Revenue Recognition
The disclosures below discuss the Company’s material revenue contracts.
The following table provides information regarding disaggregated revenue:
| | | | | | | | | | | | | | | | | |
| | | Years Ended December 31, |
| | | | | 2025 | | 2024 |
| Revenue recognized over time: | | | | | | | |
| Services - engineering and others (1) | | | | | $ | 1,089,616 | | | $ | 1,986,008 | |
| Grid services | | | | | 98,965 | | | 321,671 | |
| Grants | | | | | 559,211 | | | 409,977 | |
| Revenue recognized at point in time: | | | | | | | |
| Products | | | | | 3,046,150 | | | 2,568,573 | |
| Total revenue | | | | | $ | 4,793,942 | | | $ | 5,286,229 | |
__________________
(1) December 31, 2025 and December 31, 2024 amounts include $141,176 and $848,929, respectively, of management fees earned related to Fresno EV infrastructure project management which is fully reflected in the provision for credit losses.
The aggregate amount of revenue for the Company’s existing contracts with customers as of December 31, 2025 expected to be recognized in the future, and classified as deferred revenue on the consolidated balance sheet for year ended December 31, is as follows (this disclosure does not include revenue related to contracts whose original expected duration is one year or less):
| | | | | |
| 2026 | $ | 1,022,453 | |
| 2027 | 365,609 | |
| 2028 | 225,314 | |
| 2029 | 175,885 | |
| Thereafter | 107,971 | |
| Total (1) | $ | 1,897,232 | |
__________________
(1) The revenue recognition is subject to the completion of construction and commissioning of the EV infrastructure.
The following table summarizes the Company’s revenues by geography:
| | | | | | | | | | | | | | | | | |
| | | Years Ended December 31, |
| | | | | 2025 | | 2024 |
| | | | | | | |
| United States | | | | | $ | 4,519,052 | | | $ | 4,979,722 | |
| Denmark | | | | | 180,423 | | | 306,507 | |
| Japan | | | | | 94,467 | | | — | |
| | | | | $ | 4,793,942 | | | $ | 5,286,229 | |
About Revenue Disclosures
Revenue disclosures under ASC 606 explain how a company identifies performance obligations, allocates transaction prices, and determines when revenue is recognized. This section is essential for understanding whether reported revenue reflects genuine economic activity or aggressive accounting choices. Analysts examine the mix of point-in-time versus over-time recognition, which directly affects revenue timing and comparability.
Key signals: rising contract liabilities (deferred revenue) suggest strong future revenue visibility, while declining contract assets may indicate slowing project milestones. Watch for variable consideration estimates — rebates, returns, and performance bonuses that require management judgment. Significant changes in disaggregated revenue by geography or product line can reveal shifting business mix before it appears in headline numbers. Compare revenue growth against contract liability growth to assess sustainability, and scrutinize any changes in the timing of recognition that coincide with earnings pressure.