VANCOUVER, Canada — GreenPower Motor Company Inc. (Nasdaq: GP) (TSXV: GPV) (“GreenPower”), a leading manufacturer and distributor of zero emission electric powered vehicles serving the cargo and delivery, shuttle, transit and school bus markets, today announced financial results for its fiscal fourth quarter and year ended March 31, 2021.
Highlights of the fiscal fourth quarter:
- Recorded revenues of $4,378,131 an increase of 76% over the revenue of $2,486,669 for the fourth quarter in the previous fiscal year
- Cost of revenues were $3,210,100 generating a gross profit of $1,168,031 or 26.7% of revenues compared to a gross profit of 30.1% for the full fiscal year
- Delivered five EV250 thirty-foot all-electric buses for shuttle operations at LAX airport
- Sold 30 EV Stars to Zeem Solutions that were previously on lease with another customer
- Inventory was $12.5 million at March 31, 2021 compared to $6.6 million the previous year
- Increased production of B.E.A.S.T. all-electric school buses from five units per month to 10 units per month in response to positive feedback from demonstrations and anticipated future demand
- Cash expenses for the current quarter amounted to $2,035,699 compared to $1,909,522 for the previous quarte
- Working capital was $30,808,375 at the end of the quarter compared to $31,310,393 at the end of the previous quarter
“With the consistent run rate production for our EV Star and School Buses that was increased in Q4, we are building to meet the high demand for GreenPower products across multiple sectors including: transit, delivery, student transportation, fleet operators, municipal and final stage manufacturers,” said Brendan Riley, President of GreenPower. “GreenPower has the most compelling vehicles in the medium and heavy duty, commercial EV sector. We expect strong demand for the foreseeable future.”
Fraser Atkinson, CEO of GreenPower added, “We are excited that as the economy reopens from the Covid-19 pandemic our efforts with production have positioned us for increased deliveries, which commence this summer and accelerate thereafter. I’m proud of our team in that we’ve been able to accomplish this with a modest increase in our quarterly cash expenses and modest decrease in working capital compared to the previous quarter. We believe that we are on track to achieving our goal of attaining positive quarterly cash flow by the middle of the current fiscal year.”
Results for the three months ended March 31, 2021
For the three-month period ended March 31, 2021 the Company generated revenues of $4,378,131, cost of revenues of $3,210,100 yielding a gross profit of $1,168,031, related to the sale of 30 EV Stars that were previously on lease, the delivery of five EV 250s for which the Company provided lease financing and which were accounted for as finance leases, and from the sale of spare parts. Operating costs consist of administrative fees of $977,812 relating to salaries, project management, accounting, and administrative services; transportation costs of $41,558; insurance expense of $266,380; travel, accommodation, meals and entertainment costs of $38,308; product development costs of $296,164; interest and accretion of $175,450; professional fees of $210,448; as well as non-cash expenses including $1,278,194 of share-based compensation expense, allowance for credit losses of $338,818 and depreciation of $82,150. Excluding a foreign exchange loss of $69,256, the remaining operating costs for the period amounted to $135,963 in general corporate expenses and a write down of assets of $45,679, resulting in a consolidated net loss of $2,788,149.
Results for the year ended March 31, 2021
For the year ended March 31, 2021 the Company generated revenue of $11,884,578 compared to $13,500,403 for the previous year, a decrease of 12.0%. Cost of revenues of $8,304,438 yielding a gross profit of $3,580,140 or 30.1% of revenue. Revenue for the year was generated from the sale of 33 EV Stars, from the lease of 35 EV Stars, from the lease of 5 EV 250s, from lease income, and from the sale of chargers, and parts. Operating costs consist of administrative fees of $3,747,76; transportation costs of $161,017; insurance expense of $596,932; travel, accommodation, meals and entertainment costs of $217,023; product development costs of $939,949; sales and marketing costs of $234,445; interest and accretion of $1,598,588; professional fees of $486,425; as well as non-cash expenses including $2,098,761 share-based compensation expense, depreciation of $437,263, and an allowance for credit losses of $333,929. The remaining operating costs for the period amounted to $325,324 in general corporate expenses, a foreign exchange loss of $193,798 and a write down of assets of $45,679 resulting in a consolidated net loss of $7,836,754.
About GreenPower Motor Company Inc.
GreenPower designs, builds and distributes a full suite of high-floor and low-floor all-electric medium and heavy-duty vehicles, including transit buses, school buses, shuttles, cargo van and a cab and chassis. GreenPower employs a clean-sheet design to manufacture all-electric vehicles that are purpose built to be battery powered with zero emissions while integrating global suppliers for key components. This OEM platform allows GreenPower to meet the specifications of various operators while providing standard parts for ease of maintenance and accessibility for warranty requirements. GreenPower was founded in Vancouver, Canada with primary operational facilities in southern California. Listed on the Toronto exchange since November 2015, GreenPower completed its U.S. IPO and NASDAQ listing in August 2020. For further information go to www.greenpowermotor.com
