Financial Performance - For Q2 2023, Envirotech reported sales of $2,132,880, a 42% increase from $1,505,910 in Q2 2022[18] - Gross profit for Q2 2023 was $878,994, compared to $660,902 in Q2 2022, reflecting a 33% increase[18] - The net loss for the six months ended June 30, 2023, was $3,521,937, an improvement from a net loss of $4,113,444 in the same period of 2022[24] - Operating expenses for Q2 2023 were $2,145,503, up from $1,833,066 in Q2 2022, indicating an increase of 17%[18] - The company reported a basic and diluted net loss per share of $0.08 for Q2 2023, consistent with the loss per share in Q2 2022[18] Assets and Liabilities - Total current assets decreased to $14,828,690 as of June 30, 2023, down from $18,339,239 at the end of 2022, a decline of approximately 19%[16] - Cash and cash equivalents at the end of Q2 2023 were $833,282, significantly lower than $2,765,068 at the end of 2022[16] - Total liabilities decreased to $1,374,789 as of June 30, 2023, compared to $1,488,709 at the end of 2022, a reduction of about 8%[16] - The company’s accumulated deficit increased to $55,450,457 as of June 30, 2023, from $51,928,520 at the end of 2022[21] Inventory and Receivables - Envirotech's inventory increased to $6,938,250 as of June 30, 2023, compared to $5,671,326 at the end of 2022, representing a rise of approximately 22%[16] - The Company reported trade accounts receivable of $3,004,937 as of June 30, 2023, with an allowance for doubtful accounts of $271,218, resulting in a net trade accounts receivable balance of $2,733,719[41] - Finished goods inventory on hand was $6,950,679 as of June 30, 2023, with an inventory valuation allowance of $12,429 related to three vehicles not intended for sale, leading to a net inventory balance of $6,938,250[42] Research and Development - Research and development costs were $57,924 and $128,812 for the three and six months ended June 30, 2023, compared to $87,412 for both periods in 2022[51] Stock and Compensation - Non-cash stock-based compensation expense was $105,166 and $192,310 for the three and six months ended June 30, 2023, respectively, compared to $0 and $1,614,845 for the same periods in 2022[52] - The company granted 15,000 stock options at an exercise price of $2.65 during the six months ended June 30, 2023, bringing the total outstanding options to 623,266[66] - The company awarded 85,000 restricted shares during the first quarter of 2023, resulting in a stock compensation expense of $102,991 for the three months ended June 30, 2023[74] Property and Equipment - As of June 30, 2023, the total property and equipment net value increased to $390,463,000 from $368,461,000 as of December 31, 2022, representing a growth of 3%[55] - The accumulated depreciation increased from $245,157,000 to $304,703,000, indicating a depreciation expense of $30,561,000 for the three months ended June 30, 2023, compared to $18,948,000 for the same period in 2022[55] Loans and Credit - The company has a remaining balance of $21,360,000 on a loan from Wells Fargo, with $6,252,000 classified as current and $14,066,000 as long-term as of June 30, 2023[57] - The company has no principal amount outstanding on its line of credit as of June 30, 2023, and there is no current plan to borrow from it[60] Rent and Lease Agreements - The company recorded a rent expense of $23,312 and $46,624 for the three and six months ended June 30, 2023, respectively, related to equipment leases with SRI Professional Services[75] - The company recorded a rent expense of $17,800 and $38,400 for the three and six months ended June 30, 2023, respectively, related to a commercial lease with Alpha Bravo Charlie, Inc.[77] - The Company has total net rent expenses of $59,277 and $117,540 for the three and six months ended June 30, 2023, compared to $55,118 and $128,167 for the same periods in 2022, indicating a decrease in six-month expenses by approximately 8.5%[102] - The Company entered into a sublease agreement with Berthaphil, Inc. for a warehouse in the Philippines, with a monthly rent of $15,000 for the first year, escalating to $15,750 for the second year[101] - The Company has eight operating leases as of December 31, 2022, with five being office or warehouse leases and three being equipment leases[91] Legal Matters - The Company intends to vigorously defend against a lawsuit filed by GreenPower Motor Company Inc., which alleges breach of fiduciary duties and seeks damages[84] - The Company believes that ongoing lawsuits are without merit and intends to vigorously defend against them[86] - The Company has resolved the Mollik Litigation and the Brooks Litigation, with both cases being completely dismissed[88][90] Market Risks - The Company anticipates facing risks associated with the costs of raw materials, primarily batteries, as it goes into production, which could materially affect operating results[148] - The Company does not currently face material market risks such as interest rate fluctuation risk and foreign currency exchange risk, as most expenses are denominated in U.S. dollars[147] Investments - The aggregate amount of the Company's investments in marketable securities was $1,013,044 as of June 30, 2023, down from $2,336,402 at December 31, 2022[39]

Financial Performance - For Q1 2023, Envirotech Vehicles reported sales of $523,199, a significant increase from $89,900 in Q1 2022, representing a growth of approximately 482%[14] - The gross profit for Q1 2023 was $118,363, compared to $13,473 in Q1 2022, indicating a substantial improvement in profitability[14] - The net loss for Q1 2023 was $2,267,908, a decrease from a net loss of $2,936,862 in Q1 2022, reflecting a reduction in losses by about 23%[14] - Operating expenses for Q1 2023 were $2,411,229, down from $2,953,648 in Q1 2022, showing a decrease of about 18.3%[14] Assets and Liabilities - Total current assets decreased to $15,996,269 as of March 31, 2023, down from $18,339,239 as of December 31, 2022, a decline of approximately 12.3%[12] - Cash and cash equivalents at the end of Q1 2023 were $1,668,909, down from $2,765,068 at the end of Q4 2022, a decrease of about 39.6%[12] - Total liabilities decreased to $1,317,001 as of March 31, 2023, compared to $1,488,709 as of December 31, 2022, a reduction of approximately 11.5%[12] - The company’s accumulated deficit increased to $54,196,428 as of March 31, 2023, from $51,928,520 at the end of 2022, indicating a rise in losses[15] Inventory and Receivables - As of March 31, 2023, the company had trade accounts receivable of $2,160,732 and a recorded allowance for bad debt of $271,218, resulting in a net trade accounts receivable balance of $1,889,514[32] - The company reported finished goods inventory of $5,745,850 as of March 31, 2023, with a recorded inventory valuation allowance of $12,429[33] - The company had inventory deposits of $5,169,872 as of March 31, 2023, an increase from $4,829,933 as of December 31, 2022[34] Research and Development - Research and development costs incurred during the three months ended March 31, 2023, were $70,888, compared to no research and development costs for the same period in 2022[43] Manufacturing and Operations - Envirotech Vehicles is focused on expanding its zero-emission commercial fleet vehicles to meet increasing demand in the market[18] - The company has established a state-of-the-art manufacturing facility in Osceola, Arkansas, which spans approximately 580,000 square feet[19] Financial Agreements and Obligations - The Company entered into a $63,576 equipment financing agreement with Navitas Credit Corp., with monthly payments of $2,648.99, and a current balance of $5,298 as of March 31, 2023[47] - A $18,755 loan with Wells Fargo for facility grounds equipment has a current balance of $21,360, with $6,252 classified as current and $15,108 as long-term[48] - The Company secured a $225,000 premium financing agreement with First Insurance Funding, which was fully paid off by March 31, 2023[49] - A second premium financing agreement for $214,088 has a current balance of $48,451, classified as current[50] - The Company has a total monthly payment obligation of $7,771 under lease agreements with SRI Professional Services, resulting in a rent expense of $23,312 for Q1 2023[65] Stock and Compensation - The Company recorded stock compensation expense of $87,144 for 85,000 restricted shares awarded during Q1 2023[63] - The Company has 608,266 outstanding stock options with an intrinsic value of $355,670 as of March 31, 2023[62] - As of March 31, 2023, the Company has 1,389,584 outstanding warrants with an average exercise price of $17.43 and a remaining life of 2.68 years[53] Legal Matters - The Company is involved in ongoing litigation with GreenPower Motor Company, alleging breach of fiduciary duties and seeking damages[73] - The company resolved the Mollik Litigation on September 30, 2023, with the court dismissing the action with prejudice, indicating no financial proceeds from the company were used for the resolution[77] - The Brooks Litigation, where the plaintiff sought $13.5 million in damages, has been completely dismissed following a settlement approved by the court on March 7, 2022[79] Lease and Rent Expenses - As of March 31, 2023, the company reported total lease costs of $58,264, a decrease of 67.7% from $180,746 in the same period of 2022[90] - The company has entered into a new sublease agreement in March 2023 for a warehouse in the Philippines, with a monthly rent starting at $15,000, escalating to $16,530 over the lease term[88] - The company has recognized an operating liability and corresponding Right-Of-Use asset related to its leases, with a weighted-average discount rate of 14% as of March 31, 2022[90] - The company’s rent expense under the SRI Equipment Leases was $23,312 for both the three months ended March 31, 2023, and March 31, 2022[81] - The company’s weighted-average remaining lease term for operating leases was 0.62 years as of March 31, 2022[90] Market Risks - The company does not currently face material market risks such as interest rate fluctuation risk or foreign currency exchange risk, as most expenses are denominated in U.S. dollars[131] - The company anticipates potential risks associated with the costs of raw materials, particularly batteries, as it moves into production[132]

Financial Performance - The company reported net losses of $43.8 million for the year ended December 31, 2022, compared to a net loss of $7.7 million in 2021, which included a non-cash goodwill impairment charge of $37.1 million[17]. - For the years ended December 31, 2022 and 2021, the company incurred net losses of $44.1 million and $7.7 million, respectively, with the 2022 loss including approximately $39.4 million of non-cash expenses[119]. - As of December 31, 2022, the company had working capital of approximately $16.9 million and an accumulated deficit of approximately $52.2 million[119]. - The company did not generate significant revenues for the years ended December 31, 2022 and 2021, partly due to COVID-19 restrictions and the absence of HVIP funding available to customers[116]. - The company anticipates that operating expenses will increase significantly in the foreseeable future as it expands its business model and develops new products[120]. - The company has a history of losses and may not achieve or sustain profitability in the future due to anticipated increases in operating expenses[118]. Market and Industry Trends - According to the International Energy Agency, global electric vehicle sales reached approximately 6.6 million units in 2021, representing just under 10% of total vehicle sales[22]. - Electric trucks accounted for only 0.3% of global truck sales in 2021, with China representing 90% of new electric truck registrations[26]. - The U.S. is projected to need 2.13 million Level 2 and 172,000 Level 3 EV chargers by 2030, a significant increase from current levels[24]. - Anticipated increased demand for alternative fuel vehicles is expected to intensify competition in the industry[136]. - Demand volatility in the zero-emission electric vehicle industry may adversely affect operating results, particularly for a low-volume producer like the company[140]. Government Regulations and Incentives - The Infrastructure Bill includes $7.5 billion to build a national network of 500,000 chargers by 2030, supporting the deployment of EV infrastructure[25]. - Federal tax credits for electric vehicles include $7,500 for vehicles under 14,000 lbs and up to $40,000 for commercial vehicles over 14,000 lbs[42]. - California has set a target for a 100% ban on the sale of internal combustion engines for passenger cars and pickup trucks by 2035, with similar bans for medium- and heavy-duty trucks to follow[43]. - The EPA has committed to distributing $5 billion over five years via the Clean School Bus Program, with approximately $1 billion allocated in 2022 and expected again in 2023[37]. - The HVIP program allocates over $1.7 billion for Clean Transportation Incentives, with zero-emission Class 3 trucks eligible for up to $45,000 per vehicle[76][77]. Company Strategy and Operations - The company focuses on zero-emission electric vehicles, serving commercial and last-mile fleets, with offerings including electric Class 4 logistics vans and urban trucks[14]. - The company aims to address the challenges of traditional fuel price instability and environmental regulatory compliance through its electric vehicle offerings[14]. - The company plans to expand its manufacturing capabilities in Osceola, Arkansas, to produce vehicles domestically in 2023[49]. - The company is actively seeking partnerships for sales, service, and support to enhance its market presence[49]. - The company aims to reduce total cost of ownership by providing zero-emission electric vehicles that lower fuel and maintenance costs[46]. Supply Chain and Manufacturing Challenges - The company relies on third parties for timely delivery of raw materials and components, and any disruptions could adversely affect its operations[1]. - The company is heavily reliant on third-party suppliers for critical components such as batteries, traction motors, and power electronics, which exposes it to supply chain disruptions and price volatility[157]. - The company does not maintain long-term agreements with suppliers, which increases exposure to price fluctuations and availability issues for essential materials[160]. - The company is actively seeking new suppliers and negotiating cost reductions to manage supplier costs and mitigate future increases[165]. - The ability to scale manufacturing processes effectively is critical, and any failure to do so could adversely affect production volumes and quality[177]. Competition and Market Risks - The company faces substantial competition from established players like Ford, Tesla, and General Motors, which have greater financial resources and market recognition[135]. - Factors affecting competition include product quality, pricing, and customer service, with increased competition potentially leading to lower vehicle unit sales and revenue[137]. - Current costs for commercial zero-emission electric vehicles are higher than those for gas or diesel vehicles, affecting competitiveness[148]. - Extended periods of low petroleum prices could reduce demand for zero-emission vehicles, adversely impacting business prospects[145]. - The sales cycle for the company is long and unpredictable, making revenue generation difficult to project[142]. Legal and Regulatory Risks - The company faces substantial regulatory risks, including evolving regulations related to electric vehicles and lithium-ion batteries[195]. - The company relies on intellectual property laws to protect its proprietary technology, but the effectiveness of these measures may be inadequate[201]. - Legal proceedings could result in substantial liabilities, impacting the company's business operations and financial condition[206]. - The company may face significant costs due to potential infringement claims related to intellectual property rights, which could adversely affect its financial results[204]. Environmental and Safety Considerations - Environmental laws and regulations could impose substantial costs and cause delays in opening sales and service facilities[199]. - Compliance with safety regulations may be costly and challenging, impacting the company's operational efficiency[182]. - The company provides a three-year warranty on parts and workmanship and a five-year warranty on powertrain and batteries for zero-emission electric products[184]. - The company relies on lithium-ion battery packs in its electric vehicles, which pose safety risks that could lead to liability and adverse publicity[208].

Envirotech Vehicles, Inc. (NASDAQ:EVTV) Q3 2022 Earnings Conference Call November 15, 2022 8:30 AM ET Company Participants Eduardo Royes - Managing Director, ICR Phillip Oldridge - Chief Executive Officer Christian Rodich - Chief Financial Officer Susan Emry - Executive Vice President Conference Call Participants Operator Good day, ladies and gentlemen, and welcome to Envirotech Vehicle Incorporated Third Quarter 2022 Earnings Call. All lines have been placed in a listen-only mode and the floor will be open ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED SEPTEMBER 30, 2022 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 | --- | --- | --- | |------------------------------------------------------------------------------------------------------------|------------------------------------------------ ...

Envirotech Vehicles, Inc. (NASDAQ:EVTV) Q2 2022 Earnings Conference Call August 15, 2022 5:00 PM ET Company Participants Jane Belodeau – Vice President, IMS Investor Relations Christian Rodich – Chief Financial Officer Phillip Oldridge – Chief Executive Officer Conference Call Participants Craig Irwin – ROTH Capital Partners Steve Bokor – PI Financial Corp Dave Hammond – Private Investor Operator Good day, ladies and gentlemen, and welcome to your Envirotech Vehicle Incorporated Second Quarter 2022 Earnings ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED JUNE 30, 2022 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-38078 ENVIROTECH VEHICLES, INC. (Exact name of registrant as specified in its charter) Delaware 46-0774222 (State or othe ...

Envirotech Vehicles, Inc. (NASDAQ:EVTV) Q1 2022 Earnings Conference Call May 16, 2022 5:00 PM ET Company Participants Phillip Oldridge – Chairman and Chief Executive Officer Susan M. Emry – Executive Vice President Christian S. Rodich – Chief Financial Officer Jennifer Belodeau – IMS Investor Relations Conference Call Participants Frank Jones – Barlow Capital Operator Good day, ladies and gentlemen, and welcome to Envirotech Vehicle, Inc. First Quarter 2022, Earnings Call. All lines have been placed in a li ...

Table of Contents Title of each classTrading Symbol(s)Name of each exchange on which registered Common Stock, par value $0.00001 per share EVTV OTC Markets Group Inc. UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED MARCH 31, 2022 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2021 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 | --- | --- | |----------------------------------------------------------------------------|-------------------------------------------------| | For the transition period from __________t ...