Microvast (US:MVST)2025-05-12 20:49Financial Performance - Record Q1 2025 revenue of $116.5 million, a 43.2% increase year over year from $81.4 million in Q1 2024[2][6] - Net profit of $61.8 million in Q1 2025, compared to a net loss of $24.8 million in Q1 2024; Non-GAAP adjusted net profit of $19.3 million versus a non-GAAP adjusted net loss of $13.0 million[6] - Revenues for Q1 2025 increased to $116,491,000, a 43.2% rise from $81,351,000 in Q1 2024[26] - Net profit for Q1 2025 was $61,790,000, a significant turnaround from a net loss of $24,825,000 in Q1 2024[26] - Basic net profit per share for Q1 2025 was $0.19, compared to a loss of $0.08 per share in Q1 2024[34] - For the three months ended March 31, 2025, Microvast Holdings, Inc. reported a net profit of $61.79 million, compared to a net loss of $24.83 million in the same period of 2024[35] Profitability Metrics - Gross margin improved to 36.9%, up 15.7 percentage points from 21.2% in Q1 2024; Non-GAAP adjusted gross margin increased to 37.0% from 22.6%[5][6] - Gross profit for Q1 2025 was $43,016,000, resulting in a gross margin of 36.9%, compared to a gross profit of $17,225,000 and a margin of 21.2% in Q1 2024[31] - Non-GAAP adjusted EBITDA of $28.5 million in Q1 2025, compared to a negative $3.7 million in Q1 2024[6] - The company's EBITDA for Q1 2025 was $70.98 million, a significant improvement from a negative EBITDA of $15.55 million in Q1 2024[35] - Adjusted EBITDA for the same period was $28.52 million, compared to an adjusted EBITDA loss of $3.72 million in Q1 2024[35] Operating Expenses - Operating expenses decreased to $25.5 million from $40.9 million in Q1 2024; Non-GAAP adjusted operating expenses reduced to $24.9 million from $30.1 million[6] - Operating expenses for Q1 2025 were $25,500,000, significantly lower than $40,877,000 in Q1 2024[32] - Interest expense decreased to $1.01 million in Q1 2025 from $1.61 million in Q1 2024[35] - Non-cash settled share-based compensation decreased significantly to $0.70 million in Q1 2025 from $11.87 million in Q1 2024[35] Cash and Assets - Cash, cash equivalents, restricted cash, and short-term investments totaled $123.0 million as of March 31, 2025, up from $109.6 million as of December 31, 2024[6] - Total current assets increased to $447,992,000 as of March 31, 2025, up from $428,026,000 at the end of 2024[25] - Cash and cash equivalents at the end of Q1 2025 were $90,898,000, an increase from $73,007,000 at the end of 2024[25] - Total liabilities decreased to $528,697,000 as of March 31, 2025, down from $563,972,000 at the end of 2024[25] Future Outlook - For 2025, the company targets revenue growth of 18% to 25% year over year, with revenue guidance of $450 million to $475 million[12] - The company aims for a gross margin of 30% through 2025, supported by regional efficiencies and increased utilization[12] - Production capacity will be enhanced with the installation of equipment for Huzhou Phase 3.2, targeting first qualified products in Q4 2025[12] - Continued focus on acquiring new customers to expand presence in differentiated commercial vehicle markets as electrification progresses[12] Other Financial Changes - The changes in fair value of warrant liability and convertible loan resulted in a loss of $43.16 million in Q1 2025, compared to a negligible loss of $42,000 in Q1 2024[35] - Depreciation and amortization increased slightly to $8.18 million in Q1 2025 from $7.66 million in Q1 2024[35]