Microvast (MVST) - 2024 Q4 - Annual Results

Revenue Performance - Full year revenue increased by 23.9% year over year to $379.8 million in FY 2024, compared to $306.6 million in 2023[4] - Record quarterly revenue of $113.4 million in Q4 2024, up 8.4% year over year from $104.6 million in Q4 2023[10] - Revenues for the year ended December 31, 2024, increased to $379,801 thousand, up 24% from $306,617 thousand in 2023[26] Profitability and Loss - Net loss for FY 2024 was $195.5 million, compared to a net loss of $106.4 million in 2023, with a net loss per share of $0.61[5] - Gross margin improved significantly from 18.7% in 2023 to 31.5% in FY 2024, with Q4 2024 gross margin at 36.6% compared to 22.0% in Q4 2023[5] - The company reported a gross profit of $41,520 thousand for Q4 2024, with a gross margin of 36.6%, compared to $23,024 thousand and 22.0% in Q4 2023[27][33] - Adjusted gross profit for the year ended December 31, 2024, was $123,031 thousand, compared to $63,318 thousand in 2023, with an adjusted gross margin of 32.4%[33] - For the three months ended December 31, 2024, Microvast reported a net loss of $82,323 thousand, compared to a net loss of $24,591 thousand for the same period in 2023, representing an increase of 234%[34] - The adjusted net loss for the twelve months ended December 31, 2024, was $84,648 thousand, which is a 103% increase from the adjusted net loss of $41,551 thousand in 2023[34] - The total net loss for the twelve months ended December 31, 2024, was $195,457 thousand, which is an 84% increase from the net loss of $106,412 thousand in 2023[34] Cash Flow and Assets - Cash and cash equivalents at the end of 2024 were $73,007 thousand, up from $44,541 thousand at the end of 2023[30] - The company generated net cash from operating activities of $2,814 thousand in 2024, compared to a cash used of $75,303 thousand in 2023[30] - Total current assets as of December 31, 2024, were $428,026 thousand, slightly up from $425,606 thousand in 2023[25] Liabilities and Expenses - Total liabilities increased to $563,972 thousand as of December 31, 2024, compared to $532,542 thousand in 2023[25] - Operating expenses for the year ended December 31, 2024, totaled $238,300 thousand, an increase from $165,909 thousand in 2023[26] - Non-cash settled share-based compensation for the twelve months ended December 31, 2024, amounted to $30,849 thousand, down from $64,920 thousand in 2023, reflecting a reduction of 52%[34] - The company incurred interest expenses of $1,404 thousand for the three months ended December 31, 2024, compared to $1,063 thousand in the same period of 2023, marking an increase of 32%[36] - Depreciation and amortization expenses for the twelve months ended December 31, 2024, were $30,832 thousand, up from $22,928 thousand in 2023, representing a 34% increase[36] Future Outlook - The company anticipates revenue growth of 18% to 25% year over year for 2025, targeting revenue between $450 million and $475 million[10] - Backlog has grown to $401.3 million, indicating strong regional demand for the company's technology[2] - Huzhou Phase 3.2 production is expected to come online in Q4 2025 to meet increasing customer demand[10] Adjusted Performance Metrics - Adjusted EBITDA improved to negative $44.8 million in FY 2024 from negative $19.6 million in 2023[5] - The company’s adjusted EBITDA for the three months ended December 31, 2024, was $8,641 thousand, a significant improvement from an adjusted EBITDA of $(2,592) thousand in the same period of 2023[36] - The adjusted net loss per common share for the twelve months ended December 31, 2024, was $(0.27), compared to $(0.13) for the same period in 2023, indicating a worsening in per-share adjusted performance[35] - The net loss per common share for the three months ended December 31, 2024, was $(0.26), compared to $(0.08) for the same period in 2023, indicating a deterioration in per-share performance[35] Changes in Fair Value - Changes in the fair value of warrants and convertible loans contributed $81,200 thousand to the net loss for the three months ended December 31, 2024, compared to $(84) thousand in the same period of 2023[36]