local suppliers; and also identify more competitive carriers to reduce shipping costs. We plan to ship backlog and reduce inventory levels; as of the end of the third quarter, inventory levels had not yet decreased materially, but we anticipate reductions in the current quarter as we get traction on our plan.

“Looking ahead, we continue to focus on expanding sales of our energy storage solutions to new and existing customers who want the benefits of lithium-ion technology. We continue to see customer interest in our SkyBMS Telematics product for remote fleet management and monitoring.

“Combined with our strong purchase orders, record backlog and improving margins, we believe our growth trajectory in 2022 is on track for another record revenue year despite supply chain disruptions. I look forward to providing additional updates in the months to come,” stated Dutt.

Third Quarter Fiscal Year 2022 Financial Results

• Revenue for the fiscal third quarter of 2022 increased by 89% to $13.2 million compared to $7.0 million in the fiscal third quarter of 2021, driven by increased sales volumes and models with higher selling prices.
• Gross profit for the fiscal third quarter of 2022 increased to $1.9 million compared to a gross profit of $1.7 million in the fiscal third quarter of 2021. Gross margin was 14.6% in the fiscal third quarter of 2022 as compared to 24.1% in the fiscal third quarter of 2021, impacted by higher costs for steel, electronic parts, and common off the shelf parts during the quarter, not yet offset by pricing increases which were implemented after commitment to quotes and orders.
• Selling & Administrative expenses increased to $3.9 million in the fiscal third quarter of 2022 from $3.1 million in the fiscal third quarter of 2021, reflecting increases in outbound shipping costs, personnel expenses related to new hires and temporary labor, and an increase in insurance premiums.
• Research & Development expenses increased to $1.7 million in the fiscal third quarter of 2022, compared to $1.5 million in the fiscal third quarter of 2021, primarily due to expenses related to development of new models and UL certifications.
• Net loss for the fiscal third quarter of 2022 increased to $3.7 million from a net loss of $1.7 million in the fiscal third quarter of 2021, principally reflecting increased operating expenses, partially offset by an increase in gross profit.
• Cash was $3.8 million at March 31, 2022, as compared to $4.7 million at June 30, 2021. Our working capital line of credit outstanding balance was $3.5 million at March 31, 2022. Cash requirements during the quarter were higher due to the pre-purchase of inventory to support increasing sales orders.

Financial Management Commentary

“Customer demand was strong during the fiscal third quarter, reflected in our record revenue which increased by $5.5 million from the second fiscal quarter. Our strategic supply chain and profitability improvement initiatives, including an expanded second shift and implementing lean manufacturing processes, have resulted in greater throughput with inventory turns improving from 2.0x to 2.5x as we monetize our backlog, while keeping inventory levels relatively flat.

“We are implementing these initiatives to reduce our cash burn and improve gross margins, all serving to offset any continuation in supply chain disruption. An additional positive development includes a $4 million signed commitment on our $5 million credit facility agreement of May 11, 2022. We believe these developments are instrumental in achieving our near-term goal of profitability.” concluded Dutt.

Third Quarter Fiscal Year 2022 Results Conference Call

Flux Power CEO Ron Dutt and CFO Chuck Scheiwe will host the conference call, followed by a question-and-answer session. 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:

Please call the conference telephone number 5-10 minutes prior to the start time. An operator will register your name and organization. If you have any difficulty connecting with the conference call, please contact MZ Group at 1-949-491-8235.

The conference call will be broadcast live and available for replay at https://viavid.webcasts.com/starthere.jsp?ei=1542868&tp_key=96dad790ed and via the investor relations section of the Company's website here.

A replay of the webcast will be available after 7:30 p.m. Eastern Time on May 12, 2022, through August 12, 2022.

About Flux Power Holdings, Inc.

Flux Power (NASDAQ: FLUX) designs, manufactures, and sells advanced lithium-ion energy storage solutions for electrification of a range of industrial and commercial sectors including material handling, airport ground support equipment (GSE), and stationary energy storage. Flux Power’s lithium-ion battery packs, including the proprietary battery management system (BMS) and telemetry, provide customers with a better performing, lower cost of ownership, and more environmentally friendly alternative, in many instances, to traditional lead acid and propane-based solutions. Lithium-ion battery packs reduce CO2 emissions and help improve sustainability and ESG metrics for fleets. For more information, please visit www.fluxpower.com.

Forward-Looking Statements

This release contains projections and other "forward-looking statements" relating to Flux Power’s business, that are often identified using "believes," "expects" or similar expressions. Forward-looking statements involve several estimates, assumptions, risks, and other uncertainties that may cause actual results to be materially different from those anticipated, believed, estimated, expected, etc. Such forward-looking statements include impact of COVID-19 on Flux Power’s business, results and financial condition; Flux Power’s ability to obtain raw materials and other supplies for its products at competitive prices and on a timely basis, particularly in light of the potential impact of the COVID-19 pandemic on its suppliers and supply chain; the development and success of new products, projected sales, deferral of shipments, Flux Power’s ability to fulfill backlog orders or realize profit from the contracts reflected in backlog sale; Flux Power’s ability to fulfill backlog orders due to changes in orders reflected in backlog sales, Flux Power’s ability to obtain the necessary funds under the credit facilities, Flux Power’s ability to timely obtain UL Listing for its products, Flux Power’s ability to fund its operations, distribution partnerships and business opportunities and the uncertainties of customer acceptance and purchase of current and new products, and Flux Power’s ability to negotiate and enter into a definitive agreement in connection with the Letter of Intent. Actual results could differ from those projected due to numerous factors and uncertainties. Although Flux Power believes that the expectations, opinions, projections, and comments reflected in these forward-looking statements are reasonable, they can give no assurance that such statements will prove to be correct, and that the Flux Power’s actual results of ‎operations, financial condition and performance will not differ materially from the ‎results of operations, financial condition and performance reflected or implied by these forward-‎looking statements. Undue reliance should not be placed on the forward-looking statements and Investors should refer to the risk factors outlined in our Form 10-K, 10-Q and other reports filed with the SEC and available at www.sec.gov/edgar. These forward-looking statements are made as of the date of this news release, and Flux Power assumes no obligation to update these statements or the reasons why actual results could differ from those projected.

Flux, Flux Power, and associated logos are trademarks of Flux Power Holdings, Inc. All other third-party brands, products, trademarks, or registered marks are the property of and used to identify the products or services of their respective owners.

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