Beam Global 10-Q

Table of Contents

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the Period ended June 30, 2025

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _________________ to ________________

Commission File Number 001-38868

Beam Global

(Exact name of Registrant as specified in its charter)

Nevada	26-1342810
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification Number)

5660 Eastgate Dr.

San Diego, California

92121

(Address of principal executive offices)

(Zip Code)

(858) 321-2223

(Registrant’s telephone number, including area code)

_____________________________________________

(Former name, former address and formal fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange in which registered
Common stock, $0.001 par value	BEEM	Nasdaq Capital Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company under Rule 12b-2 of the Exchange Act. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer ☐	Accelerated filer ☐
Non-accelerated Filer ☒	Smaller reporting company ☒
Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

The number of registrant's shares of common stock, $0.001 par value outstanding as of August 11, 2025 was 17,965,148.

TABLE OF CONTENTS

		Page

PART I	FINANCIAL INFORMATION	3
Item 1.	Financial Statements (Unaudited)	3
	Condensed Consolidated Balance Sheets at June 30, 2025 and December 31, 2024	3
	Condensed Consolidated Statements of Operations and Comprehensive Loss for the Three and Six Months Ended June 30, 2025 and 2024	4
	Condensed Consolidated Statements of Changes in Stockholders’ Equity for the Three and Six Months Ended June 30, 2025 and 2024	5
	Condensed Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2025 and 2024	6
	Notes To Condensed Consolidated Financial Statements	7
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	26
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	36
Item 4.	Controls and Procedures	36

PART II	OTHER INFORMATION	38
Item 1.	Legal Proceedings	38
Item 1A.	Risk Factors	38
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	38
Item 3.	Defaults Upon Senior Securities	38
Item 4.	Mine Safety Disclosures	38
Item 5.	Other Information	38
Item 6.	Exhibits	39
	SIGNATURES	40

PART I. FINANCIAL INFORMATION

Item 1. Financial Statements

Beam Global

Condensed Consolidated Balance Sheets

(In thousands, except share and per share data)


	June 30,			December 31,
	2025			2024
	(Unaudited)
Assets
Current assets
Cash	$	3,414		$	4,572
Accounts receivable, net of allowance for credit losses of $511 and $259		6,082			8,027
Prepaid expenses and other current assets		1,669			2,243
Inventory, net		11,280			12,284
Total current assets		22,445			27,126

Property and equipment, net		14,829			13,704
Operating lease right of use assets		1,771			1,893
Goodwill		–			10,580
Intangible assets, net		7,577			8,037
Deposits		122			119
Total assets	$	46,744		$	61,459

Liabilities and Stockholders' Equity
Current liabilities
Accounts payable	$	7,444		$	8,959
Accrued expenses		2,910			2,462
Sales tax payable		501			195
Deferred revenue, current		846			847
Note payable, current		65			63
Contingent consideration, current		166			93
Operating lease liabilities, current		744			696
Total current liabilities		12,676			13,315

Deferred revenue, noncurrent		830			800
Note payable, noncurrent		165			199
Contingent consideration, noncurrent		50			216
Other liabilities, noncurrent		3,480			3,380
Deferred tax liabilities, noncurrent		1,815			1,290
Operating lease liabilities, noncurrent		836			971
Total liabilities		19,852			20,171

Commitments and contingencies (Note 10)		–			–

Stockholders' equity
Preferred stock, $0.001 par value, 10,000,000 authorized, none outstanding as of June 30, 2025 and December 31, 2024		–			–
Common stock, $0.001 par value, 350,000,000 shares authorized, 16,858,931 and 14,835,630 shares issued and outstanding as of June 30, 2025 and December 31, 2024, respectively		16			15
Additional paid-in-capital		151,382			147,072
Accumulated deficit		(124,444	)		(104,643	)
Accumulated Other Comprehensive Income (AOCI)		(62	)		(1,156	)

Total stockholders' equity		26,892			41,288

Total liabilities and stockholders' equity	$	46,744		$	61,459

The accompanying unaudited notes are an integral part of these unaudited condensed consolidated Financial Statements

Beam Global

Condensed Consolidated Statement of Operations and Comprehensive Loss

(Unaudited, in thousands except per share data)


	Three Months Ended June 30,						Six Months Ended June 30,
	2025			2024			2025			2024

Revenues	$	7,075		$	14,812		$	13,399		$	29,373

Cost of revenues		5,641			12,456			11,464			25,538

Gross profit		1,434			2,356			1,935			3,835

Operating expenses		5,901			7,147			11,166			11,674

Impairment of goodwill		–			–			10,780			–

Loss from operations		(4,467	)		(4,791	)		(20,011	)		(7,839	)

Other income (expense)
Interest income		14			38			37			109
Other income (expense)		182			(149	)		186			(205	)
Interest expense		(7	)		(14	)		(13	)		(18	)
Other income		189			(125	)		210			(114	)

Net Loss	$	(4,278	)	$	(4,916	)	$	(19,801	)	$	(7,953	)

Net foreign currency translation benefit (expense)		633			(95	)		1,094			(424	)

Total Comprehensive Loss	$	(3,645	)	$	(5,011	)	$	(18,707	)	$	(8,377	)

Net Loss per share - basic/diluted	$	(0.28	)	$	(0.34	)	$	(1.30	)	$	(0.55	)

Weighted average shares outstanding - basic/diluted		15,499			14,533			15,272			14,486

The accompanying unaudited notes are an integral part of these unaudited condensed consolidated Financial Statements

Beam Global

Consolidated Statements of Changes in Stockholders’ Equity

(Unaudited, in thousands)


						Accumulated Other Additional		Total			Accumulated Other			Total
	Common Stock					Paid-in-		Accumulated			Comprehensive			Stockholders'
	Stock			Amount		Capital		Deficit			Income			Equity
Balance at December 31, 2024		14,919		$	15	$	147,072	$	(104,643	)	$	(1,156	)	$	41,288
Stock issued for director services - vested		30			–		94		–			–			94
Stock issued to (released from) escrow account - unvested		94			–		–		–			–			–
Employee stock-based compensation expense		–			–		352		–			–			352
Impact of foreign currency translation		–			–		–		–			461			461
Net income (loss)		–			–		–		(15,523	)		–			(15,523	)
Balance at March 31, 2025		15,043		$	15	$	147,518	$	(120,166	)	$	(695	)	$	26,672
Stock issued for director services - vested		30			–		93		–			–			93
Stock issued to (released from) escrow account - unvested		(30	)		–		–		–			–			–
Settlement of earnout related to acquisition		28			–		93		–			–			93
Employee stock-based compensation expense		–			–		138		–			–			138
Stock based compensation		336			–		1,349		–			–			1,349
Impact of foreign currency translation		–			–		–		–			633			633
Sale of stock under Committed Equity Facility		1,452			1		2,191		–			–			2,192
Net income (loss)		–			–		–		(4,278	)		–			(4,278	)
Balance at June 30, 2025		16,859		$	16	$	151,382	$	(124,444	)	$	(62	)	$	26,892



Balance at December 31, 2023		14,398		$	14	$	142,265	$	(93,361	)	$	624		$	49,542
Stock issued for director services - vested		–			–		6		–			–			6
Employee stock-based compensation expense		–			–		468		–			–			468
Warrants exercised for cash		40			–		252		–			–			252
Impact of foreign currency translation		–			–		–		–			(329	)		(329	)
Net income (loss)		–			–		–		(3,037	)		–			(3,037	)
Balance at March 31, 2024		14,438		$	14	$	142,991	$	(96,398	)	$	295		$	46,902
Stock issued for director services - vested		–			–		6		–			–			6
Employee stock-based compensation expense		–			–		446		–			–			446
Warrants exercised for cash		88			–		558		–			–			558
Impact of foreign currency translation		–			–		–		–			(95	)		(95	)
Sale of stock under Committed Equity Facility		82			–		496		–			–			496
Net income (loss)		–			–		–		(4,916	)		–			(4,916	)
Balance at June 30, 2024		14,608		$	14	$	144,497	$	(101,314	)	$	200		$	43,397

The accompanying unaudited notes are an integral part of these unaudited condensed consolidated Financial Statements

Beam Global

Condensed Consolidated Statements of Cash Flows

(Unaudited, in thousands)


	Six Months Ended June 30,
	2025			2024
Operating Activities:
Net loss	$	(19,801	)	$	(7,953	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization		1,763			1,916
Provision on credit losses		252			(70	)
Change in fair value of contingent consideration liabilities		–			1,532
Impairment of goodwill		10,780			–
Employee stock-based compensation		2,181			1,088
Disposal of property and equipment		48			43
Amortization of operating lease right of use asset		67			409
Abandoned patent costs		–			75
Changes in assets and liabilities:
(Increase) decrease in:
Accounts receivable		2,004			3,279
Prepaid expenses and other current assets		477			277
Inventory		1,494			(957	)
Deposits		(3	)		(44	)
Increase (decrease) in:
Accounts payable		(1,859	)		(1,653	)
Accrued expenses		356			1,710
Operating lease liability		–			(397	)
Sales tax payable		299			346
Deferred revenue		(24	)		296
Other long term liabilities		(112	)		6
Net cash used in operating activities		(2,078	)		(97	)

Investing Activities:
Purchase of property and equipment		(811	)		(240	)
Payment of deferred consideration		–			(2,713	)
Funding of patent costs		(27	)		–
Net cash used in investing activities		(838	)		(2,953	)

Financing Activities:
Proceeds from sale of common stock under committed equity facility, net of offering costs		2,192			495
Warrants exercised for cash		–			810
Repayments of note payable		(30	)		–
Borrowings of note payable		–			91
Net cash provided by financing activities		2,162			1,396

Effect of exchange rate changes		(405	)		10

Net decrease in cash		(1,158	)		(1,644	)
Cash at beginning of period		4,572			10,393
Cash at end of period	$	3,414		$	8,749

Supplemental Disclosure of Cash Flow Information:
Cash paid for interest	$	13		$	18
Cash paid for taxes	$	–		$	–

Supplemental Disclosure of Non-Cash Investing and Financing Activities:
Settlement of earnout related to acquisition	$	93		$	–
Purchase of property and equipment by incurring current liabilities	$	–		$	240
Transfer of prepaid asset to inventory	$	–		$	1,421

The accompanying unaudited notes are an integral part of these unaudited condensed consolidated Financial Statements

BEAM GLOBAL

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

1.	NATURE OF OPERATIONS, BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Nature of Operations

References in this Report to “we,” “us,” “our,” the “Company” or “Beam” means Beam Global, a Nevada corporation, and its subsidiaries.

Beam is a clean-technology innovation company headquartered in San Diego, California with offices in the U.S. in San Diego, California and Broadview, Illinois; in Europe in Belgrade and Kraljevo, Serbia; and in Abu Dhabi, United Arab Emirates. We develop, design, engineer, manufacture, and sell high-quality, renewably energized infrastructure products for electric vehicle (“EV”) charging, infrastructure for Smart Cities (the interconnected physical and digital elements within a city that utilize technology to enhance efficiency, sustainability, and quality of life for residents), energy security and disaster preparedness and highly energy-dense battery solutions in safe, compact and unique form-factors. Additionally, we manufacture structures with electronic integration such as street lighting, cell towers and energy infrastructure products as well as power electronics including invertors, charge controllers, power supplies and LED lighting. Beam’s energy storage products provide high energy density in safe, compact and bespoke form-factors, which we believe are ideal for the rapidly growing mobile and stationary equipment product market which often requires electrical energy without being connected to the electrical grid.

Beam’s products and proprietary technology solutions target the following markets:

	·	EV charging infrastructure;

	·	Smart Cities infrastructure;

	·	Energy storage solutions;

	·	Energy security and disaster preparedness;

	·	Transportation infrastructure products; and

	·	Power electronics and telecommunications equipment

Basis of Presentation

The interim unaudited condensed consolidated financial statements included herein have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial statements and are in the form prescribed by the Securities and Exchange Commission in instructions to Form 10-Q and Rule 10-01 of Regulation S-X. In Management’s opinion, all adjustments (consisting of normal recurring adjustments and reclassifications) necessary to present fairly our results of operations and cash flows for the three and six months ended June 30, 2025 and 2024, and our financial position as of June 30, 2025, have been made. The results of operations for such interim periods are not necessarily indicative of the operating results to be expected for the full year.

Certain information and disclosures normally included in the notes to the annual financial statements have been condensed or omitted from these interim financial statements. Accordingly, these interim unaudited condensed consolidated financial statements should be read in conjunction with the financial statements and notes thereto for the year ended December 31, 2024. The December 31, 2024 balance sheet is derived from those statements.

Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires Management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates in the accompanying financial statements include the allowance for certain expected credit losses, valuation of inventory and standard cost allocations, depreciable lives of property and equipment, valuation of contingent consideration liability, valuation of intangible assets, estimates of loss contingencies, estimates of the valuation of lease liabilities and the related right of use assets, valuation of share-based costs, and the valuation allowance on deferred tax assets.

Recent Accounting Pronouncements

Recent pronouncement not yet adopted

In October 2023, the FASB issued ASU 2023-06, “Disclosure Improvements” (“ASU 2023-06”), which amends the disclosure or presentation requirements related to various subtopics in the FASB Accounting Standards Codification (the “Codification”). The ASU was issued in response to the SEC’s disclosure update and simplification initiative issued in August 2018. The effective date for the amendments for each topic will be the date on which the SEC’s removal of that related disclosure from Regulation S-X or Regulation S-K becomes effective, with early adoptions prohibited.

In December 2023, the FASB issued ASU No. 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures” (“ASU 2023-09”). ASU 2023-09 requires disaggregated information about a company’s effective tax rate reconciliation and information on income taxes paid. This standard will be effective for Beam beginning with our annual financial statements for the fiscal year ending December 31, 2025. Early adoption is permitted. The Company is currently evaluating the impact that the updated standard will have on our consolidated financial statements.

Concentrations

Credit Risk

Financial instruments that potentially subject us to concentrations of credit risk consist of cash and accounts receivable.

The Company maintains its cash in banks and financial institutions deposits that at times may exceed federally insured limits. The Company has not experienced any losses in such accounts from inception through June 30, 2025. As of June 30, 2025, approximately $1.7 million of the Company’s cash deposits were greater than the federally insured limits.

Major Customers

For the three months ended June 30, 2025, one customer accounted for 10% of total revenues and for the three months ended June 30, 2024, three customers accounted for 21%, 11% and 10% of total revenues, each with no other single customer accounting for more than 10% of revenues. For the six months ended June 30, 2025 no one customer accounted for more than 10% of revenues and only one customer accounted for 25% of total revenues for the six months ending June 30, 2024. At June 30, 2025, accounts receivable from one customer accounted for 12% of total accounts receivable and at June 30, 2024, accounts receivable from three customers accounted for 22%, 13% and 10% of total accounts receivable each with no other single customer accounting for more than 10% of the accounts receivable balance. For the three months ended June 30, 2025 and 2024, the Company’s concentration of sales to federal customers represented 2% and 35% of revenues, respectively and the concentration of sales to state and local governments represented 32% and 34% of revenues, respectively. For the six months ended June 30, 2025 and 2024, the Company’s concentration of sales to federal customers represented 8% and 47% of revenues, respectively and the concentration of sales to state and local governments represented 32% and 30% of revenues, respectively.

Foreign Operations

The following summarizes key financial metrics associated with the Company’s continuing operations:

Schedule of concentration risk
Schedule of concentration risk	June 30,
	2025		2024

Assets - Serbia	$	21,474	$	24,553
Assets - U.S.		25,270		47,361
Total Assets	$	46,744	$	71,914

Liabilities - Serbia	$	12,037	$	10,234
Liabilities - U.S.		7,815		18,283
Total Liabilities	$	19,852	$	28,517

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2025		2024		2025		2024

Sales - Serbia	$	3,300	$	2,771	$	4,826	$	4,200
Sales - U.S.		3,775		12,041		8,573

SEC Form 10-Q filed by Beam Global