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BLINK CHARGING ANNOUNCES FOURTH QUARTER AND FULL YEAR 2020 RESULTS

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In this article:
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  • Fourth Quarter Revenue Grew 250%; Full Year 2020 Revenue Grew 121%

  • 1,136 Commercial and Residential EV Charging Stations were Contracted, Sold, Deployed, or Acquired During Fourth Quarter 2020

  • $221.5 Million Capital Raise in January 2021 Provides Significant Resources To Drive Long-Term Growth Plan

Miami Beach, FL, March 25, 2021 (GLOBE NEWSWIRE) -- Blink Charging Co. (Nasdaq: BLNK, BLNKW) (“Blink” or the “Company”), a leading owner, operator, and provider of electric vehicle (EV) charging equipment and services, today announced financial results for the fourth quarter and year ended December 31, 2020.

Selected Fourth Quarter 2020 Highlights:

  • The Company made continued progress with its owner/operator strategy; the number of commercial Blink-owned charging stations contracted or deployed during the quarter grew by 51% in the fourth quarter compared to the prior year period.

  • Total revenue for the fourth quarter 2020 increased 250% to $2.5 million compared to $0.7 million for the fourth quarter 2019.

    • Revenues from product sales increased significantly to $1.8 million compared to $0.2 million in the fourth quarter of 2019, related primarily to increased demand for the Company’s commercial and residential products.

    • Revenues from network fees, warranty fees, grants/rebates, and other revenues increased to $0.4 million as compared to $0.1 million in the fourth quarter of 2019, related to the increase in EV charging stations in the Company’s network.

    • Revenues from charging services decreased to $0.2 million as compared to $0.4 million in the fourth quarter of 2019, related primarily to a decrease in EV charging due to the COVID-19 pandemic.

  • Net loss was $7.9 million or $(0.24) per basic and diluted share compared to net loss of $2.9 million or $(0.11) in the fourth quarter of 2019. Fourth quarter 2020 net loss includes increases in operating expenses including increases in new personnel, specifically in the technology, sales and operations departments, in anticipation for accelerated growth of the Company.

Selected Full Year 2020 Highlights:

  • Total revenue grew 121% to $6.2 million compared to $2.8 million in 2019.

    • Revenues from product sales increased significantly to $4.4 million compared to $0.9 million in 2019, related primarily to increased demand for the Company’s commercial and residential products.

    • Revenues from network fees, warranty, grant/rebates and other revenues increased to $1.0 million compared to $0.5 million last year, related to the increase in EV chargers in the Company’s network

    • Revenues from charging services decreased to $0.8 million as compared to $1.4 million for full year 2019, related primarily to the decrease in EV charging due to the COVID-19 pandemic.

  • Net loss was $17.8 million or $(0.59) per basic and diluted share compared to net loss of $9.7 million or $(0.37) per basic and diluted share for full year 2019. The higher net loss in 2020 reflected increased expenses related to the Company’s anticipated growth, as detailed above.

  • On December 31, 2020, cash and marketable securities were $22.3 million compared to $7.1 million at December 31, 2019.

  • Shortly following the close of fiscal 2020, the Company completed a successful equity offering resulting in net proceeds of $221.5 million.

"Blink's fourth quarter 2020 results delivered a strong close to 2020, continuing the momentum we built during the second and third quarters, and characterized by significantly increased revenue driven by substantial growth in product sales. Despite the many public health and economic challenges presented by the COVID-19 pandemic, we've continued the aggressive deployment of our owned and operated EV charging stations for a wide variety of partners and locations, including healthcare networks, hotels, multi-family residences, and municipalities. Specifically, during the fourth quarter, 66% of commercial deployments were Blink-owned units. As we have previously outlined, Blink's unique owner/operator model is a key differentiator in our industry. With this model, we realize an economic benefit each time a vehicle is charged at a Blink-owned unit. As EV adoption continues to grow and utilization of chargers increases, we expect Blink-owned units will represent a valuable recurring revenue stream for many years to come," stated Michael D. Farkas, Founder and Chief Executive Officer of Blink.

"We ended 2020 strong and have positioned us for continued success at the beginning of 2021. In January, we completed a successful equity raise, significantly strengthening our balance sheet, which will enable us to continue our growth at a systematic and accelerated pace. Our growth will continue both organically and through targeted acquisitions as we look to grow our footprint of EV chargers," commented Michael Rama, Chief Financial Officer of Blink. "

"Blink is a longtime leader in the EV charging industry, and we have been methodically and strategically expanding our geographic footprint and building our brand recognition to capture opportunities as the world transitions to EVs. We are energized by our industry's momentum, which continues to benefit from the adoption of clean energy and clean transportation initiatives. We've begun 2021 in a solid position, and we plan to capitalize on the many opportunities we see to provide the accessible, fast, and reliable EV infrastructure that makes EV travel both attractive and viable," commented Brendan Jones, President of Blink.

Business Updates and Highlights

During the fourth quarter of 2020, the Company:

  • Entered into a reseller agreement with The Lion Electric Company, a leading manufacturer of zero-emission buses and trucks, which will now offer Blink’s full line of charging stations to the school systems and bus fleets they serve.

  • Acquired U-Go Stations, Inc. and its portfolio of 44 DCFC charging locations as well as multiple grants awarded to U-Go for the deployment of up to an additional 45 new charging stations.

  • Announced the sale of 45 dual-port Blink charging stations by Blink Charging Hellas, a joint venture between Blink Charging and Eunice Energy Group, to the Public Power Company (PPC S.A.) for deployment across Greece.

  • Signed exclusive seven-year agreement with two seven-year renewal options with Lehigh Valley Health Network to own and operate charging stations across the health network’s extensive portfolio of locations in Pennsylvania.

  • Announced additional deployments of Blink-owned EV charging stations at St. Luke’s University Healthcare Facilities in Pennsylvania, building upon the Company’s initial contract and deployment with St. Luke’s in January 2019.

  • Signed an exclusive five-year contract with two five-year renewal options for Blink-owned IQ 200 units at multiple Blessing Health System locations in Quincy, Illinois.

  • Introduced an innovative pole mounting kit for the Company’s IQ 200 EV charging stations that allows streetlights or utility poles to function as charging destinations.

  • Entered into a unique collaboration with Connecticut Green Bank and other EV charging partners, to register the first validated multi-partner carbon offset credit project.

  • Signed an agreement with JSC Management Group, a large Burger King franchisee, to deploy numerous EV charging stations at key locations across the northeastern U.S.

  • Subsequent to the fourth quarter and year ended December 31, 2020, the Company:

  • Received a grant from the state of Ohio Environmental Protection Agency to deploy 144 Blink-owned and operated high-speed Level 2 charging stations at 32 sites across the state, at locations such as healthcare centers, hotels, municipal parking lots, and others.

  • Announced the promotion of Brendan S. Jones to President of Blink Charging and his election to the Company’s Board of Directors.

  • Received a follow-on order from InterEnergy for an additional 150 fast-charging stations, including 100 Blink IQ 200 and 50 DCFC units to be deployed across the Dominican Republic.

  • Announced a collaboration with the state of Vermont to deploy 22 DCFCs and 22 Level 2 chargers across 11 sites in the state during the next two years.

  • Entered into a U.S. reseller agreement with Ingram Micro Inc., a leading global distributor of information technology, cloud and mobility products, for the sale of Blink’s residential EV charging stations.

  • Won the competitive bid process to provide the EV charging infrastructure for the city of San Antonio’s EVSA program, which initially enlists the Company to deploy up to 140 Blink-owned level 2 charging ports and 3 DCFCs throughout the city.

  • Announced the Company’s first deployment in the state of New Hampshire in the resort town of Waterville Valley; the Blink-owned units are the only EV charging stations available for nearly 30 miles.

  • Announced an initial order for 50 charging stations from InterEnergy, to further expand the Evergo network in Panama, which is expected to bring nearly 200 new EV charging stations to the country by the end of 2021.

  • Named to Forbes’ list of America’s Best Small Companies.

  • Signed a reseller agreement with Ballantyne Strong to offer Blink’s full line of charging stations to the broad base of cinema operators, theme parks and other entertainment and leisure-related locations that work with that company’s entertainment division.

  • Purchased a 10,000+ square foot office condominium in Miami Beach to house the Blink corporate headquarters and support the Company’s ongoing growth.

Earnings Conference Call:

The Company will host a conference call and webcast to discuss the fourth quarter and year end 2020 results today, March 25, 2021 at 4:30 P.M., Eastern Time.

To access the live webcast, log onto the Blink Charging website at www.blinkcharging.com, and click on the News/Events section of the Investor Relations page. Investors may also access the webcast via the following link: https://www.webcaster4.com/Webcast/Page/2468/40433

To participate in the call by phone, dial (877) 876-9173 approximately five minutes prior to the scheduled start time. International callers please dial (785) 424-1667.

A replay of the teleconference will be available until April 25, 2021 and may be accessed by dialing (877) 481-4010. International callers may dial (919) 882-2331. Callers should use conference ID: 40433.

###

About Blink Charging

Blink Charging Co. (Nasdaq: BLNK, BLNKW) is a leader in electric vehicle (EV) charging equipment and has deployed over 23,000 charging stations, many of which are networked EV charging stations, enabling EV drivers to easily charge at any of the Company’s charging locations worldwide. Blink Charging’s principal line of products and services include its Blink EV charging network (“Blink Network”), EV charging equipment, and EV charging services. The Blink Network uses proprietary, cloud-based software that operates, maintains, and tracks the EV charging stations connected to the network and the associated charging data. With global EV purchases forecasted to rise to 10 million vehicles by 2025 from approximately 2 million in 2019, the Company has established key strategic partnerships for rolling out adoption across numerous location types, including parking facilities, multifamily residences and condos, workplace locations, health care/medical facilities, schools and universities, airports, auto dealers, hotels, mixed-use municipal locations, parks and recreation areas, religious institutions, restaurants, retailers, stadiums, supermarkets, and transportation hubs. For more information, please visit https://www.blinkcharging.com/.

Forward-Looking Statements

This press release contains forward-looking statements as defined within Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements, and terms such as “anticipate,” “expect,” “intend,” “may,” “will,” “should” or other comparable terms, involve risks and uncertainties because they relate to events and depend on circumstances that will occur in the future. Those statements include statements regarding the intent, belief or current expectations of Blink Charging and members of its management, as well as the assumptions on which such statements are based. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, including those described in Blink Charging’s periodic reports filed with the SEC, and that actual results may differ materially from those contemplated by such forward-looking statements. Except as required by federal securities law, Blink Charging undertakes no obligation to update or revise forward-looking statements to reflect changed conditions.

Blink Media Contact
PR@BlinkCharging.com

Blink Investor Relations Contact
IR@BlinkCharging.com

855-313-8187

John Nesbett/Jennifer Belodeau
IMS Investor Relations
(203) 972-9200
jnesbett@institutionalms.com

BLINK CHARGING CO. AND SUBSIDIARIES
Consolidated Balance Sheets
Unaudited

December 31,

2020

2019

Assets

Current Assets:

Cash

$

22,341,433

$

4,168,837

Marketable securities

-

2,956,989

Accounts receivable and other receivables, net

909,499

206,770

Inventory, net

1,816,135

2,157,295

Prepaid expenses and other current assets

1,219,488

671,033

Total Current Assets

26,286,555

10,160,924

Restricted cash

76,399

-

Property and equipment, net

5,636,063

1,347,309

Operating lease right-of-use asset

615,825

258,102

Intangible assets, net

46,035

107,415

Goodwill

1,500,573

-

Other assets

387,617

73,743

Total Assets

$

34,549,067

$

11,947,493

Liabilities and Stockholders’ Equity

Current Liabilities:

Accounts payable

$

3,920,384

$

2,372,212

Accrued expenses

1,085,028

897,548

Accrued issuable equity

184,234

257,686

Current portion of notes payable

574,161

10,000

Current portion of operating lease liabilities

403,915

190,823

Other current liabilities

59,572

73,598

Current portion of deferred revenue

479,486

567,613

Total Current Liabilities

6,706,780

4,369,480

Operating lease liabilities, non-current portion

285,501

84,838

Other liabilities

90,000

58,164

Notes payable - non-current portion

296,535

-

Deferred revenue, non-current portion

6,654

565

Total Liabilities

7,385,470

4,513,047

Series B Convertible Preferred Stock, 10,000 shares designated, 0 issued

and outstanding as of December 31, 2020 and 2019, respectively

-

-

Stockholders’ Equity:

Preferred stock, $0.001 par value, 40,000,000 shares authorized;

Series A Convertible Preferred Stock, 20,000,000 shares designated, 0 shares issued and outstanding as of December 31, 2020 and 2019

-

-

Series C Convertible Preferred Stock, 250,000 shares designated, 0 issued and outstanding as of December 31, 2020 and 2019

-

-

Series D Convertible Preferred Stock, 13,000 shares designated, 0 and 5,125 shares issued and outstanding as of December 31, 2020 and 2019, respectively

-

5

Common stock, $0.001 par value,500,000,000 shares authorized, 35,951,097 and 26,322,583 shares issued and outstanding as of December 31, 2020 and 2019, respectively

35,951

26,323

Additional paid-in capital

214,479,094

176,729,926

Accumulated other comprehensive income

-

183,173

Accumulated deficit

(187,351,448

)

(169,504,981

)

Total Stockholders’ Equity

27,163,597

7,434,446

Total Liabilities and Stockholders’ Equity

$

34,549,067

$

11,947,493

BLINK CHARGING CO. AND SUBSIDIARIES
Consolidated Statements of Operations
Unaudited

For The Three Months Ended

For The Years Ended

December 31,

December 31,

2020

2019

2020

2019

Revenues:

Charging service revenue - company-owned charging stations

$

203,012

$

421,348

$

772,540

$

1,359,218

Product sales

1,823,787

151,771

4,432,423

856,243

Network fees

117,691

70,682

344,819

301,627

Warranty

98,680

8,804

129,109

52,996

Grant and rebate

10,487

4,579

21,558

22,396

Other

199,640

44,302

529,782

166,710

Total Revenues

2,453,297

701,486

6,230,231

2,759,190

Cost of Revenues:

Cost of charging services - company-owned charging stations

211,609

37,040

397,377

151,479

Host provider fees

114,905

146,371

265,272

420,075

Cost of product sales

1,432,758

414,001

2,859,559

961,192

Network costs

51,944

43,716

515,953

255,339

Warranty and repairs and maintenance

93,409

126,132

330,742

450,765

Depreciation and amortization

121,599

31,564

345,018

127,929

Total Cost of Revenues

2,026,224

798,824

4,713,921

2,366,779

Gross Profit (Loss)

427,073

(97,338

)

1,516,310

392,411

Operating Expenses:

Compensation

5,754,324

1,745,739

12,718,284

6,750,753

General and administrative expenses

1,587,113

718,747

4,047,125

1,916,817

Other operating expenses

946,628

423,158

2,565,525

2,196,784

Total Operating Expenses

8,288,065

2,887,644

19,330,934

10,864,354

Loss From Operations

(7,860,992

)

(2,984,982

)

(17,814,624

)

(10,471,943

)

Other (Expense) Income:

Interest (expense) income, net

(1,743

)

19,044

16,442

73,158

Gain on settlement of debt

-

-

-

310,000

Gain on settlement of accounts payable, net

(312

)

20,060

22,266

273,667

Change in fair value of derivative and other accrued liabilities

(104,861

)

26,499

(173,132

)

(65,104

)

Other income

26,403

24,715

102,581

231,722

Total Other (Expense) Income

(80,513

)

90,318

(31,843

)

823,443

Net Loss

$

(7,941,505

)

$

(2,894,664

)

$

(17,846,467

)

$

(9,648,500

)

Net Loss Per Share:

Basic

$

(0.24

)

$

(0.11

)

$

(0.59

)

$

(0.37

)

Diluted

$

(0.24

)

$

(0.11

)

$

(0.59

)

$

(0.37

)

Weighted Average Number of Common Shares Outstanding:

Basic

33,577,425

26,300,451

30,045,095

26,237,486

Diluted

33,577,425

26,300,451

30,045,095

26,237,486

BLINK CHARGING CO. AND SUBSIDIARIES
Consolidated Statements of Cash Flows
Unaudited

For The Years Ended

December 31,

2020

2019

Cash Flows From Operating Activities:

Net loss

$

(17,846,467

)

$

(9,648,500

)

Adjustments to reconcile net loss to net cash used in operating activities:

Depreciation and amortization

679,911

417,061

Change in fair value of derivative and other accrued liabilities

(173,132

)

(65,104

)

Dividend and interest income

-

104,848

Provision for bad debt

270,365

102,940

Gain on settlement of debt

-

(310,000

)

Provision for slow moving and obsolete inventory

(392,191

)

437,068

Gain on settlement of accounts payable, net

(22,266

)

(273,667

)

Loss on disposal of fixed assets

278,698

65,488

Loss on impairment of intangible assets

-

83,135

Non-cash compensation:

Common stock

233,382

547,782

Options

714,888

180,757

Changes in operating assets and liabilities:

Accounts receivable and other receivables

(897,496

)

(141,541

)

Inventory

(1,246,837

)

(2,022,653

)

Prepaid expenses and other current assets

(580,803

)

168,487

Other assets

(225,995

)

(2,545

)

Accounts payable and accrued expenses

1,404,084

(470,354

)

Lease liabilities

(184,057

)

(135,267

)

Deferred revenue

(82,038

)

197,252

Total Adjustments

(223,487

)

(1,116,313

)

Net Cash Used in Operating Activities

(18,069,954

)

(10,764,813

)

Cash Flows From Investing Activities:

Purchase consideration for BlueLA Carsharing, LLC acquisition

(1

)

-

Cash acquired in the purchase of BlueLA Carsharing, LLC

3,379

-

Cash acquired in the purchase of U-Go Stations, Inc.

30,266

-

Proceeds from sale of marketable securities

2,773,816

-

Purchases of property and equipment

(2,547,220

)

(552,820

)

Net Cash Provided By (Used In) Investing Activities

260,240

(552,820

)

Cash Flows From Financing Activities:

Proceeds from sale of common stock in public offering [1]

19,175,546

-

Payment of financing liability in connection with internal use software

(72,190

)

(52,379

)

Proceeds from exercise of warrants

16,264,687

-

Proceeds from issuance of notes payable

855,666

-

Repayment of notes payable

(165,000

)

-

Net Cash Provided By (Used in) Financing Activities

36,058,709

(52,379

)

Net Increase (Decrease) In Cash

18,248,995

(11,370,012

)

Cash and Restricted Cash - Beginning of Year

4,168,837

15,538,849

Cash and Restricted Cash - End of Year

$

22,417,832

$

4,168,837

Cash and restricted cash consisted of the following:

Cash

$

22,341,433

$

4,168,837

Restricted cash

76,399

-

$

22,417,832

$

4,168,837

[1] Includes gross proceeds of $19,999,984, less issuance costs of $824,438 deducted directly from the offering proceeds.