ChargePoint Holdings experienced a substantial stock price increase on the market following the release of better-than-expected financial results for its second quarter of fiscal 2027. The electric vehicle charging company’s shares climbed more than 70%, marking the most significant gain since the company executed a reverse stock split in the previous year to maintain compliance with New York Stock Exchange listing requirements.
The company reported revenue of $116.1 million and a loss per share of 35 cents for the quarter, exceeding analyst expectations of $105.2 million in revenue and a loss of 85 cents per share. Results included a one-time tariff refund of approximately $4.2 million, though the company stated its normalized gross margin would have achieved a new record even without this benefit. CEO Rick Wilmer highlighted that the company had achieved four consecutive quarters of year-over-year growth and expected acceleration moving forward, driven by new product launches and technological advances.
ChargePoint operates a business model distinct from competitors, providing hardware, software, and services to customers rather than owning and operating charging infrastructure directly. The company has been expanding its product portfolio with faster high-performance chargers, referred to as Level 3 chargers, in European markets and introducing next-generation products for the United States market. Additionally, the company is implementing artificial intelligence to enhance charging efficiency, reduce software development timelines, and improve operational performance.
Wilmer expressed confidence about the company’s trajectory despite ongoing challenges in the broader electric vehicle market. The EV sector has experienced slower adoption rates following the elimination of federal incentives in the United States, including an up to $7,500 consumer purchase benefit. The company is progressing through a three-year business plan focused on reducing cash burn and losses, with net losses declining from $125.3 million three years prior to $35.6 million in the most recent quarter.
Looking ahead, ChargePoint provided third-quarter guidance projecting revenue between $105 million and $115 million for its 2027 fiscal year, representing a mid-point increase of approximately 4% year-over-year. While the company has not announced a timeline for achieving profitability, Wilmer indicated the organization is approaching profitability on an earnings before interest, taxes, depreciation, and amortization basis.
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