Hyliion (HYLN) Sidoti Small-Cap Virtual Conference summary

Market opportunity and industry trends

• Growing demand for distributed power generation due to grid constraints and surging electricity needs from EV charging and data centers.

• Data center electricity consumption projected to rise from 6 GW to 40 GW by 2030 for a single provider, outpacing major cities.

• 60% of U.S. transmission lines are at or past life expectancy, driving need for on-site power solutions.

• Modular power plants target EV charging, data centers, commercial buildings, waste gas sites, and marine applications.

• U.S. military contract awarded for autonomous vessel power, highlighting marine sector potential.

Technology and product features

• KARNO generator uses a four-shaft linear generator powered by heat, enabling fuel-agnostic operation with over 20 fuel types.

• Achieves up to 50% fuel-to-electric efficiency, surpassing U.S. grid average of 36%.

• Low maintenance design with air bearings and no lubricants, plus low noise comparable to air conditioning systems.

• Highly power-dense: 2 MW system fits in a 20-foot container, much smaller than conventional generators.

• 3D printing of key components enables compact design and scalable production.

Competitive landscape and economics

• KARNO generator is more expensive than conventional generators but less than fuel cells, with pricing between $1,500–$3,000 per kW.

• Customers prioritize long-term ROI and operational savings over upfront costs.

• Lower expected maintenance and high efficiency drive positive economics compared to grid and conventional engines.