Gogoro (GGR) Q2 2024 earnings summary

Executive summary

• Q2 2024 revenue was $80.9M, down 7.2% year-over-year, with battery swapping service revenue up 4% to $34.7M and hardware sales down 14.1%.

• Net loss widened to $20.1M from $5.6M last year; adjusted EBITDA was $11.6M.

• Announced $100M in investments, including $50M from Gold Sino and up to $50M from Castrol, to support growth and international expansion.

• Entered MOU with Sumitomo and SMFL for asset-light international expansion and new business models leveraging battery assets.

• International expansion advanced in India, South Korea, Colombia, Singapore, and the Philippines, with new partnerships, pilot programs, and regulatory progress.

Financial highlights

• Q2 2024 revenue was $80.9M, down 7.2% year-over-year; constant currency revenue was $85.2M.

• Gross margin was 5.2%, down from 15.2% last year; non-IFRS gross margin was 13.0%, down from 16%.

• Net loss was $20.1M, up from $5.6M last year; non-IFRS net loss was $14.1M.

• Adjusted EBITDA was $11.6M, down from $12.9M last year.

• Cash and cash equivalents at quarter-end were $196.9M, up from $173.9M at year-end 2023.

Outlook and guidance

• Full-year 2024 revenue guidance lowered to $320M–$345M, with over 95% expected from Taiwan.

• Taiwan's two-wheeler market expected to decline 3.5%–7% year-over-year, ending at 810,000–840,000 units.

• Most India revenue now expected in 2025 due to subsidy policy delays; international markets to contribute more in future years.

• Gross margin expected to remain flat or improve slightly in the second half, with ongoing battery upgrade costs.

• Backlog orders for Pulse and JEGO expected to be delivered and recognized as revenue in Q3 2024.