ARVL - Arrival updates on commercialization plans cash position

2023-05-16 08:19:21 ET

Arrival ( NASDAQ: ARVL ) was light on details with its Q1 earnings report, but did disclose a cash position of $130M at the end of the quarter to mark a 37% drop from the prior quarter.

The change in cash of $75M included a $25M receipt from Antara and use of cash of approximately $60M for restructuring-related costs and legacy supplier payments.

Arrival ( ARVL ) said during the quarter the company advanced U.S. commercialization plans through a business combination with Kensington Capital Acquisition Corp. V. The transaction is anticipated to allow Arrival ( ARVL ) to access up to $283M of cash held in trust for the build-out of the company’s expected Charlotte, North Carolina factory for continued development of Arrival’s XL Van. During Q1, Arrival ( ARVL ) built three L Vans at the Bicester factory with five more in progress. The company also accumulated over 90K kilometers of on-road test driving. Arrival ( ARVL ) said the build and road test of the L Vans has proven to be a valuable source of insights as it finalizes manufacturing methods and designs for the XL Van. Arrival ( ARVL ) also continued development of the XL Van design process, with design release targeted for later this year.

Shares of Arrival ( ARVL ) fell 2.26% in premarket trading.

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