Microvast Holdings, Inc., the cutting-edge technology firm specializing in the design, development, and manufacturing of lithium-ion battery solutions, has unveiled its unaudited condensed consolidated financial results for the third quarter ended September 30, 2023, showcasing a remarkable performance and laying the groundwork for an exciting future.
Q3 2023 Highlights:
Microvast’s Founder, Chairman, and CEO, Yang Wu, expressed satisfaction with the company’s stellar performance in Q3, citing exceptional year-over-year revenue growth.
This growth was fueled by increased deliveries of their 53.5Ah cell from the new Huzhou 3.1 line to original equipment manufacturer (OEM) customers.
Craig Webster, Microvast’s CFO, highlighted the success of the Phase 3.1 investment, positioning the company favorably for an optimistic outlook in Q4 and beyond. The company achieved a solid Q3 with revenues of $80.1 million, representing an impressive 107.5% YoY increase.
The key financial metrics for Q3 2023 include:
- Revenue: $80.1 million, up by 107.5% compared to Q3 2022.
- Backlog: $678.7 million, a staggering 382.7% growth from September 2022.
- Gross Margin: 22.3%, a significant improvement from 5.2% in Q3 2022.
- Operating Expenses: $44.7 million, compared to $39.6 million in Q3 2022.
- Net Loss: $26.2 million, a substantial decrease from $36.5 million in Q3 2022.
- Adjusted EBITDA: $(5.3) million, an improvement from $(12.6) million in Q3 2022.
Nine Months Ended September 30, 2023 (YTD 2023) Results:
For the first nine months of 2023, Microvast reported:
- Revenue: $202.0 million, a 44.6% increase from YTD 2022.
- Gross Margin: 16.9%, up from 4.9% in YTD 2022.
- Operating Expenses: $119.9 million, a decrease from $133.4 million in YTD 2022.
- Net Loss: $81.8 million, a significant improvement from $124.5 million in YTD 2022.
- Adjusted EBITDA: $(17.0) million, an improvement from $(44.9) million in YTD 2022.
Microvast anticipates adding major projects to its record backlog of $678.7 million, with a strong outlook for continued growth in orders.
The company expects Q4 2023 revenue to be in the range of $90 million to $100 million, targeting a full-year revenue of $292 million to $302 million, compared to $204 million in 2022.
The company is set to continue the ramp-up of qualified product deliveries to meet growing demand. With a focus on completing the construction and equipment installation in Clarksville, Tennessee, Microvast plans to commence product deliveries in Q2 2024.
Additionally, an incremental investment program for Phase 3.2 expansion in Huzhou, China, is in the pipeline to cater to the increasing demand for their cutting-edge battery solutions.
Microvast’s robust financial performance in Q3 2023 and its ambitious growth plans for the future underscore its position as a leader in the lithium-ion battery industry.
nvestors and industry enthusiasts alike are eagerly watching as Microvast continues to innovate and drive the future of energy storage solutions.