Envirotech Vehicles Announces First Quarter 2024 Financial Results
Envirotech Vehicles (NASDAQ:EVTV) reported a significant increase in sales for Q1 2024, reaching $810,490, a 55% rise compared to Q1 2023. However, the net loss widened to $4,532,363, or ($0.29) per share, from $2,267,908, or ($0.15) per share, in Q1 2023. Adjusted net loss improved to $1,144,053, or ($0.07) per share, compared to $2,180,764, or ($0.14) per share, in Q1 2023. Adjusted EBITDA also improved to ($1,098,698) from ($2,183,933) in the same period. The company held cash and equivalents of $1,049,357 and working capital of approximately $8,148,204 as of March 31, 2024. CEO Phil Oldridge highlighted progress in refurbishing the Osceola, Arkansas facility and leasehold improvements in the Clark facility in the Philippines. The company was awarded EPA funding for 25 electric school buses and continues to see rising demand for its products.
- Sales increased by 55% to $810,490 in Q1 2024 compared to Q1 2023.
- Adjusted net loss improved to $1,144,053 in Q1 2024 from $2,180,764 in Q1 2023.
- Adjusted EBITDA improved to ($1,098,698) in Q1 2024 from ($2,183,933) in Q1 2023.
- The company was awarded EPA funding for 25 electric EVT school buses in 2024.
- Started refurbishing the Osceola, Arkansas facility and leasehold improvements in the Clark facility, Philippines.
- Holding cash and cash equivalents of $1,049,357 and working capital of approximately $8,148,204 as of March 31, 2024.
- Net loss widened to $4,532,363, or ($0.29) per share, in Q1 2024 compared to $2,267,908, or ($0.15) per share, in Q1 2023.
- Higher net loss despite increased sales, indicating potential issues with cost management or increasing expenses.
Insights
The 55% increase in sales compared to the same quarter in 2023 is a positive sign of growing demand for Envirotech Vehicles' zero-emission products. However, the net loss doubling to
The 55% increase in sales indicates a strong market interest and demand for Envirotech Vehicles' products. This is particularly encouraging as the market for zero-emission electric vehicles is competitive and rapidly expanding. The company's involvement in the EPA funding for school bus electrification and the partnership with Plug'd for leasing to fleet and government customers open up significant market opportunities. These strategic moves can enhance market penetration and brand visibility. However, an important consideration for investors is the company's ability to convert these opportunities into consistent revenue and profit growth. The
OSCEOLA, AR / ACCESSWIRE / May 20, 2024 / Envirotech Vehicles, Inc. (NASDAQ:EVTV), a provider of purpose-built zero-emission electric vehicles (the "Company" or "Envirotech Vehicles"), today announced its results for the three months ended March 31, 2024.
First Quarter 2024 Financial Results
Sales were
Net loss in the first quarter of 2024 was
Adjusted EBITDA was (
As of March 31, 2024, the Company had cash and cash equivalents, of
Phil Oldridge, CEO and Chairman of the Company's Board of Directors, stated that, "we continue to work on expanding our business while maintaining vigilance over spending as a part of our principled operating philosophy."
"On the manufacturing front, we started to make progress on refurbishing our Osceola, Arkansas facility during the first quarter," continued Mr. Oldridge. "The Company has also started the leasehold improvements to the Clark facility in the Philippines."
"Looking ahead, we are excited to see the 2023 round of funding by the EPA to spur school bus electrification in the U.S., and we were awarded as a beneficiary in 2024 for 25 all electric EVT school buses. More broadly, we remain excited about our previously announced partnership with Plug'd. We delivered units in Q1 2024 and have partnered with them for leasing to fleet and government customers. We continue to see an increase in demand for our vehicles from companies that can take delivery of our products in the short term as opposed to simply generating backlogs of orders without firm delivery dates. At Envirotech Vehicles, we believe that this continued growing interest in and demand for our vehicles provides a positive outlook through 2024 and beyond," concluded Mr. Oldridge.
About Envirotech Vehicles
Envirotech Vehicles is a provider of purpose-built zero-emission electric vehicles focused on reducing the total cost of vehicle ownership and helping fleet operators unlock the benefits of green technology. We serve commercial and last-mile fleets, school districts, public and private transportation service companies and colleges and universities to meet the increasing demand for heavy-duty electric vehicles. Our vehicles address the challenges of traditional fuel price cost instability and local, state and federal environmental regulatory compliance. For more information visit www.evtvusa.com
Cautionary Statement Regarding Forward-Looking Statements
Statements made in this press release that relate to future plans, events, financial results, prospects or performance are forward-looking statements. While they are based on the current expectations and beliefs of management, such forward-looking statements are subject to a number of risks, uncertainties, assumptions and other factors that could cause actual results to differ materially from the expectations expressed in this press release, including the risks and uncertainties disclosed in reports filed by Envirotech Vehicles with the Securities and Exchange Commission, all of which are available online at www.sec.gov. All statements, other than statements of historical fact, are statements that could be deemed forward-looking statements, including statements containing the words "planned," "expected," "believes," "strategy," "opportunity," "anticipated," "outlook," "designed," and similar words. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Except as required by law, Envirotech Vehicles undertakes no obligation to update or revise any forward-looking statements to reflect new information, changed circumstances or unanticipated events.
Envirotech Vehicles, Inc.
Franklin Lim, CFO
Telephone: (870) 970-3355
Email: franklin.l@evtvusa.com
Non-GAAP Financial Measures
This press release contains financial measures that do not comply with U.S. generally accepted accounting principles ("GAAP"), such as adjusted net loss and adjusted EBITDA. These measures are intended to supplement, not replace, the Company's presentation of its financial results in accordance with GAAP. The Company believes that the non-GAAP financial measures presented are commonly used by financial analysts and others in the industries in which the Company operates, and thus further provide useful information to investors. The Company's definitions of these non-GAAP financial measures may differ from those terms as defined or used by other companies. The principal limitation of these non-GAAP measures is that they exclude important cash and non-cash items required by GAAP to be recorded in the Company's financial statements. The Company urges investors to review the following reconciliation of these non-GAAP measures to the comparable GAAP financial measures, and not to rely on any single financial measure to evaluate the Company's financial performance.
The Company has presented these non-GAAP financial measures as it believes that the presentation of its financial results that exclude (1) stock-based compensation costs and (2) unrealized loss on financial instruments at fair value are useful and assist in comparing the Company's current operating results with past periods and with the operational performance of other companies in its industry. As described in further detail below, the Company has determined that these expenses are not normal, recurring cash operating expenses necessary to operate its business. Presented below is the Company's rationale for why providing financial measures for its business with such expenses excluded or adjusted is useful to investors as a supplement to the U.S. GAAP measures.
| ● | Stock-based compensation costs - non-cash costs that primarily relate to equity awarded to employees, directors and certain outside consultants for services rendered; |
| ● | Unrealized loss on financial instruments at fair value - non-cash charge associated with changes in fair value of the Company's financial instruments that do not affect the Company's day-to-day operations. |
ENVIROTECH VEHICLES, INC. AND SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES
(unaudited)
| For the Three Months Ended | Variance | |||||||||||
| March 31, | March 31, | |||||||||||
| 2024 | 2023 | |||||||||||
Adjusted earnings calculation | ||||||||||||
Net loss | $ | (4,532,363 | ) | $ | (2,267,908 | ) | (2,264,455 | ) | ||||
Stock-based compensation | 1,818,383 | 87,144 | 1,731,239 | |||||||||
Unrealized loss on financial instruments fair value | 1,569,927 | - | 1,569,711 | |||||||||
Adjusted net loss | $ | (1,144,053 | ) | $ | (2,180,764 | ) | 1,036,711 | |||||
Adjusted earnings per share calculation | ||||||||||||
Net loss per share | $ | (.29 | ) | $ | (.15 | ) | $ | (.14 | ) | |||
Stock-based compensation per share | 0.12 | 0.01 | .11 | |||||||||
Unrealized loss on financial instruments fair value per share | 0.10 | - | .10 | |||||||||
Adjusted net loss per share | $ | (.07 | ) | $ | (.14 | ) | $ | .07 | ||||
Earnings before income taxes, depreciation, and amortization | ||||||||||||
Net income | $ | (4,532,363 | ) | $ | (2,267,908 | ) | $ | (2,264,455 | ) | |||
Net interest income | 6,143 | (32,153 | ) | 38,296 | ||||||||
Depreciation expense | 39,212 | 28,948 | 10,228 | |||||||||
Earnings before income taxes, depreciation, and amortization | $ | (4,487,008 | ) | $ | (2,271,077 | ) | $ | (2,215,931 | ) | |||
Stock based compensation | $ | 1,818,383 | $ | 87,144 | $ | 1,731,239 | ||||||
Unrealized loss on financial instruments fair value | 1,569,927 | - | 1,569,235 | |||||||||
Adjusted earnings before income taxes, depreciation, and amortization | $ | (1,098,698 | ) | $ | (2,183,933 | ) | $ | 1,085,235 | ||||
Sales | $ | 810,490 | $ | 523,199 | $ | 287,291 | ||||||
SOURCE: Envirotech Vehicles, Inc
View the original press release on accesswire.com
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