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Sep 30, 2023
AYRO Q3 2023 Earnings Report
AYRO's Q3 2023 financial results were announced, marked by initial AYRO Vanish revenue and progress in low-rate initial production.
Key Takeaways
AYRO reported its Q3 2023 financial results, highlighting the first revenue from AYRO Vanish sales and the successful completion of homologation for the AYRO Vanish Low-Speed Electric Vehicle. The company is focused on manufacturing additional AYRO Vanish units and expects to reach break-even on a per-unit basis during the second half of 2024.
Successfully completed homologation for the AYRO Vanish Low-Speed Electric Vehicle.
Recognized the first revenue from sales of the AYRO Vanish.
Awarded an additional four patents to further strengthen the intellectual property portfolio.
Expects to reach break-even on a per-unit basis during the second half of 2024.
AYRO
AYRO
Forward Guidance
AYRO anticipates continued manufacturing efficiencies and supply chain stability as it transitions to full production of the AYRO Vanish, forecasting break-even on a per-unit basis in the second half of 2024.
Positive Outlook
- Continuing to manufacture additional AYRO Vanish units under LRIP program.
- Manufacturing team to continue to gain efficiencies in the assembly process.
- Ensuring that supply chain is up to the task of meeting expected higher order and inventory demands.
- Components will be delivered using advanced equipment designed for higher throughput.
- Strong balance sheet and nearly $48 million in cash and cash equivalents.
Challenges Ahead
- Currently in LRIP, using components that were purchased under prototype pricing.
- Currently in LRIP, using machinery, tools, and dies appropriate for limited production quantities.
- Highly vigilant on supply chain continuity as ramp production rates upwards.
- Has a history of losses and has never been profitable, and AYRO expects to incur additional losses in the future and may never be profitable.
- The markets in which AYRO operates are highly competitive, and AYRO may not be successful in competing in these industries.