We're gonna go ahead and get started. So I'm Craig Irwin. I cover sustainability here at Roth. I am very happy to have Badar and Olga, CEO and CFO of EVgo, with me today.
2, 2, 2.
Thank you for joining us.
We're excited to be here. Thank you, Craig.
You guys just had a pretty exciting quarter. Throughputs, you know, up nicely, 50 MWh of throughput. You know, some healthy 30%+ in California? Or-
So utilization's 19% network-wide.
Yeah.
We've got, we haven't disclosed utilization across different states.
Yeah.
What we have shared, actually, is DC Fast Charging in California has gone on from... as a share of kilowatt-hours-
Yeah
... from around 5%-10% 2.5 years ago, to 25%-30%, this past year. So that's a pretty significant increase.
So as this continues to gain momentum, right, how far does it go until you actually start seeing the stuff that Tesla sees? I mean, Tesla's got quite a lot of crowding at its superchargers and, you know, people are obviously looking for better alternatives. You know, with the Tesla drivers able to use the Sidekick and charge on your equipment. And then, you know, NACS allowing people to maybe go to Tesla, where they can join the back end of a long line. You know, how much higher do you think utilizations can go over the next couple of years, while customers maintain this positive experience they've been seeing?
Yeah, look, so utilization has, it has trebled over the last two years, from around 6% across our network to, to 19% across our network, which is pretty, pretty impressive. 55% of all stalls across our network are now over 15% utilization. That's up from 30% of our stalls just six months ago. So that's, that's pretty impressive. What's driving utilization, of course, are customers, the sort of mix of customers. So we've got more customers who are rideshare driving using our network. That's up from roughly 11% to about 25% of our volumes are rideshare. Companies like Uber, Lyft, and cities across the United States are either targeting or requiring rideshare drivers to be electric over the next several years.
So we expect that'll be a pretty significant driver of increased throughput and utilization. We're also seeing more customers as vehicles are becoming more affordable. So two years ago, the average, according to Cox Automotive, the average battery electric vehicle was about 36% more expensive than the average gasoline car. In December last year, that was around 4%. That's without incentives. So as vehicles are becoming more affordable, more customers who live in multi-family housing are buying these electric vehicles. They don't have private driveways, and they're using DC fast charging just to complete their charging needs. We see that customers in multi-family housing are using our network two times more than customers in single-family housing. So that'll as vehicles are becoming more effective, we continue to see that improve.
You know, we expected that utilization would not get more than 30%, quite honestly, but we've got stalls in the 30%-40% utilization consistently, without the long lines. I'm glad that you brought up the Tesla network. You know, there is congestion at those sites. As they're opening up their their network to non-Tesla vehicles, a lot of these non-Tesla vehicles have their ports at different places in the car, either in the front of the car, the back of the car, the driver's side, the passenger side. And as a result, you know, Tesla's acknowledged, you know, companies like Ford, who are charging their vehicles, are taking up two stalls. And so that point about congestion and inconvenience to customers, I think is something that's gonna continue.
We place our stalls in convenient locations where people are going about their lives. So they're going to grocery shopping, they're going to retail store, and what have you. That's quite different from where Tesla are placing their sites. Tend to be highway corridors, tend to be, you know, very large sites if they're in urban locations. So we have, we estimate 1.6 times the amenities within walking distance of our sites than in Tesla sites. So you're right, we think our sites are more convenient and have less congestion and offer more flexibility for customers.
So you mentioned the adoption of EVs, but people that live in multi-family and apartment buildings, etc. You know, I guess miles driven on DC fast charging is going up quite nicely. I guess it was 5% a couple of years ago. You know?
Yeah, 6%.
I think it's tripled over the last couple of years. So, you know, clearly we're seeing that the demand for your network is growing a lot faster than the growth of the EV pool out there. Is there anything else that we should look at as far as the separation of growth and improving profitability for EVgo? You know, 'cause the biggest misperception with investors is, you know, okay, EVs aren't gonna grow 50%. You know, they may be something in the teens this year in North America. But you're greatly outstripping that growth rate. What else are we missing in there?
So just to be clear, our growth rate in throughput grew 5.5 times faster than the growth in EV VIO this past year. That's a pretty significant rate of growth, and that's because of vehicle miles traveled, as you said. So people who are driving electric vehicles are now getting closer to driving the same number of miles as gasoline vehicles. It's the share of DC fast charging, which is both rideshare and multi-family customers, so more affordable vehicles attracting multi-family customers. It's looking to the future, we expect our owned and operated business to be 80%-90% of our revenue. Just because of the fantastic throughput that we're seeing in that business, the profitability, and the returns.
Clearly, if we find more opportunities to secure more eXtend-type business at attractive returns and attractive margins, we'll do so. But we think that prioritizing our own and operate business is the right way for us to go.
Or, to maybe add a little color. When it's about eXtend business, our PFJ contract is 2,000 stalls. If we find another big whale deal like that, we would do it. What we're not doing is to go after small opportunities and build, like, sales team around that. That's not our business. Some other groups in the industry do that. We do not. We do not want to do that. So, that's kind of very binary, so to say.
Should I ask the last question? All right, excellent. So then, you've used a mix of vendors over the last few years. You know, you have probably some of the most experience in the market working with the different vendors, and it was interesting to see you bring on the supply from Delta. What do you feel about the quality of equipment out there? Because a lot of the drivers of EVs and then people on the customer networks complain about outages. You know, are you finding that the overall rate of uptime on equipment and the sophistication around the different OEMs is improving, and that you're able to get things that meet your longer-term demands?
Or are we still looking at a less mature supply base as far as the DC Fast Charging equipment?
We're very happy with our relationship with Delta. That we think we've got some very strong chargers that are in the market today. The 350 kW speed and the overall performance of this class of charger is very satisfactory, actually. But the thing that when we—you know, I've run asset-based businesses for a long time in my career, and I think it's important to look at uptime and reliability measures on an asset basis. But in this business, it's actually more important to understand metrics from a customer's perspective, which is why we measure and track, and we've reported one and done, which is the percentage of time that people are able to successfully charge on their first attempt and within a short period of time of showing up at the charger.
That takes into account both asset-based performance but also a host of other issues around connecting to the charger, payment types, paying for the charger. That's gone up from 85% to 91% over the course of this past year, and we're continuing to look to-