MVST - Microvast stock falls aftermarket on wider Q4 loss

Microvast (NASDAQ:MVST) stock fell 9.7% aftermarket as the battery manufacturer reported a much wider loss in Q4. Net loss was $46.6M in Q4 vs. net loss of $4.6M in Q4 2020. This was due to lower gross profit and higher operating expenses. These include increased product warranty cost, increases in material prices since 2020-end, disposal of legacy products at or below their original costs for $18.3M and $4.3M of share-based compensation expense. The wider loss was also due to higher manufacturing costs owing to industry-wide semiconductor shortages, which resulted in a higher manufacturing cost per unit of $17.3M. Capex in 2021 totaled $87.9M vs. $18.6M in 2020, largely driven by MVST's investments in manufacturing capacity expansions in Huzhou, China and Clarksville, Tennessee. MVST ended 2021 with $536.1M in cash, cash equivalents and restricted cash. Microvast said it expects 2022 revenue to grow 35-45% vs. 2021. MVST estimates Q1 revenue of $32M-34M, up ~115-128% Y/Y.

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Microvast stock falls aftermarket on wider Q4 loss