Hyliion (HYLN) 2024 Annual Gateway Conference summary

Strategic focus and technology shift

• Transitioned from electric semi-truck powertrains to distributed power generation using the KARNO generator about nine months ago.

• KARNO generator technology was acquired from GE, with a focus now on stationary and distributed power applications.

• The company is well-funded, with nearly $250 million in cash and a headquarters in Austin, Texas.

• Mission centers on delivering fuel-flexible, innovative power generation solutions.

• The technology leverages additive manufacturing for efficiency and scalability.

Product features and advantages

• KARNO generator achieves about 50% electrical efficiency, rivaling or surpassing many power plants.

• Fuel-agnostic design allows operation on over 20 fuels, including natural gas, hydrogen, ammonia, and waste gases.

• Ultra-low emissions, with NOx and CO levels 98%-99% lower than conventional engines; can be zero-carbon with hydrogen or ammonia.

• Modular 200-kilowatt units can be stacked for larger applications, such as 2-megawatt solutions for data centers.

• Minimal maintenance required, with long lifespans and low noise levels comparable to air conditioning units.

Market applications and customer value

• Target markets include EV charging, data centers, waste gas utilization, prime power for facilities, and marine/mobility applications.

• Addresses grid constraints and long utility interconnect timelines, enabling rapid deployment of local power.

• Customers can achieve lower electricity costs compared to grid rates, with typical payback periods around three years.

• Over half of next year's planned capacity already has customer LOIs.

• Service and maintenance will be handled by a small internal team initially, with plans to partner with third-party service providers.