Thunder Power Holdings, Inc.(US:AIEV)2025-11-13 20:45Revenue Generation - The company has not generated any revenue from EV sales and expects to generate revenue from the sale of its EV models, technology licensing, and R&D services [156]. - The company expects to continue incurring substantial operating losses due to the capital-intensive nature of its business and the lack of commercially available vehicles [151]. - The company has faced significant operating losses since inception and continues to struggle with generating sufficient revenue to cover operational costs [174]. - The company has not met the sales/revenue condition for the year of 2024, which may impact the release of Earnout Shares [184]. Financial Performance - For the three months ended September 30, 2025, the company reported a net loss of approximately $0.4 million, a decrease from a net loss of $0.9 million for the same period in 2024 [166]. - The company incurred a net loss of approximately $1.7 million and $2.5 million for the nine months ended September 30, 2025 and 2024, respectively [169]. - The company incurred general and administrative expenses of approximately $428,053 for the three months ended September 30, 2025, compared to $912,314 in 2024, reflecting a significant reduction in professional and consulting expenses [165]. - General and administrative expenses for the nine months ended September 30, 2025, were approximately $1.7 million, down from $2.5 million in 2024, primarily due to a lack of share-based compensation expenses compared to the previous year [168]. Cash Flow and Liquidity - As of September 30, 2025, the company's cash balance was $16,441, down from $33,636 at the end of the same period in 2024, indicating a net decrease in cash of $36,175 [175]. - Net cash used in operating activities for the nine months ended September 30, 2025 was approximately $1.4 million, primarily due to a net loss of approximately $1.7 million [176]. - The company reported cash provided by financing activities of approximately $1.3 million for the nine months ended September 30, 2025, primarily from borrowings from the controlling shareholder [179]. - The company has recorded a prepaid forward contract as a current asset, which may affect its liquidity and ability to meet short-term obligations [174]. Business Development - The company has four EV models in phased development: Coupe, Sedan, City Car, and SUV, with no new models expected to be introduced until at least 2030 [152]. - The business combination with Feutune Light Acquisition Corporation was completed on June 21, 2024, resulting in the company being renamed Thunder Power Holdings, Inc. [144]. - The company plans to utilize third-party retail distribution and full-service networks to enhance market execution, which is critical for operational success [154]. - The company has entered into a Share Exchange Agreement with shareholders of Electric Power Technology Limited, with a share exchange ratio of 119 shares of the company's common stock for every 100 ordinary shares of TW Company [148]. - The company’s common stock began trading on the Nasdaq under the symbol "AIEV" on June 24, 2024, following the business combination [146]. Future Outlook - The company is exploring new financing options, including potential debt extensions or new equity capital, to address uncertainties regarding its ability to continue as a going concern [172]. - The company’s shares were suspended from trading on Nasdaq on April 21, 2025, impacting its ability to access capital markets [174]. - The company incurred minimal research and development expenses for the three and nine months ended September 30, 2025 and 2024, recorded under general and administrative expenses [186].