Swiss energy management solutions provider Landis+Gyr has announced its decision to exit the electric vehicle (EV) charging infrastructure market in the EMEA region, despite having invested in the sector less than a year ago. The company cited significant changes in market conditions and competitive pressures as key factors in its decision.
In a statement, Landis+Gyr explained that its initial vision of utility customers playing a major role in the rollout and adoption of EV charging solutions had not materialized as expected. The company further emphasized that evolving regulatory conditions and intensified competition in the EV charging market made it unlikely for this business segment to reach the growth and profitability targets set by the company.
See also: Swiss Firm Landis+Gyr Fully Acquires Slovenian EV Charging Manufacturer Etrel
“The significant change in regulatory and market conditions, as well as the competitive pressure in the EV charging market, makes it highly unlikely that this segment, which is not part of Landis+Gyr’s core business, will reach target growth rates and be profitable in the foreseeable future,” the company noted.
Landis+Gyr indicated that it plans to wind down its EV charging division without pursuing a potential sale. The company expects to incur impairment and restructuring charges ranging from USD 35 million to USD 45 million for the 2024 financial year, with approximately USD 10 million to USD 15 million in cash-effective restructuring charges. The EV charging business is anticipated to have generated around USD 20 million in revenue and a loss of approximately USD 10 million in 2023.
See also: Landis+Gyr Enters DC Fast Charging Market with Grid-Enhancing Solutions
The move follows Landis+Gyr’s acquisition of Slovenian charging infrastructure manufacturer Etrel in June 2024. The company had previously held a 75% stake in Etrel since 2021, and had aimed to leverage this acquisition under the ‘Landis+Gyr EV Solutions’ brand to promote the use of renewable energy in electric mobility and integrate EV batteries into smart grids. However, following a strategic review of its EMEA operations and a renewed focus on the Americas business, the company has decided to discontinue its involvement in the EV charging market in the region.
Landis+Gyr’s strategic review, which may include a potential U.S. stock market listing, is ongoing, with the company stating that the review is proceeding as planned. The decision to exit the EV charging business is part of the broader realignment of its portfolio in response to current financial performance and market conditions.
