Powering down | EV charging pioneer Blink announces layoffs as market softens

Electric vehicle charging company Blink, has unveiled plans to trim its global workforce by nearly 15%, as it grapples with what it describes as "soft" demand in the EV market.

Blink, the third-largest EV charging manufacturer in the US, framed the move as a "planned operational cost reduction action" aimed at navigating current market headwinds.

Michael Battaglia, Blink's Chief Operating Officer, expressed confidence in the industry's future despite the immediate challenges.

"We believe the current economic and market challenges facing the EV industry are temporary," said Battaglia. "The operational changes we are announcing today will help us reduce costs and improve our financial performance right away."

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The announcement follows Blink's recent financial report, which revealed mixed results for the second quarter. While revenue reached $33 million, showing a slight year-over-year improvement, it marked a decline from the previous quarter. Gross profits dipped 13% year-over-year to $10.7 million.

In response to those figures, Blink adjusted its full-year revenue guidance downward to between $145 million and $155 million, a reduction from an earlier projection of $165 million to $175 million. The company has also postponed its target for achieving positive adjusted EBITDA from late 2024 to sometime in 2025.

Blink also disclosed upcoming leadership changes. Current CEO Brendan Jones is set to retire in February 2025, with Battaglia slated to take the helm.

The workforce reduction is expected to generate annual savings of $9 million for Blink. Implementation of these cuts is scheduled to begin immediately and continue through the first quarter of 2025.

Blink's decision mirrors similar actions taken by others in the EV industry. Rival ChargePoint recently announced a 15% workforce reduction, after revenue dropped to $108.5 million, a drop of 28%, from $150.5 million, in the same quarter the previous year. Revenue from networked charging systems plummeted by 44%, to $64.1 million.

Other EV manufacturers and battery producers have also implemented job cuts throughout the year.