Prepared remarks
Good day, and thank you for standing by. Welcome to the EVgo Second Quarter 2026 Earnings Call. Please be advised, today's conference is being recorded. I would now like to hand the conference over to your speaker today, Heather Davis, Vice President of Investor Relations. Please go ahead.
Good morning, and welcome to EVgo's Second Quarter 2026 Earnings Call. My name is Heather Davis, and I am the Vice President of Investor Relations at EVgo. Joining me on today's call are Badar Khan, EVgo's Chief Executive Officer; and Keefer Lehner, EVgo's Chief Financial Officer. Today, we will be discussing EVgo's second quarter 2026 financial results and our outlook for the year, followed by a Q&A session. Today's call is being webcast and can be accessed on the Investors section of our website at investors.evgo.com. The call will be archived and available there, along with the company's earnings release and investor presentation after the conclusion of this call. During the call, management will be making forward-looking statements that are subject to risks and uncertainties, including expectations about future performance. Factors that could cause actual results to differ materially from our expectations are detailed in our SEC filings, including in the Risk Factors section of our most recent annual report on Form 10-K and quarterly reports on Form 10-Q. The company's SEC filings are available on the Investors section of our website. These forward-looking statements apply as of today, and we undertake no obligation to update these statements after the call. Also, please note that we will be referring to certain non-GAAP financial measures on this call. Information about these non-GAAP measures, including definitions and applicable reconciliations to the corresponding GAAP measures can be found in the earnings materials available on the Investors section of our website. With that, I'll turn the call over to Badar Khan, EVgo's CEO.
Thank you, Heather. EVgo delivered solid results for the second quarter, in line with our expectations, while continuing to build a durable nationwide infrastructure network. We have a proven track record of growth in both operational stores and revenue. Since 2021, the year we went public, our operational stores are expected to increase nearly fourfold by the end of 2026. We've delivered consistent growth year in and year out. Total revenue is expected to increase even faster at 19x by the end of 2026. Revenue growth is driven by a combination of store additions, increasing daily throughput per store and our non-charging revenue tied to eXtend and autonomous vehicle lines of business. What's really impressive is through 2025, our revenue compound annual growth rate has exceeded 100%, putting us in the top 1% of U.S. public company revenue growth rate and around 3x higher than our public charging peers. We are thrilled to announce that EVgo and Tesla have entered into an agreement to deploy EVgo-branded superchargers. Through this agreement, EVgo will own these EVgo-branded superchargers, select their location and set pricing, while Tesla builds and operates the chargers under a long-term arrangement. We expect to deploy EVgo superchargers in dozens of cities across the U.S. starting this year. Together with the NACS connectors we're rolling out across our existing network, this more than doubles our addressable market by reaching both Tesla and non-Tesla NACS drivers. This enables EVgo to accelerate our deployment of NACS connectors with the goal of all 2023 vintage and newer sites having a NACS connector within the next two years. These V4 superchargers are 500 kilowatts and equipped with Tesla's Magic Dock technology, enabling effortless charging for all EV drivers, serving both NACS and CCS vehicles with no adapter needed. Consistent with our existing strategy, these sites from the EVgo network will be located near the retail shops, restaurants and everyday destinations where drivers already spend time, with up to 20 stalls per site and longer cables, so every driver can easily plug in regardless of the vehicle's location. EVgo Supercharger locations will be available in Tesla's navigation and trip planner and all EVgo stations with NACS connectors will also be available in the Tesla navigation once the driver enables third-party stations. Importantly, we expect to deploy these assets with little to no incremental growth G&A, at a gross capital cost per stall broadly equivalent to our current builds, and we expect to finance these stores through existing EVgo financing sources. Buying these V4 superchargers from Tesla also diversifies our supply chain toward more U.S.-made chargers. In addition to EVgo superchargers, we continue to make progress on our next-generation charging architecture being developed at EVgo's innovation lab with the first units expected to be installed by the end of the year. EVgo is among the top three largest fast charging operators in the country, along with Tesla and Electrify America, and is around 14x larger than the average of the rest of the industry. We built our network at great sites near amenities that EV drivers are looking for. We believe our real estate relationships and site selection process, together with our rideshare partnerships with leading companies like Uber and Lyft are key sources of competitive advantage for EVgo. Our focus on customer experience includes faster charging with almost 70% of our stores being 350-kilowatt compared to only 23% for the rest of the industry. The combination of industry-leading scale and partnerships and best-in-class customer engagement and experience supported by our next-generation charging architecture is what drives fivefold higher utilization at our sites versus the rest of the industry. With almost 5,400 stores, including 4,000 EVgo owned and operated, EVgo is the third largest public fast charging network in the U.S. We have over a 15-year track record identifying and deploying over 1,200 utility-connected sites at optimal urban and suburban locations across the U.S. Our existing sites have approximately 600 megawatts of connected power capacity, including approximately 45% unutilized capacity at current utilization levels. Over the next five years, our installed base is expected to quadruple to over 2 gigawatts of utility-connected capacity with approximately 1 gigawatt of potential usage expansion. We are beginning to evaluate whether there are complementary revenue streams available to us to monetize this excess capacity, whether that is utilized as demand response, battery energy storage systems or capacity for a distributed edge AI inference network. Our network strategy has always been to locate sites in urban and suburban locations close to where drivers go about their lives and therefore, by definition, in close proximity to energy demand, which is potentially very attractive. Electric vehicles in operation have grown at a 40% CAGR since 2021 and are expected to grow another 17% annually through 2030 to reach nearly 13 million by the end of 2030 according to S&P's latest forecast from June 2026. Our total vehicles in operation is expected to be lower than previous forecasts, but still represents a car park that is expected to more than double over the next 4.5 years with an underlying growth rate that remains highly supportive of our business model and one that is highly attractive even when compared to other high-growth sectors. The EV market appears to be stabilizing after the loss of federal incentives at the end of Q3 2025. With higher gas prices, inflationary pressures and global instability since the start of the Iran war, there is positive momentum in EV sales with Q2 new sales volumes of 247,000, up 15% from Q1. About a dozen states are offering EV incentives to consumers to spur EV adoption. Most notably, California has recently announced consumer incentives, rideshare incentives and charging incentives for rideshare drivers. Consumer incentives aim to backfill the expired federal tax credit and will have a total budget of $270 million, including $3,500 for new EVs and $1,750 for used vehicles. Rideshare driver incentives in California expected to go live in Q3 are even stronger with incentives of $20,000 for new EVs and $14,000 for used EVs for income-qualifying drivers. The used market remains a bright spot for EV sales with both new drivers trying out fully electric cars at cheaper price points and for EVgo because used vehicle owners are less likely to have charging at home and more reliant on public fast charging, with over 1.5 million vehicles coming off lease between 2026 and 2028. This used vehicle supply not only helps meet consumer demand, but also provides a significant tailwind for EVgo. With our updated view of the underlying market, we're showing what an illustrative owned and operated EVgo network could look like by 2028 and by 2030. Despite near-term market noise, we continue to expect EVgo to be generating recurring adjusted EBITDA of approximately $0.5 billion by 2030. The economics of our business are driven by three things: number of stalls in operation, daily throughput per stall and operating leverage. These three factors combine to deliver compelling unit economics and returns. With the financing we have in place, we are increasing store growth from the net 500 to 600 average level, that's net of removals over the past three years, to around 700 to 900 in 2026 and to 4,000 to 5,000 by 2030. This results in a network that is around four times larger than the end of last year by 2030. Daily throughput per store has already grown nearly fivefold between 2022 and 2025, driven by the growth of electric vehicles on the road together with EVgo's meaningfully higher utilization than almost all our peers and with a store underwriting process that we continually review and update. We are particularly excited about our latest 2026 vintage and especially the 2027 vintage, which we expect to be our best ever, focused on key metros with top-tier site locations and site host partnerships. Over the next five years, we're conservatively expecting a smaller increase in daily throughput per store than we've experienced over the past three years. Underscoring our confidence in this illustrative forecast is the fact that our mature 350-kilowatt stores are already delivering daily throughput per store at the mid-350 level, which is what we assume by 2028. Today, almost 70% of our throughput comes from these stores. By 2030, it will be over 95%. Operating leverage exists in two places, and we can see the track record very clearly in our actual results. We have operating leverage in charging gross margin, where 25% to 30% of charging cost of sales is fixed, like site rent, resulting in higher gross margin as throughput rises. We've seen charging gross margin rise from near 15% to nearly 40% last year and it is projected to be around 50% by 2030 as throughput per store rises. And we have significant operating leverage in adjusted G&A, where around two-thirds of G&A is largely fixed overhead and the cost of growing the network. As you can see, adjusted G&A has only grown by around $35 million in three years, whereas charging revenue has grown fivefold. In fact, the charging network, excluding fixed overhead and growth G&A, has been profitable since late 2023 and just becomes more and more profitable over time. Going out to 2030, adjusted G&A barely doubles over 2025, resulting in $0.5 billion in charging gross profit dropping straight to the bottom line. By 2028, EVgo has the potential to be generating triple-digit millions of adjusted EBITDA with EBITDA margins in the mid-teens. And by 2030, this grows to the low- to mid-30% range. As you can see, all of this is without any contribution from our non-charging businesses, including autonomous vehicles that have historically generated meaningful additional gross profit and for which we are not yet providing an illustrative forecast. To summarize the story, EVgo has spent the past 15 years building a business model and a competitive moat that is hard to replicate and benefits from a number of growing megatrends and tailwinds that have already translated into strong financial results and will deliver even stronger results over the coming years. EVgo operates a highly differentiated industry-leading charging platform that has meaningfully higher utilization than almost every one of our peers. This is not only driven by our proprietary site selection capabilities, but also best-in-class customer experience and customer engagement to a large and growing customer base, combined with leading partnerships across the broader industry. Our ability to attract nondilutive financing to accelerate our growth further separates us from our peers. Our focus on building and operating our network, especially in the high-density urban centers where drivers need fast charging the most, results in a business model with strong and growing unit economics underpinned by equally compelling operating leverage. All of this benefits from a compelling macro backdrop that will propel the business for many years to come. Vehicles in operation are expected to more than double by 2030. The share of public fast charging continues to rise due to the electrification of rideshare, more affordable vehicles and faster charge rates. Standardized cables will double EVgo's addressable market over time. And of course, the rise of fully electric autonomous vehicles that will need to charge at fast charging locations will just add to the growth we expect to see on our network. This is a capital-efficient, accretive growth model that positions EVgo to compound intrinsic value as we continue to scale our network. Taken together, our differentiated approach, the accelerating demand environment and the strong returns of new investments give us deep confidence in the long-term value creation opportunity ahead. Beyond the core charging business, there is considerable upside in EVgo that we are beginning to evaluate and are likely to generate material additional EBITDA by 2030. We already generate revenues and margins from serving autonomous vehicle partners, which we have been doing for five years. While this is a small part of EVgo today, the AV market is poised for tremendous growth, and we believe our track record, partnerships and competitive strengths position us well to deliver meaningful upside over the medium and long term. The U.S. charging landscape is littered with companies that are not performing well. However, there are some with attractive site locations and high-quality assets that are failing to attract customers or lack the ability to scale. As a result, there will likely be compelling inorganic opportunities for EVgo in the future as the only pure-play U.S. charging company that has successfully attracted non-diluting financing at scale. EVgo has the potential to generate $0.5 billion in adjusted EBITDA in the next five years. And given that, we are now planning to start exploring adjacencies on top of our core charging business. Today, we provide charging infrastructure for passenger vehicles, but we can see various segments, both within passenger vehicles and beyond, with needs that we may be able to serve over time given our relationships and expertise. Similarly, today, EVgo is a U.S.-only business. Over the next five years, we may choose to expand geographically. And finally, EVgo has an impressive track record building distributed connection capacity at over 1,200 urban and suburban locations in close proximity to both EV drivers and energy demand more broadly. That utility connection capacity will broadly quadruple over the next five years, and there may be opportunities to monetize any excess capacity to serve the market more broadly beyond charging infrastructure like edge AI compute capacity, battery energy storage systems or other potential opportunities. Over the course of this year, we have formed a small but dedicated corporate development team to begin evaluating these opportunities, and I look forward to providing more details over the coming quarters. EVgo offers differentiated growth at an attractive valuation. Based on five-year consensus estimates, we're growing EBITDA faster than every comparable industry we benchmark against by a wide margin. And yet we trade at a fraction of the multiple those industries command. That's not a small gap. That's the kind of setup that often gets re-rated once the market catches up to the growth curve. And why do we benchmark against digital infrastructure, renewable energy, waste management, fuel distribution, energy infrastructure and utility? Because structurally, these are all businesses where you spend the capital once, you build the towers, the pipelines, the substations, the roofs and then you monetize that fixed asset base over a long horizon with high incremental margins as utilization climbs. They're essential service networks with highly visible demand and meaningful barriers to entry once they're built out. That's exactly our model with our public fast charging network. We're building infrastructure America needs and every dollar of CapEx we've already put in the ground gets more profitable as utilization scales and that shows up on the right side of the slide. Within our own EV charging category, our EBITDA margins are projected to be among the best in the peer group. So, it's not just that we're growing faster than the broader infrastructure peers that are trading at many times our multiple. Within our own competitive set, we're also one of the most profitable operators with a superior business model. Put those two things together, infrastructure-grade growth at a fraction of the infrastructure-grade multiple with margins that are expected to lead our direct peer set and you get why we think EVgo is mispriced today. Now I'll turn it over to Keefer to share financial details for the second quarter and EVgo's 2026 outlook.
Thank you, Badar. As mentioned, EVgo has two debt facilities to draw upon to finance our infrastructure build-out, and we have over $630 million of available capacity on our DOE and commercial bank facilities, both at attractive financing rates. Combined with our cash, cash equivalents and restricted cash as of June 30, EVgo has approximately $835 million in available liquidity. We ended Q2 with 5,380 stalls in operation, an approximate threefold increase compared to the end of 2021. We added 280 total new stalls to the network in Q2 2026, including 120 new public EVgo-owned stalls. We also continued our renew program, decommissioning and removing 175 legacy chargers from the network in the second quarter. Our customer base continues to grow and is now over 1.8 million strong, and we look forward to welcoming more native NACS drivers to our app and network on the back of the announcement to deploy EVgo superchargers. We have 240 NACS stalls today across approximately 100 sites, and we plan to deploy even more through the year at our 350-kilowatt sites and our new EVgo supercharger sites. Total energy dispensed on EVgo's network was 384 gigawatt hours for the trailing 12 months, a 16% increase from the TTM period ended Q2 2025. Charging gross margin was 39% over the last 12 months, expanding by two percentage points over the prior year's TTM. Adjusted EBITDA margin was flat on a trailing 12-month basis. Our throughput on the public network during the second quarter was 99 gigawatt hours, a 13% increase compared to last year and a 9% increase sequentially. Daily throughput per stall was 2% lower year-over-year, but 7% higher sequentially, though softer than originally expected as we entered 2026. Sequentially, we grew daily throughput per stall, partially offset by ongoing softness in our lower-power legacy equipment and lower contribution from OEM charging credit programs that are winding down through the end of 2026. Revenue for Q2 2026 was $83 million, which represents a 16% year-over-year decrease driven entirely by our non-charging business. In our core charging business, charging network revenue was $61 million, a 19% increase versus the prior year, driven primarily by a larger operating network with a 13% increase in the public network and modestly increased charging revenue per kilowatt hour, representing our 18th consecutive quarter of double-digit year-over-year charging revenue growth. Throughput and charging revenue per kilowatt hour drove approximately 75% and 25% of the year-over-year revenue growth, respectively. eXtend revenue was $18 million, down $19 million from the same period in 2025, driven by lower equipment sales and construction revenue. A reminder that eXtend will continue to largely trend lower over the next six quarters and by 2028 will be a $5 million to $10 million per year revenue business. AV ancillary revenue was $3 million, down $6 million versus the prior year. There were no new deployments in Q2, and this revenue line remains episodic as it's driven by deployment timing of long-duration projects with our AV partners. With that said, we do expect two additional projects to go operational in 2026. Charging network gross profit was $22 million, a 15% increase compared to the prior year of Q2. Charging network gross margin was 36% versus 37% last year, with slightly higher energy costs and non-energy costs compared to last year, driven by rent and maintenance. Second quarter adjusted gross profit was $26 million, down 7% versus the prior year, driven by lower contribution from eXtend and AV this year. Adjusted gross margin was 32% in Q2, nearly three percentage points higher over the same period in 2025 due to greater contribution from our higher-margin charging network activity. Adjusted G&A for the quarter was $37 million, an increase of 22% compared to the prior year, but a 1% decrease compared to Q1 2026 and in line with expectations as we are investing in network scale, accelerating cell deployment and the latest generation architecture. The above resulted in an adjusted EBITDA loss of $10.6 million in the second quarter of 2026, in line with the guidance we provided. Turning to our outlook and guidance for 2026. As Badar discussed, we remain highly confident in and excited by the long-term opportunity of the owner-operator business for deploying fast charging in the United States. As shown, we are building a scalable and durable business that is generating solid gross margins today and expected to scale to a very attractive EBITDA-generating business by 2030. For the full year 2026, we expect to add 1,350 to 1,625 new stalls of which 950 to 1,175 are new public and AV stalls and 400 to 450 are eXtend stalls. We have the ability to see and respond quickly to performance trends in our stall deployments. Given the slower ramp in daily throughput per stall from our 2025 cohort and further reduced EV sales forecasted for 2026, we have adjusted our underwriting to ensure that capital is being allocated to what we believe will be the best sites from an economics and returns perspective. As a result, we have removed some stalls from our 2026 build program at no material cost. Our site pipeline today is as healthy as it's ever been, and the team is laser-focused on maximizing our opportunities to allocate capital at the highest quality locations. Stall builds in 2026 are heavily weighted to the fourth quarter, including the energization of EVgo superchargers with approximately 60% of the full year's build now anticipated in Q4. Given the pace of new stall lease signings since at least Q4 2025, which remain around three times higher than the past, we expect 2027 new additions around 2.5 to 3 times the number of new owned and operated stalls added in 2025. Turning to the income statement. EVgo anticipates total 2026 revenues in the $400 million to $430 million range. This top-line view reflects up to 30% year-over-year growth in the charging business and encapsulates the impact of downward revised VIO forecasts, a slower ramp for our 2025 vintage stalls, 2026 cohorts sliding to later in the year than originally expected and slightly fewer overall stalls deployed. Daily throughput per stall is expected to grow through 2026, partially offset by customers rolling off low-margin OEM charging credit programs, the majority of whom are not converting to EVgo retail customers at the rates we originally projected, a transition that will largely be complete by year-end. Additionally, performance from our lower-power legacy equipment continues to soften, but this fleet becomes an immaterial portion of the network within two years. Any upside from the deployment of EVgo superchargers and the placement of our EVgo NACS stalls on the Tesla navigation system that we expect will double our addressable market is likely to have a bigger impact from 2027 onwards rather than 2026. Total charging network revenue is still expected to be roughly two-thirds of full year revenue and deliver robust year-over-year growth. Regarding our non-charging revenue, we are increasing our guidance for 2026 eXtend revenues to be in the $90 million to $95 million range, with about two-thirds of the remaining revenue expected in Q4. AV and ancillary revenues are anticipated to be $40 million to $45 million. The fourth quarter is modeled to be the largest quarter of the year for AV revenues given the timing of two new AV sites being operationalized. Adjusted G&A is expected to be $148 million to $152 million for the year, a slight improvement in G&A from our prior guidance as we expect to incur lower growth costs given the slightly lower stall deployments, while still executing on our internally developed latest generation architecture. 2026 adjusted EBITDA is now anticipated to be a loss in the range of negative $25 million to negative $5 million. For Q3, we anticipate negative adjusted EBITDA and Q4 adjusted EBITDA is anticipated to be positive as we have a large number of stalls to be operationalized in the fourth quarter. I want to reiterate our excitement about both the near-term and the long-term opportunity for EVgo to organically expand our network, continually enhance the customer experience and drive shareholder value creation via the realization of the EBITDA potential of this business. With that, we will open the call to Q&A.
Questions and answers
Our first question comes from Chris Dendrinos with RBC Capital Markets.
Maybe just start out, and there's a lot to unpack here, but maybe just speak a bit more on the Tesla integration strategy. That's pretty interesting that you all are kind of expanding that partnership. Maybe speak to how this kind of came about, why an own-but-not-operate business model here? And then is there an opportunity to expand that beyond just the initial, I think, 35 superchargers?
Sure. Yes. I'm not sure I caught the very last part of that. But look, we are thrilled with this agreement with Tesla, really, Chris, for three reasons. First, it essentially doubles our addressable market. I've been saying for the better part of the last couple of years that the standardization of NACS cables allows us to reach customers that we really aren't reaching today. We've grown 19-fold over the last five years by serving less than half the market. And with this agreement deploying EVgo superchargers, we're able to reach Tesla drivers and the NACS drivers. Our goal is for all sites from 2023 vintage onwards to have a NACS cable within the next couple of years through retrofitting our existing sites together with the EVgo superchargers. Second, I'm really excited because we're able to use turnkey sites that have already been developed by Tesla and essentially generate revenue from those new deployments without incurring any material growth G&A. As you know, we're really ramping up our growth. Our growth in our own network is, what, 40% to 70% up this year versus last year. This year, we'll be incurring growth G&A for a 2.5 to threefold increase in new stores in 2027 versus 2025. And so, growth G&A has been a big part of our very near-term story. Of course, we're building a business for the long term here. But with these EVgo superchargers with Tesla, we're able to really grow revenue without any material G&A costs, which I think is very attractive. Third, this agreement demonstrates that EVgo and Tesla are actually aligned on our goal to accelerate EV adoption. Rather than just trying to maximize share of each other's charging over one another, we're really actually just focused on growing EV adoption, which I think benefits everybody. So, we're really thrilled with the agreement. We're expecting to deploy, as you see from our long-term forecast here, we've updated these forecasts on this call, 10,000 to 12,000 fast charging stalls over the next five years, and we'd expect some proportion of that to be these EVgo superchargers.
Great. And maybe as a follow-up here, just sticking on the topic of NACS charging. Can you speak to some of the early deployment data with those NACS cables? I think you previously spoke to either a slower initial ramp rate or a bit lower charge rate versus the rest of the network right now. How are those charging rates trending? I'm trying to get a sense for the decision to lean more heavily into the NACS network here.
For sure, Chris. As we said, more than half the market today are NACS drivers. And as we look into the future, we're building a business to generate very material value creation long term. Pretty much most new models that are sold will have native NACS ports. So this is an important strategic objective for us. We've already got about 240 NACS stalls operational. We're expecting 500 this year and everything from 2023 vintage sites to have at least one NACS cable. In terms of your specific question, throughput on our NACS stalls that we deployed since the last call has now more than doubled. We've got now double the number of Tesla drivers than we've ever had before, which is super exciting. The usage on these stores is still below the usage that we see in our CCS stores, which is why I said all year that this NACS transition is an important investment for us. Without this choice, we might see slightly higher throughput per store in the near term, but it's one that we think is a very important strategic move for the long term. With this agreement with Tesla, we expect all of that to accelerate. We're deploying EVgo superchargers and importantly, the NACS stores that we have retrofitted, the EVgo stores that are not superchargers that we've been retrofitting, they will appear on the navigation for Tesla drivers. We know from our experience that Tesla drivers tend to rely on their navigation a lot more than non-Tesla drivers. So this is a really important unlock for us. In terms of how we compare our utilization, the stall types we deployed in Q2 are about three times higher than pretty much the average of everybody else other than Tesla. So, we just continue to reinforce the point that we've got great utilization on our network. This deal is a strong source of momentum for the business.
Our next question comes from Andres Sheppard with Cantor.
This is Anand on for Andres. Congrats on the quarter. Firstly, I wanted to touch on today's announcement of the Supercharger rollout, building a little bit off the last question, but more on the financial front. With Tesla building and operating the chargers, but EVgo owning them, can you walk us through how that affects your CapEx, throughput, utilization or other aspects of your financials and unit economics?
For sure. The gross CapEx per store is broadly in line with our gross CapEx per store for our existing sites. We will own the stores, and Tesla will operate and maintain these stores. Those operating costs are also broadly in line. We would expect utilization and throughput on these stores to be broadly equivalent to our existing network. Indeed, you could make the case that over time, because these sites serve both CCS and NACS with Magic Dock technology, you might see an increase in throughput. We don't, of course, assume upside in our forecasts; we aim to be conservative. In every respect, the economics are broadly the same with potential upside. I also want to reemphasize that EVgo non-supercharger stores that will have NACS cables will appear on Tesla navigation, expanding our reach and providing more options for Tesla drivers. Our 350-kilowatt sites are conveniently located near where drivers live, work and go about their lives.
Got it. Appreciate the color. Maybe as a follow-up, are you seeing stronger utilization on your newer or more mature stalls? Have there been any surprising trends based on geographies? How should we think about that in the future with the mix of retail versus AV and fleet/rideshare changing, especially in Q4 as you mentioned?
There is a lot of momentum in the business, and we're excited about it. The deployment of the EVgo superchargers is one component. A couple of other points: throughput per store per day on our mature 350-kilowatt machines, which are now the majority of our network and will be over 95% by 2030, are already operating at the 2028 levels. We provided a long-term forecast to show why we're confident. Fifteen percent of our network is now generating 600 kilowatt hours per store per day. Our entire mature 350-kilowatt network is now averaging in the mid-350s, which is what we're projecting for 2028. We have about 500 low-power roughly 50-kilowatt machines that we're renewing and will be upgraded by 2028. With the nondilutive financing we have in place, we're scaling the business and signing site host agreements at a much higher rate. We announced a partnership with Brixmor recently, which reinforces the quality of our site host agreements. We're signing up stores with new site hosts about three times the level we were in 2025, which is why we anticipate a large operationalization of new stores in Q4 and a 2.5 to threefold increase in new stores in 2027. These are high-quality grocery-anchored and other retail locations with strong consumer dwell times that fit well with our charging use cases.
Our next question comes from Chris Pierce with Needham.
Keefer, could you go into a little more detail? I believe you talked about the 2025 cohort of installed sites. I'd love to hear what you were referencing. I think you said it wasn't performing in line with expectations.
Yes. What we mentioned was the 2025 cohort has been ramping a little slower than our original prediction and compared to the 2023 and 2024 cohorts, which on average took roughly 12 months to reach maturity. With that said, the 2025 cohort is only 8.5 months in from a median age standpoint, so it still has time to season and mature. Most importantly, as you look ahead to 2026, 2027 and beyond, we're about as well positioned as we've ever been from a site pipeline quality standpoint. We're excited about the future cohorts that are coming.
Are those 350-kilowatt sites, or is it something about the location or just the moment in time with EV adoption changes? I want to get a broader picture of that cohort.
A good portion of our 2025 cohort came with very high capital offsets. When you run the NPV on these things, a higher CapEx offset means you don't need as strong throughput levels to make the economics work. That's partly because we had OEM funding programs and a variety of other capital offset sources. Last year, we had a higher level of state and utility incentives. What we're finding is that the ramp of many sites in that cohort is a little bit slower. The NPV for many of those sites was fine given the offsets, so they did not need a very high early throughput. We've adjusted our underwriting to focus on both the long term and near term economics, which is leading us to the high-quality site hosts and scale we expect over the next couple of years.
I am not showing any further questions at this time. I'd like to turn the call back over to Badar Khan, CEO, for any closing remarks.
Well, great. Thank you, everyone. Our agreement with Tesla to deploy EVgo superchargers that effectively doubles our addressable market, the nondilutive financing that we have in place to continue to scale the network, our industry-leading scale and strong utilization and the fact that our mature 350-kilowatt chargers are already performing at the levels we forecast by 2028, all give us tremendous confidence in our growth, and we believe this represents a growth profile that is at a very attractive valuation for shareholders. Thank you for joining, and we'll see you all next quarter.
Thank you. Ladies and gentlemen, this does conclude today's presentation. We thank you for your participation. You may now disconnect and have a wonderful day.