Xos (XOS) Q4 2025 earnings summary

Executive summary

• Achieved positive free cash flow of $5.4 million for 2025, a $54 million improvement year-over-year, and delivered 328 units, the highest in company history.

• Achieved three consecutive quarters of positive operating and free cash flow, ending 2025 with $14.0 million in cash, up 28% year-over-year.

• Revenue for 2025 was $46 million, with a second consecutive year of positive GAAP and non-GAAP gross margins.

• Operating loss narrowed by 28% to $33.1 million, and adjusted EBITDA loss improved by 33% to $23.5 million.

• Expanded product portfolio with significant growth in powertrain and hub businesses, including first production powertrains for Blue Bird school buses.

Financial highlights

• Full-year 2025 revenue was $46 million from 328 units, compared to $56 million and 297 units in 2024.

• Q4 2025 revenue was $5.2 million from 34 units, reflecting seasonality and a shift to powertrain and hub production.

• GAAP gross margin for 2025 was 5.9% (non-GAAP: 8.8%), down from 7.1% (non-GAAP: 18.0%) in 2024.

• Operating expenses reduced by 28% to $35.8 million; Q4 OpEx was $7.1 million, down 35% year-over-year.

• Ended 2025 with $14 million in cash, up from $11 million, and reduced accounts receivable to $6 million.

Outlook and guidance

• 2026 revenue guidance: $40–$50 million; unit deliveries: 350–500; non-GAAP operating loss: $11.9–$13.3 million.

• Anticipates significant growth in powertrain and hub segments, with step vans remaining stable.

• Focus remains on accelerating growth, reinforcing liquidity, and expanding margins.