Xos, Inc. delivers strong unit delivery and promising gross profit performance in the third quarter of 2024
Xos Inc reported Q3 2024 financial results with revenues of $15.8 million, slightly up from $15.5 million last quarter but down from $16.7 million year-over-year. The company delivered 94 units and achieved gross margins of 18.1%, marking their fifth consecutive quarter of positive gross margins. Notable developments include the start of serial production of Xos Hub mobile charger units in Tennessee. The company maintains strategic partnerships with Blue Bird, Winnebago, UPS, and FedEx Ground. Xos revised its 2024 outlook, projecting revenue between $54.1-67.6 million and unit deliveries of 320-400 units.
Xos Inc ha riportato i risultati finanziari del terzo trimestre 2024, con ricavi di 15,8 milioni di dollari, leggermente superiori ai 15,5 milioni dell'ultimo trimestre, ma in calo rispetto ai 16,7 milioni dell'anno precedente. L'azienda ha consegnato 94 unità e ha raggiunto margini lordi del 18,1%, segnando il quinto trimestre consecutivo di margini lordi positivi. Sviluppi notevoli includono l'avvio della produzione in serie delle unità di caricabatterie mobili Xos Hub in Tennessee. L'azienda mantiene importanti partnership strategiche con Blue Bird, Winnebago, UPS e FedEx Ground. Xos ha rivisto le sue previsioni per il 2024, prevedendo ricavi tra i 54,1 e i 67,6 milioni di dollari e consegne di unità tra 320 e 400.
Xos Inc informó los resultados financieros del tercer trimestre de 2024, con ingresos de 15,8 millones de dólares, ligeramente por encima de los 15,5 millones del trimestre anterior, pero por debajo de los 16,7 millones del año pasado. La empresa entregó 94 unidades y alcanzó márgenes brutos del 18,1%, marcando su quinto trimestre consecutivo de márgenes brutos positivos. Entre los desarrollos notables se encuentra el inicio de la producción en serie de las unidades de cargadores móviles Xos Hub en Tennessee. La empresa mantiene asociaciones estratégicas con Blue Bird, Winnebago, UPS y FedEx Ground. Xos revisó sus perspectivas para 2024, proyectando ingresos entre 54,1 y 67,6 millones de dólares y entregas de unidades entre 320 y 400.
Xos Inc는 2024년 3분기 재무 결과를 보고하며, 수익이 1580만 달러로 지난 분기의 1550만 달러에서 소폭 증가했지만, 지난해 같은 기간의 1670만 달러보다는 감소했다고 밝혔습니다. 회사는 94대를 배송했으며 총 마진 18.1%를 달성하여 연속 5분기 긍정적인 총 마진을 기록했습니다. 주목할 만한 발전으로는 테네시에서 Xos Hub 모바일 충전기 유닛의 정기 생산 시작이 포함됩니다. 회사는 Blue Bird, Winnebago, UPS 및 FedEx Ground와 전략적 파트너십을 유지하고 있습니다. Xos는 2024년 전망을 수정하여 수익을 5410만 달러에서 6760만 달러 사이로, 유닛 배송을 320대에서 400대 사이로 예상하고 있습니다.
Xos Inc a annoncé ses résultats financiers pour le troisième trimestre 2024, avec des revenus de 15,8 millions de dollars, légèrement en hausse par rapport à 15,5 millions du trimestre précédent, mais en baisse par rapport à 16,7 millions de l'année dernière. L'entreprise a livré 94 unités et a atteint des marges brutes de 18,1%, marquant son cinquième trimestre consécutif avec des marges brutes positives. Parmi les développements notables figurent le début de la production en série des unités de chargeurs mobiles Xos Hub dans le Tennessee. L'entreprise entretient des partenariats stratégiques avec Blue Bird, Winnebago, UPS et FedEx Ground. Xos a révisé ses prévisions pour 2024, prévoyant des revenus compris entre 54,1 et 67,6 millions de dollars et des livraisons d'unités entre 320 et 400.
Xos Inc berichtete über die finanziellen Ergebnisse des dritten Quartals 2024 mit Einnahmen von 15,8 Millionen Dollar, was einen leichten Anstieg gegenüber 15,5 Millionen Dollar im letzten Quartal darstellt, aber einen Rückgang gegenüber 16,7 Millionen Dollar im Jahresvergleich bedeutet. Das Unternehmen lieferte 94 Einheiten aus und erreichte Bruttomargen von 18,1%, was das fünfte aufeinanderfolgende Quartal mit positiven Bruttomargen markiert. Zu den bemerkenswerten Entwicklungen gehört der Beginn der Serienproduktion von Xos Hub-Mobilladegeräten in Tennessee. Das Unternehmen pflegt strategische Partnerschaften mit Blue Bird, Winnebago, UPS und FedEx Ground. Xos hat seinen Ausblick für 2024 überarbeitet und prognostiziert Einnahmen zwischen 54,1 und 67,6 Millionen Dollar sowie die Lieferung von 320 bis 400 Einheiten.
- Gross margins improved to 18.1% from 13.1% in previous quarter
- Fifth consecutive quarter of positive gross margins
- Quarter-over-quarter revenue increase to $15.8M from $15.5M
- Unit deliveries increased to 94 from 90 units in previous quarter
- Started serial production of Xos Hub mobile charger units
- Year-over-year revenue decline from $16.7M to $15.8M
- Year-over-year unit delivery decrease from 105 to 94 units
- Net loss of $10.5M in Q3 2024
- Cash position decreased to $9.2M from $20.7M in previous quarter
Insights
The Q3 2024 results show mixed signals for Xos. While revenue increased
However, concerning factors include declining cash position to
The strategic partnerships with major players like UPS and FedEx Ground provide some stability, but the company needs to demonstrate a clear path to profitability and address its cash position to ensure long-term sustainability.
The operational metrics reveal both progress and challenges. Unit deliveries increased to 94 from 90 quarter-over-quarter, showing modest production growth. The initiation of serial production for Xos Hub mobile chargers in Tennessee represents a strategic diversification of product offerings and could create a new revenue stream.
However, inventory levels continue to rise, reaching
Delivered fifth consecutive quarter of positive gross margins
LOS ANGELES, Nov. 13, 2024 (GLOBE NEWSWIRE) -- Xos, Inc. (NASDAQ: XOS) (“Xos” or the “Company”), a leading electric truck manufacturer and fleet services provider, today reported financial results for the third quarter ended September 30, 2024.
Third Quarter 2024 Highlights:
- Generated revenues of
$15.8 million , up from$15.5 million last quarter and down from$16.7 million in the third quarter of 2023 - Delivered 94 units, up from 90 units last quarter and down from 105 units in the third quarter of 2023
- Achieved gross margins of
18.1% , up from13.1% last quarter, and up from11.9% in the third quarter of 2023 - Began serial production in Tennessee of Xos Hub, the company’s multi-EV mobile charger units
Dakota Semler, Chief Executive Officer of Xos, commented, “Xos’ focus on building strong relationships with leading fleets, suppliers, and partners has positioned us to win. We continue to focus on liquidity through margin expansion, focused cost management and alternative sources of liquidity. Our strategic partnerships with Blue Bird, Winnebago, and large fleet customers like UPS and FedEx Ground, who continue to expand their electric fleets with Xos vehicles quarter over quarter, underscore the reliability, efficiency, and value that Xos brings to the commercial EV market. Additionally, we’re incredibly excited about the initiation of serial production of the Xos Hub. The rapid-deployment, multi-EV mobile charger addresses the urgent need for charging infrastructure and eliminates charging infrastructure bottlenecks for all types of electric vehicles. Several large utility customers and fleets have already seen the value of the Xos Hub, with NextEra, Duke Energy, and Xcel Energy having already deployed Hubs to support their mobile charging needs.”
Third Quarter 2024 Financial Highlights
| (in millions) | 30 Sep 2024 | 30 Jun 2024 | 31 Dec 2023 | |||
| Inventories | ||||||
| Cash and cash equivalents and restricted cash(1) | ||||||
| Three Months Ended | ||||
| (in millions) | 30 Sep 2024 | 30 Jun 2024 | ||
| Revenues | ||||
| Gross profit | ||||
| Non-GAAP gross profit(2) | ||||
| Net loss | ||||
| Loss from operations | ||||
| Non-GAAP operating loss(2) | ||||
___________________
(1) Includes cash and cash equivalents and restricted cash. Xos had no restricted cash at December 31, 2023.
(2) For further information about how we calculate Non-GAAP gross profit and Non-GAAP operating loss, see below for the reconciliations of GAAP to non-GAAP financial measures provided in the tables included in this release.
2024 Outlook:
Xos is revising its outlook for 2024 as follows:
| Revenue | |
| Non-GAAP operating loss | |
| Unit Deliveries (1) | 320 to 400 units |
___________________
(1) Unit deliveries forecast includes stepvans and our powertrain and Xos Hub products.
Liana Pogosyan, Acting Chief Financial Officer of Xos, added, “This quarter, we continued on our path to building the first self-sustaining commercial EV company in the U.S. by growing gross margins.”
The outlook provided above is based on management beliefs and expectations as of the date of this press release. The results are based on assumptions that are believed to be reasonable as of this date, but may be materially affected by many factors, as discussed below in our “Cautionary Statement Regarding Forward-Looking Statements” disclaimer. Actual results may vary from the outlook above and the variations may be material. The Company undertakes no intent or obligation to publicly update or revise any of these projections, whether as a result of new information, future events or otherwise, except as required by law.
Conference Call and Webcast Details
| Date / Time: | Wednesday, November 13, 2024, at 4:30 p.m. EST / 1:30 p.m. PST | |
| Webcast: | https://viavid.webcasts.com/starthere.jsp?ei=1696121&tp_key=408c3c7d8a | |
| U.S. Toll-Free Dial In: | 1-833-816-1411 | |
| International Dial In: | 1-412-317-0507 | |
| To Receive a Phone Call: | https://callme.viavid.com/?$Y2FsbG1lPXRydWUmcGFzc2NvZGU9JmluZm89Y29tcGFueSZyPXRydWUmYj0xNg== (Use Passcode: 2964835) | |
To access the call, please dial in approximately ten minutes before the start of the call.
For those unable to participate in the live call, an audio replay will be available following the call through midnight Wednesday, November 27, 2024. To access the replay, please call 1-844-512-2921 or 1-412-317-6671 (International) and enter access code 10194262. A replay of the webcast will also be archived shortly after the call and can be accessed on the Company's website.
About Xos, Inc.
Xos is a leading technology company, electric truck manufacturer, and fleet services provider for battery-electric fleets. Xos vehicles and fleet management software are purpose-built for medium- and heavy-duty commercial vehicles that travel on last-mile, back-to-base routes. The company leverages its proprietary technologies to provide commercial fleets with battery-electric vehicles that are easier to maintain and more cost-efficient on a total cost of ownership (TCO) basis than their internal combustion engine counterparts. For more information, please visit www.xostrucks.com.
Non-GAAP Financial Measures
The financial information in this press release has been presented in accordance with United States generally accepted accounting principles (“GAAP”) as well as on a non-GAAP basis to supplement Xos’ condensed consolidated financial results. Xos’ non-GAAP financial measures include operating cash flow less CapEx (Free Cash Flow), non-GAAP operating loss and non-GAAP gross profit (loss), which are defined below.
“Operating cash flow less CapEx (Free Cash Flow)” is defined as net cash used in operating activities minus purchases of property and equipment.
“Non-GAAP operating loss” is defined as loss from operations adjusted for stock-based compensation, inventory write-downs and physical inventory and other adjustments.
“Non-GAAP gross profit (loss)” is defined as gross profit (loss) minus inventory write-downs and physical inventory and other adjustments.
Xos believes that the use of operating cash flow less CapEx (Free Cash Flow), non-GAAP operating loss and non-GAAP gross profit (loss) reflects additional means of evaluating Xos’ ongoing operating results and trends. The presentation of these measures should not be construed as an inference that Xos’ future results will be unaffected by unusual or non-recurring items. It is important to note Xos’ computation of operating cash flow less CapEx (Free Cash Flow), non-GAAP operating loss and non-GAAP gross profit (loss) may not be comparable to other similarly titled measures computed by other companies, because not all companies may calculate operating cash flow less CapEx (Free Cash Flow), non-GAAP operating loss and non-GAAP gross profit (loss) in the same fashion. Non-GAAP information is not prepared under a comprehensive set of accounting rules and therefore, should only be read in conjunction with financial information reported under GAAP when understanding Xos’ operating performance. A reconciliation between historical GAAP and non-GAAP financial information is provided in this press release.
Cautionary Statement Regarding 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. These forward-looking statements include, but are not limited to, statements regarding projected financial and performance information for 2024; expectations and timing related to product deliveries and customer demand; sufficiency of existing cash reserves; customer acquisition and order metrics; ability to access additional capital and Xos’ long-term strategy and future growth. These forward-looking statements may be identified by the words “believe,” “plan,” “project,” “potential,” “seem,” “seek,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “target,” “opportunity,” “plan,” “may,” “could,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” and similar expressions and any other statements that predict or indicate future events or trends or that are not statements of historical matters, although not all forward-looking statements contain such identifying words. Forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including but not limited to: (i) Xos’ ability to implement business plans, forecasts, and other expectations, and identify and realize additional opportunities, (ii) Xos’ limited operating history, (iii) cost increases and delays in production due to supply chain shortages in the components needed for the production of Xos’ vehicle chassis and battery system, (iv) Xos’ ability to meet production milestones and fulfill backlog orders, (v) changes in the industries in which Xos operates, (vi) variations in operating performance across competitors, (vii) changes in laws and regulations affecting Xos’ business, (viii) Xos’ ability to implement its business plan or meet or exceed its financial projections, (ix) Xos’ ability to retain key personnel and hire additional personnel, particularly in light of current and potential labor shortages, (x) the risk of downturns and a changing regulatory landscape in the highly competitive electric vehicle industry, (xi) Xos’ ability to service its indebtedness, (xii) macroeconomic and political conditions, and (xiii) the outcome of any legal proceedings that may be instituted against Xos. All forward-looking statements included in this press release are expressly qualified in their entirety by, and you should carefully consider, the foregoing factors and the other risks and uncertainties described under the heading “Risk Factors” included in Xos’ Annual Report on Form 10-K for the year ended December 31, 2023 filed with the U.S. Securities and Exchange Commission (the “SEC”) on March 29, 2024, Xos’ Quarterly Report on Form 10-Q for the quarter ended June 30, 2024 filed with the SEC on August 14, 2024, and Xos’ other filings with the SEC, copies of which may be obtained by visiting Xos’ Investors Relations website at https://investors.xostrucks.com/ or the SEC's website at www.sec.gov. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and Xos assumes no obligation and does not intend to update or revise these forward-looking statements, whether as a result of new information, future events, or otherwise. Xos does not give any assurance that it will achieve its expectations.
Contacts
Xos Investor Relations
Xos Media Relations
| Xos, Inc. and Subsidiaries | ||||||||
| Condensed Consolidated Balance Sheets | ||||||||
| Unaudited | ||||||||
| September 30, 2024 | December 31, 2023 | |||||||
| (in thousands, except par value) | ||||||||
| Assets | ||||||||
| Cash and cash equivalents | $ | 8,432 | $ | 11,640 | ||||
| Restricted cash | 754 | - | ||||||
| Accounts receivable, net | 36,441 | 15,142 | ||||||
| Inventories | 42,398 | 37,843 | ||||||
| Prepaid expenses and other current assets | 9,552 | 7,070 | ||||||
| Total current assets | 97,577 | 71,695 | ||||||
| Property and equipment, net | 12,480 | 14,660 | ||||||
| Operating lease right-of-use assets, net | 3,762 | 4,991 | ||||||
| Other non-current assets | 6,694 | 2,338 | ||||||
| Total assets | $ | 120,513 | $ | 93,684 | ||||
| Liabilities and Stockholders’ Equity | ||||||||
| Accounts payable | $ | 8,920 | $ | 2,756 | ||||
| Convertible debt, current | 19,957 | - | ||||||
| Other current liabilities | 21,310 | 16,817 | ||||||
| Total current liabilities | 50,187 | 19,573 | ||||||
| Convertible debt, non-current | - | 19,920 | ||||||
| Earn-out shares liability | 6 | 39 | ||||||
| Common stock warrant liability | 542 | 395 | ||||||
| Other non-current liabilities | 18,937 | 8,561 | ||||||
| Total liabilities | 69,672 | 48,488 | ||||||
| Stockholders’ Equity | ||||||||
| Common Stock | 1 | 1 | ||||||
| Preferred Stock | - | - | ||||||
| Additional paid-in capital | 235,279 | 198,456 | ||||||
| Accumulated deficit | (184,439 | ) | (153,261 | ) | ||||
| Total stockholders’ equity | 50,841 | 45,196 | ||||||
| Total liabilities and stockholders’ equity | $ | 120,513 | $ | 93,684 | ||||
| Xos, Inc. and Subsidiaries Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) | ||||||||||||||||
| (in thousands, except per share amounts) | Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Revenues | $ | 15,790 | $ | 16,696 | $ | 44,487 | $ | 26,147 | ||||||||
| Cost of goods sold | 12,926 | 14,711 | 36,805 | 28,764 | ||||||||||||
| Gross profit (loss) | 2,864 | 1,985 | 7,682 | (2,617 | ) | |||||||||||
| Operating expenses | ||||||||||||||||
| General and administrative | 8,897 | 8,546 | 27,032 | 29,961 | ||||||||||||
| Research and development | 2,619 | 4,516 | 8,691 | 15,446 | ||||||||||||
| Sales and marketing | 1,039 | 1,548 | 3,261 | 5,113 | ||||||||||||
| Total operating expenses | 12,555 | 14,610 | 38,984 | 50,520 | ||||||||||||
| Loss from operations | (9,691 | ) | (12,625 | ) | (31,302 | ) | (53,137 | ) | ||||||||
| Other income (expense), net | (710 | ) | (1,726 | ) | 251 | (9,840 | ) | |||||||||
| Change in fair value of derivative instruments | (107 | ) | 315 | (147 | ) | 525 | ||||||||||
| Change in fair value of earn-out shares liability | - | (68 | ) | 33 | 443 | |||||||||||
| Loss before provision for income taxes | (10,508 | ) | (14,104 | ) | (31,165 | ) | (62,009 | ) | ||||||||
| Provision for income taxes | 4 | 3 | 13 | 7 | ||||||||||||
| Net loss | $ | (10,512 | ) | $ | (14,107 | ) | $ | (31,178 | ) | $ | (62,016 | ) | ||||
| Other comprehensive income (loss) | ||||||||||||||||
| Marketable debt securities, available-for-sale | ||||||||||||||||
| Change in net unrealized gain, net of tax of | - | 56 | - | 739 | ||||||||||||
| Total comprehensive loss | $ | (10,512 | ) | $ | (14,051 | ) | $ | (31,178 | ) | $ | (61,277 | ) | ||||
| Net loss per share (1) | ||||||||||||||||
| Basic | $ | (1.32 | ) | $ | (2.40 | ) | $ | (4.26 | ) | $ | (10.81 | ) | ||||
| Diluted | $ | (1.32 | ) | $ | (2.40 | ) | $ | (4.26 | ) | $ | (10.81 | ) | ||||
| Weighted average shares outstanding (1) | ||||||||||||||||
| Basic | 7,984 | 5,876 | 7,321 | 5,738 | ||||||||||||
| Diluted | 7,984 | 5,876 | 7,321 | 5,738 | ||||||||||||
(1) Shares for the three and nine months ended September 30, 2023 have been retrospectively adjusted for the 1-for-30 reverse stock split that occurred on December 6, 2023.
Reconciliation of Operating Cash Flow less CapEx (Free Cash Flow), Non-GAAP Operating Loss and Non-GAAP Gross Profit (Loss):
Operating Cash Flow less CapEx (Free Cash Flow):
| Three Months Ended September 30, | Nine Months Ended September 30, | Three Months Ended June 30, | |||||||||||||||||
| (in thousands) | 2024 | 2023 | 2024 | 2023 | 2024 | ||||||||||||||
| Net cash used in operating activities | $ | (11,517 | ) | $ | (8,613 | ) | $ | (52,093 | ) | $ | (38,655 | ) | $ | (25,987 | ) | ||||
| Purchase of property and equipment | (148 | ) | 190 | (304 | ) | (1,164 | ) | (126 | ) | ||||||||||
| Free-Cash Flow | $ | (11,665 | ) | $ | (8,423 | ) | $ | (52,397 | ) | $ | (39,819 | ) | $ | (26,113 | ) | ||||
Non-GAAP Operating Loss:
| Three Months Ended September 30, | Nine Months Ended September 30, | Three Months Ended June 30, | |||||||||||||||||
| (in thousands) | 2024 | 2023 | 2024 | 2023 | 2024 | ||||||||||||||
| Loss from operations | $ | (9,691 | ) | $ | (12,625 | ) | $ | (31,302 | ) | $ | (53,137 | ) | $ | (11,368 | ) | ||||
| Stock-based compensation | 2,247 | 2,242 | 5,887 | 6,308 | 1,634 | ||||||||||||||
| Inventory reserves | 424 | (1,097 | ) | (812 | ) | (1,155 | ) | (433 | ) | ||||||||||
| Physical inventory and other adjustments | 377 | 261 | 509 | 839 | 430 | ||||||||||||||
| Non-GAAP Operating Loss | $ | (6,643 | ) | $ | (11,219 | ) | $ | (25,718 | ) | $ | (47,145 | ) | $ | (9,737 | ) | ||||
Non-GAAP Gross Profit (Loss):
| Three Months Ended September 30, | Nine Months Ended September 30, | Three Months Ended June 30, | ||||||||||||||||
| (in thousands) | 2024 | 2023 | 2024 | 2023 | 2024 | |||||||||||||
| Gross profit (loss) | $ | 2,864 | $ | 1,985 | $ | 7,682 | $ | (2,617 | ) | $ | 2,030 | |||||||
| Inventory reserves | 424 | (1,097 | ) | (812 | ) | (1,155 | ) | (433 | ) | |||||||||
| Physical inventory and other adjustments | 377 | 261 | 509 | 839 | 430 | |||||||||||||
| Non-GAAP Gross Profit (Loss) | $ | 3,665 | $ | 1,149 | $ | 7,379 | $ | (2,933 | ) | $ | 2,027 | |||||||
FAQ
What was Xos (XOS) revenue in Q3 2024?
How many units did Xos (XOS) deliver in Q3 2024?
What was Xos (XOS) gross margin in Q3 2024?
What is Xos (XOS) revenue guidance for 2024?
