Phoenix Motor Inc. Announces Second Quarter 2022 Financial and Operational Results
Phoenix Motor Inc. (Nasdaq: PEV) reported its Q2 financial results for 2022, revealing a revenue increase of 130%, totaling $1.5 million, driven by electric forklift sales. Gross profit rose to $325,000, reversing a loss from the previous year, with gross margin improving to 21.7%. Net losses decreased to $1.9 million, a 16% improvement year-over-year. The company raised $15.75 million in its IPO and reported a 40% increase in backlog for vehicles and electric drive systems. Total assets were $24.6 million, with cash and equivalents at $7.8 million as of June 30, 2022.
- Revenue increased 130% year-over-year to $1.5 million.
- Gross profit rose to $325,000, improving from a loss of $159,000.
- Gross margin improved to 21.7% compared to (24.3%) last year.
- Net loss decreased to $1.9 million, 16% better than the previous year.
- Raised $15.75 million during the IPO in June 2022.
- Backlog of vehicles increased by 40% to 88 units.
- Net losses for the six months remained at $4.2 million, unchanged from the prior year.
- EBITDA loss for the first six months of 2022 was $3.4 million, consistent with 2021.
Financial Highlights Second Quarter
-
Revenue totaled
$1.5 million 130% compared to the prior-year period of$653,000 -
Gross profit increased to
$325,000 $159,000 21.7% from (24.3% ), primarily driven by higher margin electric forklift sales -
Net losses decreased to
$1.9 million 16% compared to a loss of$2.3 million -
Total assets were
$24.6 million June 30, 2022 -
Cash and cash equivalents were
$7.8 million June 30, 2022
Financial Highlights Six Months Ending
-
Revenues for the six months ended
June 30, 2022 were$2.2 million 93% , year-over-year -
Gross profit increased to
$445,000 $107,000 -
EBITDA for the first six months of 2022 was a loss of
$3.4 million -
Phoenix had net losses of
$4.2 million June 30, 2022 , which was unchanged compared to the prior-year period
Q2 Highlights
-
Raised aggregate gross proceeds of
$15.75 million June 8, 2022 -
Backlog for vehicles and electric drive systems increased
40% to 88 units compared to the first quarter of 2022 - Initiated strategic partnership with IAT Automotive Technology as part of next generation product development
“We are excited to have completed our initial public offering in the second quarter, while accomplishing strong revenue growth as we continue to build and reshape the company,” Phoenix CEO, Dr.
Conference Call Information
About
Forward-Looking Statement
This press release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements that are other than statements of historical facts. When the Company uses words such as “may,” “will,” “intend,” “should,” “believe,” “expect,” “anticipate,” “project,” “estimate” or similar expressions that do not relate solely to historical matters, it is making forward-looking statements. Forward-looking statements are no guarantee of future performance and involve risks and uncertainties that may cause the actual results to differ materially from the Company’s expectations discussed in the forward-looking statements. These statements are subject to uncertainties and risks including, but not limited to, the following: the Company’s ability to convert concept trucks and vans into production and sales; the Company’s product development timeline and expected start of production; development of competitive trucks and vans manufactured and sold by the Company’s competitors and major industry vehicle companies; the Company’s ability to scale in a cost-effective manner; the Company’s future capital requirements and sources and uses of cash; the Company’s ability to obtain funding for its future operations; the Company’s financial and business performance; changes in the Company’s strategy, future operations, financial position, estimated revenues and losses, projected costs, prospects and plans; the implementation, market acceptance and success of its business model; expectations regarding the Company’s ability to obtain and maintain intellectual property protection and not infringe on the rights of others; and other risks contained in the Offering prospectus and reports filed by the Company with the
Consolidated Statement of Operations
For the three and six months ended (Dollars in thousands, except per share data) |
||||||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||||||
| Revenues | $ | 1,499 |
|
$ | 653 |
|
$ | 2,170 |
|
$ | 1,126 |
|
||||
| Cost of revenues | 1,174 |
|
812 |
|
1,725 |
|
1,233 |
|
||||||||
| Gross profit (loss) | 325 |
|
(159 |
) |
445 |
|
(107 |
) |
||||||||
| Operating expenses: | ||||||||||||||||
| Selling, general and administrative | 2,290 |
|
2,142 |
|
5,313 |
|
4,099 |
|
||||||||
| Operating loss | (1,965 |
) |
(2,301 |
) |
(4,868 |
) |
(4,206 |
) |
||||||||
| Other income (expense): | ||||||||||||||||
| Interest expense (income), net | (2 |
) |
1 |
|
(4 |
) |
2 |
|
||||||||
| Others | 54 |
|
- |
|
639 |
|
- |
|
||||||||
| Total other income, net | 52 |
|
1 |
|
635 |
|
2 |
|
||||||||
| Loss before income taxes | (1,913 |
) |
(2,300 |
) |
(4,233 |
) |
(4,204 |
) |
||||||||
| Income tax provision | (12 |
) |
(1 |
) |
(14 |
) |
(3 |
) |
||||||||
| Net loss | $ | (1,925 |
) |
$ | (2,301 |
) |
$ | (4,247 |
) |
$ | (4,207 |
) |
||||
| Net loss per share of common stock: | ||||||||||||||||
| Basic and Diluted | $ | (0.11 |
) |
$ | (0.13 |
) |
$ | (0.24 |
) |
(0.24 |
) |
|||||
| Weighted average shares outstanding | 17,984,615 |
|
17,500,000 |
|
17,740,984 |
|
17,500,000 |
|
||||||||
Consolidated Balance Sheet
As of (Dollars in thousands) |
||||||||
| (Unaudited) | ||||||||
| Assets | ||||||||
| Current assets | ||||||||
| Cash and cash equivalents | $ | 7,764 |
|
$ | 2,683 |
|
||
| Accounts receivable, net | 1,250 |
|
1,201 |
|
||||
| Inventories | 3,796 |
|
2,225 |
|
||||
| Prepaid expenses and other current assets | 3,741 |
|
528 |
|
||||
| Total current assets | 16,551 |
|
6,637 |
|
||||
| Restricted cash, non current | 250 |
|
- |
|
||||
| Property and equipment, net | 1,484 |
|
2,205 |
|
||||
| Intangible assets, net | 2,014 |
|
2,323 |
|
||||
4,271 |
|
4,271 |
|
|||||
| Total assets | $ | 24,570 |
|
$ | 15,436 |
|
||
| Liabilities | ||||||||
| Current liabilities | ||||||||
| Accounts payable | $ | 2,353 |
|
$ | 1,786 |
|
||
| Accrued liabilities | 880 |
|
779 |
|
||||
| Advance from customers | 794 |
|
803 |
|
||||
| Deferred revenue | 487 |
|
714 |
|
||||
| Warranty reserve | 340 |
|
360 |
|
||||
| Long-term borrowing, current portion | 10 |
|
10 |
|
||||
| Total current liabilities | 4,864 |
|
4,452 |
|
||||
| Long-term borrowings | 165 |
|
756 |
|
||||
| Total liabilities | 5,029 |
|
5,208 |
|
||||
| Equity | ||||||||
| Common stocks, par 19,600,000 and 17,500,000 shares issued and outstanding as of |
8 |
|
7 |
|
||||
| Subscription receivable | - |
|
(7 |
) |
||||
| Additional paid in capital | 39,637 |
|
26,085 |
|
||||
| Accumulated deficit | (20,104 |
) |
(15,857 |
) |
||||
| Total equity | 19,541 |
|
10,228 |
|
||||
| Total liabilities and equity | $ | 24,570 |
|
$ | 15,436 |
|
||
Consolidated Statement of Cash Flows
For the six months ended (Dollars in thousands) |
||||
| Six months ended |
||||
2022 |
|
2021 |
|
|
| Cash flows from operating activities: | ||||
| Net loss | (4,247 |
) |
(4,207 |
) |
| Adjustments to reconcile net loss to cash used in operating activities: | ||||
| Depreciation and amortization | 855 |
|
862 |
|
| Gain on disposal of fixed assets | (54 |
) |
- |
|
| Forgiveness of PPP loan | (586 |
) |
- |
|
| Stock-based compensation expenses | 115 |
|
45 |
|
| Changes in operating assets and liabilities: | ||||
| Accounts receivable | (49 |
) |
(235 |
) |
| Inventories | (1,607 |
) |
(289 |
) |
| Prepaid expenses and other assets | (3,213 |
) |
(2,477 |
) |
| Accounts payable | 567 |
|
199 |
|
| Accrued liabilities | 101 |
|
81 |
|
| Warranty reserve | (20 |
) |
(85 |
) |
| Deferred revenue | (227 |
) |
(138 |
) |
| Advance from customer | (9 |
) |
25 |
|
| Net cash used in operating activities | (8,374 |
) |
(6,219 |
) |
| Cash flows from investing activities: | ||||
| Proceeds from disposal of fixed assets | 273 |
|
- |
|
| Purchase of property, plant and equipment | (8 |
) |
(458 |
) |
| Net cash generated from (used in) investing activities | 265 |
|
(458 |
) |
| Cash flows from financing activities: | ||||
| Proceeds from borrowings | - |
|
586 |
|
| Proceeds from related party | 1,676 |
|
- |
|
| Repayment to related party | (1,676 |
) |
- |
|
| Repayment of borrowings | (5 |
) |
(8 |
) |
| Proceeds from IPO | 13,438 |
|
- |
|
| Proceeds from capital injection by a shareholder | 7 |
|
- |
|
| Net cash generated from financing activities | 13,440 |
|
578 |
|
| Increase (Decrease)in cash, cash equivalents and restricted cash | 5,331 |
|
(6,099 |
) |
| Cash, cash equivalents and restricted cash at beginning of the period | 2,683 |
|
15,699 |
|
| Cash, cash equivalents and restricted cash at end of the period | 8,014 |
|
9,600 |
|
| Reconciliation of cash, cash equivalents, and restricted cash to the consolidated balance sheets | ||||
| Cash and cash equivalents | 7,764 |
|
9,600 |
|
| Restricted cash | 250 |
|
- |
|
| Total cash, cash equivalents, and restricted cash | 8,014 |
|
9,600 |
|
| Supplemental cash flow information: | ||||
| Interest paid | - |
|
- |
|
| Income tax paid | 3 |
|
3 |
|
| Non-cash investing activities: | ||||
| Inventories transferred to property and equipment | 36 |
|
- |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20220815005657/en/
Investor Relations Contacts:
PhoenixIR@icrinc.com
Source:
FAQ
What were the Q2 2022 financial results of Phoenix Motor Inc. (PEV)?
How much did Phoenix Motor raise in its IPO?
What is the net loss for Phoenix Motor for the six months ending June 30, 2022?
What is the backlog status for Phoenix Motor as of Q2 2022?
