Troubled Australian fast-charging manufacturer Tritium has announced plans to close its Brisbane manufacturing facility, and slash staff numbers, in a push to post its first profit and arrest its plunging share price that threatens its future on the US-based Nasdaq stock exchange.
Tritium, whose share price has plunged 90 per cent since its strong listing two years ago, prompting a warning of a delisting by the Nasdaq, said on Wednesday it will consolidate its manufacturing operations in Lebanon, Tennessee, a victim it appears of the US Inflation Reduction Act, which favours goods made in the US.
The company, backed by former coal baron Trevor St Baker, will keep its R&D and testing operations at its Brisbane plant, but will cut staff numbers and contractors, and reduce expenses on sales, and administration. It did not supply any further information on staff cuts. The Driven has reached out for more information.
“This transition is aligned with the company’s plan to be profitable in 2024,” CEO Jane Hunter said in a statement.
“The implementation of this plan, including the closure of the Brisbane factory and consolidating our manufacturing operations in Tennessee, supports the ongoing market competitiveness and positioning of the company as a world leader in its category, driven in part by the highly successful scale-up of our US plant.
“These changes reduce our capital requirements and hasten the timing of the company becoming EBITDA positive.”
Tritium posted record revenue in the latest year but it accumulated another loss of more than $100 million, prompting another dramatic fall in its share price.
The company, like others in the business, has been plagued with complaints about the reliability of its DC Fast Charging equipment, particularly the early models, although it has said its latest modular products are achieving reliability measures of 97 per cent and more with some network customers.
However, its market share – at least in Australia – is being eroded by the ongoing success and expansion of the Tesla Supercharging network, and the emergence of other suppliers such as Kempower and ABB.
The company’s statement said it will continue to invest in technology development, services, and software, and says it plans to retain and grow Tritium’s more than 200-person R&D team and test facility in Brisbane.
It says it has a fleet of  more than 14,500 chargers across 47 countries.
Giles Parkinson is founder and editor of The Driven, and also edits and founded the Renew Economy and One Step Off The Grid web sites. He has been a journalist for nearly 40 years, is a former business and deputy editor of the Australian Financial Review, and owns a Tesla Model 3.