NASDAQ: BEEM

Our charging products are rapidly deployed without the need for construction or electrical work. We compete with the highly fragmented and disintegrated ecosystem of general contractors, electrical contractors, consultants, engineers, permitting specialists and others, who are required to perform a traditional grid-tied EV charger installation construction and electrical project. Our sustainable technology products are designed to replace a complicated, expensive, time-consuming and risk-prone construction and electrical installation process with an easy, robust and reliable product at a low cost of total ownership.

We provide energy storage technologies that make commodity battery cells safer, longer lasting and more energy efficient. Our battery management systems (BMS), and associated thermal packaging, make batteries safer and usable in a variety of mobility, energy-security, and stationary applications.

Our streetlighting and other street furniture products are mass produced in our factories in Serbia and have been sold in 18 nations globally. We are increasingly adding power electronics, energy storage, computing, sensing and reporting to our street furniture products as we evolve them to provide greater levels of Smart Cities services.

Beam’s renewable energy infrastructure products and proprietary technology solutions target the following markets:

EV and AV charging infrastructure;

Smart Cities infrastructure;

Energy storage solutions;

Energy security and disaster preparedness;

Transportation infrastructure products; and

Power electronics and telecommunications equipment.

The Company creates high-quality innovative products that are powered primarily by secure and innovative energy sources, rapidly deployable, have diverse use cases and are attractively designed. We believe that there is a growing demand for rapidly deployable and highly scalable EV and AV charging and infrastructure for Smart Cities, and that our EV ARC™, BeamSpot™ and other street furniture products are designed to address this demand. We are agnostic to the EV charging service equipment as we do not sell EV charging, rather we sell products which enable it. Our EV ARC™ and BeamSpot™ products replace the infrastructure required to support EV chargers, not the chargers themselves.

We have over thirty years of experience deploying street-lighting, transportation, energy and telecommunications infrastructure products as a result of our 2023 acquisition of Amiga in Serbia. We also acquired relationships with existing customers to whom we are now able to sell our portfolio innovative energy, mobility and transportation infrastructure products as well as our other Smart Cities products.

During the second half of 2024 we significantly expanded our product portfolio with the addition of rapidly deployed and highly scalable charging infrastructure products for electric bicycles, electric scooters, and electric motorcycles. We also introduced de-salination as a capability to enhance the lifesaving aspects of our disaster preparedness products. Powered by 100% renewable energy, our BeamWell™ self-sufficient water treatment system converts seawater into vital freshwater. It is equipped with four eMopeds for efficient and rapid transport in environments such as war zones, disaster or crisis zones, where people need safe drinking water, electricity and mobility most.

Our ability to make commodity battery cells safer, longer lasting and more energy efficient in bespoke enclosures is, we believe, a significant differentiator as we move to an increasingly electrified and untethered world. All our renewably energized products generate their own electricity which is stored in our integrated batteries. Our ability to develop energy-dense, highly safe batteries in unique shapes and sizes, allows us to serve customers with specialized needs, including manufacturers of drones, robots, medical devices, top secret military applications, submersibles, refrigerated transport units, and a wide range of other applications.

We believe our chief differentiators are:

Our patented, renewably energized products dramatically reduce the cost, time and complexity of the installation and operation of EV and AV charging infrastructure when compared to traditional, utility grid tied alternatives;

Our proprietary and patented energy storage solutions;

Our first-to-market advantage with EV and AV charging infrastructure products which are renewably energized, rapidly deployed and require no construction or electrical work on site;

Our products’ capability to operate during grid outages and to provide a source of EV charging and emergency power rather than becoming inoperable during times of emergency or other grid interruptions;

Our ability to add electrical capacity to provide for the significant increase demand brought by electrified transportation, data centers, AI and the electrification of the industry, without having to go through expensive, time-consuming and risky utility grid expansion (adding power stations, transmission lines and distribution infrastructure like substations);

Our ability to create new and patentable products which are marketable and consist of a complex integration of our proprietary technology and parts with other commonly available engineered components, which create a further barrier to entry for our competition;

Our ability to create products which provide valuable solutions to nascent industries with very large market opportunities globally; and

Our geographic footprint in North America, Europe, the Middle East, and existing customer base and contracts.

Products and Technologies

EV and AV Charging Infrastructure.

Our clean energy infrastructure products currently incorporate the same underlying technology with a built-in renewable energy source within attached solar panels and/or a light wind generator, along with battery storage, which enables our products to generate and store their own electricity while operating without connecting to the utility grid. Our products are also able to connect to the grid if a customer values that capability.

We believe that the U.S. and global utility grids are not expanding quickly enough to keep pace with accelerated electrification of transportation and rapidly growing digital infrastructure. Governments are advancing aggressive mandates, including the European Union policy requiring that all new cars sold from 2035 produce zero CO2 emissions, ending new internal combustion vehicle sales across its member states. At the same time, global data center electricity consumption is projected to grow by approximately 15 percent per year from 2024 through 2030, more than four times faster than total electricity demand growth from other sectors. Even before this additional strain, power outages were costing the U.S. economy an estimated $150 billion annually, according to the U.S. Department of Energy.

In many cases, sites with an existing grid connection lack sufficient electrical capacity to support EV charging in any meaningful way. For example, parking lots may have adequate electrical capacity to power lighting but not enough to power EV charging. Beam products are designed to provide that power without requiring increases in on-site grid capacity, which can often be, and we believe will increasingly be, expensive, disruptive, complex and time consuming.

We believe that there will be an increasing demand and need for rapidly deployed and highly scalable EV charging infrastructure products which do not require construction or electrical work, and which do not rely on the utility grid for a supply of electricity. We are not aware of any other products which provide a similar solution for this need as effectively as our patented products which are listed below:

EV ARC™ (EV and AV Autonomous Renewable Charger) – We believe this patented product is the world’s first and only transportable, solar powered EV charging infrastructure product on the market that fits in a parking space but does not reduce available parking. The EV ARC™ generates and stores all its own energy through its combination of tracking solar array and integrated batteries, so there are no utility bills to pay. EV ARC™ features our patented BeamTrakTM sun tracking technology that follows the sun to generate up to an additional 25% of solar electrical power. It does not need a grid connection or foundations which eliminates the need for lengthy construction projects, trenching, switch gear, or transformer upgrades. The EV ARCTM can be delivered to its intended location and is set up and charging in less than an hour. Because there is no foundation, trench or electrical infrastructure, the EV ARC™ typically does not require a building or any other kind of permit, and it is easily transportable if a different location is desired. EV ARC™ products support Level I, Level II and DC Fast Charging (requiring 4 interconnected units) and can charge between one and six EVs simultaneously. A single unit can provide EV charging to as many as 12 parking spaces. The electronics are elevated under the solar array which is designed to make the unit flood-proof in up to nine and a half feet of water. EV ARC™ systems have been independently rated to withstand winds up to 160mph.

Because the EV ARC™ systems are solar powered, they are not disrupted during grid interruptions, such as black-outs or brown-outs, which is becoming increasingly important as more transportation relies on electricity for fuel. Current grid-tied EV chargers are often placed in locations where a suitable circuit is most easily accessed and cheapest to install, rather than in the most convenient and desirable locations for EV drivers. EV ARC™ systems do not need to be connected to the grid and as such, can be placed anywhere, making them a rapidly deployable and highly scalable solution for EV and AV charging infrastructure.

We received a patent in 2024 for a version of the EV ARC™ which, will be able to provide wireless charging to suitably equipped EVs and to autonomous vehicles (AVs). Autonomous vehicles are currently typically plugged into a grid tied EV charger by a human being meaning that their operations are not entirely autonomous. Our patented wireless charging capability will enable AVs to charge without human intervention.

Because EV ARC™ systems are highly visible, we believe they are an ideal platform for sponsored deployments. Under this model, networks of EV ARC™ systems can be deployed and owned by us and monetized through sponsorship and naming-rights agreements with corporate sponsors seeking to associate their brands with renewable, clean-energy initiatives by sponsoring a city-wide sponsorship offering free EV charging which we refer to as our "Drive on Sunshine"™ network. We intend to deploy our Drive on Sunshine™ network in highly populated areas where we will deliver free EV charging while monetizing the network of EV ARC™ systems through corporate sponsorship programs. Our products also create significant reductions in greenhouse gas and CO2 emissions which, we believe, is a further inducement to encourage corporations to sponsor our network as they may benefit from the carbon offsets generated by a network of EV ARC™ systems. In 2024, we deployed our first sponsorship funded network of EV ARC™ systems at Belgrade International Airport in Serbia. Beam Global retains title to the EV ARC™ and receives recurring payments from Globos Osiguranje, a prominent Serbian insurance company. Globos Osiguranje benefits from the promotion of their business as a result of their branding being prominently displayed on the EV ARC™ systems which are deployed in parking spaces in parking lots nearest to the airport terminal buildings. The Globos Osiguranje branded EV ARC™ systems are placed in locations that are visible upon arrival and departure from the airport. We also entered into an agreement with Vinci Airports, the world’s leading private airport operator with over 70 airports under management internationally, which does not require us to pay rent because of the amenity value that is delivered to the airport through the provision of free Drive on Sunshine™ experience for their visitors and guests. We believe that we may be able to repeat this model in other Vinci airports around the world. We also believe that now that we have successfully proved that this business model works, we can further expand it into different types of environments where there are sufficient densities of people to make the advertising worthwhile.

EV ARC™ DCFC – DC Fast Charging system for charging EVs comprised of four interconnected EV ARC™ systems and a 24kW DC fast charger.

BeamSpot™ – patent issued on December 31, 2019, and first installations were made in 2025. BeamSpot™ is an EV and AV charging and emergency power product which uses an existing streetlight’s foundation and a combination of solar, wind, grid connection and onboard energy storage to provide curbside charging and emergency power without the need to do extensive construction or electrical work. Beam Europe is one of Europe’s largest manufacturers of streetlights. We believe that BeamSpot™ has the potential to become one of our largest selling products.

BeamSkoot™ is a rapidly deployed charging infrastructure product for electric mopeds. There's no construction or electrical work and because it generates and stores its own electricity it does not require a connection to the utility grid and it does not generate a utility bill. It is capable of charging 4 electric mopeds at the same time, and we will sell it either without electric mopeds so that existing owners and users can charge outdoors, or as a bundle with the mopeds included through our partnership Benzina Zero.

BeamBike™ - rapidly deployed, construction free, solar-powered charging system based on the patented EV ARC™ platform which generates and stores its own clean electricity, accessed through twelve integrated, weatherized 120 V outlets supporting any eBike charger or through proprietary charging ports for Beam branded e-bikes for rentals or sharing. Supports 12 eBikes and is available with or without bundled eBike packages and a mobile app which takes payments and locks and tracks the locations and usage of the e-bikes.

BeamPatrol™ - Rapidly deployed and easily transported, the BeamPatrol™ station allows law enforcement and safety personnel to charge and quickly access electric motorcycles without the need for any additional infrastructure or fuel. This innovative solution is ideal for law enforcement, customs and border patrol, the military, park services, air and seaport operations and any situation where the ability to rapidly gain access to an environment, without alerting targets of the operation, is required. BeamPatrol™ and its motorcycles generally have low maintenance and fuel costs and provide a highly reliable mobility solution while assisting in the carbon reduction efforts of the agencies that use the product. BeamPatrol™ is made available with, or without bundled eMotorcyles.

BeamWell™ - based on the patented EV ARC™ system, is a self-sufficient, self-contained operational system for use in war zones and remote or disaster areas where only salt, brackish or dirty water is available because a reliable clean water supply is not available or has been interrupted. The BeamWell™ system provides three essential services to regions in crisis: it turns seawater into fresh water, which is then stored in an integrated 3000-liter tank that is replenished daily; it provides a source of electricity which can be used for medical or communications devices as well as cooking, refrigeration and lighting; and it charges four integrated electric mopeds for the rapid distribution of food, water, medications or other vital resources, to those in need.

Smart Cities Infrastructure products – Streetlighting, street furniture, communications infrastructure products, energy infrastructure products, with electronics integration including renewable energy sources, battery storage, sensors and IoT integration.

BeamFlight™ - patent issued on November 24, 2020, and currently under development. An off-grid, renewably energized and rapidly deployed product and network used to charge aerial drone (UAV) fleets.

Power electronics and energy storage solutions for telecommunications, energy infrastructure and, in the future, our own patented product portfolio.

Energy Storage Solutions

According to MarketsandMarkets Analysis, the global lithium-ion battery market size is projected to grow from $195 billion in 2025 to $426 billion by 2033; and it is expected to grow at a compound annual growth rate (CAGR) of 10% from 2025 to 2033. We are living in an increasingly electrified world and more of the devices we rely on are no longer connected to a wall socket or any kind of utility connection. This untethering requires energy storage to be more energy dense and packaged in increasingly smaller and lighter formats. The storage and release of electrical energy will create heat. In extreme cases, this can lead to a chain reaction within a group of battery cells that can be difficult to stop, known as “thermal runaway”, which can be difficult to control and has, in certain instances, resulted in fires. We have demonstrated that our energy storage products create high performance energy storage solutions used in drones, EV charging, EVs, micro mobility, aviation, medical devices, robotics, stationary storage, and military and maritime applications. We believe that we are unique in the EV charging industry in that we use our own proprietary energy storage solutions in our EV ARC™, BeamSpot™ and other EV charging products. We believe our proprietary and patented passive thermal management, modular platform architecture, and scalable BMS, enhance safety and performance to prevent thermal events, while extending battery life and reducing lifetime stored energy costs. We provide safe, scalable and high-powered energy storage solutions which have enabled electrified applications in many formats for militaries, government agencies, Fortune 100 companies and many others in the U.S and Internationally.

Energy Security and Disaster Preparedness

According to the United States Department of Energy, if projected load growth continues, driven by the electrification of transportation, AI driven data centers, and expanding digital infrastructure, without corresponding upgrades to grid infrastructure and capacity, the risk of power outages could increase by as much as 100 times by 2030. Our products are fully sustainable and include battery energy storage that can be used during times of grid or hydrocarbon fueled generator failure or during public safety power shutoff (“PSPS”) as may be required in certain jurisdictions. Our primary focus in energy security is to ensure access to EV recharging infrastructure during grid failures, such as blackouts. As the adoption of EVs increases, it will be critical to have fuel (recharging) infrastructure that is not reliant on the utility grid with its centralized vulnerabilities. We have witnessed power outages in Texas due to cold weather, in California due to wildfires and in California and New York due to hot weather and in other parts of the nation whenever inclement conditions such as high winds or flooding occur. California has also been susceptible to PSPS to prevent fires during high wind events. There have been kinetic and cyber-attacks on the grid, and the U.S. government has evidence of intrusions by nefarious nation state actors. A Wall Street Journal article reported that attacks on the US power grid rose 71% in 2022 over 2021. In April 2024, North American Electric Reliability Corporation, a division of the grid oversight body, reported that physical assaults on the grid have remained high since rising in 2022, with about 2,800 reports of gunfire, vandalism and other strikes on electrical networks in 2023. Events such as these constitute significant vulnerabilities which are expensive, disruptive, inconvenient, and dangerous. As we electrify our transportation fleets, these events may become catastrophic. The U.S. has a Strategic Petroleum Reserve to ensure that it never runs out of gasoline and diesel, but there is no strategic electric reserve. The electrical grid faces unprecedented challenges as a result of increased frequency and intensity of extreme weather events, such as heat waves, wildfires, hurricanes, floods and other climate events which can disrupt the generation, transmission and distribution of electricity.

On April 28, 2025, a major blackout across Spain and Portugal affected over 55 million people for more than half a day, disrupting transportation, communications, and critical services. During this the power outage, Beam Global’s EV ARC™ continued to operate seamlessly providing critical solar-powered EV charging and emergency power where traditional infrastructure failed. This event highlighted the vulnerability of centralized electricity grids and the growing importance of decentralized, resilient energy infrastructure.

We believe Beam’s products are a highly robust and secure source of power for EVs and provide a hedge against grid failures. Our EV ARC™, BeamSpot™, BeamBike™, BeamPatrol™ and BeamWell™ products currently provide locally generated and stored electricity which is not impacted by grid failures. We are engaged with government officials at every level to increase awareness of our products and the benefits they can bring to energy security. We are increasingly hearing suggestions that 25% of all EV charging infrastructure should be independent of the centralized grid. We believe that our products are uniquely positioned to fulfill this need. We believe that our current contracts with California, Florida, New York City, and the Federal government through our General Services Administration (GSA) Multiple Award Schedule Contract and Sourcewell, a government purchasing organization that enables state and local governmental entities and other eligible agencies to procure products through a competitively solicited process, position us to take advantage of what we believe will be a significant increase in the requirements of robust and sustainable EV charging and energy security infrastructure. We believe that we produce products which are valuable and politically popular regardless of which administration is currently in power because they provide:

1.

American made products

2.

Reliable innovative Energy

3.

Energy Security

4.

American fueled transportation

5.

Communications and energy infrastructure

We believe that our products are ideally suited to fulfill all these requirements.

Traffic Telecommunications and Energy Infrastructure Products

On October 20, 2023, Beam acquired Amiga DOO Kraljevo (“Amiga”), a business located in Serbia that manufactures and distributes steel structures with electronic integration. Amiga, which we renamed Beam Europe following the acquisition, has sold the following products throughout the European region, in North America and in countries across Africa:

(i)

infrastructure products for public lighting;

(ii)

infrastructure products for mobile telephones, networks, and transmission lines.

(iii)

infrastructure products for trams, trolleybus, and railways.

(iv)

infrastructure products for contact networks, masts, portals and semi-portals for road and railway signaling;

(v)

large steel lattice structures for specific purposes (e.g., stadiums, factories, power plants, etc.); and

(vi)
distribution and command electrical cabinets.

We have observed that our European operations have strong engineering, product development and manufacturing capabilities which is well suited to manufacture Beam’s current products and the development and manufacture of Beam’s new products. We intend to introduce our portfolio of patented renewably energized products further in Europe, the Middle East and Africa.

On August 30, 2024, Beam acquired Telcom d.o.o. Beograd (“Telcom”), a business located in Serbia and engaged in the manufacturing of power electronics and telecommunications equipment. Telcom engineers and manufacturers specialized power electronics including inverters, charge controllers, power supplies and LED lighting. Telcom has electrical engineering, product development and manufacturing capabilities which are ideally suited to improve the Company’s current and future products for the global market. We believe Telcom has a well-respected and highly talented team of electrical engineers, focused on power electronics and the integration of renewables and energy storage. We continue to grow Telcom’s legacy business, and we believe that Telcom’s portfolio of existing customers offers further opportunities for expansion of our products in Europe.

Outdoor Media Advertising

We believe there is opportunity in the outdoor advertising space to place outdoor advertising content on Beam’s infrastructure products. The objective is to sell advertising space on our products to a company, with the proceeds being used to fund the delivery of EV ARC™ systems. We believe this is a proven, successful business model, and our EV ARCTM provides a good platform for advertising for a company who seeks to promote their support of clean energy. In November 2024, we announced our first sponsorship agreement with Globos Osiguranje, one of Serbia’s premier insurance companies. Under the agreement, Globos Osiguranje sponsored five EV ARC™ solar-powered EV charging stations that provide free public EV charging which were deployed at Belgrade Nikola Tesla Airport, Serbia’s busiest international travel hub. In order to facilitate this sponsored “Driving on Sunshine” initiative, Beam Global previously secured an agreement with Belgrade Airport, part of VINCI Airports, an operator of over 70 airports in 14 nations across the globe, to operate the network in prime locations at Belgrade Nikola Tesla Airport with further cooperation with VINCI Airports to be considered.

This three-way partnership marked Beam Global’s entry into an owner-operator business model, where we generate income through a long-term annuity stream of recurring payments. By retaining ownership of the EV ARC™ systems, Beam Global secures a steady, predictable revenue stream while delivering sustainable solutions. Globos Osiguranje is able to provide “Driving on Sunshine” sponsored EV charging for free to EV owners because EV ARC™ systems do not require utility electricity and do not generate costs for the energy dispensed. Providing the EV charging for free while monetizing the sponsorship significantly lowers Beam's administrative costs and risks associated with collecting payments or personal information from the EV drivers. We believe that the amenity value delivered to site hosts enables Beam Global to receive highly favorable economic terms on the parking spaces in which the EV ARC™ systems are placed. This model is designed so that sponsorship payments are not diluted by typical operating costs, which might burden companies that do not have Beam Global’s technology advantage.

Strategy

Target Markets

Beam’s target markets consist of several broad segments including: state, municipal and federal governments and agencies, militaries, corporations, universities, retail, hospitality, Tribal Nations and international markets. These segments can further be broken down into increasingly granular segments as different market opportunities are identified.

Beam’s largest customers have historically included the U.S. Federal Government, including the U.S. Army, Department of Veterans Affairs, Department of Homeland Security, United States Marine Corps, and many other federal agencies, and the State of California, which is a conglomeration of California state agencies and municipalities. We have expanded the sale of EV ARC™ systems to 41 states throughout the U.S., and countries in Europe and the Middle East, Puerto Rico and the U.S. Virgin Islands in the Caribbean. The largest customers that we sold to in 2025 were Advanced Energy Mahine (AEM), City of Dallas and Upscale Developers and in 2024 were the US Army, Department of Homeland Security, followed by the State of California.

In October 2023, Beam acquired Amiga DOO Kraljevo (“Amiga”) which we renamed Beam Europe following the acquisition, is a business located in Serbia and engaged in the manufacture and distribution of steel structures with electronic integration, such as streetlights, cell towers, and transportation portals. We believe Amiga’s manufacturing capabilities are well suited to manufacture and sell Beam’s current products into the European market, which is a larger market, with 420 million cars, than the U.S. which has 290 million. We believe that Amiga has also a strong engineering team that is currently helping to develop our new products for sale in both the U.S. and Europe. We believe this provides a strong growth opportunity for Beam’s products. Amiga’s target customers have typically been municipalities and other government entities. Amiga's target market is very similar to the target market that we have pursued in the U.S. As a result, we are now able to expand our sales efforts into larger markets, which we believe may provide enhanced growth opportunities.

On August 30, 2024, Beam acquired Telcom d.o.o. Beograd (“Telcom”), a business located in Serbia and engaged in the manufacturing of power electronics and telecommunications equipment specializing in power electronics including inverters, charge controllers, power supplies and LED lighting. We believe Telcom has a well-respected and highly talented team of electrical engineers, focused on power electronics and the integration of innovative energy generation and energy storage. Telcom’s sales have typically been focused on telecommunications infrastructure providers as well as providers of material rehandling equipment and other consumers of power electronics particularly where inversion and energy storage are concerned. We believe that the acquisition of Telcom creates opportunities for Beam to broaden our target markets while at the same time improving our existing portfolio of products.

We consider the factors below in determining favorable markets for our products:

For transportation and mobility.

Are there high or growing concentrations of electric or autonomous vehicles?

Are there now, or will there be in the future, laws or other regulatory requirements which incentivize the adoption of entry vehicles?

Are there now, or will there be in the future, laws or other regulatory requirements which penalize the use of internal combustion engine vehicles?

Is there a requirement for rapidly deployed and highly scalable charging infrastructure?

Is the cost of construction and electrical work required to install traditional grid tied chargers high?

Is the process for acquiring environmental impact studies, zoning, permitting, and other permissions and regulatory hurdles complex or time-consuming?

Is the cost of electricity high, growing or likely to grow?

Is there a lack of sufficient capacity on the existing utility grid infrastructure?

Does the likelihood of blackouts or other grid interruptions make it important to have other sources of electricity which are immune to those types of interruptions?

Are there potential customers who are operating in leased premises who might not be in a position to invest in tenant improvements, and who would rather acquire equipment which they can take with them at the end of the lease?

Are there requirements for EV or AV charging fluid and potentially likely to change?

Are there incentives or other political or regulatory incentives, which might encourage the deployment of charging infrastructure for electric vehicles, energy storage, innovative sources of energy?

Are there high volumes of tourists or others who might benefit from using shared electric bicycles?

Are there large compass environments where the use of electric bicycles, electric scooters or electric motorcycles make more sense than the use of traditional internal combustion engine vehicles?

Is the complexity of extending the electrical grid to locations where electricity or charging infrastructure required too complicated, disruptive or impossible?

Are there local environmental considerations which make construction or electrical work too risky?

For energy security.

Is the vulnerability to grid interruptions too high because of the potential for inclement weather conditions, or some other input like terrorism or nefarious state actors?

Is the mission so critical that any sort of interruption of utility electricity supply insupportable?

Could the cost of interruptions to utility Electricity be greater than the Cost of our products?

Is a reliable grid supply too expensive to deliver to the location?

For energy storage.

Does the customer require highly energy dense battery packs?

Is thermal management and the prevention of thermal runway important?

Does the customer have specific form factor requirements wherein a traditional square or rectangular battery would not serve as well as our bespoke form factored solutions?

Are there complex engineering or development requirements for the creation of the energy storage solutions which can be met by our team of highly skilled engineers and scientists?

Is the mission to be performed by the energy storage solution more important than low costs?

Is the customer looking for a non commodity solution?

Is it important to the customer to have the highest energy density to weight ratio commonly available?

Is it important for the customer to have a made in America energy storage solution?

For smart cities infrastructure.

Is the city looking for forward-looking tech technology solutions?

Is the city considering any type of lighting upgrades or other measures to reduce energy consumption?

Does the city value gathering data to make the lives of citizens safer and more efficient?

Is the city looking to lower its operational costs?

Are there mandates or other regulatory incentives which encourage the deployment of Smart cities technologies?

Is pollution, crime, violence, severe weather, or other environmental considerations important to the decision makers in the city?

Many of these factors have been important since the early days of EV adoption. According to the International Energy Agency, more than 50 countries, representing around 60% of the global population, have policies in place to incentivize the adoption of electric vehicles, signaling strong government support for transportation electrification. In the U.S., while the federal government has become less enthusiastic about the acquisition of EVs and EV charging infrastructure, there are still currently nine states that have announced plans to prohibit the sale of new internal combustion engine automobiles after 2035. California has announced a similar ban, and seventeen other states have historically followed California’s regulations. In addition to all-electric car manufacturers such as Tesla, BYD, Lucid Motors, Rivian, Polestar, etc., most car companies now offer EV options for various types of vehicles. General Motors has committed to only offer zero-emissions vehicles by 2035 and six major automakers including Ford, Mercedes-Benz, Volvo and 3 others, along with 30 nations, signed a pledge to eliminate sales of new gas and diesel-powered cars no later than 2040 in leading markets. Automotive manufacturers have started production of EV which are more consistent with traditional car models that have been popular with U.S. consumers. GM has launched an electric Hummer which has 1000HP (compared to the gasoline version with 300HP) with a similar acceleration rate as the all-electric F150. The European Union has also announced a ban of the sale of internal combustion engine vehicles in 2035. Europe is the largest automotive market in the world with 405 million cars versus 320 million in China and 290 million in the U.S.

We believe that consumers will adopt EVs faster than many experts are predicting and that as a result, the requirement for growth in EV charging infrastructure will be more urgent than is currently forecasted or contemplated. We also believe that as the easiest (low hanging fruit) locations for grid-tied chargers are established, the process of deploying traditionally installed and powered grid-tied EV chargers will become more expensive and time consuming. At the same time, we believe that we will continue to reduce the costs of producing our products and become faster at deploying them. During a period of significant and increasing demand, we believe that our scalability and rapid deployment will create a significant advantage for our products and our position in the market.

Growth Strategy

Our growth strategy can be broken into the following sectors:

1.

Geographic expansion

2.

Product and technology portfolio expansion

3.

Customer segment diversification

4.

Targeted selective acquisitions

Geographic Expansion

Prior to 2023, our revenues and growth were from the U.S. market. As a result of our acquisitions of two companies in Serbia and a recent expansion through the creation of Beam Middle East based in Abu Dhabi, we are now selling into the U.S., North and South America, Europe and The Middle East and Africa. The needs in each of these markets are similar and our products' capability of addressing those needs is, we believe, universal.

Since the fourth quarter of 2023, we have been selling our products in the European market with, for example, sales of EV ARCs™ to the British Army in Cyprus and the deployment of a sponsored network of EV ARCs™ at the Belgrade International Airport. Our Spanish partners GECI have sold EV ARCs™ in Spain, and our Romanian partners have recently closed a sale in Romania. In the second quarter of 2025, we expanded into the Middle East where we have deployed both EV ARC™ products and our BeamBike™ solution. We now have sales representatives in many countries in Europe as well as in the Middle East and in Africa. We believe that this level of geographic expansion will create many opportunities for us to increase our sales and revenues in the coming quarters. We are increasing our offering of our electrified, transportation products, our energy storage and energy security products, and our smart cities infrastructure products in the U.S., Europe, the Middle East and Africa. We believe that our expansion into these new markets, where the requirements are the same or similar as they are in the U.S., should offer a significant opportunity for growth as the sales cycles in each of these markets matures.

Product and technology portfolio expansion

Historically the majority of our revenues have been generated through the sale of a single product - the EV ARC™. In the fourth quarter of 2024 Beam Global introduced several new products targeting energy security and the electrification of transportation which are described above the section “Products and Technologies”.

As a result of our acquisition of Amiga in 2023, Beam Europe is one of the largest manufacturers of streetlights in Europe. We have an extensive portfolio of bespoke and mass-produced streetlighting solutions which we sell in countries across the region. We also manufacture other steel structures with integrated electronics such as renewable energy production, telecommunications infrastructure and traffic portals.

We are increasingly enhancing our portfolio of products through the addition of software, power electronics and sensors. A significant part of our growth strategy is based upon our belief that our customers will increasingly value data delivered to them from our extensive portfolio of products which we are continuing to make further developments in this area. We intend to make further developments in this area and we'll use a combination of in-house development solutions, solutions acquired from others from potential acquisitions. We believe that combining machine learning with AI in the type of sensor rich environments which we can deploy may create significant revenue opportunities in the future.

Customer Segment Expansion

Historically a large proportion of our revenues were from sales of products to U.S. governmental agencies. However, in 2024 and 2025, we increased the number of sales from corporate and international customers. Over 30% of our sales in 2024 and 75% in 2025 were non-government sales. As part of our growth strategy, we intend to continue to expand our focus on sales to non-government and international customers. We believe that our products provide a great deal of value to corporate customers who are increasingly concerned with energy security, carbon contribution reductions and technology solutions which do not require significant construction or electrical projects. At the same time, we will continue to focus significant selling resources on governmental agencies outside of the U.S. In Europe, governments are still very actively pursuing the electrification of transportation and carbon reduction through the generation of electricity using renewable sources. In the Middle East large amounts of petrol dollars are spent on renewable energy technology and the electrification of transportation. We believe that Africa, with a population of 1.4 billion, offers very significant opportunities as people increasingly adopt vehicles which are not powered by internal combustion engines. We believe that these new customer segments will create further opportunities for growth in 2026 and the years beyond.

Targeted Selective Acquisitions

Through our acquisitions, we have gained new technologies, new customers and new market opportunities while at the same time adding capabilities which have reduced our costs and enhanced our gross margins. Our acquisition of All Cell Technologies ("AllCell") in 2022, a battery manufacturing company based in Illinois, expanded our patent portfolio, provided access to new industries and opportunities, strengthened our supply chain, and reduced our cost of goods sold while improving our product. Our acquisition of Amiga included a 250,000 square foot factory facility in Kraljevo, Serbia which opened up new markets to us in Europe, the Middle East and Africa. It also enabled us to develop our BeamSpot™ product, and reduced our costs of manufacturing both in Europe and the U.S.. We believe it also enhanced our engineering and product development team in a highly cost-efficient manner. Our acquisition of Telcom, a power electronics company also based in Serbia, allows us to create bespoke electronics solutions for our products which will enable us to reduce our costs while improving our production. This acquisition also allowed us access to new customer segments.

We take a highly disciplined and deliberate approach to acquisitions, focusing on targets that are good strategic fits, include capable and engaged management teams, and are acquired at valuation and on terms that we believe are favorable to all parties, with particular emphasis on delivering value to Beam Global shareholders.

In addition to the acquisitions above, we have entered into a joint venture agreement with the Platinum Group L.L.C. in the Emirate of Abu Dhabi, UAE, which will sell and manufacture our products across the Middle East and African regions.

We continue to actively search for opportunities which we believe will continue to improve our business model, our business operations, our revenues and profitability. We believe that there are areas of opportunity in further sourcing our manufacturing operations through the acquisition of companies who make components that are necessary to the operation of our products. We also believe that there are opportunities for us to acquire companies which may bring new technological progress to our organization in order to increase the barrier to entry for our competition and our ability to generate further revenues at higher gross profits. We will continue to seek targets and to endeavor to negotiate beneficial deals for Beam Global while at all times retaining our discipline and our commitment to making acquisitions that are well priced, well-structured and in the best interests of our shareholders.

The EV market is expected to grow at a rapid pace, and it is expected that the EV infrastructure market will grow at a comparable pace to support the EVs. According to Grand View Research, research indicates that the EV-charging infrastructure market is expected to reach $238.8 Billion by 2033 which is a 25% compound annual growth rate (CAGR) between 2026 – 2033. In December 2024, the California Energy Commission approved a plan for nearly $1.4 billion in funding for 17,000 new light-duty chargers statewide. We currently operate in three rapidly growing markets: The electrification of transportation and mobility, energy storage (batteries), and security and smart cities infrastructure. We believe that our products have a global appeal and that we are at a very early stage in the development of our sector. We believe that our strategic growth plan will enable us to increase our user base and revenue while increasing profitability. Further growth steps include:

Engaging government relations experts internationally to educate decision makers on the value of our products.

Increase marketing efforts to educate potential customers.

Expanding our geographic footprint and customer base, in Europe, the world’s largest automotive market and the Middle East and Africa, a region set to invest over $1 trillion in renewable energy by 2030.

Increasing our gross margins by increasing production volumes, improving operating efficiencies and reducing the cost of materials and production.

Increasing leverage of outsourcing as our manufacturing process scales.

Expanding our recurring revenue business.

Educating potential customers regarding government grants, investment tax credits, and other incentives available to our customers.

Capturing market share of the electrified personal and public transportation space.

Continuing to develop and innovate new products and build a strong IP portfolio.

Sales and Marketing

Beam utilizes a combination of an in-house sales team and outside consultants, pairing customers with our sales specialists, to ensure customers' needs are met. Historically, almost all of our sales have been made by a relatively small in-house sales team based largely within the U.S. In 2024, we started to execute on a new strategy of engaging outside sales resources such as distributors, resellers and agents. We view this salesforce strategy as an important part of our plan to increase sales while maintaining our operating costs at a low and stable level. The agreements we have put in place with distributors, resellers and agents are all performance-based which allows us to expand sales without a corresponding increase in fixed operating expenses.

We believe we are able to be successful with an outside sales strategy due to the maturation of our internal sales processes and materials. We have designed a thorough selling process flow instruction manual and a Sales Resource Center which is hosted online and available to anyone we authorize. This centralized Sales Resource Center provides standardized training materials, product specifications, marketing collateral, demonstration content, and sales process documentation designed to ensure consistent messaging and effective engagement across our internal sales team, resellers, and external sales partners.

We now have resellers and agents in the U.S., Spain, Portugal, Italy, Caribbean, Central America, the Balkans, the Middle East, Africa and Australia. Certain of our marketing materials have already been translated into multiple languages and we created video and other content which is used as selling aids. These international channel partners expand our geographic coverage and provide localized sales support for governments, utilities, commercial organizations and institutional buyers who are seeking EV charging and clean energy infrastructure solutions. The external resources which we have engaged have established track records and relevant experience in selling infrastructure products to the types of customers with whom we have had success historically. Many of our partners have longstanding relationships within transportation, government, utilities, and commercial infrastructure sectors which align closely with Beam Global’s target customer segments. We have recognized the benefits of this strategy in 2025 and we believe that it will support increased revenue and profitability in both new and existing markets.

Our U.S. sales process is heavily focused on driving awareness of our products and solutions for charging needs. We have been investing more in marketing and videos. These efforts include educational content, digital marketing campaigns, product demonstrations, and industry outreach designed to increase market awareness of Beam Global’s off-grid EV charging infrastructure solutions. Beam uses research to identify potential customers, as well as contacts established through trade show events and in-bound calls. We also utilize a combination of regional and industry focused campaigns, nurturing campaigns, speaking opportunities, product demonstrations, press releases and social media (Facebook, Instagram, X, Google and LinkedIn). Our marketing programs are designed to reach customers across multiple vertical markets including government agencies, transportation authorities, universities, commercial fleets, hospitality organizations, utilities, and commercial property owners. Beam is, we believe, an industry leader in the sustainable EV charging infrastructure space, and we use our website and social media to highlight our innovative products and offerings.

Sales of our products often have long sales cycles due to the capital expense, budgeting cycles, and the sophisticated nature of our products. We are working to decrease the time of our sales cycles and believe that expanding our focus beyond government agencies will improve timelines as awareness and acceptance of our products increase, along with the urgency surrounding the deployment of EV charging infrastructure. Sales often rely on bureaucratic processes and funding approval which can result in extended sales cycles. We support our customers by identifying tax credits, grants and government programs to reduce the cost of their purchase.

Our products may be eligible for various taxes and other incentives, which can significantly reduce the out-of-pocket expenses paid by our customers. Examples of these incentives include:

Federal Solar Investment Tax Credit (ITC) (Section 48E of the tax code). For eligible projects, customers may qualify for the federal Clean Electricity Investment Credit under Section 48E of the Internal Revenue Code, which generally replaced the prior Section 48 investment tax credit for property placed in service after 2024. The base credit may increase if applicable domestic content, energy community, prevailing wage, and apprenticeship requirements are satisfied

Section 179 and Bonus Depreciation – Our customers may be able to expense or accelerate depreciation on qualifying equipment, which can provide substantial first year tax benefits depending on the property, the customer’s tax profile, and the year the property is placed in service. IRS guidance for 2026 reflects a Section 179 deduction limit of $2,560,000, and current IRS guidance also reflects 100% bonus depreciation for qualified property acquired and placed in service after January 19, 2025.

The Inflation Reduction Act of 2022 extended and amended the 30C Alternative Fuel Vehicle Refueling Property Credit (30C credit) which provides an income tax credit for qualified alternative fuel vehicle refueling property, including certain property for the recharging of an EV. This program is available through January 1, 2033, and may provide an income tax credit for businesses up to $100,000 per deployment, which helps to make EV chargers more accessible for commercial use.

We believe that because our products are rapidly deployed, enhanced energy security and are made in America, we are well positioned to benefit from these and other initiatives.

Major Customer Contracts

In 2025 and 2024, we had two major customer contracts, the State of California and the General Services Administration (GSA) Multiple Award Schedule (MAS) that accounted for 29% and 58% of revenues for the years ended December 31, 2025 and 2024, respectively. Each of these contracts represents a highly diverse and dispersed customer prospect pool for Beam Global due to the extensive and varied nature of government departments within the Federal and California government spheres.

GSA MAS and GSA BPA Contracts. Since November 2020, following an extensive evaluation process, we have had in place a Multiple Award Schedule Contract with the General Services Administration (“GSA”) that helps streamline purchases from federal agencies and state and local governments. In addition, the GSA awarded Beam Global a federal blanket purchase agreement in April 2022 which provides federal agencies a streamlined procurement process for procuring EV ARC™ systems. In Q2 2025, the contract was extended until October 31, 2030. Both contracts help to simplify the procurement process and ensure the best pricing for the applicable agencies. We have sold 906 EV ARCs™ through these contracts for $72.1 million prior to 2025 and 28 EV ARCsTM for $4.3 million in 2025.

Sourcewell. On November 12, 2025, we announced being awarded a cooperative purchasing contract by Sourcewell, expanding our access to U.S. military, state and local government agencies and higher education institutions across North America. Sourcewell combines the purchasing power of over 50,000 participating public agencies, offering hundreds of awarded supplier contracts across public sector and educational organizations to procure our sustainable infrastructure and energy storage solutions through a ready-to-use, negotiated, Sourcewell-vetted contract, thereby streamlining the public purchasing process.

Competitors

EV Charging Infrastructure

We do not compete with EV charging companies or utilities. In fact, we support the major EV charging product and service providers by factory integrating their products into ours, prior to deployment. We have deployed ChargePoint, Blink, Enel, Electrify America and many other quality charging brands. We also do not compete with utilities who use our product as another tool to provide electricity, primarily for EV charging to their customers. We have sold products to seven utility customers and anticipate that that number will grow as more utilities become engaged in EV charging and in deploying distributed generation resources to enhance grid stability. Our EV ARC™ product is unique in that we are a complete solution for EV charging infrastructure requirements. EV ARC™ provides both a renewable energy source, and EV charging capability in a rapidly deployable and highly scalable construction-free format. We do compete with several companies which are involved in the design, construction and installation of fixed grid-connected EV charging stations that depend on the utility grid for a source of power, and on the construction and civil and electrical engineering services for the installation of traditional infrastructure.

Competition in the solar renewable energy and EV charging industries is intense and fragmented among a wide variety of participants. Companies such as Schneider, Eaton and Bosch manufacture EV charging units but generally do not offer charging services. Companies such as ChargePoint (NYSE: CHPT) and Blink (NASDAQ: BLNK) offer EV charging services and hardware but not, typically, installation. There are many companies which offer installation services for the EV charging market. They are typically electrical and general contracting companies as well as some larger project management firms such as Black and Veatch, Bechtel, CH2M Hill and AECOM.

Our EV ARC™ units incorporate whatever charger the customer wants, so we are not competing with the charger company, but rather creating opportunities for them which they might not otherwise have had.

Certain competitors offer containerized or canopy-based solar-powered EV charging solutions. For example, some solutions utilize shipping container-based designs that incorporate batteries, solar panels, and EV chargers. Compared to our EV ARC™ systems, these solutions may require the use of dedicated parking space or additional site area, which could reduce available parking or require site modifications depending on local regulations. In addition, such designs may not include solar tracking capabilities, which can affect energy generation efficiency.

Other competitors, such as Paired Power, offer solar canopy-based EV charging solutions that may require on-site assembly and installation. In contrast, our EV ARC™ systems are designed for rapid deployment without the need for on-site construction.

Many solar installation companies are now affixing EV chargers to their parking lot structures, and some are offering packages combining solar rooftop installations and EV charger installations for the residential marketplace. These installations are generally grid-tied, require construction and electrical work and do not include energy storage.

Electrify America is another example of an entity which is providing free or discounted EV charging infrastructure. Electrify America plans to spend $2 billion by the end of 2026 on EV charging infrastructure access and education programs in the U.S. ($800 million in California). Electrify America is a customer of Beam Global and has used our products to assist in the expansion of their EV charging network.

We also face competition, to some extent, from entities which are offering free or discounted EV charging infrastructure to our prospective customers. Utilities such as the three large investor-owned utilities in California (SDG&E, PG&E, SCE) have successfully lobbied the California Public Utility Commission for permission to rate base the costs of installations of EV chargers. As a result, they can offer the installation, or “make readies” of electrical circuits and other civil infrastructure, for a lower price or in some instances for free, to certain customers. We have added utilities to our customer base and have provided product to seven utilities to date. We do not view utilities as competition and instead view them as a significant opportunity as they increasingly add off grid solutions to their energy mix.

Our electric bike recharging product competes with a variety of installers of bike sharing stalls and electric bike charging stations. Most electric bike stations that we are aware of are connected to utility grid and as a result rely on construction and electrical projects and the utility grid connection. We believe no other company is producing a rapidly deployed charging station which provides a secure location for the bicycles, the charging infrastructure, and all of the electricity that bicycles will ever consume.

In general, adopters of electric motorcycles often engage separate contractors and service providers for the provision of the charging which is necessary to keep those motorcycles active. We are not aware of any other company which provides a turn-key solution which includes a bundle with the motorcycles, the charging infrastructure and the fuel for the motorcycles under a single invoice. There's no construction electrical work or project management or planning required under our solution.

Energy Security

Where energy security is concerned, we compete with companies that produce generators and combine solar and storage solutions. Companies in this space range from small startup companies like Green Charge Networks to behemoths like General Electric and NEC. Siemens, Eaton, Schneider, Generac, and other large electrical component companies are all also working on combined renewables/storage product solutions. We are in contact with all these companies and have observed that none of them have a product which provides all the same value and differentiation that our energy security products deliver because our systems are transportable, rapidly deployed and offer multiple layers of value.

Our competitive advantage over these other solutions includes:

o

Rapid deploy ability and scalability of our products. Our products are manufactured in our facilities and delivered as turnkey solutions that can be deployed in less than an hour after delivery to a customer without the need for on-site construction. In contrast, grid-tied alternatives typically require design, engineering, permitting, and construction processes that can extend project timelines.

o

Lower total cost of ownership. Our products are powered by on-site renewable sources. As a result, there is no charge for on-going energy to power vehicles because our products do not generate a utility bill.

o

Ability to operate during blackouts and brownouts. Our products incorporate battery storage and are designed to operate independently of the utility grid, which may enable continued operation during grid outages. Most of the EV ARC™ systems we deploy include an emergency power panel that provide emergency power to operate other devices and emergency equipment during outages. Typical grid-tied solutions fail during grid failures and do not provide a source of emergency power. Even those grid-tied solutions that have back up battery integration rely on the grid to charge their batteries. During prolonged grid failures, those systems fail while our products continue to operate.

o

Located anywhere. Because a grid connection is not required, our EV ARC™ can be located anywhere, including prime locations in the front of buildings or remote locations that are hard to connect to a grid. Most grid-tied chargers are deployed in locations where the utility grid is easy and inexpensive to connect to, which may be locations that are not easily accessible or unsafe for drivers. We believe that as EV charging expands, the cost of grid tied installations will increase dramatically for desirable locations such as in front of stores or where people want to park due to the cost and complexity of bringing the grid to the charger. The cost and complexity to deploy our products will not increase and in fact, we believe that, like any other manufacturing company, our costs will decrease while our efficiency and deployment velocity increases.

o

We believe that the utility grid lacks sufficient capacity to replace oil as transportation fuel. The grid was not designed and has not been updated to do this. In many markets the grid is already operating at maximum capacity particularly during hot weather when people increase their air conditioning requirements. Our products provide extra capacity to charge EVs without requiring complicated, time-consuming, environmentally impactful, and risky expansions of the centralized utility grid infrastructure.

o

Environmentally sound products use clean energy. Grid-tied chargers rely upon electricity, more than 60% of which is generated by burning fossil fuels. The electricity our products provide is 100% emissions free. Furthermore, the construction activities required to dig trenches, manufacture, and pour concrete and perform the other tasks related to the construction and electrical installation of a grid-tied charger are environmentally impactful and reduce the environmental benefits of EVs. Our products are deployed with minimal or no disruption or environmental impact making them a cleaner choice.

o

Relocation. Beam Global's products can be transportable and relocated, which gives the customer the flexibility to move it if a job site changes or business needs change. Grid-tied installations are a permanent solution. Many of our customers operate in leased facilities. The transportability of our products means that a customer can remove them when a lease matures whereas grid-tied solutions become tenant improvements and a sank investment.

o

BeamTrak™, our patented solar tracking solution is designed to follow the sun generating up to 25 percent more electricity than a fixed array, is a significant advantage for our products over any similar offering.

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Product Improvements. Over time, we have continued to make improvements to our product, which increases our product’s energy production while reducing product costs, whereas the grid-tied competition is stuck at a theoretical maximum amount of energy that can be delivered at a given location.

Streetlights and integrated steel structures

The streetlight and integrated steel structure industry is highly competitive and there are several companies operating in Europe who directly compete with us. Cost is generally a major factor for our customers. Our European operations have over 30 years of experience serving customers in these markets, which we believe supports long-standing customer relationships and repeat business. Smaller competitors are generally less well equipped and because they buy less raw materials, particularly steel, they tend to have higher cost structures where direct costs are concerned. We are often able to compete with the larger competitors through our local presence in the Balkans, operational flexibility and ability to deliver customized solutions.

Representative competitors include:

1. Valmont Polska Sp. z.o.o.V– Poland

2. Zincometal SA Kilikis - Greece

3. Omega D.D. - Croatia

4. Dalekovod D.D. – Croatia

5. Petitejean S.A.S. - France

We believe that the combination of our legacy streetlight business with our patented portfolio of renewable energy security and EV charging products as well as our ability to create bespoke custom batteries, makes our product offering unique within the markets we are targeting period. We further believe that in certain circumstances the unique nature of our business will create a barrier to entry for our competition even in the legacy Streetlighting and other integrated steel structure product businesses.

Manufacturing

We are headquartered in San Diego, California in a leased building of approximately 53,000 square feet professionally equipped to handle the significant growth possibilities we believe are in front of us. The facility houses our corporate operations, sales, design, engineering and product manufacturing. The San Diego lease expires on September 30, 2026, and we are currently exploring options with respect to the facility.

We also lease a 37,800 square foot facility in Broadview, Illinois, where we produce our energy storage products for our own products and for a variety of other customers who need energy storage solutions.

In Europe we own a 450,000 square foot office and manufacturing facility in Kraljevo, Serbia on 6 acres of land that has adequate space and capacity to manufacture their legacy product offerings as well as EV ARC™s and our other products as needed for the European market. We also lease a 5,000 square foot business office in Belgrade, Serbia for our power electronics location and another business office for sales, product development and administrative which is 1,639 square feet.

In UAE, we lease a 535 square foot office as part of a much larger office facility shared with our joint venture partner, the Platinum Group, in Omniah Tower, Corniche Abu Dhabi. The facility houses our Sales and administrative team.

All of our products are currently designed, developed and manufactured in one or more of these facilities. We have been able to reduce our costs and improve our quality by performing fabrication in-house. This also provides a good environment for improving the manufacturing process, as well as for the development of new products. Many of our suppliers are local, which allows for shorter lead times and lower transportation costs. The EV ARC™ product family including BeamBike™, BeamPatrol™, BeamWell™ and BeamSkoot™ requires no field installation work and is typically delivered to the customer site by us or by a third-party transportation company for a fee. Our BeamSpot™ product requires minor on-site work to modify the existing foundation so that it can support the extra load which BeamSpot™, with its solar array and wind turbine, creates.

We continually endeavor to reduce component costs and make production and design improvements in both our products and our processes to reduce our manufacturing costs, while maintaining the high quality for which we strive. As unit sales continue to increase, we anticipate that we will be able to spread our fixed overhead costs over more units, which, along with our other cost controlling efforts will reduce the cost per unit.

Customer Concentration

During 2025, 29% of our revenue was attributable to federal, state, and local governments, compared to 62% in 2024. Furthermore, 14% of our revenue was attributable to the state agencies and municipalities in the State of California, compared to 25% in 2024.

Backlog

Our backlog on December 31, 2025, was $6.0 million. Our backlog on December 31, 2024, was $5.6 million. Reported backlog represents firm purchase orders or contracts received by customers for deliveries scheduled in the future. More than 50% of our 12/31/25 backlog is for Smart Cities products, and more than 30% is for our energy storage products. These backlog percentages demonstrate that our strategy to diversify our revenue opportunities is working. In prior years the majority of our revenues were derived from sales of EV ARC™ products. At 12/31/25 our EV ARC™ sales backlog only accounted for approximately 11% of total backlog.

Government Regulation

Businesses in general are subject to extensive regulations at the federal, state, and local level. We are subject to extensive government regulation relating to employment, health, safety, working conditions, labor relations, and the environment during the conduct of our business. In order for our customers to enable the installation of some of our products, they can be required to obtain permits from local and other governmental agencies. In the event that our customers elect to connect our products to the utility grid, they must comply with the applicable rules and regulations of the relevant state public utility agencies. or our customers to take advantage of available tax and other governmental incentives associated with the installation of solar power production facilities, and the production and use or sale of solar power, they must comply with the applicable regulatory terms and conditions. There may also be government regulations that could impact us as we begin to sell in the European market. Changes to new government regulations may have a material adverse impact on our business, operating results, and financial condition.

Employees

As of December 31, 2025, we have 220 employees, of which 23 are temporary employees. Most of the temporary employees are retained through a temporary employment agency to maximize our flexibility and to reduce the risks and costs associated with permanent employees. We believe our employee relations to be good. None of our employees are represented by a labor union or collective bargaining agreement.