Xos Delivers First Quarter Results, Highlighting GAAP Margin Gains

Core Insights - Xos, Inc. reported a positive gross margin of approximately 20% for Q1 2025, despite a seasonal slowdown [1] - The company experienced a reduction in cash flow due to a planned inventory buildup to fulfill current orders [3] - Xos anticipates improved liquidity in subsequent quarters as vehicle deliveries increase [3] Financial Performance - Revenues for Q1 2025 were $5.9 million, down from $13.2 million in Q1 2024, with 29 units delivered compared to 62 units in the same period last year [5][6] - Gross profit for Q1 2025 was $1.2 million, a significant improvement from a loss of $3.7 million in Q4 2024 [5] - The net loss for Q1 2025 was $10.2 million, reduced from $19.0 million in Q4 2024 [5] Operational Highlights - Xos shipped 60 vehicles in Q1 2025, including 31 stripped chassis for UPS, with revenue recognition expected in future quarters [6] - The company achieved a 19.6% reduction in operating expenses, cutting costs by $2.6 million compared to Q1 2024 [6] - Xos is focused on driving revenue growth and strengthening gross margins while managing costs effectively [9] 2025 Outlook - Xos projects revenues between $50.2 million and $65.8 million for 2025, with unit deliveries expected to range from 320 to 420 units [7] - The company aims to reduce non-GAAP operating loss to between $17.2 million and $14.0 million for the year [7] - Xos is proactively planning for 2026 and beyond to mitigate external pressures, including tariff impacts [9]