Cenntro (CENN) Q2 2025 earnings summary

Executive summary

• Net revenues for the six months ended June 30, 2025, were $8.5M, down 11.5% year-over-year, mainly due to lower spare-part sales, partially offset by higher vehicle sales volume and other sales.

• Gross margin of vehicle sales dropped to 1.3% from 21.4% year-over-year, with overall gross margin at 3.5% versus 18.1% in the prior year.

• Net loss attributable to shareholders was $15.5M for the six months ended June 30, 2025, compared to $18.4M in the prior year period.

• 559 ECVs sold in the first half of 2025, more than double the 265 units sold in the same period last year, with significant growth in the European market.

• Strategic restructuring in Europe led to the discontinuation of three subsidiaries, with their results classified as discontinued operations.

Financial highlights

• Net revenues: $8.5M for H1 2025, down from $9.7M in H1 2024.

• Gross profit: $0.3M for H1 2025, down from $1.7M in H1 2024.

• Net loss attributable to shareholders: $15.5M for H1 2025, improved from $18.4M in H1 2024.

• Adjusted EBITDA for H1 2025 was $(10.9)M, compared to $(15.7)M in H1 2024.

• Cash and cash equivalents at June 30, 2025, were $6.0M, down from $12.5M at year-end 2024.

Outlook and guidance

• Management expects cash and cash equivalents to be sufficient for the next twelve months, supported by efficiency measures and inventory management.

• Plans include continued rollout of new ECV models in North America and Europe, establishment of local assembly facilities, and expansion of the Changxing factory.

• Long-term strategy focuses on regionalizing manufacturing and supply chains, expanding channel partner networks, and increasing R&D investment.