Sep 23, 2026 earnings call — Pendergrass factory opening and SK On collaboration
NeoVolta opened its Pendergrass factory and signed a five-year SK On agreement to supply 9 gigawatt-hours of U.S.-manufactured LFP cells.
Revenue $0.0B (est $0.0B) · EPS $-0.24 (est $-0.09)
Key quotes
"Following last week's grand opening event, the NeoVolta Power facility in Pendergrass is officially open."
"The collaboration includes a signed five-year agreement for SK On to supply 9 gigawatt-hours of U.S.-manufactured LFP battery cells to NeoVolta Power from 2027 to 2031."
"On the demand side, we have approximately 1.1 gigawatt hours of early demand visibility through a non-binding letter of intent with Infinite Grid Capital, representing approximately $200 million of potential deployments. Approximately $53 million has now been secured in a binding capacity reservation agreement."
Analyst Q&A 5
liquidity, shelf filing and SK On
Q (Sean Milligan · Needham): He asked about the $200 million shelf filing, year-end liquidity, the debt raise, and whether they might use equity now or other options. He also asked what the SK On agreements say about NeoVolta's ability to make packs and whether that draws other customers, plus timing for the 9 gigawatt purchase agreement.
A: They said the S-3 was an administrative filing not intended for immediate use because the current S-3 balance was getting low, and the new filing gives flexibility to use equity over a few years. They said recent financing through RoHo gives working capital for a period and customer POs are coming. On SK On, they said SK recognizes NeoVolta's pack capability and they expect to finish technical work and the agreement in the next coming weeks, in 6 to 8 weeks.
"It's not intended to be used right away because our current S-3 is running out of balance, is getting pretty low." — Jing Nealis (CFO)
sales pipeline and second line timing
Q (Robert Brown · Lake Street): He asked how to characterize the sales pipeline and what steps and dependencies are needed to convert opportunities into purchase orders. He also asked when they would order and install equipment for the second line and how that line would ramp toward 2028 deliveries.
A: They said the pipeline is very robust and is starting to convert now, citing an Infinite Grid Capital reservation for the first 300 megawatt-hours tied to financial commitment and that delivery will be in 2027. Qualification and QA/QC could take a few weeks and maybe a month or 2, and they expect to start receiving orders between now and the end of this year. For the second line, they plan to move into it at the beginning of next fiscal year and expect to start producing from it in the middle of next calendar year, with both pack lines producing by the second half of next calendar year.
"We have a very robust pipeline and we are starting to move those things into conversion now." — Henry Johnson (CEO)
second line shifts and commercial product timing
Q (Edward Jackson · Northland): He asked whether the second line will be up in the second half of calendar 2027 and how shifts will be run across lines. He also asked when the commercial product from Pendergrass will be available and how important Luminia is as a channel.
A: They said the pack front end gives flexibility and they do not expect an immediate doubling of final BESS output; their typical plan is 2, then 2 shifts to get to 4, then a second line to get to 6 and 2 shifts to get to 8, enabling quicker ramp as demand requires. The commercial product is expected in the second quarter of next calendar year; they are moving from a 233-kilowatt-hour to a 313-kilowatt-hour solution, certification work starts in November and could take 2 to 3 months, with first deliveries in February, March, April next year. They said Luminia is a strategic partner with a nonbinding LOI that brings a pipeline and development capability and will help pull through C&I and programmatic opportunities, especially in California.
"Yes, we're looking towards second quarter of next calendar year." — Henry Johnson (CEO)
cash plan, line 2 cost, and residential market
Q (Steve Ferazani · Sidoti & Company): He asked how they plan to manage cash burn before purchase orders, whether they can secure prepayments, and how financing affects starting the second line. He also asked whether the residential business is a distraction and how important that market is.
A: They said the term loan gives time to hit milestones like signing the SK On pack deal and converting pipeline to POs, they are working on an ABL facility for working capital, expect customer prepayments and reservation fees (as with the IGC reservation), and will evaluate equity based on cost and certainty. The line equipment CapEx is $15 million and total facility CapEx was $20 million; they expect the second line cost to be below that and the CapEx for line 2 was always in the plan but must be funded. On residential, they said the market has suffered but NVWave is done and they are starting to ship, the TPO platform is launched, and they remain committed because they believe compliant domestic-content products and the TPO model are valuable.
"The line itself is $15 million for the equipment." — Jing Nealis (CFO)
what worked on line 1 and container supply
Q (Sean Milligan · Needham & Company): He asked whether anything on line 1 worked better than expected and about visibility into container supply and the supplier's ability to ramp with them.
A: They said setup went a lot smoother than expected and the team is very experienced, which helped the factory come together well and let customers see differentiations on the line. On containers they are talking to several suppliers, can do full skid build-outs or manufacture some elements in their own factory, and vendors are moving from project-based work to productized, repeatable builds. They also said having SK cells increases domestic content percentage, which gives more flexibility on other suppliers, and they will keep a hardened QA/QC process.
"Like I said, the team that we have is a very experienced team." — Henry Johnson (CEO)