Microvast (NASDAQ:MVST) Releases Quarterly Earnings Results, Misses Estimates By $0.09 EPS

Microvast (NASDAQ:MVST) released its quarterly earnings results on Monday. The company reported ($0.04) EPS for the quarter, missing the consensus estimate of $0.05 by ($0.09), Zacks reports. Microvast had a negative return on equity of 6.50% and a negative net margin of 11.52%.The firm had revenue of $60.61 million for the quarter, compared to analysts’ expectations of $99.02 million.

Here are the key takeaways from Microvast’s conference call:

• Q1 revenue was $60.6 million, a 48% year?over?year decline driven by lower shipment volumes (536 MWh to ~274 MWh); the company reported an adjusted net loss of $14.6 million and negative adjusted EBITDA of $5.5 million.
• Gross margin remained relatively resilient at 31.6% despite lower utilization, though management cautioned margins face near?term pressure from Phase 3.2 ramp costs, raw material inflation, and tariffs.
• The Huzhou Phase 3.2 expansion is progressing (trial production completed on the 55 Ah electrode) with SOP expected in 2026 and up to ~2 GWh of incremental annual capacity, a key growth catalyst that will incur ramp expenses.
• Microvast announced a new 290 Ah LFP pack and CAF integrated electric powertrain targeting the U.S. school?bus market (including a nitrogen purge safety system) aimed at reducing total cost of ownership and accelerating adoption.
• Liquidity finished the quarter at $174 million after $22.8 million of operating cash use and $29.3 million of financing proceeds, but further U.S. plant construction depends on additional financing and partnerships.

Microvast Stock Performance

Shares of NASDAQ:MVST traded up $0.15 on Wednesday, reaching $1.56. The company’s stock had a trading volume of 7,536,381 shares, compared to its average volume of 4,199,793. The stock’s 50-day moving average is $1.82 and its two-hundred day moving average is $2.80. Microvast has a 52-week low of $1.26 and a 52-week high of $7.12. The company has a debt-to-equity ratio of 0.13, a current ratio of 0.92 and a quick ratio of 0.74. The stock has a market capitalization of $516.31 million, a P/E ratio of -4.86 and a beta of 3.60.

Analyst Upgrades and Downgrades

Several analysts have recently issued reports on the stock. Wall Street Zen cut shares of Microvast from a “buy” rating to a “hold” rating in a research report on Saturday, March 21st. Weiss Ratings reissued a “sell (d-)” rating on shares of Microvast in a research report on Friday, March 27th. Finally, Zacks Research cut shares of Microvast from a “hold” rating to a “strong sell” rating in a research report on Thursday, March 19th. Two investment analysts have rated the stock with a Sell rating, Based on data from MarketBeat, the stock has an average rating of “Sell”.

Hedge Funds Weigh In On Microvast

A number of hedge funds and other institutional investors have recently bought and sold shares of MVST. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. purchased a new stake in shares of Microvast during the 1st quarter worth $213,000. Millennium Management LLC boosted its position in shares of Microvast by 101.6% during the 1st quarter. Millennium Management LLC now owns 4,646,060 shares of the company’s stock worth $5,436,000 after purchasing an additional 2,341,637 shares in the last quarter. Goldman Sachs Group Inc. boosted its position in shares of Microvast by 158.9% during the 1st quarter. Goldman Sachs Group Inc. now owns 1,606,896 shares of the company’s stock worth $1,880,000 after purchasing an additional 986,335 shares in the last quarter. Legal & General Group Plc purchased a new stake in shares of Microvast during the 2nd quarter worth $1,006,000. Finally, Rhumbline Advisers purchased a new stake in shares of Microvast during the 2nd quarter worth $1,046,000. 20.72% of the stock is currently owned by hedge funds and other institutional investors.

About Microvast

Microvast Holdings, Inc, traded on NASDAQ under the symbol MVST, is a global provider of advanced lithium-ion battery solutions for transportation and stationary energy storage applications. The company designs, develops and manufactures a range of battery cells, modules and packs tailored to electric buses, commercial vehicles, passenger cars and grid storage systems. Its technology emphasizes fast charging, long cycle life and high energy density to meet stringent performance requirements in demanding operating environments.

Founded in 2006, Microvast has established a vertically integrated platform that spans research and development, pilot production and full-scale manufacturing.