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Phoenix Motor Inc. (PEV-5.88%) has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing reports total revenues of $4.8 million for the three months ended September 30, 2024, compared to $0.3 million in the same period the previous year. This increase is primarily attributed to the acquisition of the Proterra transit business unit.
Cost of revenues for the quarter was $3.7 million, resulting in a gross profit of $1.1 million. The gross margin improved to 23.4% from (1.7)% in the prior year quarter.
Operating expenses for the quarter were $9.5 million, up from $2.5 million in the previous year, largely due to increased salary expenses following the acquisition of the Proterra transit business unit.
The company reported an operating loss of $8.4 million for the quarter, compared to a loss of $2.5 million in the prior year.
Net loss for the quarter was $5.6 million, compared to $2.7 million in the previous year. The company recorded a gain on bargain purchase of $32.1 million from the acquisition of Proterra.
Phoenix Motor Inc. highlighted ongoing challenges with supply chain disruptions and inflationary pressures impacting costs.
The company is in default on several obligations, which could impact its ability to continue operations if not resolved.
Phoenix Motor Inc. plans to implement strategies to improve liquidity and control costs, including operational integration and strategic partnerships.
The filing notes that Phoenix Motor Inc. is not in compliance with certain Nasdaq listing requirements, including the minimum bid price and stockholders’ equity requirements.
The company has received a letter from Nasdaq granting an extension to regain compliance with the minimum bid price requirement by April 7, 2025.
Phoenix Motor Inc. continues to focus on its electric vehicle and transit bus business, leveraging government incentives and addressing supply chain challenges.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Phoenix Motor Inc. quarterly 10-Q report dated February 12, 2025. To report an error, please email earnings@qz.com.