Cenntro Highlights Delivery of All-Electric Class 4 Logistar 400® to Customers and Dealers in the United States

Rhea-AI Summary

Cenntro has delivered over 20 US-assembled Class 4 Logistar 400 (LS400) electric vehicles to customers and dealers in May 2024.

CEO Peter Wang expressed strong interest in the LS400 and future models, which are currently in testing and certification stages.

The company has obtained California Air Resources Board (CARB) and Zero-Emission Powertrain (ZEP) certifications, enhancing their ability to drive sales in California and support fleet electrification across the US.

Cenntro aims to reduce carbon footprints and operational costs for their fleet customers while developing new electric commercial vehicles for the US market.

Positive

• Delivered over 20 US-assembled LS400 vehicles in May 2024.
• Obtained CARB and ZEP certifications, enabling sales in California.
• Strong interest in LS400 and future models.
• Focused on reducing carbon footprints and operational costs.
• Developing new electric commercial vehicles for the US market.

Negative

• Only 20 vehicles delivered, indicating potential production or demand limitations.
• Future models still undergoing testing and certification, causing potential delays.

Insights

Financial Analyst

Cenntro Inc.'s recent delivery of over twenty Class 4 Logistar 400 vehicles is a significant milestone, reflecting operational progress and market interest in their electric commercial vehicle lineup. The electric vehicle (EV) space is highly competitive and delivering functioning products to customers is a important step in proving both technological and operational capabilities. This success could indicate a positive trajectory for revenue growth and market adoption.

It's noteworthy that the company has received CARB and ZEP certifications. These certifications are prestigious and essential for sales in California, a leading market for EVs. Compliance with stringent regulations not only opens up market opportunities but also establishes the company's credibility and commitment to environmental standards.

In the short term, this successful delivery and certification are likely to bolster investor confidence, potentially driving stock price appreciation. Long-term benefits include establishing a foothold in the commercial fleet market, which could lead to sustained revenue growth, provided the company can manage production scalability and supply chain efficiency.

Investors should watch out for upcoming earnings reports to see how these deliveries translate into revenue growth and profit margins. Additionally, keeping an eye on competition and market share will be important to understanding Cenntro's position in the broader EV market.

Tech Expert

The Logistar 400 is an all-electric Class 4 vehicle, a category that generally includes medium-duty trucks. These vehicles are essential for businesses with logistics needs, such as delivery services, which are increasingly looking to reduce their carbon footprint. This places Cenntro in a sweet spot within a growing market segment.

The successful delivery showcases the company's ability to scale up production, a critical factor for tech companies in the EV sector. Moreover, the CARB certifications further validate the product's technical capabilities, meeting high environmental and performance standards.

Investors should note that while technological achievement is significant, the real test will be in maintaining consistency and reliability in broader production runs. Technological advancements in battery efficiency, range and charging infrastructure will be key future focus areas that could determine Cenntro's long-term success.

Market Research Analyst

Cenntro's focus on the commercial fleet market presents both opportunities and challenges. The demand for electric commercial vehicles is growing, driven by regulatory pressures and corporate sustainability goals. The company's achievements in obtaining CARB certifications indicate potential for strong market penetration, especially in California, a leader in EV adoption.

From a market perspective, Cenntro is well-positioned to capitalize on the trend toward fleet electrification. However, competition is fierce, with established players and new entrants striving for market share. Cenntro's ability to differentiate its products through performance, cost-efficiency and customer service will be crucial.

Looking forward, it will be important to monitor customer feedback on the LS400 to gauge market acceptance and satisfaction. Positive reviews could lead to repeat orders and brand loyalty, while any issues could hinder market expansion.

FREEHOLD, N.J.--(BUSINESS WIRE)-- Cenntro Inc. (NASDAQ: CENN) (“Cenntro” or “the Company”), a leading electric vehicle technology company with advanced, market-validated electric commercial vehicles, today announced it has delivered more than twenty (20) US Assembled Class 4 Logistar® 400 (“LS400”) vehicles to its customers and dealers in the month of May, 2024.

“After thorough testing and certification, we are ramping assembly and delivery of the LS400 to our west coast and broader US customer base,” said Peter Wang, Chief Executive Officer of Cenntro. “We are seeing strong interest in the LS400 and future series models which are currently undergoing testing and certification.”

“With approval for California Air Resources Board (“CARB”) certification, and CARB’s Zero-Emission Powertrain Certification (“ZEP”), we believe we can drive sales in California and continue to propel commercial fleet electrification throughout the United States. We believe Cenntro’s product line provides our fleet customers with the ability to electrify their fleet, reduce their carbon footprint, and significantly lower their cost of operations. Moreover, we are also working to develop more purposely built electric commercial vehicles for the United States electric vehicle market,” concluded Wang.

About Cenntro

Cenntro (NASDAQ: CENN) is a leading maker and provider of electric commercial vehicles (“ECVs”). Cenntro’s purpose-built ECVs are designed to serve a variety of commercial applications inclusive of its line of class 1 to class 4 trucks. Cenntro is building a globalized supply-chain, as well as the manufacturing, distribution, and service capabilities for its innovative and reliable products. Cenntro continues to evolve its products capabilities through advanced battery, powertrain, and smart driving technologies. For more information, please visit Cenntro’s website at: www.cenntroauto.com.

Forward-Looking Statements

This communication contains "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements include all statements that are not historical facts. Such statements may be, but need not be, identified by words such as "may," "believe," "anticipate," "could," "should," "intend," "plan," "will," "aim(s)," "can," "would," "expect(s)," "estimate(s)," "project(s)," "forecast(s)," "positioned," "approximately," "potential," "goal," "strategy," "outlook" and similar expressions. Examples of forward-looking statements include, among other things, statements regarding assembly and distribution capabilities, decentralized production, and fully digitalized autonomous driving solutions. All such forward-looking statements are based on management’s current beliefs, expectations and assumptions, and are subject to risks, uncertainties and other factors that could cause actual results to differ materially from the results expressed or implied in this communication. For additional risks and uncertainties that could impact Cenntro’s forward-looking statements, please see disclosures contained in Cenntro’s public filings with the SEC, including the "Risk Factors" in Cenntro’s Annual Report on Form 10-K filed with the Securities and Exchange Commission on April 1, 2024 and which may be viewed at www.sec.gov.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240618101969/en/

Investor Relations Contact:

Chris Tyson

MZ North America

CENN@mzgroup.us

949-491-8235

Company Contact:

PR@cenntroauto.com

IR@cenntroauto.com

Source: Cenntro Inc.

FAQ

What electric vehicle did Cenntro deliver in May 2024?

Cenntro delivered over 20 US-assembled Class 4 Logistar 400 (LS400) electric vehicles to customers and dealers in May 2024.

Why is CARB certification important for Cenntro?

CARB certification is important as it allows Cenntro to drive sales in California and supports fleet electrification throughout the US.

What are the benefits of Cenntro's LS400 for fleet customers?

Cenntro's LS400 helps fleet customers electrify their fleet, reduce their carbon footprint, and significantly lower operational costs.

What is Cenntro's focus for the US electric vehicle market?

Cenntro is focused on developing new electric commercial vehicles tailored to the US market.

Is there strong interest in Cenntro's future electric vehicle models?

Yes, there is strong interest in Cenntro's LS400 and future series models currently undergoing testing and certification.