(MVST) 2024 Q1 法說會逐字稿

Thank you, everyone, for joining us today. With me on today's call are Mr. Yang Wu, Founder, Chairman and CEO; and Ms. Nancy Smith, Interim CFO. Mr. Wu will start off with a high-level overview of the quarter before providing some operational updates. Ms. Smith will then discuss our financials in more detail before handing it back to Mr. Wu to wrap up with our second-quarter 2024 outlook.

謝謝大家今天加入我們。與我一起參加今天電話會議的有創辦人、董事長兼執行長楊武先生；以及臨時財務長 Nancy Smith 女士。吳先生將首先對本季度進行總體概述，然後提供一些營運方面的最新情況。然後，史密斯女士將更詳細地討論我們的財務狀況，然後將其交還給吳先生，以總結我們對 2024 年第二季度的展望。

Ahead of this call, Microvast issued its first-quarter earnings press release, which can be found on the Investor Relations section of the company's website, ir.microvast.com. In addition, we have posted a slide presentation to the company website to go along with management's prepared remarks.

在此次電話會議之前，Microvast 發布了第一季財報新聞稿，您可以在該公司網站 ir.microvast.com 的投資者關係部分找到新聞稿。此外，我們還在公司網站上發布了幻燈片演示文稿，以配合管理層準備好的評論。

As a reminder, please note that statements made during this call are forward-looking and based on current expectations and assumptions. They should not be relied upon as representative of views for subsequent dates, and we undertake no obligation to revise or publicly release the results of any revision to these forward-looking statements due to new information or future events.

提醒一下，請注意，本次電話會議期間發表的聲明具有前瞻性，並且基於當前的預期和假設。不應將它們視為後續日期的觀點代表，並且我們不承擔因新資訊或未來事件而修改或公開發布這些前瞻性陳述的任何修改結果的義務。

Actual results may differ materially from expectations due to a variety of risks and uncertainties. For more information on material risks and other important factors that could affect our financial results, please refer to our filings with the SEC.

由於各種風險和不確定性，實際結果可能與預期有重大差異。有關重大風險和可能影響我們財務業績的其他重要因素的更多信息，請參閱我們向 SEC 提交的文件。

We may also discuss non-GAAP financial measures during this call. These measures should be considered in addition to and not as a substitute for or in isolation from GAAP results. These non-GAAP measures have been reconciled to their most comparable GAAP metrics in the tables included at the end of our press release. After the conclusion of this call, a webcast replay will be available on the Investor Relations section of the Microvast website. And now I will turn the call over Mr. Wu for opening remarks.

我們也可能在本次電話會議中討論非公認會計準則財務指標。這些措施應作為公認會計準則結果的補充而非替代或孤立考慮。這些非公認會計準則指標已與我們新聞稿末尾的表格中最具可比性的公認會計準則指標進行了調整。本次電話會議結束後，Microvast 網站的投資者關係部分將提供網路廣播重播。現在請吳先生致開幕詞。

Thank you. And thank you, everyone, for joining today's call. Please turn to slide 3 as I cover a few highlights from the first quarter. The business posted record first-quarter revenue with 73% growth year over year in Q1 2024, delivering revenue of $81.4 million. We achieved this growth while maintaining a gross margin of 21.2%, a 10.9% point improvement year over year.

謝謝。感謝大家參加今天的電話會議。請翻到投影片 3，我將介紹第一季的一些亮點。該業務第一季營收創歷史新高，2024 年第一季年增 73%，營收達 8,140 萬美元。我們實現這一成長的同時維持了 21.2% 的毛利率，年比提高了 10.9 個百分點。

This incredible growth comes largely from sales increases in our APAC and EMEA businesses. Year over year, we saw triple-digit percentage growth in both regions, 640% and 184% for APAC and EMEA, respectively.

這一令人難以置信的成長主要來自我們亞太地區和歐洲、中東和非洲業務的銷售成長。與去年同期相比，我們在這兩個地區都實現了三位數的百分比成長，亞太地區和歐洲、中東和非洲地區分別成長了 640% 和 184%。

Please join me on slide 5. The company was successfully in expanding its commercial vehicle footprint with additional customers and projects in America and Europe alike. We have begun to tap into the Canadian market and are working with American LCV OEM for ramp-up expected in the second quarter.

請和我一起觀看幻燈片 5。我們已經開始進軍加拿大市場，並正在與美國輕型商用車 OEM 合作，預計第二季將實現產能提升。

We closed the first quarter with a backlog of $348.3 million and I continue to strive for operational efficiency. The company posted significant improvements to adjusted gross margin at 22.6% and 9.1 percentage point increase year over year.

第一季結束時，我們的積壓金額為 3.483 億美元，我將繼續努力提高營運效率。該公司調整後毛利率顯著改善，達到 22.6%，年增 9.1 個百分點。

The company posted yet another banner quarter, and we expect to continue the growth and successes. So this also came with challenges. In addition to the current market sentiment facing the clean tech industry, we continue to navigate a US financing hurdles.

該公司又發布了一個出色的季度業績，我們預計將繼續保持成長和成功。所以這也帶來了挑戰。除了當前清潔技術產業面臨的市場情緒外，我們還繼續克服美國的融資障礙。

Turning to slide 6, we have some exciting new customers in the United States specialty vehicle market and the European E-trailer market. These customers will utilize Gen 4 packs with our 53.5Ah power cell technology.

轉向幻燈片 6，我們在美國特種車輛市場和歐洲電動拖車市場擁有一些令人興奮的新客戶。這些客戶將使用採用我們的 53.5Ah 電池技術的第 4 代電池組。

While we aren't quite ready to announce the projects publicly, we have made significant progress with the customers on product ramp-up and as a prototype development. Additionally, we are excited to be working with German OEM engineers on a prototype fuel-cell truck that will debut at IAA 2024. I would now like to turn the call over to Mrs. Smith to discuss our financials in more details.

雖然我們還沒有準備好公開宣布這些項目，但我們已經與客戶在產品升級和原型開發方面取得了重大進展。此外，我們很高興能與德國 OEM 工程師合作開發原型燃料電池卡車，該卡車將在 2024 年 IAA 上首次亮相。

Thank you, Mr. Wu, and thank you for everyone for joining in. I'll spend the next few minutes discussing our Q1 2024 financial results. Please turn to slide 8 and I will summarize the main line items from our Q1 P&L.

謝謝吳先生，也謝謝大家的參與。請翻到投影片 8，我將總結第一季損益表中的主要項目。

We booked a record first quarter with Q1 revenue of $81.4 million, an increase of 73% from $47 million in Q1 2023. This growth was driven primarily by strong sales demand in both our APAC and EMEA markets for commercial vehicles as OEMs continued to adopt our technology.

我們第一季的營收創下歷史新高，達到8,140 萬美元，比2023 年第一季的4,700 萬美元成長73%。非洲市場對商用車的強勁銷售需求所推動的。

Our gross margin improved to 21.2% in Q1 2024 compared to 10.3% in Q1 2023. After adjusting for non-cash-settled, share-based compensation expense in our cost of sales, adjusted gross margin increased to 22.6% in Q1 2024 compared to 13.5% in Q1 2023. That's a 9.1 percentage point improvement.

我們的毛利率在2024 年第一季提高至21.2%，而2023 年第一季為10.3%。第一季增至22.6%，而2023 年第一季則為10.3%。

Operating expenses were $40.9 million in Q1 2024 compared to $6.2 million in Q1 2023, an increase of 13% from the prior year period. After adjusting for non-cash SBC expense in SG&A, our adjusted operating expenses in Q1 2024 was $30.1 million compared to $19.8 million in Q1 2023, an increase of $10.3 million. This is mainly due to increasing headcount costs.

2024 年第一季的營運費用為 4,090 萬美元，而 2023 年第一季的營運費用為 620 萬美元，比去年同期成長 13%。在對 SG&A 中的非現金 SBC 費用進行調整後，我們 2024 年第一季調整後的營運費用為 3,010 萬美元，而 2023 年第一季為 1,980 萬美元，增加了 1,030 萬美元。這主要是由於人員成本增加所致。

GAAP net loss was $24.8 million in Q1 2024 compared to net loss of $29.6 million in Q1 2023. After adjusting for non-cash SBC expense and changes in fair value of our warrant liability, adjusted net loss was $13 million in Q1 2024 compared to an adjusted net loss of $11.7 million in Q1 2023. The impact of these adjustments is shown in slide 9 and reconciliations of these non-GAAP metrics to the most comparable GAAP metrics are included in the tables at the end of our earnings press release.

2024 年第一季的GAAP 淨虧損為2,480 萬美元，而2023 年第一季的淨虧損為2,960 萬美元。後的淨虧損為1,300 萬美元，而2023 年第一季的淨虧損為1,300 萬美元。 GAAP 指標與最具可比性的GAAP 指標的調節結果包含在我們收益新聞稿末尾的表格中。

Slide 10 shows the geographic breakdown of our revenue for Q1 2024 compared to the prior year period. As you can see, we booked outstanding sales increases. APAC sales were up 640% year over year and accounted for 29% of our revenue, up from just 7% a year ago. Our EMEA business was up by 184% year over year and accounted for 36% of our revenue, up from just 22% a year ago as key customers begin their vehicle ramp-up. And with that, I'll turn it back over to Mr. Wu to briefly go over our outlook for the second quarter. Thank you.

投影片 10 顯示了我們 2024 年第一季與去年同期相比營收的地理分佈。正如您所看到的，我們實現了出色的銷售成長。亞太地區銷售額年增 640%，占我們營收的 29%，而一年前僅為 7%。隨著主要客戶開始增產車輛，我們的 EMEA 業務年增 184%，占我們收入的 36%，而一年前僅為 22%。接下來，我將把它轉回給吳先生，簡要回顧一下我們對第二季度的展望。謝謝。

Thank you. Please turn to slide 12, which provided a summary outlook for the upcoming months. For the second quarter, we expect the revenue to be in the range of $90 million to $98 million, up 25% from Q2 a year ago at the midpoint. This anticipated growth is primarily generated through increased deliveries to our APAC and EMEA commercial vehicle customers.

謝謝。請參閱投影片 12，其中概述了未來幾個月的前景。對於第二季度，我們預計營收將在 9,000 萬美元至 9,800 萬美元之間，比去年第二季度的中位數成長 25%。這一預期成長主要是透過增加對亞太地區和歐洲、中東和非洲商用車客戶的交付量來實現的。

We continue to strive for operational efficiencies, and we are maintaining our target gross margins to be in a range of 20% to 25%. For APAC, we will be delivering 48Ah power and a 53.5Ah cells from our Huzhou facility. We plan to do this while also targeting growth in Southeast Asia and a continuing R&D progress on the new upcoming products.

我們繼續努力提高營運效率，並將毛利率目標維持在 20% 至 25% 的範圍內。對於亞太地區，我們將從湖州工廠提供 48Ah 電源和 53.5Ah 電池。我們計劃在實現這一目標的同時，也瞄準東南亞的成長以及即將推出的新產品的持續研發進展。

In EMEA, we anticipated Q2 2024 revenue to grow more than double year over year, expected to deliver new prototypes to customers, and plan to expend into additional commercial vehicle projects. For the Americas, we continue to focus on securing our Clarksville financing while remaining committed to fulfilling planning to customers and our revenue growth.

在歐洲、中東和非洲地區，我們預計 2024 年第二季營收將年增一倍以上，預計將向客戶提供新原型，並計劃擴展到更多商用車專案。對於美洲，我們繼續專注於確保克拉克斯維爾的融資，同時繼續致力於完成客戶規劃和收入成長。

We are also continue exploring additional customer sales opportunities, including within the Canadian CV market. Thank you all for joining us today. We look forward to updating you on our progress again next quarter.

我們也持續探索其他客戶銷售機會，包括加拿大商用車市場。感謝大家今天加入我們。我們期待下個季度再次向您通報我們的進展。

Ladies and gentlemen, that concludes today's conference call. Thank you for joining, and you may now disconnect your lines.

女士們先生們，今天的電話會議到此結束。感謝您的加入，您現在可以斷開線路了。