LiveWire (US:LVWR)2025-05-06 21:11Financial Performance - For the three months ended March 31, 2025, the company's net loss was $19,271 thousand, a decrease of $4,373 thousand or 18.5% compared to a net loss of $23,644 thousand for the same period in 2024[99]. - Revenue for the three months ended March 31, 2025 decreased by $1,410 thousand, or 37.8%, to $2,324 thousand from $3,734 thousand for the same period in 2024[122]. - Interest income for the three months ended March 31, 2025 was $504 thousand, down 75.0% from $2,016 thousand for the same period in 2024[113]. - The net cash used by operating activities decreased by $5,436 thousand to $17,490 thousand for the three months ended March 31, 2025 compared to $22,926 thousand for the same period in 2024[135]. - As of March 31, 2025, LiveWire's cash and cash equivalents were $46,222 thousand, down from $64,437 thousand as of December 31, 2024[126]. - LiveWire does not expect to generate positive cash flow from operations over the next twelve months[127]. Segment Performance - The Electric Motorcycles segment reported an operating loss of $19,353 thousand for the three months ended March 31, 2025, which is a 33.3% improvement from an operating loss of $29,007 thousand in the same period of 2024[100][112]. - Revenue for the Electric Motorcycles segment decreased by $825 thousand, or 66.3%, to $419 thousand for the three months ended March 31, 2025, compared to $1,244 thousand for the same period in 2024[117]. - The STACYC segment's operating loss was $1,313 thousand for the three months ended March 31, 2025, a slight improvement from an operating loss of $1,415 thousand in the same period of 2024[101][112]. - LiveWire's revenue from electric balance bikes decreased by $937 thousand, primarily due to lower shipment volumes and product pricing issues[122]. Sales and Units - Total LiveWire Motorcycle Unit Sales decreased by 71.2% from 117 units in the three months ended March 31, 2024 to 33 units in the same period of 2025[106][117]. - Total Electric Balance Bike and Electric Bike Unit Sales decreased from 2,932 units in the three months ended March 31, 2024 to 1,970 units in the same period of 2025[106]. Cost Management - Cost of goods sold for the three months ended March 31, 2025 decreased by $1,123 thousand, or 42.6%, to $1,511 thousand from $2,634 thousand for the same period in 2024[123]. - Selling, administrative and engineering expense for the three months ended March 31, 2025 decreased by $389 thousand, or 15.5%, to $2,126 thousand from $2,515 thousand for the same period in 2024[124]. - The Company had a net cash outflow of $250 thousand from financing activities for the three months ended March 31, 2025, a decrease from an outflow of $706 thousand for the same period in 2024[138]. Future Outlook - The company plans to focus on cost improvements and future electric motorcycle models for the remainder of 2025[104]. - LiveWire expects capital expenditures to be between $5 million and $10 million in 2025[137]. - The Company plans to use its current cash on hand and available funds under the Convertible Term Loan to support core business operations and invest in new product development[132]. International Operations - The Company sells electric balance bikes, electric bikes, and electric motorcycles internationally, with most sales made in local currencies[147]. - The Company's operating results are affected by fluctuations in the U.S. dollar relative to foreign currencies, but the impact is currently not material[147]. - The majority of the Company's sales are currently in the U.S., limiting exposure to currency rate risk[147]. - The Company plans to expand its business and operations internationally, expecting increased exposure to currency rate risk as it grows[147]. Retail Partnerships - As of March 31, 2025, the company had 91 total Electric Motorcycles Retail Partners, an increase from 89 as of December 31, 2024[109].