HYZN - Hyzon Motors slides 20% as road to production goes on

2023-08-08 14:19:26 ET

Hyzon Motors ( NASDAQ: HYZN ) was the biggest decliner in the electric vehicle sector on Tuesday after underwhelming investors with its Q2 earnings report .

Hyzon Motors ( HYZN ) did not generate revenue during the quarter, but is still moving forward on the long road to production. The zero-emissions hydrogen fuel cell powered commercial vehicle maker reported cost of revenue of $2.4M, research and development expenses of $12.6M, and SG&A expenses of $49.1M. The net loss attributable to HYZN of $60.2M was a flip from positive net income attributable to Hyzon of $42.0M a year ago.

Hyzon Motors' ( HYZN ) current quarter SG&A expense included elevated legal and regulatory charges of $25.9M, of which $22.0M represents a loss contingency accrued in light of management's assessment of the SEC investigation. The company expects $7.0M of the accrual to be paid within the next twelve months. However, there is no assurance that this loss contingency accrual will be adequate to resolve matters covered by the SEC investigation.

CEO update: "We have been hard at work streamlining our vehicle offerings, operations, and geographies, and we are proud of the progress we have made at our U.S. fuel cell system production facility. Looking ahead to the remainder of the year, we are excited by the continued advancement of our commercial pipeline across our focused FCEV platforms, with commercial deployments ongoing toward our 10-20 vehicle goal this year. We believe our intense focus and disciplined execution of our operational milestones as well as significant improvements to streamline our business have positioned Hyzon well in the accelerating hydrogen industry."

Shares of Hyzon Motors ( HYZN ) were down 19.66% in afternoon trading on Tuesday.

More on Hyzon Motors:

• Growth metrics on Hyzon Motors
• Valuation metrics on Hyzon Motors
• Seeking Alpha's Quant Rating for Hyzon Motors

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