U Power Announces First Half of 2024 Financial Results
U Power (Nasdaq: UCAR) reported financial results for the first half of 2024, showing 595.7% year-over-year revenue growth to RMB13.2 million (US$1.8 million). This growth was primarily driven by increased orders for battery-swapping stations. Product sales revenues reached RMB12.4 million, representing 93.9% of total net revenues. Despite revenue growth, the company reported a net loss of RMB26.5 million (US$3.6 million), compared to RMB7.2 million in the same period last year. Operating expenses increased by 26.8% to RMB27.7 million. The company's cash and cash equivalents stood at RMB40.5 million (US$5.6 million) as of June 30, 2024. U Power also announced strategic collaborations in Thailand and Portugal to expand its battery-swapping ecosystem.
U Power (Nasdaq: UCAR) ha riportato i risultati finanziari per la prima metà del 2024, evidenziando una crescita dei ricavi del 595,7% anno su anno raggiungendo RMB13,2 milioni (US$1,8 milioni). Questo aumento è stato principalmente guidato da un incremento degli ordini per stazioni di cambio batteria. I ricavi delle vendite dei prodotti hanno raggiunto RMB12,4 milioni, rappresentando il 93,9% dei ricavi netti totali. Nonostante la crescita dei ricavi, l'azienda ha riportato una perdita netta di RMB26,5 milioni (US$3,6 milioni), rispetto a RMB7,2 milioni nello stesso periodo dell'anno scorso. Le spese operative sono aumentate del 26,8% a RMB27,7 milioni. Le disponibilità liquide e i loro equivalenti dell'azienda ammontavano a RMB40,5 milioni (US$5,6 milioni) al 30 giugno 2024. U Power ha anche annunciato collaborazioni strategiche in Thailandia e Portogallo per espandere il proprio ecosistema di cambio batteria.
U Power (Nasdaq: UCAR) reportó los resultados financieros para la primera mitad de 2024, mostrando un crecimiento de ingresos del 595,7% en comparación con el año anterior alcanzando RMB13,2 millones (US$1,8 millones). Este crecimiento fue impulsado principalmente por un aumento en los pedidos de estaciones de intercambio de baterías. Los ingresos por ventas de productos alcanzaron RMB12,4 millones, representando el 93,9% de los ingresos netos totales. A pesar del crecimiento de los ingresos, la empresa reportó una pérdida neta de RMB26,5 millones (US$3,6 millones), en comparación con RMB7,2 millones en el mismo periodo del año anterior. Los gastos operativos aumentaron un 26,8% hasta RMB27,7 millones. El efectivo y equivalentes de efectivo de la empresa se situaban en RMB40,5 millones (US$5,6 millones) al 30 de junio de 2024. U Power también anunció colaboraciones estratégicas en Tailandia y Portugal para expandir su ecosistema de intercambio de baterías.
U Power (Nasdaq: UCAR)는 2024년 상반기 재무 결과를 발표했으며, 전년 대비 595.7%의 매출 성장을 보여 RMB13.2 백만 (US$1.8 백만)에 도달했습니다. 이러한 성장은 주로 배터리 교환 스테이션에 대한 주문 증가에 의해 추진되었습니다. 제품 판매 수익은 RMB12.4 백만에 도달하며 총 순수익의 93.9%를 차지했습니다. 수익 성장에도 불구하고, 회사는 RMB26.5 백만 (US$3.6 백만)의 순손실을 보고했으며, 이는 지난해 같은 기간의 RMB7.2 백만에 비해 증가한 수치입니다. 운영 비용은 26.8% 증가하여 RMB27.7 백만에 달했습니다. 2024년 6월 30일 현재 회사의 현금 및 현금성 자산은 RMB40.5 백만 (US$5.6 백만)이었습니다. U Power는 또한 태국과 포르투갈에서 배터리 교환 생태계를 확장하기 위한 전략적 협력을 발표했습니다.
U Power (Nasdaq: UCAR) a rapporté les résultats financiers pour la première moitié de 2024, affichant une croissance des revenus de 595,7 % par rapport à l'année précédente, atteignant RMB13,2 millions (US$1,8 million). Cette croissance a été principalement motivée par une augmentation des commandes pour des stations d'échange de batteries. Les revenus des ventes de produits ont atteint RMB12,4 millions, représentant 93,9 % des revenus nets totaux. Malgré cette croissance, l'entreprise a enregistré une perte nette de RMB26,5 millions (US$3,6 millions), comparée à RMB7,2 millions au cours de la même période l'année dernière. Les dépenses opérationnelles ont augmenté de 26,8 % pour atteindre RMB27,7 millions. Au 30 juin 2024, l'entreprise disposait de RMB40,5 millions (US$5,6 millions) en liquidités et équivalents. U Power a également annoncé des collaborations stratégiques en Thaïlande et au Portugal pour étendre son écosystème d'échange de batteries.
U Power (Nasdaq: UCAR) hat die finanziellen Ergebnisse für die erste Hälfte des Jahres 2024 veröffentlicht und zeigt ein Umsatzwachstum von 595,7% im Vergleich zum Vorjahr mit einem Gesamtumsatz von RMB13,2 Millionen (US$1,8 Millionen). Dieses Wachstum wurde hauptsächlich durch erhöhte Bestellungen von Batteriewechselstationen vorangetrieben. Der Umsatz aus Produktverkäufen betrug RMB12,4 Millionen, was 93,9% des gesamten Nettoumsatzes ausmacht. Trotz des Umsatzwachstums berichtete das Unternehmen von einem Nettoverlust von RMB26,5 Millionen (US$3,6 Millionen), verglichen mit RMB7,2 Millionen im gleichen Zeitraum des Vorjahres. Die Betriebskosten stiegen um 26,8% auf RMB27,7 Millionen. Am 30. Juni 2024 betrugen die liquiden Mittel und Äquivalente des Unternehmens RMB40,5 Millionen (US$5,6 Millionen). U Power kündigte außerdem strategische Kooperationen in Thailand und Portugal an, um sein Batteriewechsel-Ökosystem auszubauen.
- Revenue growth of 595.7% year-over-year to RMB13.2 million
- Product sales revenues reached RMB12.4 million, representing 93.9% of total net revenues
- Battery-swapping services revenues increased to RMB0.7 million
- Expected gain on credit of RMB0.5 million, compared to a loss in the previous year
- Strategic collaborations in Thailand and Portugal for expanding battery-swapping ecosystem
- Net loss increased to RMB26.5 million from RMB7.2 million in the same period last year
- Operating expenses increased by 26.8% to RMB27.7 million
- Gross profit decreased 0.8% year-over-year
- Gross margin declined to 9.8%
- Basic and diluted loss per share increased to RMB7.42 from RMB6.88 in the previous year
Insights
U Power's financial results for H1 2024 show significant revenue growth but also a widening net loss. The 595.7% year-over-year revenue increase to
The company's strategic shift towards EV battery power solutions is evident, with product sales now comprising
While R&D expenses decreased, general and administrative expenses rose
U Power's strategic pivot towards the EV battery power solution market in China aligns with the growing trend of electrification in the automotive industry. The company's focus on battery-swapping stations positions it in a niche but potentially high-growth segment of the EV infrastructure market.
The international expansion efforts, including MOUs in Thailand and collaboration in Portugal, indicate a push for global market presence. These moves could diversify revenue streams and tap into emerging EV markets, but also carry execution risks and potential capital requirements.
The shift from vehicle sourcing to EV solutions has shown initial traction with the significant revenue growth. However, the company needs to demonstrate scalability and improved cost management to achieve profitability. The current gross margin of
Investors should monitor the company's ability to capitalize on its partnerships, expand its battery-swapping network and improve operational efficiency in the coming quarters to assess the long-term potential of its business model transformation.
Mr. Jia Li, Chief Executive Officer and Chairman of the Board of Directors of the Company, commented, "In the first half of fiscal year 2024, our business achieved
Ms. Bingyi Zhao, Chief Financial Officer of the Company, added, "Our financial results for the first half of fiscal year 2024 demonstrate our commitment to responsible financial management while simultaneously making strategic investments for our future growth. Our R&D expenses decreased as we have successfully completed several key projects, and we remain committed to innovation and have strategically allocated resources to new and high-potential research initiatives. Our improved credit management practices have yielded positive results, as we generated an expected gain on credit of
First Half of 2024 Financial Results
Revenues
Total revenues increased by
- Product sales revenues were
RMB12.4 million (US ) in the first half of 2024, compared to nil in the same period of 2023, representing$1.7 million 93.9% of total net revenues. This was a result of the Company's ability to sell more battery stations as the economy gradually recovered from the impact of COVID-19 in 2023. - Sourcing services revenues were
RMB0.1 million (US ) in the first half of 2024, compared to$10,000 RMB1.4 million in the same period of 2023, representing0.6% of total net revenues. The decrease was a result of the company's shift in focus towards charging- and swapping-related products. - Battery-swapping services revenues were
RMB0.7 million (US ) in the first half of 2024, compared to$0.1 million RMB0.5 million in the same period of 2023, representing5.5% of total net revenues. The increase was primarily driven by the Company's operation of a second battery-swapping station beginning in March 2023, which remained operational through the reporting period.
Cost of revenues, gross profit and margin
Total cost of revenues increased 1,
Total gross profit decreased
Operating expenses
Total operating expenses were
- Sales and marketing expenses were
RMB1.5 million (US ) in the first half of 2024, compared to$0.2 million RMB1.0 million in the same period of last year, representing an increase of46.5% . This increase is primarily due to the increase in marketing expenses for selling battery swapping stations. - General and administrative expenses were
RMB26.2 million (US ) in the first half of 2024, compared to$3.6 million RMB16.8 million in the same period of last year, representing an increase of55.8% , primarily driven by an increase in audit costs and other professional service costs. - Research and development expenses were
RMB0.6 million (US ) in the first half of 2024, compared to$0.1 million RMB1.9 million in the same period of last year, representing a decrease of70.4% , primarily due to the decreased UOTTA technology innovation activities related to research and development programs. - Expected gain/loss on credit resulted in a gain of
RMB0.5 million (US ) in the first half of 2024, compared to a loss of$70,000 RMB2.1 million in the same period of last year. The decrease was primarily due to the decreased impact of potential uncollectible amounts for advances to suppliers and other current assets, and reflects improved credit management practices and a stronger collection process.
Net loss
Net loss was
Loss per share
Basic and diluted loss per share were both
Liquidity
As of June 30, 2024, the Company had cash and cash equivalents and restricted cash of
Business Developments
On August 5, 2024, the Company announced that it signed a Memorandum of Understanding with Velo Labs Technology Ltd., a global fintech company, to establish a battery infrastructure investment ecosystem in
On July 3, 2024, the Company announced that it had signed a Memorandum of Understanding ("MoU") with Pattaya AI Terminal Co., Ltd. to jointly drive the strategic development of green logistics and electric vehicle ("EV") infrastructure in
On June 5, 2024, the Company announced that its UOTTA technology and battery swapping station model is to be adopted in a strategic collaboration between UNEX EV B.V. ("UNEX") and Associação Nacional dos Transportes Rodoviários em Automóveis Ligeiros ("ANTRAL"). ANTRAL is an association of companies in
Exchange Rate Information
This announcement contains translations of certain Renminbi ("RMB") amounts into
Safe Harbor Statements
This press release may contain "forward-looking statements". Forward-looking statements reflect the Company's current view about future events. These forward-looking statements involve known and unknown risks and uncertainties and are based on the Company's current expectations and projections about future events that the Company believes may affect its financial condition, results of operations, business strategy and financial needs. Investors can identify these forward-looking statements by words or phrases such as "may," "will," "could," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "is/are likely to," "propose," "potential," "continue" or similar expressions. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results in the Company's registration statement and other filings with the
About U Power Limited
U Power Limited is a vehicle sourcing services provider, with a vision to becoming an EV market player primarily focused on its proprietary battery-swapping technology, or UOTTA technology, which is an intelligent modular battery-swapping technology designed to provide a comprehensive battery power solution for EVs. Since its operation in 2013, the Company has established a vehicle sourcing network in
Contact
U Power Limited
Investor Relations Department
Email: ir@upincar.com
Robin Yang, Partner
ICR, LLC
Email: UPower.IR@icrinc.com
Phone: +1 (212) 475-0415
U Power Limited | ||||||||
Consolidated Income Statement | ||||||||
For the six months ended Jun 30, | For the six months ended Jun 30, | For the six months ended Jun 30, | ||||||
2023 | 2024 | 2024 | ||||||
(unaudited) | (unaudited) | (unaudited) | ||||||
RMB'000 | RMB'000 | USD'000 | ||||||
Net revenues | ||||||||
Sourcing services | 1,435 | 75 | 10 | |||||
Product sales | - | 12,389 | 1,705 | |||||
Battery-swapping service | 461 | 726 | 100 | |||||
Total net revenues | 1,896 | 13,190 | 1,815 | |||||
Cost of revenues | (597) | (11,902) | (1,638) | |||||
Gross profit | 1,299 | 1,288 | 177 | |||||
Sales and marketing expenses | (1,012) | (1,483) | (204) | |||||
General and administrative expenses | (16,792) | (26,157) | (3,599) | |||||
Research and development expenses | (1,941) | (575) | (79) | |||||
Expected credit losses | (2,086) | 531 | 73 | |||||
Total operating expenses | (21,831) | (27,684) | (3,809) | |||||
Operating loss | (20,532) | (26,396) | (3,632) | |||||
Interest income | 31 | 7 | 1 | |||||
Interest expenses | (497) | (877) | (121) | |||||
Other income | 16,145 | 1,435 | 197 | |||||
Other expenses | (981) | (685) | (94) | |||||
Loss before income taxes | (5,834) | (26,516) | (3,649) | |||||
Income tax expense | (1,344) | - | - | |||||
Net loss | (7,178) | (26,516) | (3,649) | |||||
Less: Net loss attributable to non-controlling interests | (3,711) | (2,991) | (412) | |||||
Net loss attributable to the Company's shareholders and total comprehensive loss | (3,467) | (23,525) | (3,237) | |||||
Loss per share | ||||||||
Ordinary shares-basic and diluted | (6.88) | (7.42) | (1.02) | |||||
Weighted average shares outstanding used in calculating basic and diluted loss per share | ||||||||
Ordinary shares-basic and diluted | 504,167 | 3,168,544 | 3,168,544 |
U Power Limited | ||||||
Consolidated Balance Sheet | ||||||
Jun 30,2024 | Jun 30,2024 | Dec 31,2023 | ||||
(unaudited) | (unaudited) | (audited) | ||||
RMB'000 | USD'000 | RMB'000 | ||||
Assets | ||||||
Current assets | ||||||
Cash and cash equivalents | 39,615 | 5,451 | 1,927 | |||
Restricted cash | 900 | 124 | 34,312 | |||
Accounts receivable | 18,553 | 2,553 | 15,748 | |||
Inventories | 5,990 | 824 | 5,439 | |||
Advance to suppliers | 11,251 | 1,548 | 10,816 | |||
Other current assets | 75,966 | 10,454 | 94,813 | |||
Amount due from related parties | 406 | 56 | 142 | |||
Total current assets | 152,681 | 21,010 | 163,197 | |||
Non-current assets | ||||||
Property and equipment, net | 9,506 | 1,308 | 11,764 | |||
Intangible assets, net | 167 | 23 | 201 | |||
Operating lease right-of-use assets, net | 18,855 | 2,595 | 21,656 | |||
Long-term investments | 143,912 | 19,803 | 123,367 | |||
Refundable deposit for investment | 58,953 | 8,112 | 72,774 | |||
Deferred tax assets | - | - | - | |||
Other non-current assets | 36,865 | 5,073 | 36,029 | |||
Total non-current assets | 268,258 | 36,914 | 265,791 | |||
Total assets | 420,939 | 57,924 | 428,988 | |||
Equities and liabilities | ||||||
Liabilities | ||||||
Current liabilities | ||||||
Short-term bank borrowing | 5,000 | 688 | 5,000 | |||
Current portion of long-term borrowing | 9,000 | 1,238 | 9,500 | |||
Accounts payable | 18,134 | 2,495 | 10,231 | |||
Accrued expenses and other liabilities | 29,085 | 4,003 | 35,231 | |||
Income tax payables | 5,200 | 716 | 5,201 | |||
Advances from customers | 1,299 | 179 | 2,537 | |||
Operating lease liabilities-current | 1,811 | 249 | 1,750 | |||
Amount due to related parties | 291 | 40 | 5,431 | |||
Total current liabilities | 69,820 | 9,608 | 74,881 | |||
Non-current liabilities | ||||||
Operating lease liabilities-non-current | 5,054 | 695 | 5,980 | |||
Total non-current liabilities | 5,054 | 695 | 5,980 | |||
Total liabilities | 74,874 | 10,303 | 80,861 | |||
Commitments and contingencies | - | - | 3,507 | |||
Equities | ||||||
Ordinary shares ( 500,000,000,000 shares and outstanding as of December 31, 2023 and June 30, 2024, respectively) | - | - | - | |||
Additional paid-in capital | 507,807 | 69,877 | 479,400 | |||
Translation reserve | - | - | 446 | |||
Accumulated deficit | (196,701) | (27,067) | (173,176) | |||
Total equities for controlling shareholders | 311,106 | 42,810 | 306,670 | |||
Non-controlling interests | 34,959 | 4,811 | 37,950 | |||
Total equities | 346,065 | 47,621 | 344,620 | |||
Total equities and liabilities | 420,939 | 57,924 | 428,988 |
View original content:https://www.prnewswire.com/news-releases/u-power-announces-first-half-of-2024-financial-results-302269705.html
SOURCE U Power Limited
FAQ
What was U Power's (UCAR) revenue growth in the first half of 2024?
How much was U Power's (UCAR) net loss in the first half of 2024?
What percentage of U Power's (UCAR) total net revenues came from product sales in H1 2024?