Eos Energy Enterprises Inc Strategic Update Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Vincent Anderson - Stifel, Nicolaus & Company, Incorporated - Analyst : Yeah, thanks. Nice presentation. Good to see a thorough download on the heels of that new shelf filing. I think I just wanted to start with Joe to clarify on the Acro progress criteria below budget. You're shifting some spend towards speeding up implementation. I don't want to pin you down too much at this stage, but are those control engineering resources like a discovered necessity stay on time or an incremental improvement over your original time line?

Question: Vincent Anderson - Stifel, Nicolaus & Company, Incorporated - Analyst : Great. And one for Francis, I it is available for sure, but great onetime to see, Francis, thinking about cell energy density, usually there's a trade-off between surface area and cycle life. So I'm just, Curious, how much of a priority is that carbon cell testing? Have you been able to conduct on smaller diameter fibers? Just thinking about the supply chain? Is that something you might have to bring in house. Is that outside? Is that outside something you would contemplate and just work with a startegic? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. DECEMBER 12, 2023 / 4:00PM, EOSE.OQ - Eos Energy Enterprises Inc Strategic Update Call

Question: Vincent Anderson - Stifel, Nicolaus & Company, Incorporated - Analyst : So that's super helpful. If I could sneak one more in and then I promise to pass it along. Just with regards to the balancing models that you're developing, just curious, based on the data we've seen so far. Are you comfortable with the hardware you've committed to on the BMS, the support, whatever model you ultimately optimize to it? How does that play a role in the commercialization process of customers now or potential customers know you're still working on that, as (multiple speakers)

Question: Vincent Anderson - Stifel, Nicolaus & Company, Incorporated - Analyst : I appreciate that you and I'll turn it over to the far.

Question: Chip Moore - ROTH Capital Partners, LLC - Analyst : Hey, thanks. Thanks for taking the question. I wanted to ask one on more of the commercial side customer conversations, I guess, and sort of comfort with your liquidity position and then any update on those additional Z3 deployments or are we still waiting data on those?

Question: Chip Moore - ROTH Capital Partners, LLC - Analyst : That's helpful. Joe, Marshall, thanks. And maybe one of the things I think you talked about line one coming in under budget and then some savings on share count, if that is 30 million, still that sort of the estimate or is this incremental savings on that? And then any way to help us think about how much is remaining in terms of spend there?

Question: Chip Moore - ROTH Capital Partners, LLC - Analyst : Yeah, that's good clarification. And maybe just a follow on there on just on, I guess, ramp-up, Joe, maybe for you, the biggest risks to get to that 35% capacity goal in Q4. I guess where do you stand on things like hiring and training? And how do you think about that?

Question: Chip Moore - ROTH Capital Partners, LLC - Analyst : Very good. All right. I'll hop back in queue. Thank you.

Question: Thomas Boyce - TD Cowan. - Analyst : Thanks for taking the questions. Appreciate it. Maybe first, could you contextualize the self discharge improvements that you had on the slide, what is it for lithium-ion? I mean, it's great to see a marked improvement, but I just want to understand in terms of also sort of a can competitive advantage that you can bring in?

Question: Thomas Boyce - TD Cowan. - Analyst : Got it. And then as a follow-up, maybe I would love to get your insight on kind of the potential for your technology to be per paired with solar with respect to specifically to developers that are trying to capture the ITC credits and for a project given your significantly higher domestic content provisions, how is that dynamic playing out?

Question: Thomas Boyce - TD Cowan. - Analyst : Right, and not to put too fine of a point on it, but that's without the solar actually having sufficient domestic content correct?

Question: Thomas Boyce - TD Cowan. - Analyst : Excellent. I'll fall back in queue. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. DECEMBER 12, 2023 / 4:00PM, EOSE.OQ - Eos Energy Enterprises Inc Strategic Update Call Thanks so much.

Question: Christopher Souther - B. Riley Securities, Inc. - Analyst : Hey, guys. Thanks for providing all the details here. Maybe we can just trying to square through cost reduction on a slide with the kind of revenue slides, potential revenue scenario slide. So if we're talking about the next 18 months, layering in those cost improvements with revenue scenarios is that you mentioned contribution margin positive in the fourth quarter, like when does gross margin become positive? And what is kind of the mid 2025 or 2026, kind of gross margin, but you'd be kind of targeting at kind of full scale, I think, by the (inaudible).

Question: Christopher Souther - B. Riley Securities, Inc. - Analyst : Yeah. Okay. So that 80% reduction is just so basically through the end of next year is the way to think about that? (multiple speakers)

Question: Christopher Souther - B. Riley Securities, Inc. - Analyst : (multiple speakers) REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. DECEMBER 12, 2023 / 4:00PM, EOSE.OQ - Eos Energy Enterprises Inc Strategic Update Call That's really helpful, I'll make in the queue.