EVmo, Inc. Announces 2020 Results with Record Revenue

Rhea-AI Summary

EVmo, Inc. (OTC:YAYO) announced a record revenue of $7.6M for 2020, up 10.2% from 2019, despite COVID-19 impacts. Q4 2020 revenue reached $2.2M, a 29% increase year-over-year. The company expanded its fleet and entered the last-mile logistics sector, deploying 40 electric vehicles. Management anticipates strong EBITDA growth, projecting $80M annual revenue for every $10M raised in capital. With 32,000 registered drivers, EVmo's strategic partnerships and all EV transition aim for continued growth in North America's ridesharing market, valued at $4.5 billion in 2019.

Positive

• 2020 revenue up 10.2% to $7.6M, highest in company history.
• Q4 2020 revenue reached $2.2M, a 29% year-over-year increase.
• Deployed 40 electric vehicles, enhancing fleet.
• Increased line of credit to $5M, supporting operational growth.
• Projected $80M in annual revenue for every $10M capital raised.

Negative

• None.

The Company plans for exponential revenue and EBITDA growth in 2021 and beyond

Management will host a conference call and webcast on April 7 at 4:30 p.m. ET to discuss results

LOS ANGELES, April 06, 2021 (GLOBE NEWSWIRE) -- EVmo, Inc. ("EVmo" or the “Company") (OTC:YAYO), a leading provider of vehicles to the rideshare and delivery gig economy industry, today announced financial results for the year ended December 31, 2020.

2020 Highlights

• 2020 record revenue, up 10.2% over 2019 to $7.6M, despite COVID-19 shutdowns
• Q4 2020 record revenue of $2.2M, up 29% from $1.7M in Q4 2019
• Rented highest number of vehicles in the Company’s history
• Deployed 40 electric vehicles
• Entered the last-mile logistics space, deploying high-roof cargo vans
• Increased line of credit by $2M to $5M

“Our record revenue for 2020 is a result of deploying the first phase of our strategic plan, which included cost-cutting measures, increasing the size of our fleet, committing to an all EV strategy, increasing our credit-lines and entering the last mile logistics space. Our capital formation strategy, which includes debt and equity capital, is expected to translate into exponential revenue and EBITDA growth,” commented Stephen Sanchez, CEO.

"Although the COVID-19 shutdowns caused our quarterly revenue to decrease in the beginning of the second quarter of 2020 compared to the same period in 2019, we saw positive upward movement in revenue at the end of the second quarter. While I am pleased that revenue for 2020 was up 10.2% year-over-year, I am particularly pleased with our Q4 revenue of $2.2M which was the highest in the Company’s history. We also maintained strong gross margins of 31% making the Company’s core rental operations profitable before taking into account corporate overhead and one-time costs. We expect our gross margins will expand significantly in 2021 as we significantly increase our fleet and transition to an all EV model.”

EVmo rents vehicles to customers who are participating in the gig economy. This includes ridesharing and e-commerce platforms. The Company’s technology and expertise allow for a frictionless rental experience, from intake to vehicle return. Focused on executing an environmentally friendly growth strategy, EVmo is adding all electric vehicles (EVs) in current and future North American markets. The type of vehicles on the Company’s platform range from electric passenger vehicles to well-equipped cargo vans that are used by e-commerce delivery providers.

Business Model Highlights:

As 2021 progresses we anticipate strong revenue contribution of $1,700 per month per additional EV and $1,400 per month per additional cargo van. We will deploy capital to facilitate the purchase of new EVs and cargo vans. The company anticipates scaling to a 25% EBITDA margin. At the margin, every $10 million in debt and or equity capital raised should enable the company to purchase approximately 4,041 vehicles with an 85%/15% Tesla to van mix. This should translate to approximately $80 million in annual revenue for every $10 million capital raised at the margin.

EVmo currently has more than 32,000 registered drivers on its platform and is currently in discussions with multiple new and existing lending partners to meet anticipated growth in vehicles.

EVmo has leveraged its partnership with best-in-class OEMs in the EV category to build a fleet of EV vehicles at attractive lease terms, receiving best pricing and delivery from multiple OEMs. EVmo has attractive buy back agreements and the option to purchase vehicles at the end of the financing term and has consistently been able to sell vehicles at a gain given the strong residual value relative to attractive initial acquisition price (discount to MSRP).

“We are on a mission to rent every car, every day and provide excellent service in the process, and we are committed to an environmentally friendly user platform,” continued Sanchez. "We buy right, maintain high utilization through our maintenance excellence program, and forge key strategic relationships to drive our environmental and economic initiatives. Our plans are bold and aggressive, and 2021 should be a banner year for EVmo.”

According to Global Market Insights, the ridesharing market in North America was $4.5 billion in 2019 and expected to grow at a CAGR of 6.5% through 2026.

Webcast and Conference Call

The Company will host a conference call and webcast to discuss its fiscal year 2020 financial results on Wednesday, April 7, at 4:30 p.m. ET. Shareholders and other interested parties may participate in the conference call by dialing 1-877-407-0784 (U.S. Toll-Free) or 1-201-689-8560 (International) a few minutes before the 4:30 p.m. ET start time. An audio-only webcast is also available by visiting:

http://public.viavid.com/index.php?id=144285

For interested individuals unable to join the conference call, a dial-in replay of the call will be available until April 21, 2021 and can be accessed by dialing +1-844-512-2921 (U.S. Toll Free) or +1-412-317-6671 (International) and entering replay pin number: 13718593.

About EVmo, Inc.

EVmo, Inc. bridges the gap between rideshare and “last mile” delivery drivers in need of suitable vehicles and the companies in the rideshare, delivery and logistics businesses that depend on attracting and keeping drivers. EVmo, Inc. is a leading provider of rental vehicles to drivers and delivery companies in this ever-expanding gig economy. The company uniquely supports drivers in both the higher and lower economic categories with innovative policies and programs.

The company provides an online rideshare vehicle booking platform to service the ridesharing and delivery gig economy which includes both our owned and maintained passenger and cargo delivery fleet and third party fleets. We also provide fleet management services with our industry leading technology platform to fleet providers. EVmo provides cargo storage vans to the last-mile delivery and logistics industry.

The company provides SEC filings, investor events, press and earnings releases about our financial performance on the investor relations section of our website (www.evmo.com).

Forward-Looking Statement Disclaimer

This press release contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this press release are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on current expectations and projections about future events and financial trends that the company believes may affect its financial condition, results of operations, business strategy and

FAQ

What were EVmo's 2020 financial results?

EVmo reported a record revenue of $7.6 million for 2020, a 10.2% increase from 2019.

What is EVmo's revenue growth for Q4 2020?

In Q4 2020, EVmo achieved $2.2 million in revenue, up 29% from Q4 2019.

How many electric vehicles has EVmo deployed?

EVmo has deployed 40 electric vehicles as part of its fleet expansion.

What are EVmo's future revenue projections?

EVmo anticipates generating $80 million in annual revenue for every $10 million raised in capital.

When will EVmo host its conference call to discuss results?

EVmo will host a conference call on April 7 at 4:30 p.m. ET to discuss its financial results.