Shares of EV charging company Volta (VLTA 2.64%) spiked today after the company reported its first-quarter results. The stock soared more than 20% at its morning peak and was still trading 18.4% higher at 11:02 a.m. ET.
Volta reported that first-quarter revenue jumped 77% versus the year-ago period. Volta partners with retailers to offer advertising on its charging stalls with large digital display monitors. The media revenue brought in from that business model differentiates it from other charging station networks. Media revenue grew 73% year over year.
Based on the midpoint of its guidance, Volta said it expects second-quarter revenue to rocket 61% higher than the first quarter's. The company also offered projections for the full year, saying revenue for the year would rise to between $70 million and $80 million. That would represent an increase of between 117% and 148% compared to full-year 2021.
Interim CEO Brandt Hastings identified several new partnerships contributing to Volta's growth. In a statement, Hastings pointed to "new and expanded partnerships with top retail locations like Tanger Outlets and Six Flags, national advertisers such as T-Mobile and PepsiCo."
With the stock having dropped about 70% year to date, the price-to-sales ratio has now fallen below 5 based on the midpoint of the 2022 revenue expectation. That valuation, combined with its level of growth, seems to be enough for investors to dive back into Volta stock today.