Ideanomics Qingdao EV Hub Announces Order from Tianjin Zhongcheng

Rhea-AI Summary

Ideanomics (NASDAQ: IDEX) announced that its Mobile Energy Global (MEG) Qingdao EV Hub secured an order from Tianjin Zhongcheng Jiaye Automobile Trading Co., Ltd. for 42 Toyota Land Cruiser vehicles valued at RMB 31 Million (approximately USD 4.4 Million or USD 100,000 per vehicle). Delivery is expected to commence later this month, pending final negotiations. Revenue recognition will depend on the completion of transactions, which may be reported on a Gross or Net basis, with potential deferrals to future periods.

Positive

• Secured an order for 42 vehicles valued at RMB 31 Million (USD 4.4 Million).
• Strengthens partnership with Tianjin Zhongcheng in the EV market.

Negative

• Revenue recognition is uncertain until order transactions are finalized.
• Potential for revenue deferral to future accounting periods.

NEW YORK, June 19, 2020 /PRNewswire/ -- -1%26h%3D3496217845%26u%3Dhttp%253A%252F%252Fwww.ideanomics.com%252F%26a%3DIdeanomics&a=Ideanomics" rel="nofollow">Ideanomics (NASDAQ: IDEX) ("Ideanomics" or the "Company") is pleased to announce that its Mobile Energy Global (MEG) Qingdao EV Hub has secured an order from Tianjin Zhongcheng Jiaye Automobile Trading Co., Ltd. (Tianjin Zhongcheng).

The order is for a total of 42 vehicles valued at RMB 31 Million, or USD 4.4 Million, or approximately USD $100,000 per vehicle. The order will be fulfilled with Toyota Land Cruiser models, and subject to final negotiations with manufacturers, financing, government licensing, etc., delivery of the vehicles to Tianjin Zhongcheng is expected to commence later this month.

The US GAAP accounting treatment for the anticipated revenue from the above orders will not be finalized until the order transactions complete. Consequently, the revenue may be reported on a Gross or Net basis and some portion may be deferred to future accounting periods.

About Ideanomics
Ideanomics is a global company focused on facilitating the adoption of commercial electric vehicles and developing next generation financial services and Fintech products. Its electric vehicle division, Mobile Energy Global (MEG) provides group purchasing discounts on commercial electric vehicles, EV batteries and electricity as well as financing and charging solutions. Ideanomics Capital includes DBOT ATS and Intelligenta which provide innovative financial services solutions powered by AI and blockchain. MEG and Ideanomics Capital provide our global customers and partners with better efficiencies and technologies and greater access to global markets.

The company is headquartered in New York, NY, and has offices in Beijing and Qingdao, China.

Safe Harbor Statement
This press release contains certain statements that may include "forward looking statements". All statements other than statements of historical fact included herein are "forward-looking statements." These forward-looking statements are often identified by the use of forward-looking terminology such as "believes," "expects" or similar expressions, involve known and unknown risks and uncertainties, and include statements regarding our intention to transition our business model to become a next-generation financial technology company, our business strategy and planned product offerings, our intention to phase out our oil trading and consumer electronics businesses, and potential future financial results. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of risks and uncertainties, such as risks related to: our ability to continue as a going concern; our ability to raise additional financing to meet our business requirements; the transformation of our business model; fluctuations in our operating results; strain to our personnel management, financial systems and other resources as we grow our business; our ability to attract and retain key employees and senior management; competitive pressure; our international operations; and other risks and uncertainties disclosed under the sections entitled "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in our most recent Form 10-K and Form 10-Q filed with the Securities and Exchange Commission, and similar disclosures in subsequent reports filed with the SEC, which are available on the SEC website at www.sec.gov. All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these risk factors. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.

Investor Relations and Media Contact
Tony Sklar, VP of Communications
55 Broadway, 19^th Floor New York, New York 10006
Email: ir@ideanomics.com

 

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SOURCE Ideanomics

FAQ

What is the recent order value for Ideanomics from Tianjin Zhongcheng?

The recent order from Tianjin Zhongcheng is valued at RMB 31 Million, approximately USD 4.4 Million.

How many vehicles did Ideanomics secure an order for?

Ideanomics secured an order for 42 Toyota Land Cruiser vehicles.

When is the delivery of the vehicles expected to start?

Delivery of the vehicles is expected to commence later this month.

What might affect Ideanomics' revenue recognition for the recent order?

Revenue recognition could be affected by the completion of order transactions and may be reported on a Gross or Net basis.

Which models are included in the Ideanomics order for Tianjin Zhongcheng?

The order includes Toyota Land Cruiser models.