Workhorse(US:WKHS)2025-05-15 11:00Financial Performance - Workhorse reported first quarter 2025 sales of $0.6 million, a decrease of 53.8% from $1.3 million in the same period last year, primarily due to the Aero divestiture and decreased truck sales[5]. - Net sales for the three months ended March 31, 2025, were $640,922, a decline of 52% compared to $1,339,295 for the same period in 2024[25]. - Gross loss for the first quarter of 2025 was $4,523,841, an improvement from a gross loss of $6,103,483 in Q1 2024[25]. - The net loss for the three months ended March 31, 2025, was $20,644,134, compared to a net loss of $29,155,787 in the same period of 2024, indicating a 29% improvement[25]. - Basic and diluted net loss per share improved to $(4.68) in Q1 2025 from $(24.09) in Q1 2024[25]. Expenses - Cost of sales for Q1 2025 was $5.2 million, down 29.7% from $7.4 million in the prior year, driven by lower sales volume and reduced labor costs[6]. - SG&A expenses decreased by 51.7% to $6.8 million in Q1 2025 from $14.1 million in the prior year, mainly due to a reduction in employee compensation and consulting expenses[7]. - R&D expenses fell by 57.1% to $1.5 million in Q1 2025 compared to $3.5 million in the prior year, reflecting lower headcount and consulting costs[8]. - Total operating expenses decreased to $8,312,930 in Q1 2025 from $17,623,189 in Q1 2024, reflecting a reduction of approximately 53%[25]. Cash and Assets - As of March 31, 2025, Workhorse had $2.6 million in cash and cash equivalents, with total inventory valued at $41.3 million[13]. - Total current assets increased to $77,543,591 as of March 31, 2025, up from $53,431,820 as of December 31, 2024, representing a growth of approximately 45%[23]. - Cash and cash equivalents decreased to $2,644,825 as of March 31, 2025, down from $4,119,938 as of December 31, 2024[23]. Liabilities and Capital - Total liabilities increased to $84,091,854 as of March 31, 2025, compared to $49,552,845 as of December 31, 2024, marking a rise of approximately 70%[23]. - The company reported a significant increase in additional paid-in capital, rising to $905,389,017 as of March 31, 2025, from $897,642,626 as of December 31, 2024[23]. Business Operations - Workhorse secured purchase orders for 27 W56 step vans and six W4 CC/W750 trucks in 2025, with ongoing negotiations for additional orders[3]. - The company successfully completed a 2,400-mile drive showcasing the W56's performance, further enhancing its market presence[12]. - Workhorse aims to ship more trucks in Q2 2025 than in all of 2024, having already shipped 18 trucks in Q2, which is six times the volume of Q1 2025[14]. - The company regained compliance with Nasdaq's minimum bid price requirement following a 1-for-12.5 reverse stock split on March 17, 2025[12]. Interest and Financing - Interest expense increased to $5.3 million in Q1 2025 from $1.2 million in the prior year, primarily due to higher outstanding convertible note balances[9].