Faraday Future Reports Financial Results for Third Quarter 2024
Faraday Future reported Q3 2024 financial results, highlighting significant improvements in operating expenses, which decreased 92.6% to $3.8 million compared to $50.9 million in the prior year. Loss from operations improved to $25.2 million from $66.4 million. The company launched its second brand, Faraday X (FX), targeting mass market with two planned models: FX 5 ($20,000-$30,000) and FX 6 ($30,000-$50,000). The company secured $30 million in financing and regained Nasdaq compliance. Assets stood at $449 million, with liabilities of $292.3 million and book value of $156.7 million at quarter end.
Faraday Future ha riportato i risultati finanziari del terzo trimestre 2024, evidenziando significativi miglioramenti nelle spese operative, diminuite del 92,6% a $3,8 milioni rispetto ai $50,9 milioni dell'anno precedente. La perdita operativa è migliorata a $25,2 milioni rispetto ai $66,4 milioni. L'azienda ha lanciato il suo secondo marchio, Faraday X (FX), mirando al mercato di massa con due modelli programmati: FX 5 ($20.000-$30.000) e FX 6 ($30.000-$50.000). L'azienda ha ottenuto $30 milioni in finanziamenti e ha ripristinato la conformità con il Nasdaq. Gli attivi ammontavano a $449 milioni, con passività di $292,3 milioni e un valore contabile di $156,7 milioni a fine trimestre.
Faraday Future reportó los resultados financieros del tercer trimestre de 2024, destacando mejoras significativas en los gastos operativos, que disminuyeron un 92.6% a $3.8 millones en comparación con los $50.9 millones del año anterior. La pérdida de operaciones mejoró a $25.2 millones desde los $66.4 millones. La empresa lanzó su segunda marca, Faraday X (FX), orientándose al mercado masivo con dos modelos planeados: FX 5 ($20,000-$30,000) y FX 6 ($30,000-$50,000). La compañía aseguró $30 millones en financiamiento y recuperó la conformidad con Nasdaq. Los activos se situaron en $449 millones, con pasivos de $292.3 millones y un valor contable de $156.7 millones al final del trimestre.
파라데이 퓨처는 2024년 3분기 재무 결과를 발표하며 운영 비용이 92.6% 감소하여 $3.8 million에 이르렀고, 이는 작년의 $50.9 million과 비교된다고 강조했습니다. 운영 손실은 $66.4 million에서 $25.2 million으로 개선되었습니다. 회사는 대중 시장을 목표로 하는 두 가지 모델 FX 5 ($20,000-$30,000)과 FX 6 ($30,000-$50,000)를 출시하며 두 번째 브랜드 Faraday X (FX)를 출시했습니다. 또한, $30 million의 자금을 확보하고 나스닥 준수를 회복했습니다. 자산은 $449 million, 부채는 $292.3 million, 분기 말의 장부 가치는 $156.7 million입니다.
Faraday Future a annoncé ses résultats financiers pour le troisième trimestre 2024, mettant en avant des améliorations significatives dans les dépenses d'exploitation, qui ont diminué de 92,6 % pour atteindre 3,8 millions de dollars par rapport à 50,9 millions de dollars l'année précédente. La perte d'exploitation s'est améliorée, passant de 66,4 millions de dollars à 25,2 millions de dollars. L'entreprise a lancé sa deuxième marque, Faraday X (FX), visant le marché de masse avec deux modèles prévus : FX 5 (20 000 $ - 30 000 $) et FX 6 (30 000 $ - 50 000 $). La société a obtenu 30 millions de dollars de financement et a retrouvé sa conformité avec le Nasdaq. Les actifs se sont élevés à 449 millions de dollars, avec des passifs de 292,3 millions de dollars et une valeur comptable de 156,7 millions de dollars à la fin du trimestre.
Faraday Future hat die Finanzzahlen für das dritte Quartal 2024 veröffentlicht und dabei bedeutende Verbesserungen bei den Betriebskosten hervorgehoben, die um 92,6 % auf 3,8 Millionen USD gesenkt wurden im Vergleich zu 50,9 Millionen USD im Vorjahr. Der Verlust aus dem Geschäftsbetrieb verbesserte sich auf 25,2 Millionen USD von 66,4 Millionen USD. Das Unternehmen hat seine zweite Marke, Faraday X (FX), auf den Markt gebracht, die den Massenmarkt mit zwei geplanten Modellen anvisiert: FX 5 (20.000-30.000 USD) und FX 6 (30.000-50.000 USD). Das Unternehmen sicherte sich 30 Millionen USD an Finanzierung und stellte die Nasdaq-Konformität wieder her. Die Vermögenswerte beliefen sich auf 449 Millionen USD, die Verbindlichkeiten betrugen 292,3 Millionen USD, und der Buchwert lag zum Quartalsende bei 156,7 Millionen USD.
- Operating expenses decreased 92.6% to $3.8 million from $50.9 million YoY
- Loss from operations improved to $25.2 million from $66.4 million YoY
- Secured $30 million in financing
- Regained full Nasdaq compliance
- Expanded into Middle East market with new facilities and partnerships
- Still operating at a loss of $25.2 million
- FX brand launch dependent on securing additional funding
- Only 14 vehicles delivered to date
Insights
The Q3 results paint a concerning picture despite some operational improvements. Operating expenses dropped
The ambitious FX brand launch targeting the mass market (
The Middle East expansion and Chinese OEM partnerships show promise but require substantial capital investment. The company's ability to reach its 2025 production targets heavily depends on securing significant additional funding.
The strategic pivot to mass-market vehicles through the FX brand represents a dramatic shift from FF's original luxury positioning. While this could potentially tap into a larger market, the
The "Everyone's AIEV" co-creation campaign shows market interest, but converting this into actual sales will be challenging given the company's track record. The China-US bridge strategy and Middle East expansion appear more oriented toward securing funding than establishing sustainable market presence.
- Strategic FX Second Brand Launch, Completion of Strategic Realignment, and Significant Middle East Expansion Mark Transformative Quarter.
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Successfully Secured and Closed on
Financing.$30 Million - Regained Full Nasdaq Compliance.
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FX Brand Launch Targets Mass Market with Models Targeted in
Range with Potential Roll Off the Assembly Line by the End of 2025, Subject to Securing Necessary Funding.$20,000 -$50,000 - FX Project in First Phase of Vehicle Development, With Related Work Underway to Achieve Phase One Milestones. FX Plans to Announce Progress and Next Steps Execution Plan Next Week.
RESULTS FOR THIRD QUARTER 2024
The Company continued its efforts to control costs and reduce operating expenses:
-
Operating expenses improved significantly, declining
92.6% to compared to$3.8 million in the prior year’s quarter.$50.9 million -
Loss from operations improved to
compared to a loss of$25.2 million in the prior year quarter.$66.4 million -
The Company had
of assets,$449 million of liabilities and a book value of$292.3 million at quarter end September 30, 2024.$156.7 million
KEY COMPANY HIGHLIGHTS
The third quarter of 2024 represented a pivotal time for FF with the launch of its second brand, Faraday X (FX), heralding a new chapter in the Company's growth strategy. The FX brand targets the mass market segment with two planned models: the FX 5, with a price target between
FF launched its "Everyone's AIEV, You Decide" co-creation campaign, which has received thousands of responses, demonstrating interest in high-performance, intelligent, cost-effective B-AIEV and RE-AIEV products.
As part of the Company's Global Automotive Industry Bridge Strategy, FF has established relationships with four Chinese OEMs, having already entered into two strategic framework agreements and two memoranda of understanding, with a goal of promoting range-extended AIEV in the
Max Ma, FF’s Head of Global Strategy and Product, along with investor Sheikh Abdulla Al Qassimi, engaged in in-depth discussions with potential FX partners in
FF secured and closed on
FF continued to advance its FF 91 2.0 program with the delivery of an FF 91 2.0 Futurist Alliance to Born Leaders Entertainment, bringing total deliveries to 14 vehicles. Born Leaders Entertainment is now a user and Developer Co-Creation Officer for FF collaborating on promotional opportunities and high-profile engagements. The Company has achieved significant operational improvements, including a
On September 4, 2024, Nasdaq confirmed that the Company regained compliance with Nasdaq’s listing requirements. This followed a series of actions to address deficiencies in timely filing of periodic reports and a minimum bid price deficiency.
The Company enhanced its leadership capabilities with strategic appointments, including Koti Meka as Chief Financial Officer and Aaron Ma as Acting Head of EV R&D, strengthening its foundation for continued innovation and market expansion.
OUTLOOK
The Company continues to execute its dual-brand strategy while pursuing additional strategic financing opportunities. Plans for the FX brand target initial launch in late 2025, contingent upon securing necessary funding. FF remains focused on optimizing operations, reducing costs, and sustainably expanding its global presence through the
EARNINGS WEBCAST
Faraday Future management will host a webcast today, November 6, 2024, at 8:00 pm Eastern time (5:00 pm Pacific time). Interested investors and other parties can listen to a webcast of the conference call by logging onto the Investor Relations section of the Company's website at https://investors.ff.com/.
ABOUT FARADAY FUTURE
Faraday Future is the pioneer of the Ultimate AI TechLuxury ultra spire market in the intelligent EV era, and the disruptor of the traditional ultra-luxury car civilization epitomized by Ferrari and Maybach. FF is not just an EV company, but also a software-driven intelligent internet company. Ultimately FF aims to become a User Company by offering a shared intelligent mobility ecosystem. FF remains dedicated to advancing electric vehicle technology to meet the evolving needs and preferences of users worldwide, driven by a pursuit of intelligent and AI-driven mobility.
FORWARD-LOOKING STATEMENTS
This press release includes “forward-looking statements” within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. When used in this press release, the words “estimates,” “projected,” “expects,” “anticipates,” “forecasts,” “plans,” “intends,” “believes,” “seeks,” “may,” “will,” “should,” “future,” “propose” and variations of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements. These forward-looking statements, which include statements regarding the Company’s FX plans and goals, bridge strategy, product optimization efforts and cost reduction efforts, and planned entry into the
Important factors, among others, that may affect actual results or outcomes include, among others: the Company’s ability to secure the necessary funding to execute on its strategy, including its FX strategy, which is substantial; the Company’s ability to continue as a going concern and improve its liquidity and financial position; the Company’s ability to pay its outstanding obligations; the Company's ability to remediate its material weaknesses in internal control over financial reporting and the risks related to the restatement of previously issued consolidated financial statements; the Company’s limited operating history and the significant barriers to growth it faces; the Company’s history of losses and expectation of continued losses; the success of the Company’s payroll expense reduction plan; the Company’s ability to execute on its plans to develop and market its vehicles and the timing of these development programs; the Company’s estimates of the size of the markets for its vehicles and cost to bring those vehicles to market; the rate and degree of market acceptance of the Company’s vehicles; the Company’s ability to cover future warrant claims; the success of other competing manufacturers; the performance and security of the Company’s vehicles; current and potential litigation involving the Company; the Company’s ability to receive funds from, satisfy the conditions precedent of and close on the various financings described elsewhere by the Company; the result of future financing efforts, the failure of any of which could result in the Company seeking protection under the Bankruptcy Code; the Company’s indebtedness; the Company’s ability to cover future warranty claims; the Company’s ability to use its “at-the-market” program; insurance coverage; general economic and market conditions impacting demand for the Company’s products; potential negative impacts of a reverse stock split; potential cost, headcount and salary reduction actions may not be sufficient or may not achieve their expected results; circumstances outside of the Company's control, such as natural disasters, climate change, health epidemics and pandemics, terrorist attacks, and civil unrest; risks related to the Company's operations in
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Investors (English): ir@faradayfuture.com
Investors (Chinese): cn-ir@faradayfuture.com
Media: john.schilling@ff.com
Source: Faraday Future Intelligent Electric Inc.
FAQ
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