Financial Performance - Net revenue for the three months ended June 30, 2023 was $0, consistent with the same period in 2022 [153]. - The net loss for the six months ended June 30, 2023 was approximately $26.8 million, an improvement of $6.5 million compared to a net loss of $33.3 million in the same period in 2022 [159]. - Cash used in operating activities for the six months ended June 30, 2023 was $19.0 million, compared to $11.3 million in the same period in 2022 [165]. - The company had $3.1 million in cash and an accumulated deficit of approximately $245.6 million as of June 30, 2023 [166]. Capital Raising - The company raised approximately $23 million during the six months ended June 30, 2023, through a mix of convertible notes and S-1 Follow-on offering [128]. - The company raised $23 million in gross proceeds through convertible debt and a public offering during the six months ended June 30, 2023 [167]. - The company intends to continue obtaining additional capital through public markets and other means to sustain or grow its business [128]. Operational Developments - The company is currently producing battery cells and Qube battery packs in a pilot production capacity at its Mesa, AZ facility [127]. - The company demonstrated its Megawatt charger designed to output more than 1,000 kilowatts (kW) of charging power [130]. - The company completed its reorganization and rebranded from Atlis Motor Vehicles, Inc. to Nxu, Inc., reflecting a strategic focus on energy and infrastructure [130]. - The company plans to ramp up battery cell and pack manufacturing while investing in facilities and equipment to automate processes and increase manufacturing quality [127]. - The company is developing products aimed at addressing challenges such as limited battery capacity, range anxiety, and long charge times in the electric vehicle market [126]. - The company is focused on capturing the commercial and industrial markets, which represent a portion of the electric vehicle opportunity not fully serviced by existing solutions [126]. Expenses - Total operating expenses decreased by $3.0 million from $17.7 million in Q2 2022 to $14.6 million in Q2 2023, primarily due to a $4.6 million decrease in stock-based compensation [153]. - Research and development expenses increased by $2.0 million from $2.8 million in Q2 2022 to $4.7 million in Q2 2023, reflecting ongoing investment in battery and charging technologies [154]. - General and administrative expenses rose by $1.2 million from $2.9 million in Q2 2022 to $4.1 million in Q2 2023, driven by reorganization costs and increased professional services [155]. - Stock-based compensation for the six months ended June 30, 2023 decreased by $12.6 million to $11.6 million from $24.2 million in the same period in 2022 [159]. - Advertising expenses decreased significantly from $3.6 million in the first six months of 2022 to $0.2 million in the same period in 2023 due to reduced marketing activities [162]. Customer Development - The company is in the early stages of customer development, and its ability to attract customers will significantly impact its revenue generation and financial results [131].
Nxu(NXU) - 2023 Q2 - Quarterly Report