Back to top

Image: Bigstock

ChargePoint Holdings (CHPT) Earnings Meet Estimates in Q3

Read MoreHide Full Article

ChargePoint Holdings Inc. (CHPT - Free Report) reported third-quarter fiscal 2022 non-GAAP earnings of 14 cents per share, in line with Zacks Consensus Estimate. The company had reported earnings of $2.18 in the year-ago quarter.

ChargePoint reported revenues of $65 million, up 79% year over year and beat the consensus mark by 2.88%.

Quarter Details

ChargePoint’s subscription revenues witnessed a 24.3% year-over-year increase, reaching $13.4 million in the reported quarter. Subscription revenues contributed 20.6% to revenues.

Networked charging systems revenues contributed 73.1% to total revenues. The figure was $47.5 million, up 42% year over year.
 

ChargePoint Holdings, Inc. Price, Consensus and EPS Surprise

 

ChargePoint Holdings, Inc. Price, Consensus and EPS Surprise

ChargePoint Holdings, Inc. price-consensus-eps-surprise-chart | ChargePoint Holdings, Inc. Quote

 

In the reported quarter, ChargePoint completed the acquisition of has.to.be, an e-mobility provider with a leading European charging software platform. The buyout of ViriCiti (August 2021) — an Amsterdam-based electric fleet manager —  along with has.to.be, has strengthened ChargePoint’s position in Europe’s charging ecosystem.

Non-GAAP gross profit margin expanded 680 basis points (bps) year over year to 26.7% compared with 19.9% in the year-ago quarter.

Research & development expenses, as a percentage of revenues, declined 330 bps on a year-over-year basis to 47.5%. General & administrative expenses, as a percentage of revenues, were 16.6%, down 660 bps year over year. Sales and marketing expenses, as a percentage of revenues, reached 32.3% on a year-over-year basis.

Total operating expenses, as a percentage of revenues, were 96.4%, down from 106.9% reported in the year-ago quarter.

Operating loss was $47 million in the reported quarter compared with an operating loss of $32.6 million in the year-ago quarter.

Balance Sheet

As of Oct 31, 2021, ChargePoint had cash, cash equivalents and restricted cash of $365.89 million.

Guidance

For fourth-quarter fiscal 2022, ChargePoint expects revenues in the range of $73-$78 million.

For fiscal 2022, ChargePoint expects total revenues in the range of $235-$240 million.

Zacks Rank & Stocks to Consider

Chargepoint currently has a Zacks Rank #3 (Hold).

CHPT is down 37.8% compared with the Zacks Auto Truck Original Equipment Market’s decline of 45.7%.

Some better-ranked stocks in the Auto-Tires-Trucks sector are Harley Davidson (HOG - Free Report) , Tesla (TSLA - Free Report) and The Shyft Group (SHYF - Free Report) .

Currently, Harley Davidson sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here. The long-term earnings growth rate is pegged at 46.41%.

Harley Davidson’s shares have returned 4.5% year to date compared with the Zacks Automotive-Domestic Industry’s growth of 24.4% and the Auto-Tires-Trucks sector’s growth of 7.5%.

The long-term earnings growth rate for Tesla, a Zacks Rank #1 stock, is currently pegged at 37.5%.

TSLA has returned 49.1% year to date compared with the Automotive-Domestic industry’s growth of 24.4% and the Auto-Tires-Trucks sector’s return of 7.5%.

The Shyft Group, carrying a Zacks Rank #2 (Buy), has a long-term earnings growth rate of 28.0%.

SHYF has soared 74.1% against the Zacks Automotive- Original Equipment industry’s decline of 37.8% and Auto-Tires-Trucks sector’s return of 7.5% year to date.