Shorepower Technologies Reports 225.6% Revenue Growth, Faces Net Loss of $450,318 in 2024

Shorepower Technologies Inc. reported significant financial developments in its recent 10-K filing for the fiscal year ending December 31, 2024. The company achieved total revenue of $65,481, a substantial increase of 225.6% from $20,109 in the previous year. Despite this growth in revenue, Shorepower faced a gross margin loss of $12,705, an improvement from the $33,020 loss reported in 2023. The increase in revenue was primarily driven by a rise in product sales, which surged to $50,479 from $7,477, while service revenue also saw a modest increase.

The company’s operational expenses reflected a mixed performance. Professional fees skyrocketed to $89,289 from $26,884, largely due to increased audit, legal, and accounting costs. Conversely, general and administrative expenses decreased significantly by 70.3% to $99,802, down from $335,489 in the prior year, which included a non-cash expense related to stock issuance. Overall, Shorepower reported a net loss of $450,318 for 2024, a reduction from the $632,948 loss in 2023, indicating improved financial management despite ongoing challenges.

Strategically, Shorepower has focused on expanding its electric vehicle supply equipment (EVSE) offerings and enhancing its infrastructure. The company operates the largest heavy-duty focused network of electrified parking spaces in North America, with 60 facilities and approximately 1,800 electrified parking spaces. Shorepower has also secured around $400,000 in grants to upgrade its facilities, with additional grant applications pending. The company aims to convert existing stations to Level 2 charging and add DC fast chargers, potentially increasing its connection points to over 2,000.

In terms of workforce, Shorepower currently employs two individuals and utilizes consultants for various operational needs. The company plans to expand its employee base as funding becomes available. The filing also highlighted the competitive landscape, with Shorepower facing competition from established players in the EV charging market. The company intends to leverage its experience and government grant successes to maintain a competitive edge.

Looking ahead, Shorepower Technologies remains optimistic about its growth trajectory, particularly in light of the anticipated expansion in the electric vehicle market. The company is exploring strategic acquisitions and partnerships to enhance its service offerings and market presence. However, the filing also noted substantial doubt about the company's ability to continue as a going concern, emphasizing the need for effective financial management and operational strategies to navigate the evolving landscape of transportation electrification.