Chargepoint Holdings Inc. (CHPT) crumbled nearly 25% in pre-market Friday after lowering guidance and announcing a new CEO.
Chargepoint said it now sees third-quarter revenue of $108 to $113 million, well below the $150 to $165 million it previously expected.
The company also named Rick Wilmer as its new President and Chief Executive Officer, effective today. Wilmer succeeds Pasquale Romano, who has served as ChargePoint’s CEO since 2011.
“Our core markets of North America and Europe both came under pressure late in the third quarter, with revenue falling far short of expectations. Overall macroeconomic conditions, along with fleet and commercial vehicle delivery delays impacted anticipated deployments with government, auto dealership and workplace customers,” said Wilmer.
Chargepoint shares were down 67% year-to-date ahead of tonight's news as EV makers have been moving to Tesla (NASDAQ:TSLA)'s North American Charging Standard (NACS).
Analysts at Roth MKM downgraded the stock to Neutral as pre-announcement shows "material deterioration."
"We believe the recent capital raise is insufficient to support mgmt's planned path to profitability; so expect another material $50m+ restructuring incremental to the planned $30m in cost savings announced on the F2Q24 call. We could look to turn constructive on an improved growth trajectory with longer-term profit visibility," the analysts wrote.