REE Automotive Ltd REE reported Q4 FY23 sales growth of 116% Q/Q to $455,000, missing analysts’ consensus estimate of $1.35 million.
Operating expenses for the quarter increased to $36.7 million from $27.8 million a year ago. Non-GAAP EPS loss of $(3.15), missed consensus by $(2.38).
Operating loss for the quarter was $(37.2) million compared to a loss of $(27.8) million last year. Adjusted EBITDA loss widened to $(32.2) million in the quarter.
The company ended the quarter with cash of $86 million, made up of cash and cash equivalents and short-term investments. It used $89.3 million in operating cash flow during the year.
“I am happy to announce that much of the heavy lifting is now behind us on the path to commercialization, our technology is mature, proven and Powered by REE vehicles are certified (CARB, EPA and FMVSS) and eligible for significant incentives” , said co-founder and CEO Daniel Barel.
“While we are confident in our market position, we recognize the challenging macroeconomic conditions. We are doing everything we can to combat these external forces, including securing financing on favorable terms, being disciplined in cash management and ensuring operational efficiency.”
As of March 27, 2024, the value of the company’s backlog exceeded $50 million.
REE Automotive also reported the expansion of its authorized dealer network, which now covers 66 sales and service locations across the United States and Canada.
Price action: REE shares were trading 4.92% lower at $5.80 in premarket at last check on Wednesday.