CBAK Energy Secures Nearly USD7 Million Order From Renowned European Client

Rhea-AI Summary

CBAK Energy Technology announced that its subsidiary, Dalian CBAK Power Battery, has secured a significant order worth nearly USD 7 million from a prominent European client. The European client has a history of sourcing cylindrical batteries from CBAK Energy, with previous orders totaling close to USD 55 million. CEO Yunfei Li expressed satisfaction with the continued recognition of their battery products and emphasized the company's commitment to innovation and quality to strengthen their market position.

Positive

• CBAK Energy secured a nearly USD 7 million order from a European client.
• The European client has previously sourced USD 55 million worth of batteries from CBAK Energy.
• The order reflects continued trust from a long-term partner.
• CEO Yunfei Li highlighted the company's focus on high-quality and high-performance battery innovation.
• This order may bolster CBAK Energy’s market share and leadership position.

Negative

• No specific new product or technology advancements were mentioned in the announcement.
• The press release did not specify the duration or frequency of the new order.

Insights

Financial Analyst

CBAK Energy's new order worth USD7 million is a positive indication of the company's ongoing business relationships and product demand. This significant order comes from a long-term European client, highlighting a repeat business dynamic which is generally a good sign of customer satisfaction and product reliability.

This order adds to their cumulative orders valued at USD55 million, suggesting that CBAK Energy has a stable and possibly expanding revenue stream from this client. The regularity and size of these orders could provide more predictable revenue forecasts and help in planning capital expenditures and expansions.

However, investors should be cautious about over-relying on a limited number of clients, as this can pose a concentration risk.

Market Research Analyst

The consistent orders from a European client underscore the growing demand for lithium-ion batteries in Europe, possibly driven by the region's increasing focus on clean energy and electric vehicles. This order is a strong testament to CBAK Energy's ability to meet international standards, which is important for competing in the global market.

The European market is known for its stringent quality and environmental regulations, so securing such sizable orders implies that CBAK has established a robust compliance framework. Nevertheless, investors must monitor if these orders translate into a broader client base or if they remain heavily concentrated on a few major clients.

DALIAN, China, June 14, 2024 /PRNewswire/ -- CBAK Energy Technology, Inc. (NASDAQ: CBAT) ("CBAK Energy," or the "Company"), a leading lithium-ion battery manufacturer and electric energy solution provider in China, today announced that its subsidiary, Dalian CBAK Power Battery Co., Ltd. ("CBAK Power") has secured an order valued at almost USD7.0 million from a Renowned European Client (the "Partner").

Founded in Europe, the Partner has been sourcing cylindrical batteries from CBAK Energy for orders valued close to USD55.0 million.

Yunfei Li, Chairman and Chief Executive Officer of CBAK Energy, commented, "We are pleased to receive another significant-sized order from our long-term partner, demonstrating the recognition of our battery products by one of our industry-pioneering customers renowned for their manufacturing excellence. We are committed to innovating and delivering high-quality and high-performance batteries to capture more market share and consolidate our leadership position."

About CBAK Energy

CBAK Energy Technology, Inc. (NASDAQ: CBAT) is a leading high-tech enterprise in China engaged in the development, manufacturing, and sales of new energy high power lithium and sodium batteries, as well as the production of raw materials for use in manufacturing high power lithium batteries. The applications of the Company's products and solutions include electric vehicles, light electric vehicles, energy storage and other high-power applications. In January 2006, CBAK Energy became the first lithium battery manufacturer in China listed on the Nasdaq Stock Market. CBAK Energy has multiple operating subsidiaries in Dalian, Nanjing, Shaoxing and Shangqiu, as well as a large-scale R&D and production base in Dalian.

For more information, please visit ir.cbak.com.cn.

Safe Harbor Statement

This press release contains "forward-looking statements" that involve substantial risks and uncertainties. All statements other than statements of historical facts contained in this press release, including statements regarding the Company's future results of operations and financial position, strategy, plans, and expectations for future operations, are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. The Company has attempted to identify forward-looking statements by terminology including "anticipates," "believes," "can," "continue," "could," "estimates," "expects," "intends," "may," "plans," "potential," "predicts," "should," or "will" or the negative of these terms or other comparable terminology. Actual results of the Company may differ materially or perhaps significantly from those discussed herein, or implied by, these forward-looking statements.

The forward-looking statements included in this press release are made as of the date of this press release and the Company undertakes no obligation to publicly update or revise any forward-looking statements, other than as required by applicable law.

For further inquiries, please contact:

In China:

CBAK Energy Technology, Inc.
Investor Relations Department
Phone: +86-18675423231
Email: ir@cbak.com.cn 

Piacente Financial Communications
Ms. Hui Fan
Tel: +86-10-6508-0677
Email: CBAK@thepiacentegroup.com   

In the United States:

Piacente Financial Communications
Ms. Brandi Piacente
Tel: +1-212-481-2050
Email: CBAK@thepiacentegroup.com 

View original content:https://www.prnewswire.com/news-releases/cbak-energy-secures-nearly-usd7-million-order-from-renowned-european-client-302172740.html

SOURCE CBAK Energy Technology, Inc.

FAQ

What recent order did CBAK Energy secure?

CBAK Energy secured a nearly USD 7 million order from a renowned European client.

Who is the client for CBAK Energy's recent order?

The client is a prominent European company that has previously ordered cylindrical batteries from CBAK Energy.

How much has the European client ordered from CBAK Energy in total?

The European client has placed orders totaling close to USD 55 million.

What is the stock symbol for CBAK Energy?

The stock symbol for CBAK Energy is CBAT.

What did CBAK Energy's CEO say about the new order?

CEO Yunfei Li stated that the order demonstrates recognition of CBAK Energy's battery products and emphasized their commitment to innovation and quality.