Cenntro (CENN) Q1 2025 earnings summary

Executive summary

• Net revenues for Q1 2025 were $2.1M, down 8.5% year-over-year, with increased vehicle sales offset by lower spare-part sales.

• Gross profit rose to $0.3M from $0.2M, with overall gross margin improving to 15.0% from 7.2% year-over-year.

• Net loss from continuing operations was $5.4M, a reduction from $7.8M in Q1 2024, driven by lower operating expenses and improved gross profit.

• 129 electric commercial vehicles (ECVs) and 27 iChassis units were sold in Q1 2025, up from 96 ECVs in Q1 2024.

• Strategic shift underway: European operations are being restructured to a dealership model, with resources reallocated to North America and Asia.

Financial highlights

• Net revenues: $2.1M (Q1 2025) vs. $2.3M (Q1 2024), down 8.5%.

• Gross profit: $0.3M (Q1 2025) vs. $0.2M (Q1 2024); gross margin 15.0% vs. 7.2%.

• Net loss attributable to shareholders: $5.7M (Q1 2025) vs. $9.2M (Q1 2024).

• Adjusted EBITDA: $(4.0)M (Q1 2025) vs. $(6.4)M (Q1 2024).

• Cash and cash equivalents: $8.5M as of March 31, 2025, down from $20.2M a year earlier.

Outlook and guidance

• Management expects cash and equivalents to be sufficient for the next twelve months, focusing on new ECV model rollouts and U.S./EU distribution channel development.

• Plans to increase R&D spending long-term to support technology and product innovation.

• Ongoing cost control and operational efficiency measures are being implemented.