Why Is Evolv Technologies Stock Gaining On Thursday?

Evolv Technologies Holdings, Inc. EVLV provided a positive update on strategic metrics for the three-month period ending December 31, 2024.

The company reported surpassing 6,000 Evolv Express units deployed globally, with around 470 new multi-year subscriptions activated.

In addition, Evolv added approximately 60 new customers across various sectors, including education, healthcare, professional sports, live entertainment, and industrial workplaces.

The company also made significant strides in its school and hospital sector, adding nearly 100 new school buildings, bringing the total to over 1,200, and expanding to over 450 hospital buildings.

Notably, Evolv booked its first orders for Evolv eXpedite, a new AI-based weapons detection solution for bags, further demonstrating its growing footprint in security technology.

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As of December 2024, Evolv's cash, cash equivalents, marketable securities, and restricted cash stood at approximately $52 million, with no debt.

Evolv's CEO, John Kedzierski, expressed satisfaction with the company's strong finish to 2024, citing solid new customer adoption and market traction for Evolv eXpedite.

Looking ahead to 2025, Evolv reiterated its positive Adjusted EBITDA outlook in the second quarter and positive free cash flow by the fourth quarter.

In addition to its operational progress, Evolv provided updates on its restatement efforts and regulatory matters. Last week, the company submitted a plan of compliance to address how it intends to regain compliance with the Nasdaq.

Evolv had resolved an inquiry from the Federal Trade Commission in November regarding prior marketing claims, with no customers exercising the option to cancel contracts as of January 23, 2025.

Price Action: EVLV shares are trading higher by 15.5% to $3.72 at last check Thursday.

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