Tritium asks Qld government for up to $90m bailout

[Zoltrix77]

I remember the stock price doubling in a day after Biden took a visit to the new US factory.

3 factors I think:

1) Maintenance arrangements, and availability of trained technicians
2) Manufacturer's supply of spare parts
3) How failure prone are the units


Tritium does poorly on 2 and 3. Most of us are aware of tritium chargers that have at times been offline for months awaiting parts.

Even 1 is somewhat within their control, in terms of training 3rd party technicians on how to repair their equipment.



They fail rarely from what I've seen and are handled like critical infrastructure when they do.

Now that Tesla has announced its selling hardware to BP Pulse in the US, it will be intersting to see if Tesla has a clause in their contract that makes BP maintain the chargers to a level similar to the Supercharger network. My guess is they would have to sign a service agreement with Tesla to maintain the standard.

 

[Vostok]

Now that Tesla has announced its selling hardware to BP Pulse in the US

Looks like Tesla has decided that Superchargers should be a profit centre after all…

 

[cafz]

I'm wondering whether Tesla is also selling/leasing the management platform for the Superchargers, or are they just providing an OCPP interface for BP Pulse to integrate them into whatever they use for managing their existing network?

 

[B3AU]

I'm wondering whether Tesla is also selling/leasing the management platform for the Superchargers, or are they just providing an OCPP interface for BP Pulse to integrate them into whatever they use for managing their existing network?

The impression I get from the media release from bp, is that it’ll just be the hardware - everything else will be bp.

https://www.bp.com/en_us/united-states/home/news/press-releases/bp-boosts-ev-charging-network-with-100-million-dollar-order-of-tesla-ultra-fast-chargers.html

 

[cafz]

The impression I get from the media release from bp, is that it’ll just be the hardware - everything else will be bp.

It will be fascinating to see how much difference that makes to the overall reliability.

 

[leonk]

There would have to be some sort of compatibility layer. I doubt you could just chuck different software on there and go.

Most likely it will be the basic supercharger operating software with a different billing and management software interacting on top.

 

[B3AU]

Tritium are shutting the Brisbane factory so everything will be made in the great USA, and cutting staff numbers

The plan sees Tritium improve operational efficiency and margins to drive profitability and shareholder value by consolidating its global manufacturing operations into its scaled plant in Lebanon, Tennessee, and reduce selling general & administrative (SG&A) expenses via plans to decrease specific headcount and professional fees.

Tritium Implements Strategic Plan to Achieve 2024 Profitability | Tritium DCFC Limited

Company takes strategic steps toward profitability BRISBANE, Australia, Nov. 07, 2023 (GLOBE NEWSWIRE) -- Tritium DCFC Limited (Tritium) (Nasdaq: DCFC), a global leader in direct current (DC) fast chargers for electric vehicles (EVs), today announced the implementation of business measures designed

investors.tritiumcharging.com

 

[cafz]

Tritium are shutting the Brisbane factory so everything will be made in the great USA, and cutting staff numbers

R&D remaining in Brisbane though. It's a pity, but hard to argue with the proposition that the Tennessee plant is closer to their markets.

 

[Vostok]

Tritium are shutting the Brisbane factory so everything will be made in the great USA, and cutting staff numbers

Biden is pumping insane quantities of cash into clean tech from renewables to EVs, and we simply can’t compete with it. I’m not saying I disagree with what he’s doing, it needed to be done to fix the wreckage of the Trump years, but the reality is other countries are left as also-rans fighting for limited investment dollars.

If we tried something similar, and put the country into even more debt, the A$ would tank and financial markets would go into circling shark mode. But when the US does it and goes into way more debt than us, the US$ rises because it is considered a “safe haven”. Go figure…

 

[B3AU]

Latest update in the Tritium saga

Embattled Brisbane fast-charger company Tritium is in negotiations with Taiwanese electronics company Lite-On Technology Corporation for a key strategic stake to ensure its financial future.

Taiwanese electronics giant in talks to recharge Tritium

Tritium fast-charging company in talks for lifeline from Taiwan’s Lite-On

www.afr.com

Mr St Baker, who also owns Evie, Australia’s largest network of EV charging stations, said Tritium’s technology was world-leading and the only reliable alternative to Tesla chargers.

“Tritium technology is the only technology that is competing with Tesla in public charging around the world. Evie is proving that,” he told AFR Weekend.

“Am I trying to talk up a dead dog? No. My comment is, this technology is the best technology in the world and Tesla is copying it.”

Mr St Baker said Evie was looking to take over Tritium’s lease at its Murrarie factory in Brisbane.

 

[Hairyman]

I am uncertain how to verify the veracity of Mr St Baker‘s assertions.

 

[Craig 128]

Mr St Baker said Evie was looking to take over Tritium’s lease at its Murrarie factory in Brisbane.

What does St Baker want the Murrarie site for?
I assume this is just to reduce outgoings for Tritium as they would still have to pay the remainder of the lease out.

 

[Vostok]

What does St Baker want the Murrarie site for?

It says Evie might take it over… warehouse for stock and spare parts? Testing? Logistics? Office space? (they do have staff in Brisbane). Presumably allowing Evie to exit other existing arrangements whatever they might be.

 

[B3AU]

"Sad day:" EV fast-charging company Tritium says it is insolvent, receivers to seek buyers

Updated: Australian EV fast charging company Tritium is facing financial collapse after its directors declared it to be insolvent and called in KPMG to act as voluntary administrators.

thedriven.io

 

[SPadival]

They failed because they had a sub-standard, unreliable product that was universally hated by customers in Europe and Australia. Instead of listening to customers and fixing the problem, including providing more spare parts, they just skated on government subsidies and then moved out of Australia.

I don’t know what will happen to all the chargers all over the country and the world. Spare parts were difficult to come by even when they were alive. At least, RACV made a prescient decision to rip out these chargers & replace them with Kempower units.

 

[Craig 128]

I don’t know what will happen to all the chargers all over the country and the world.

Just because they have entered administration, doesn't mean it is the end - yet. The administrators, if unable to restructure (likely) will attempt to sell the company & IP.

LiteOn Technology Corporation (Market Cap ~ 11b AUD) was looking at injecting capital earlier this year. It's possible someone like LiteOn will pick the company up for a song and re-capitalise.

 

[moa999]

But not for much.. post the consolidation (which ended up being 200:1) the share price had continued to fall.

When I looked at it on Monday the market cap was under US$4 million. And they'd received another notice from Nasdaq because seeming the consolidation reduced their shares on issue to below Nasdaqs minimum.

The real risk here is in spares and support.

Regional Australian travel might get a whole lot less reliable for a time.

 

[Chuq]

At least, RACV made a prescient decision to rip out these chargers & replace them with Kempower units.

EHT is doing similar - upgrading some older single stall Tritium sites with Kempower setups, transferring the Tritium equipment as secondary units at other sites. They do have $10k+ of Tritium parts on hand, and if this runs our I expect cannibalising for parts will be the next step.

Originally Tritium hardware was 6 out of 6 locations. Now it's 9 of 20 (they've taken on management of a couple of existing sites). Once their remaining planned sites get up and expansions are done, it will be 7 of 26.

 

[PC__LoadLetter]

They failed because they had a sub-standard, unreliable product that was universally hated by customers in Europe and Australia. Instead of listening to customers and fixing the problem, including providing more spare parts, they just skated on government subsidies and then moved out of Australia.

It has to be said...

 

[Max Spaghetti]

Isn't Albanese handing out money to support Australian manufacturing in the renewable energy industry?

Oh hang on, he said Australian manufacturing. Oops. Missed by that much.