Flux Power secures $6 million in airline orders

VISTA, Calif. - Flux Power Holdings, Inc. (NASDAQ: FLUX), a developer of lithium-ion energy storage solutions with annual revenue of $60.79 million, has reported a significant increase in business within the airline industry, particularly in the electrification of Ground Support Equipment (GSE). Over the past year, the company has received over $6 million in purchase orders from six new large North American airlines. According to InvestingPro analysis, the stock appears undervalued despite recent business momentum, presenting a potential opportunity for investors interested in the clean energy sector. These orders, which include Flux Power's G-Series lithium-ion batteries for GSE fleets at seven North American locations, reflect the airline industry's growing commitment to sustainability.

The transition to Flux Power's lithium-ion solutions from traditional lead-acid and fossil fuel-powered equipment is in line with major airlines' sustainability initiatives and carbon-reduction strategies. The company's energy solutions are designed to provide reliable performance while reducing emissions and lowering the total cost of ownership. With a healthy gross profit margin of 30.1%, Flux Power demonstrates strong pricing power in this growing market segment.

A key player in securing these partnerships is Averest Inc., Flux Power's GSE sales and service provider. Averest has been instrumental in recommending Flux Power's electric solutions, leveraging their expertise in electric power solutions for the aviation industry.

The orders include Flux Power’s 80-volt G80 series batteries and the SkyEMS integrated telematics Cloud Software Platform, which offers advanced data analysis capabilities. These technologies are expected to optimize fleet operations and enhance operational efficiency for the airlines.

Krishna Vanka, CEO of Flux Power, emphasized the importance of the shift toward electrification in ground support operations, praising the adoption of their lithium-ion solutions. Michael Hole, Director of Global Sales and Marketing at Averest, also acknowledged the industry's acceleration towards sustainable ground support operations and expressed pride in aiding airlines in this transition.

Flux Power designs and manufactures advanced lithium-ion energy storage solutions for various industrial and commercial sectors, including material handling and airport ground support equipment. The company's products aim to offer performance improvements and environmental benefits compared to traditional energy storage solutions. While the company faces some near-term challenges with short-term obligations, InvestingPro data reveals multiple additional insights about the company's financial health and growth prospects, available through their comprehensive Pro Research Report covering over 1,400 US stocks.

This update is based on a press release statement provided by Flux Power Holdings, Inc.

In other recent news, Flux Power Holdings reported its first-quarter earnings for 2025, revealing a revenue increase of 9% year-over-year to $16.1 million. However, the company's earnings per share (EPS) of -$0.10 fell short of the forecasted -$0.06. The gross margin improved to 32%, up from 29% in the previous year. In the second fiscal quarter of 2025, Flux Power's revenue decreased by 7.5% year-over-year to $16.8 million, with a gross profit of $5.5 million, representing 32.5% of revenues. The company faced an adjusted EBITDA loss of $1.0 million, a decline from a gain of $0.2 million in the same quarter the previous year. Analyst Amit Dayal from H.C. Wainwright maintained a Buy rating on Flux Power but adjusted the price target from $15.00 to $8.00. Additionally, Flux Power is expanding its product lines with new heavy-duty battery models and has maintained a strong backlog of $19.5 million as of February 2025.

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