Beam Global (BEEM) Q2 2025 earnings summary

Executive summary

• Q2 2025 revenue was $7.1 million, up 12% sequentially, with 60% from commercial and 37% from international customers year-to-date; backlog at quarter-end was $7 million.

• Gross margin improved to 20–20.3% GAAP (up 4–4.4 pts YoY), or 30% adjusted, driven by price increases and cost reductions.

• Operating expenses declined 17% YoY to $5.9 million, and net loss narrowed to $4.3 million GAAP, or $1.4 million non-GAAP.

• Expanded global footprint with a joint venture in the Middle East, new partnerships in Europe and Australia, and lean manufacturing initiatives.

• Recorded a $10.8–$11 million non-cash goodwill impairment in 2025 due to stock price decline, not operational performance.

Financial highlights

• Q2 2025 revenue was $7.1 million, a 52% decrease YoY; six-month revenue was $13.4 million, down 54% YoY.

• Gross profit for Q2 was $1.4 million (20–20.3% margin); six-month gross profit was $1.9 million (14.4% margin), or 25.3% adjusted.

• Operating expenses reduced by $1.2 million YoY; net loss for Q2 was $4.3 million GAAP, $1.4 million adjusted; six-month net loss was $19.8 million.

• Cash balance at June 30, 2025 was $3.4 million, up from $2.5 million at March 31, but down from $4.6 million at year-end 2024.

• Working capital was $9.8 million; accounts receivable $6.1 million; inventory $11.3 million.

Outlook and guidance

• Management expects continued revenue growth and further gross margin improvement as fixed overhead absorption increases and new products reach broader markets.

• Expansion into the Middle East and Africa is expected to drive future sales, with European operations supporting regional demand until local facilities are justified.

• $2.5 million in defense contracts for ESS business to be recognized as revenue by year-end 2025.

• Profitability is targeted as revenues grow and overhead is leveraged, but continued losses are anticipated in the near term.