Electrovaya Announces US$3 Million Purchase Order and Updates Previously Issued Revenue Guidance

Strong revenue growth and positive EBITDA expected in fiscal fourth quarter

TORONTO, ON / ACCESSWIRE / July 23, 2020 / Electrovaya Inc. ("Electrovaya" or the "Company") EFLEFLVF, a lithium ion battery manufacturer with industry-leading performance and substantial intellectual property, announces it has received a purchase order valued at $3 million (C$4 million) for lithium ion batteries for electric lift trucks. All dollar amounts are in U.S. dollars unless otherwise noted.

This purchase order came through Electrovaya's OEM sales channel. The batteries will be used to power lift trucks for use with a major US corporation. The US corporation has annual revenue of more than $30 billion and has many distribution centres.

With this purchase order, Electrovaya's order backlog has increased to approximately C$12 million. Given the Company's order backlog and current customer demand, Electrovaya anticipates continued positive revenue performance in the remainder of the 2020 fiscal year ("FY2020") and is revising its previously issued revenue guidance upwards.

Barring unforeseen circumstances, Electrovaya now expects to generate revenue of more than C$8 million in the fiscal fourth quarter ending September 30, 2020 ("Q4 FY2020") and C$17.5 million for FY2020, an increase from the Company's previously issued guidance of revenue exceeding C$16 million in FY2020.

The Company also expects to generate positive EBITDA in Q4 FY2020 for the second consecutive quarter. Electrovaya recorded revenue of $4.8 million (C$6.5 million) in the third quarter of FY2020, and $1.9 million (C$2.7 million) in the second quarter of FY2020.

The Company's revenue guidance is a forward looking statement based on certain assumptions and subject to certain risks. See "Forward Looking Statements" and "Future Oriented Financial Information" below. EBITDA is a NON-IFRS measure. See "Non-IFRS Measures" below.

Electrovaya's lithium ion ceramic batteries provide industry-leading cycle life and safety along with excellent energy, power, and fast charge capabilities.

For more information, please contact:

Investor Contact:
Jason Roy
Electrovaya Inc.
Telephone: 905-855-4618
Email: jroy@electrovaya.com

Media Contact:
Peter Koven
Bay Street Communications
Telephone: 647-496-7857
Email: peterkoven@baystreetcommunications.com

About Electrovaya Inc.
Electrovaya Inc. EFLEFLVF designs, develops and manufactures proprietary Lithium Ion batteries, battery systems, and battery-related products for energy storage, clean electric transportation and other specialized applications. Electrovaya is a technology focused company with extensive IP. Headquartered in Ontario, Canada, Electrovaya has production facilities in Canada with customers around the globe.

To learn more about how Electrovaya is powering mobility and energy storage, please explore www.electrovaya.com.

Forward-Looking Statements
This press release contains forward-looking statements, including statements that relate to, among other things, revenue forecasts and in particular the revenue forecasts for the fiscal year ending September 30, 2020 and the quarter ending September 30, 2020, continuation of anticipated positive EBITDA, anticipated further sequential revenue growth in fiscal 2020, the ability to satisfy the Company's order backlog and fulfill purchase orders, the Company's ability to satisfy its ongoing debt obligations, anticipated increased collaboration with OEMs and OEM channels constituting a source of sales growth for the Company, anticipated continued increase in sales momentum in fiscal 2020 through OEMs and directly to large global companies, including Fortune 500 companies, the relative stability of Canadian and United States dollar exchange rates, the future direction of the Company's business and products, the effect of the ongoing global COVID-19 public health emergency on the Company's operations, its employees and other stakeholders, including on customer demand, supply chain, and delivery schedule, the Company's ability to source supply to satisfy demand for its products and satisfy current order volume, technology development progress, pre-launch plans, plans for product development, plans for shipment using the Company's technology, production plans, the Company's markets, objectives, goals, strategies, intentions, beliefs, expectations and estimates, and can generally be identified by the use of words such as "may", "will", "could", "should", "would", "likely", "possible", "expect", "intend", "estimate", "anticipate", "believe", "plan", "objective" and "continue" (or the negative thereof) and words and expressions of similar import. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, such statements involve risks and uncertainties, and undue reliance should not be placed on such statements. Certain material factors or assumptions are applied in making forward-looking statements, and actual results may differ materially from those expressed or implied in such statements. Important factors that could cause actual results to differ materially from expectations include but are not limited to: that current customers will continue to make and increase orders for the Company's products, and in accordance with communicated intentions (including in purchase orders), that the Company's alternate supply chain will be adequate to replace material supply and manufacturing, that the Company's interpretation of the effect of any comfort given to Litarion's auditors of the Company's financial support for Litarion's operations is correct, and that Litarion's insolvency process will proceed in an orderly fashion that will satisfy Litarion's debt without a significant negative effect on the Company or its assets, actions taken by creditors and remedies granted by German courts in the Litarion insolvency proceedings and their effect on the Company's business and assets, negative reactions of the Company's existing customers to Litarion's insolvency process, general business and economic conditions (including but not limited to currency rates and creditworthiness of customers), Company liquidity and capital resources, including the availability of additional capital resources to fund its activities, level of competition, changes in laws and regulations, legal and regulatory proceedings, the ability to adapt products and services to the changing market, the ability to attract and retain key executives, the granting of additional intellectual property protection, and the ability to execute strategic plans. Additional information about material factors that could cause actual results to differ materially from expectations and about material factors or assumptions applied in making forward-looking statements may be found in the Company's Annual Information Form for the year ended September 30, 2019 under "Risk Factors", and in the Company's most recent annual and interim Management's Discussion and Analysis under "Qualitative And Quantitative Disclosures about Risk and Uncertainties" as well as in other public disclosure documents filed with Canadian securities regulatory authorities. The Company does not undertake any obligation to update publicly or to revise any of the forward-looking statements contained in this document, whether as a result of new information, future events or otherwise, except as required by law.

Revenue forecasts herein constitute future‐oriented financial information and financial outlooks (collectively, "FOFI"), and generally, are, without limitation, based on the assumptions and subject to the risks set out above under "Forward‐Looking Statements". Although management believes such assumption to be reasonable, a number of such assumptions are beyond the Company's control and there can be no assurance that the assumptions made in preparing the FOFI will prove accurate. FOFI is provided for the purpose of providing information about management's current expectations and plans relating to the Company's future performance, and may not be appropriate for other purposes.

The FOFI does not purport to present the Company's financial condition in accordance with IFRS, and it is expected that there may be differences between actual and forecasted results, and the differences may be material. The inclusion of the FOFI in this news release disclosure should not be regarded as an indication that the Company considers the FOFI to be a reliable prediction of future events, and the FOFI should not be relied upon as such.

Non-IFRS Measures: EBITDA does not have a standardized meaning under IFRS. Therefore it is unlikely to be comparable to similar measures presented by other issuers. We believe that certain investors and analysts use EBITDA to measure the performance of the business. EBITDA is defined as loss or gain from operations, plus finance costs, plus stock-based compensation costs.

SOURCE: Electrovaya, Inc.