Zapp Electric Vehicles Group Ltd (ZAPP) 2023 Q4 法說會逐字稿

Welcome, everyone, to Zapp's shareholder and analyst update call and webcast. We'll start with some prepared remarks from Swin and Dave, and then Jeremy and David will join for the Q&A portion of the presentation. During today's call, we will discuss our business outlook and make forward-looking statements. These comments are based on our estimates and expectations as of today.

歡迎大家參加 Zapp 的股東和分析師更新電話會議和網路廣播。我們將從 Swin 和 Dave 準備好的一些評論開始，然後 Jeremy 和 David 將參加演示的問答部分。在今天的電話會議中，我們將討論我們的業務前景並做出前瞻性陳述。這些評論是基於我們今天的估計和期望。

Actual results could vary materially due to a number of risks and uncertainties, including those described in our most recent filings with the SEC, which are also available on our website at ir.zappev.com. Now, I'd like to turn the call over to Swin Chatsuwan, CEO of Zapp, for his opening remarks.

由於許多風險和不確定性，包括我們最近向SEC 提交的文件中所述的風險和不確定性，實際結果可能會產生重大差異，這些風險和不確定性也可以在我們的網站ir.zappev.com上找到。現在，我想請 Zapp 執行長 Swin Chatsuwan 致開幕詞。

Thank you, Mark, and thank you to everyone for joining us on this call. A lot has happened ahead of our first year end as a public company, and we've made more progress since then. I'd like to start with some recent developments first before recapping 2023, and then provide you with our outlook for the rest of 2024. We recently secured a standby equity commitment of up to $10 million, which will provide the capital for the start of production or SOP, and for i300's commercial rollout in Europe.

謝謝你，馬克，也謝謝大家加入我們這次電話會議。作為一家上市公司，我們在第一年年底之前發生了很多事情，自那時起我們取得了更多進展。在回顧 2023 年之前，我想先從一些近期進展開始，然後向您提供我們對 2024 年剩餘時間的展望。 i300 在歐洲的商業推廣。

Similarly now, it seems like a very small amount for Zapp's asset-light business model centered around our flexible contract manufacturing agreement, means we do not need hundreds of millions of dollars to rotate, unlike most other EV companies. I'll expand on that later. In December, we successfully completed all the vehicle tests required for EU homologation. Once the production conformity audit part is complete, we expect to receive i300's European certification.

同樣，現在，對於Zapp 以我們靈活的合約製造協議為中心的輕資產商業模式來說，這似乎是一個非常小的金額，這意味著我們不需要數億美元來輪換，這與大多數其他電動汽車公司不同。稍後我將對此進行擴展。 12月，我們成功完成了歐盟認證所需的所有車輛測試。一旦生產一致性審核部分完成，我們預計將獲得i300的歐洲認證。

After that, product will be delivered throughout the EU. Completion of the chest is posted not just for our rollout in Europe, but also sets up our launch for key Asian markets. More on that in a bit also. Based on the funding available to us, we expect to start delivering bikes to our customers in the summer.

之後，產品將銷往整個歐盟。箱子的完成不僅是為了我們在歐洲的推出，也是為了我們在亞洲主要市場的推出。稍後還會詳細介紹這一點。根據我們可用的資金，我們預計在夏季開始向客戶提供自行車。

Now let's double back to 2023, i300 won two more design awards; this brings our total to eight. We won the prestigious Red Dot in the motorcycle category, alongside Ferrari's new hybrid, who are saying, which was best of the best. i300 is now on display at the Red Dot Museum in Germany. That was also granted patents of two of i300 key differentiators: the weight and component reducing exoskeletons that gives it i300 its distinctive appearance and the interchangeable front fender. These features form a part of Zapps's design and brand DNA.

現在讓我們回到2023年，i300又獲得了兩項設計獎；這使我們的總數達到八個。我們與法拉利的新型混合動力車一起贏得了摩托車類別中享有盛譽的紅點獎，人們都說這是最好的。 i300現已在德國紅點博物館展出。 i300 還獲得了兩項關鍵差異化專利：減輕重量和減少部件的外骨骼，賦予 i300 獨特的外觀，以及可互換的前擋泥板。這些功能構成了 Zapps 設計和品牌 DNA 的一部分。

In total, Zapp has now has 16 IP registrations and patents granted around the world, and an additional 21 such application [dependent]. This is a significant amount of design and tech value added, both for mobility start-up and for a first single product. Market wise, i300 also received its first peer review by the UK's Electroheads. The video was watched over the 3 million times within just seven days after upload.

Zapp 目前已在全球範圍內總共擁有 16 項智慧財產權註冊和專利，另外還有 21 項此類申請[視情況而定]。對於行動新創公司和第一個單一產品來說，這都是大量的設計和技術附加價值。在市場方面，i300 也首次獲得了英國 Electroheads 的同行評審。影片上傳後短短7天內觀看次數就超過300萬次。

Commercially, we entered into a consumer financing partnership with United, a major European consumer finance companies. United will provide a white label link directly into our e-commerce stack. This will give our European customers instant credit offers on a one-stop-shop basis. That is now being closely watched.

商業上，我們與歐洲主要消費金融公司United建立了消費金融合作關係。美聯航將提供直接進入我們電子商務堆疊的白標連結。這將為我們的歐洲客戶提供一站式的即時信貸優惠。現在正在密切關注這一點。

This state of readiness has now resulted in over 200 retail inquiries worldwide. i300 represents a new category of electric two-wheeler. But at the corporate and business levels, we have also innovated. There are several things that differentiates us from other EV companies, both two and four wheelers: first, Zapp was conceived from the beginning to scale as an asset-light business. Our contract manufacturing agreement is with a world-class mature Tier one automotive partner based in China.

這種準備狀態現已引起全球 200 多個零售詢問。 i300代表了電動兩輪車的新類別。但在企業和業務層面，我們也進行了創新。我們與其他電動車公司（包括兩輪和四輪汽車）有幾個不同之處：首先，Zapp 從一開始就被構思為輕資產業務。我們與一家位於中國的世界級成熟的一級汽車合作夥伴簽訂了合約製造協議。

This dovetails with our receivable financing facility from the Export Import Bank of Thailand, also known as EXIM. Both agreements were secured early in our development cycle. Our manufacturing contract has no minimums but can be scaled to hundreds of thousands of units quite quickly, without us having to invest in the CapEx for that fixed assets, which is unlike other EV companies. At the OpEx level, the EXIM credit facility allows our contract manufacturing to scale in direct portion with purchase agreements, which we receive from customers; again, significantly reducing working capital needs.

這與我們從泰國進出口銀行（也稱為 EXIM）獲得的應收融資便利性相吻合。這兩項協議都是在我們開發週期的早期獲得的。我們的製造合約沒有最低限度，但可以很快擴展到數十萬台，而我們無需投資固定資產的資本支出，這與其他電動車公司不同。在營運支出層面，EXIM 信貸便利性使我們的合約製造能夠透過我們從客戶收到的購買協議直接擴大規模；再次，大幅減少營運資金需求。

Next, on the retailing end of the business, we set out to correct consistent flaws in the existing two wheeler purchase and ownership experience: a one-stop shop online user experience, all UX, within which we are able to incorporate up-selling and brand extension opportunities. These include a high plastics configurator that offers a comprehensive set of personalization and financing options. This not only benefits customers, for the upsell opportunity can increase the total value of each purchase, which can all be done directly on the stock. Our UX extends beyond the purchase experience.

接下來，在業務的零售端，我們著手糾正現有兩輪車購買和擁有體驗中的一貫缺陷：一站式在線用戶體驗，所有用戶體驗，其中我們能夠將追加銷售和品牌延伸的機會。其中包括一個高塑膠配置器，可提供一整套個人化和融資選項。這不僅有利於客戶，因為追加銷售機會可以增加每次購買的總價值，而這一切都可以直接在庫存上完成。我們的用戶體驗超越了購買體驗。

It also includes a premium drop ship direct to customer or DSDTC delivery system. That branded and fully equipped vans and trained technicians deliver bikes directly to our customers' locations. Afterwards, the UX extend into ownership: inspection, servicing, repairs are all carried out in the same manner. We'll also be having offline point-of-sale locations, in case potential customers wanted to see an i300, and configure their bikes in person.

它還包括直接向客戶或 DSDTC 交付系統的優質直接運輸。該品牌且設備齊全的貨車和訓練有素的技術人員將自行車直接運送到我們客戶的地點。然後，使用者體驗擴展到所有權：檢查、保養、維修都以相同的方式進行。我們還將設立線下銷售點，以防潛在客戶想要看到 i300 並親自配置他們的自行車。

The first one was opened in Paris. The bike is also used on site there by customers and staff, and ensures a seamless and consistent UX. In today's market for consumer durables, winning the emotional connection by design is key to securing the value purchase decisions, even before the UX can commence. i300's design awards and early feedback gives us a high degree of confidence.

第一家在巴黎開業。這款自行車還供客戶和員工在現場使用，並確保無縫且一致的用戶體驗。在當今的耐用消費品市場中，即使在使用者體驗開始之前，透過設計贏得情感連結是確保價值購買決策的關鍵。 i300的設計獎和早期回饋給了我們高度的信心。

The Z-shaped exoskeleton has the added benefit of giving the i300 and Zapp a design DNA, from which, brand DNA, and ultimately, equity value can be created. The key benefits of i300's new form factor are that it combines the performance of a stepped through, commonly known as a future, with the accessibility of a step over, more commonly known as future. It is therefore, the most fit for purpose for its use case as a premium city bike. Observers, such as Electroheads and others, believe i300 will establish a new category of product. To this, Zapp has led on proprietary technologies, engineering, and production methodologies.

Z 形外骨骼的另一個好處是賦予 i300 和 Zapp 設計 DNA，從中可以創造品牌 DNA，並最終創造股權價值。 i300 新外形的主要優點在於，它將步進式（通常稱為「未來」）的性能與步進式（通常稱為「未來」）的可訪問性結合在一起。因此，它最適合作為高級城市自行車的用途。 Electroheads 等觀察家認為 i300 將建立一個新的產品類別。為此，Zapp 在專有技術、工程和生產方法方面處於領先地位。

These range from the low component, whole vehicle architecture, the virtuous circle of reduced weight, and reduced number of battery cells, curated component sourcing, and a focus on sustainability, including eco cycle and upcycled materials, and simplified assembly processes. These all provide practical and functional customer benefits. For example, the ultra-lightweight battery packs born from our proprietary cell to pack technology, do not require any dedicated charging infrastructure. Our patented exoskeleton improves accessibility, manoeuvrability, and agility from reduced weight and lower center of gravity.

這些措施包括低組件、整車架構、減輕重量和減少電池數量的良性循環、精心策劃的組件採購以及對永續性的關注，包括生態循環和升級回收材料以及簡化的組裝流程。這些都為客戶提供了實用且實用的好處。例如，由我們專有的電池組技術誕生的超輕量電池組不需要任何專用的充電基礎設施。我們專利的外骨骼透過減輕重量和降低重心來提高可及性、機動性和敏捷性。

It also makes it possible for modular under seat storage. As we handle, we price competitively to capture gasoline riders who are either upgrading from lower categories or moving across from larger motorcycles straight to an EV step through. This has become the ubiquitous trend throughout Asia. Here, you can see the value of our low component architecture: Gen2 sustainable materials, simplified assembly process, quality control, and contract manufacturing in action.

它也使得座椅下的模組化儲存成為可能。在我們的經營過程中，我們以具有競爭力的價格來吸引那些從較低類別升級或從大型摩托車直接轉向電動車的汽油騎士。這已成為整個亞洲的普遍趨勢。在這裡，您可以看到我們的低組件架構的價值：Gen2 永續材料、簡化的組裝流程、品質控制和合約製造。

With the drawdown of the $10 million standby equity commitment, which Dave will talk about in more detail later, we have the financial resources to start production and execute the commercial rollout of i300. We expect to commence delivery in Europe in summer. First, bike site designated for our marketing fleet and early customers. On the right, you can see the i300 on display at our first boutique in Paris.

隨著 1000 萬美元備用股權承諾的提取（戴夫稍後將更詳細地討論），我們擁有了開始生產和執行 i300 商業推廣的財務資源。我們預計將於夏季開始在歐洲交付。首先，為我們的行銷車隊和早期客戶指定的自行車場地。在右側，您可以看到我們在巴黎的第一家精品店展出的 i300。

We'll be moving to a high footfall locations to Central Paris by the summer to coincide with our first delivery. The retail and display concepts you see are also a source of differentiation in the two-wheeler space. They are intended to mirror online look and feel, and to provide that seamless UX. Our boutique will be supplemented by pop-ups inside department stores.

我們將在夏季之前搬到巴黎市中心人流量大的地點，以配合我們的首次交付。您所看到的零售和展示概念也是兩輪車領域差異化的來源。它們旨在反映線上外觀和感覺，並提供無縫的用戶體驗。我們的精品店將在百貨公司內增設快閃店。

They, too, will also carry the same brand identity. So what does all that mean for Zapp in 2024? Firstly, a reminder that our fiscal year ended September 30; the summer deliveries would equate to the last fiscal quarter of 2024. We want our initial rollout to create a clear understanding of our brand product and price positionings.

它們也將具有相同的品牌標識。那麼這對 2024 年的 Zapp 又意味著什麼呢？首先，提醒一下我們的財政年度截至 9 月 30 日；夏季交付將相當於 2024 年最後一個財政季度。

After amortization in the EU and parts of Asia, we expect a significant ramp-up in deliveries over the following 15 months. In terms of efficiency, our contract manufacturing agreement, in conjunction with our proprietary four station [Dali] assembly system, means we can roll out production very incrementally. This avoids the potential production line day issues and the costs associated with stopping and restarting and overruns. Production kept closely track demand and can eliminate finished goods inventory and associated costs.

在歐盟和亞洲部分地區進行攤銷後，我們預計未來 15 個月的交付量將大幅增加。在效率方面，我們的合約製造協議與我們專有的四站 [Dali] 組裝系統相結合，意味著我們可以非常增量地推出生產。這避免了潛在的生產線日問題以及與停止、重新啟動和超限相關的成本。生產密切追蹤需求，可以消除成品庫存和相關成本。

They're on today's i300's low component architecture and i300 can come off the Dali system every 30 minutes. To illustrate its modularity, a single five man Dali team in a three eight hour shifts using only 3,000 square feet of space, could complete a run of 50 units per day, for an annualized run rate of 4,000 units. When production needs to expand, teams their Dalis can be added quickly and cheaply. At the other end of the scale, we have a commitment of up to 200,000 square feet of space from our contract manufacturer.

它們採用當今 i300 的低元件架構，並且 i300 每 30 分鐘即可脫離 Dali 系統。為了說明其模組化性，由 5 人組成的 Dali 團隊在 3,000 平方英尺的空間內進行 3 個 8 小時的輪班，每天可以完成 50 台的運行，年運行率為 4,000 台。當需要擴大生產時，團隊可以快速且廉價地添加 Dali。另一方面，我們的合約製造商承諾提供高達 200,000 平方英尺的空間。

This would equate to a potential production capacity of up to 300,000 units per year, with no significant CapEx required from Zapp. EXIM receivable financing would scale up commensurately. Further, our portable battery solution is not dependent on dedicated charging infrastructure. This removes the key scale-limiting factor and significant costs, so we can focus solely on the sale of the vehicles themselves.

這相當於每年高達 30 萬件的潛在產能，且 Zapp 不需要大量資本支出。美國進出口銀行應收帳款融資規模也將隨之擴大。此外，我們的便攜式電池解決方案不依賴專用充電基礎架構。這消除了關鍵的規模限制因素和巨大的成本，因此我們可以只專注於車輛本身的銷售。

First, on the deliveries, we'll confirm the functionality of both our omnichannel e-commerce stack and our DSDTC model. We'll be taking these European experiences and go to market in Asia. In terms of numbers, initial deliveries will be dependent on several variables, including supplier lead times and shipping from Asia to Europe. We aren't giving revenue guidance for fiscal 2024.

首先，在交付方面，我們將確認全通路電子商務堆疊和 DSDTC 模型的功能。我們將把這些歐洲經驗推向亞洲市場。就數量而言，初始交付量將取決於幾個變量，包括供應商的交貨時間和從亞洲到歐洲的運輸。我們不會給出 2024 財年的收入指引。

As a portion of the first bikes are already booked out for testing and sent our its use. Our fiscal year 2025, however, which starts in October 2024 member, we anticipate sales of around 5,000 units. We will be more focused to ensure that long-term value is created by the delivery of our brand and product position into the marketplace. Towards the end of 2025, production should ramp up further, as we roll out across many more countries.

第一批自行車的一部分已經被預訂用於測試並發送給我們使用。然而，從 2024 年 10 月開始的 2025 財年，我們預計銷量約為 5,000 輛。我們將更加專注於確保透過將我們的品牌和產品定位推向市場來創造長期價值。到 2025 年底，隨著我們在更多國家推廣，產量應該會進一步增加。

We expect to finish the year at a significant run rate of 20,000 units, for a revenue of around $170 million on an annualized basis. Also keep in mind, as mentioned, these forecasts are much lower than the production capacity we have available to us, which is 200,000 units by 2025 and 300,000 units by 2026. We would naturally ramp faster if demand for i300's innovative designs and technology are there. In summary, we believe we've taken a well-researched approach from day one.

我們預計今年的出貨量將達到 2 萬台，年收入約 1.7 億美元。另請記住，如前所述，這些預測遠低於我們現有的產能，即到2025 年產能為200,000 輛，到2026 年為300,000 輛。會更快提高產量。總之，我們相信我們從第一天起就採取了經過充分研究的方法。

And now, the start of production is a major tipping point for Zapp. The two-wheeler market is large and expected to grow. Zapp was conceived to maximize shareholder value from this global megatrends. The vote of confidence from Yorkville, with its $10 million standby equity commitment, provides a runway beyond start of production and paves the road to Zapp's launch, commercial rollout in multiple countries.

現在，投產對 Zapp 來說是一個重要的轉捩點。兩輪車市場很大且預計會成長。 Zapp 旨在從這一全球大趨勢中實現股東價值最大化。 Yorkville 的信任投票及其 1000 萬美元的備用股本承諾，為開始生產提供了一條跑道，並為 Zapp 在多個國家的推出和商業推廣鋪平了道路。

We've also raised additional smaller proceeds from the sale of common shares priced at the market today in a separate private transaction. i300 is highly fit for purpose for its use case as a premium city bike. We believe Zapp can scale quickly to cater for rising demand in Europe and key Asian markets, including India. These markets make up about half of all two wheelers sold globally.

我們還在另一項私人交易中透過出售今天市場上定價的普通股籌集了額外的小額收益。 i300 非常適合作為高級城市自行車的用途。我們相信 Zapp 可以快速擴展，以滿足歐洲和包括印度在內的主要亞洲市場不斷增長的需求。這些市場約佔全球兩輪車銷售量的一半。

For further perspective, our committed manufacturing capacity of 300,000 units by 2026 would only represent a share of 0.5% of the 60 million two-wheelers sold worldwide in 2022. With that, I'd like to hand the call over to Dave. Thank you.

從更進一步的角度來看，我們承諾到 2026 年實現 30 萬輛的製造能力，但僅佔 2022 年全球售出 6,000 萬輛兩輪車的 0.5%。謝謝。

Thanks, Swin, and hello, everyone. To start, I'll speak briefly about fiscal 2023. But as you can appreciate, the year was not indicative of what we expect our operating performance to be going forward. The net loss of $222 million in 2023, reflected primarily costs associated with the business combination that was completed in April, which totaled approximately $214 million.

謝謝斯溫，大家好。首先，我將簡要介紹 2023 財年。 2023 年淨虧損為 2.22 億美元，主要反映了與 4 月完成的業務合併相關的成本，總計約 2.14 億美元。

The company generated an operating loss of $7.8 million in 2023, compared to $3.6 million in 2022. While both years included some preproduction, pre-revenue rates and setup costs, the year-on-year increase was due primarily to additional staffing and other costs related to being a public company. There were also additional staff and marketing related expenses, as we prepared for commercial rollout. Much of the business combination charges were noncash in nature, although they remain $18 million of unpaid liabilities.

該公司 2023 年的營運虧損為 780 萬美元，而 2022 年為 360 萬美元。與成為上市公司有關。當我們準備商業推廣時，還有額外的人員和行銷相關費用。大部分企業合併費用本質上是非現金，儘管它們仍然是 1800 萬美元的未付負債。

We agreed with many of the related suppliers to extend the due date for most of these. And given our current delivery timeline, we will seek to amend the payment terms further and address those liabilities, in a way that allows Zapp to execute on its business plan. As Swin has covered already, we are asset-light and don't need significant capital to scale. That said, no one counted on the business combination last year generating negative net proceeds.

我們與許多相關供應商達成一致，延長了其中大部分的到期日。鑑於我們目前的交貨時間表，我們將尋求進一步修改付款條款並解決這些責任，以便 Zapp 能夠執行其業務計劃。正如 Swin 已經介紹過的那樣，我們是輕資產的，不需要大量資本來擴大規模。儘管如此，沒有人指望去年的業務合併會產生負淨收益。

And so, even with the [SIPA] in place, we anticipate needing to raise limited additional capital to provide additional liquidity for commercial rollout beyond our initial target markets, and to normalize our payables position. Turning to the top line results, there was no revenue, as we haven't started production during the fiscal year, which brings me to the transaction we recently announced. We have secured a commitment from the affiliates of Yorkville Advisors to sell them up to $10 million worth of shares. And as Swin as said, we will use these proceeds to start production and the commercial rollout of i300 in Europe.

因此，即使 [SIPA] 到位，我們預計也需要籌集有限的額外資本，為我們最初目標市場之外的商業推廣提供額外的流動性，並使我們的應付帳款狀況正常化。談到營收結果，沒有收入，因為我們在本財年尚未開始生產，這讓我想到了我們最近宣布的交易。我們已獲得 Yorkville Advisors 附屬公司的承諾，將向他們出售價值最多 1,000 萬美元的股票。正如 Swin 所說，我們將利用這些收益來開始生產 i300 並在歐洲進行商業推廣。

Under the SIPA, we expect to receive an advance of $1.5 million. The first $500,000 is available now that we filed our annual report on Form 20F. The additional $1 million will be available to us once the related registration statement has been declared effective by the SEC. The additional commitment of up to $8.5 million provides the financial resources previously unavailable to us to initiate our supply chain and commence recurring production runs.

根據 SIPA，我們預計將收到 150 萬美元的預付款。我們已透過 20F 表格提交了年度報告，現已可獲得第一筆 50 萬美元。一旦 SEC 宣布相關註冊聲明生效，我們將獲得額外的 100 萬美元。高達 850 萬美元的額外承諾為我們提供了以前無法啟動我們的供應鏈並開始定期生產的財務資源。

We will have access to capital as and when it is needed, subject to certain limitations, while retaining sole discretion over the timing of such sales. Using these proceeds to start production also activates our existing receivables credit facility from EXIM, which meets our near term needs for the financing of working capital. Taken together, we look forward to transitioning from a pre-revenue company in 2023 to an in-production company in 2024. As we look to begin generating revenue in fiscal 2024, there are a few more items worth bearing in mind.

我們將在需要時獲得資金，但受到某些限制，同時保留對此類銷售時間的自行決定權。使用這些收益來開始生產還可以啟動我們現有的來自 EXIM 的應收帳款信貸額度，這滿足了我們近期的營運資金融資需求。總而言之，我們期待在 2023 年從一家尚未產生收入的公司轉型為一家生產中的公司。

Our contract manufacturing partnerships, products all over the world and also handles shipping logistics for us, starting with the initial container deliveries by sea from Thailand to Europe. While shipping costs have declined significantly over the last few years, recent geopolitical events have contributed to a doubling in rates over the last several weeks on the route we will use. But even the present container costs work out to be less than $100 per vehicle or less than 2% of our landed costs. Also, while our arrangement with Summit minimizes our spending on capital expenditure, we do expect to make small investments in some additional tooling to take advantage of technical opportunities that have emerged in the last year, which are expected to reduce our overall unit cost.

我們的合約製造合作夥伴，產品遍布世界各地，也為我們處理運輸物流，從最初的貨櫃海運從泰國到歐洲開始。雖然過去幾年運輸成本大幅下降，但最近的地緣政治事件導致我們將使用的航線的運費在過去幾週翻了一番。但即使目前每輛車的貨櫃成本也低於 100 美元，不到我們到岸成本的 2%。此外，雖然我們與 Summit 的安排最大限度地減少了我們的資本支出，但我們確實希望對一些額外的工具進行小額投資，以利用去年出現的技術機會，這有望降低我們的整體單位成本。

In 2023, Zapp implemented strategy to conserve cash, including delaying the launch of paid marketing activities, while we were still pre-revenue. Looking forward, we anticipate normalizing our payables position and marketing and selling costs will increase as we allocate more resources to brand-building to drive the rollout in Europe. We have also kept our footprint and headcount to an absolute minimum during our transition to a public company. However, as we become an in-production company and ramp up customer deliveries, we will need to invest in more people and corporate infrastructure, although our utilization of authorized resellers, franchise DSDTC, and contract manufacturing will keep this required investment, very low compared to traditional two and four wheeler company.

2023 年，Zapp 實施了節省現金的策略，包括推遲付費行銷活動的推出，而我們仍處於未獲利狀態。展望未來，我們預計應付帳款狀況將正常化，隨著我們分配更多資源用於品牌建立以推動在歐洲的推廣，行銷和銷售成本將會增加。在向上市公司轉型期間，我們也將足跡和員工人數保持在絕對最低限度。然而，隨著我們成為一家生產型公司並增加客戶交付量，我們將需要投資更多的人員和企業基礎設施，儘管我們利用授權經銷商、特許經營DSDTC 和合約製造將使這項所需投資保持在非常低的水平。

And, as Swin highlighted previously, our asset-light business model we designed for efficiency in the deployment of capital. We anticipate achieving an industry-leading double digit gross margin from each i300 sold. Putting this together, we believe Zapp is well positioned to achieve positive free cash flow in the near term, as we don't have significant requirements for capital expenditures or working capital seen elsewhere in the sector. And the eventual expansion into Asian markets, including India, is expected to provide the volume that will allow the business to scale rapidly. And I'll now turn the call back to Mark so we can take your questions.

而且，正如 Swin 先前所強調的那樣，我們設計的輕資產商業模式是為了提高資本部署效率。我們預計每售出的 i300 的毛利率將達到業界領先的兩位數。綜上所述，我們認為 Zapp 處於有利位置，可以在短期內實現正的自由現金流，因為我們對該行業其他地方的資本支出或營運資金沒有重大要求。最終擴展到包括印度在內的亞洲市場，預計將提供足夠的銷量，使業務能夠迅速擴大規模。現在我將把電話轉回給馬克，以便我們回答您的問題。

Thank you, Dave. That concludes our prepared remarks for today, so we'll move to Q&A. Sharon, could you please prompt for questions?

謝謝你，戴夫。我們今天準備的演講就到此結束，接下來我們將進入問答環節。莎倫，你能提出問題嗎？

(Operator Instructions) I will now hand the call back to Mr. Kobal to moderate Q&A.

（操作員指示）我現在將把電話轉回給 Kobal 先生以主持問答。

Tate Sullivan, Maxim Group.

泰特·沙利文，馬克西姆集團。

Thank you, and thank you all for having an update call today. And first, can you review your comments on potential unit sales in fiscal year '25? I think you said that was 500,000 of units. But then, can you couple that, what was the comment about $170 million of annualized revenue based on, please?

謝謝大家，也謝謝大家今天打電話更新。首先，您能否回顧一下您對 25 財年潛在銷售的評論？我想你說的是 50 萬單位。但是，您能否補充一下，關於 1.7 億美元年化收入的評論是基於什麼？

Hi, Tate, Swin here. Just to correct you, if I may. We are expecting, in the first year, 5,000 units and in the second year of 20,000 units. And those 20,000 units should equate to a basic vehicle sales revenues of $170 million.

嗨，泰特，這裡是斯溫。如果可以的話，只是為了糾正你。我們預計第一年產量為 5,000 台，第二年產量為 20,000 台。這 20,000 輛汽車相當於 1.7 億美元的基本汽車銷售收入。

Great. Okay, thank you. And then, Dave, when you mentioned normalizing payables, are most of the payables related to contract manufacturer of payables to Summit or supply chain? Can you just provide some details for that balance, please?

偉大的。好的謝謝。然後，Dave，當您提到標準化應付帳款時，大部分應付帳款是否與 Summit 或供應鏈的應付帳款合約製造商相關？您能提供一些有關餘額的詳細資訊嗎？

Sure, Tate, yeah. No, the payables that we need to normalize still relates to the diss back expenses that obviously the ones that we deferred by agreement. We don't have significant obligations to Summit or to anybody like that. That's all that's all taken care of. So, as we said in the 20-F, we'll be starting those discussions to amend and extend in the coming weeks.

當然，泰特，是的。不，我們需要正常化的應付帳款仍然與diss back費用有關，這顯然是我們透過協議推遲的費用。我們對峰會或類似的人沒有重大義務。這就是所有的事情了。因此，正如我們在 20-F 中所說，我們將在未來幾週內開始進行修改和擴展這些討論。

Okay. And the EXIM receivables financing, did you say you can start to use that when you get the orders in the door start to ship? What is the exact timing on that?

好的。還有 EXIM 應收帳款融資，您是否說過當您收到訂單開始出貨時就可以開始使用它？具體時間是什麼時候？

Yeah, the moment we actually start to take orders from customers. So once we're actually in production, and that then kicks in. So we have we are funding the initial production ramp, which we've already done. And once that actually starts moving EXIM, then flywheel starts going.

是的，從我們真正開始接受客戶訂單的那一刻起。因此，一旦我們真正投入生產，一切就會開始。一旦 EXIM 真正開始移動，飛輪就開始轉動。

Okay. And did you mention a last step for the EU certification phase and what is that, specifically?

好的。您是否提到了歐盟認證階段的最後一步？

Thanks, Tate. There's two parts to the homologation process. The first part is to review the vehicle itself. And it's a lot more detail than the US one. And then, the second part is to do an audit of Summit's factory. So on the first part is the most important because it actually physical testing of the vehicle, which is very rigorous and multi pointed.

謝謝，泰特。認證過程分為兩個部分。第一部分是審查車輛本身。而且比美國的詳細很多。然後，第二部分是對Summit工廠進行審核。所以第一部分是最重要的，因為它實際上是對車輛的物理測試，這是非常嚴格和多點的。

Then, the second part is a paperwork process to make sure that all of our goods in, work instructions, engineering change, systems, and good sound and quality control are in place. But clearly Summit is a 70 year old company with a lot of experience in the automotive sector, with clients right across the US and Japan and very well versed at this. So we are in good hands with Summit for sure.

然後，第二部分是文書工作流程，以確保我們所有的貨物、工作指導、工程變更、系統以及良好的聲音和品質控制都到位。但顯然，Summit 是一家擁有 70 年歷史的公司，在汽車領域擁有豐富的經驗，客戶遍布美國和日本，並且非常精通這一領域。所以我們肯定會得到 Summit 的良好幫助。

Okay, and it is the last step in the audit of their factory?

好吧，這是他們工廠審核的最後一步？

Yes, we in the last leg now, indeed.

是的，我們確實已經進入最後一站了。

And then last for me, please, and thank you for taking my question is you mentioned India a couple of times entering, but I think one of your previous press releases maybe said that Thailand could be a market to enter. Did I read that correctly or is an India first?

最後，謝謝您回答我的問題，您多次提到印度要進入，但我認為您之前的新聞稿可能說泰國可能是一個值得進入的市場。我沒看錯，還是印度優先？

You did. The world currently buys about 60 million motorcycles, 17 million of those are sold in India, but more so 2.8 million of those are in our space, which we call the premium space, and they actually make up over 50% of the total sales revenues of motorcycles in India. So India is clearly the biggest country, but Southeast Asia, as we call it ASEAN, is also big. And that we really mean Thailand, Indonesia, Vietnam, and the Philippines. Together, they're not quite as big as India, but the depth of purchase is greater.

你做到了。目前全世界購買了大約 6000 萬輛摩托車，其中 1700 萬輛在印度銷售，但其中 280 萬輛是在我們的領域，我們稱之為高端領域，它們實際上佔總銷售收入的 50% 以上印度的摩托車。因此，印度顯然是最大的國家，但東南亞，我們稱之為東盟，也很大。我們真正指的是泰國、印尼、越南和菲律賓。它們加在一起雖然沒有印度那麼大，但購買深度卻更大。

So between those two regions, you've got not only a big but also a very fast-growing market. So absolutely, the opportunity for two-wheelers is really clear in those markets. And Europe is stable, a big replacement market, so we're not forsaking that. But we will be distributing ourselves and between Europe, India, and ASEAN, and the rest of the markets, we call them Rest of the World, ROW, which will include Chile, Colombia, Brazil, Mexico, Taiwan. These are the next biggest one.

因此，在這兩個地區之間，不僅有一個很大而且成長非常快的市場。因此，兩輪車在這些市場中的機會絕對是顯而易見的。歐洲很穩定，是一個很大的替代市場，所以我們不會放棄這一點。但我們將在歐洲、印度和東協以及其他市場之間進行分銷，我們稱之為世界其他地區，其中包括智利、哥倫比亞、巴西、墨西哥和台灣。這些是下一個最大的。

Thank you very much.

非常感謝。

Thank you.

謝謝。

Poe Fratt, Alliance Global Partners.

Poe Fratt，聯盟全球合作夥伴。

Yeah, good afternoon. I had several questions. First of which, Dave, I think you mentioned that on top of the SIPA raise of [550] that you raised additional capital in a private transaction. Could you just comment on that?

是的，下午好。我有幾個問題。首先，Dave，我想您提到，除了 SIPA 籌集 [550] 之外，您還透過私人交易籌集了額外資金。你能對此發表評論嗎？

Sure, Poe, yeah, that's right. We've raised a few hundred thousand dollars earlier this month in At-The-Market private equity transactions, and we continue to have discussions with people about potential similar issuances at the moment. So that was that was a little under 1.9 million shares that we issued earlier this month.

當然，坡，是的，沒錯。本月早些時候，我們已經在市場私募股權交易中籌集了數十萬美元，目前我們仍在與人們討論潛在的類似發行。也就是說，我們本月稍早發行的股票數量略低於 190 萬股。

Through the SIPA?

透過SIPA？

No, this is an at-the-market private transactions, so the SIPA will be -- it's active now that we filed the 20-F on Monday. We'll be making the initial advance shortly we would expect. And then, the next act comes out of that once the at the F1 that we are preparing is declared effective by the by the by the SEC. So there's nothing from you from Yorkville, yes, that's about to come.

不，這是市場上的私人交易，因此 SIPA 將會 - 我們週一提交了 20-F 後它就處於活躍狀態。我們很快就會取得預期的初步進展。然後，一旦我們正在準備的 F1 法案被 SEC 宣布生效，下一個法案就會出台。所以你沒有從約克維爾收到任何消息，是的，那是即將到來的。

Yeah, and then the 2 million shares that were issued to [swim boards], was that a grant in January or another thing?

是的，然後向[游泳委員會]發行的 200 萬股股票，是一月份的撥款還是其他事情？

That was when exercising some options that he'd have from a long time ago. So that was actually when exercising vested options, (multiple speakers).

那是在行使他很久以前就有的一些選擇權時。所以這其實是在行使既得選擇權時（多個發言者）。

If you could just review the total business combo cards. I mean, I'm getting to like a $19 million number, and it looks like the majority of that is within accounts payable. But then there's like $3.1 million that's in in card debt. Is that correct?

如果您可以查看全部名片組合卡就好了。我的意思是，我越來越喜歡 1900 萬美元的數字，而且看起來其中大部分都在應付帳款中。但還有大約 310 萬美元的信用卡債務。那是對的嗎？

Yeah, no, that is right. Yes, there's about $18 million that's within accounts payable. There are some and some debt like items that are in current debt that we inherited on the merger, some promissory notes that were in this back when we merged with it. So that's the most of the $3.1 million that you reference.

是的，不，沒錯。是的，應付帳款中有大約 1800 萬美元。有一些債務，例如我們在合併時繼承的當前債務中的項目，以及我們與它合併時的一些本票。這是您提到的 310 萬美元中的大部分。

Okay. And then just to clarify, when is that due and, you know, is it doing the annual the first anniversary of the business combo or winners? Or when is all that due?

好的。然後澄清一下，什麼時候到期，你知道，是在舉辦年度商業組合或獲獎者一周年紀念日嗎？或什麼時候到期？

Yes, the terms that we had agreed to with the largest providers around the business combination extended that until just after the anniversary. The business combinations that would be in a couple of months' time. But as we said, we are we are starting conversations to extend that in a mutually agreeable manner in the coming weeks, because, obviously, it's two months comes around quite quickly. So that's front of mind now, for sure.

是的，我們與最大的供應商就業務合併達成的條款將其延長到週年紀念日之後。幾個月後就會發生業務合併。但正如我們所說，我們正在開始對話，以便在未來幾週內以雙方同意的方式延長這一期限，因為顯然，兩個月很快就過去了。所以這肯定是現在最重要的事。

Yeah, agreed. And then just the EXIM receivable financing as they're called, that's like 80% of your BOM or your offer or your production costs?

是的，同意。然後就是所謂的 EXIM 應收帳款融資，相當於您的 BOM、報價或生產成本的 80%？

Yes. No, that's right. So, essentially, it's a revolving facility as we set this. You come with customer orders. Therefore, EXIM will pre-finance 80% of the value of each individual order. And then obviously, before we ship the bike or before we actually deliver the bike of it to the customer, we actually get cash in which then cycles back through to EXIM to repay that the that they've made to Summit and the flywheel continues to turn.

是的。不，沒錯。所以，本質上，正如我們所設置的那樣，它是一個旋轉設施。您帶著客戶訂單前來。因此，EXIM 將預先融資每個訂單價值的 80%。顯然，在我們運送自行車之前或在我們實際將自行車交付給客戶之前，我們實際上會收到現金，然後循環回到 EXIM 以償還他們向 Summit 所做的費用，並且飛輪繼續轉動。

And that the mechanics of that and that scales as we grow. Obviously, it's the purpose of EXIM to encourage local manufacturers, and so it's in their interest to keep that going and as we grow and grow.

隨著我們的成長，其機制也會隨之擴展。顯然，EXIM 的目的是鼓勵當地製造商，因此隨著我們的不斷成長，保持這種勢頭符合他們的利益。

And then, if I look at the just to clarify the numbers, like I understand the 2025 exit rate of production capacity available at the end of 2025, up to 20,000 units, $170 million annualized. The '24 number, is that a 5,000 units run rate at the end of either calendar fiscal '24? And then would you be able to apply the same ASP, so that it would be an annualized run rate of revenues, about $43 million. Is that?

然後，如果我看一下只是為了澄清這些數字，就像我所了解的那樣，到 2025 年底可用產能的 2025 年退出率將達到 20,000 台，年化價值 1.7 億美元。 「24 年」數字是指「24 年」任一日曆財政年度結束時的 5,000 台運行率嗎？然後您是否能夠應用相同的 ASP，因此它的年化收入運行率約為 4300 萬美元。就是它？

Hi, Poe, not quite. We are deliberately trying to start slowly just to make sure everything works, goods in and goods out, shipping, logistics, clearing customs and all of that. And we also, we've only just received the funding. And as Dave said, we're in process on selling a few more shares at these prices. So we're looking to get the system ready.

嗨，坡，不完全是。我們故意慢慢開始，確保一切正常，進出貨物、運輸、物流、清關等等。我們也剛收到資金。正如戴夫所說，我們正在以這些價格出售更多股票。因此，我們正在努力讓系統做好準備。

And David, our Chief Commercial Officer, who's here with us today, also needs some lead time to execute some of the relationships and some of the points of sales that we need to give us that customer facing channel to bring in the orders. So we are looking to get to answer your question rather in a roundabout way, we're looking to get to a monthly revenue of about equivalent to about 1,500 to 2000 bikes a month towards the end to the last quarter of 2025.

今天和我們在一起的首席商務官 David 也需要一些準備時間來執行一些關係和一些銷售點，以便為我們提供面向客戶的管道來帶來訂單。因此，我們希望以一種迂迴的方式回答您的問題，我們希望在 2025 年最後一個季度末達到每月約 1,500 至 2000 輛自行車的月收入。

So 2026, we're going to see it continue to grow. But in the last quarter of 2024 and a big chunk of 2025, that the volumes will still be in the one hundreds per month, as we sort of self-check everything and make sure that everything works properly.

因此，到 2026 年，我們將看到它繼續成長。但在 2024 年最後一個季度和 2025 年的大部分時間裡，數量仍將保持在每月 100 份，因為我們會自我檢查一切並確保一切正常運作。

Great. Okay, so really to test the production. Okay, that's helpful. The real revenue ramp would be that 2025 and that leads to my next question. Dave, on what's your current cost structure look like. I know that you haven't reported the December quarter, but can you give me an idea of what your either monthly or quarterly burn rate is right now?

偉大的。好吧，真的要測試生產了。好的，這很有幫助。真正的收入成長將是 2025 年，這引出了我的下一個問題。戴夫，請問您目前的成本結構是什麼樣的。我知道您還沒有報告 12 月所在季度的情況，但是您能否告訴我您現在的月度或季度燒錢率是多少？

Yes, well, obviously, we're still pre-revenue, preproduction, premarket launch. So we're very slim at the moment. I think we said we incurred an operating loss of $7.8 million for last year. And that includes the cost of being a public company, so our monthly run rate in cash terms is going to be sort of $500-ish months at this stage we're in at the moment, and that will increase when we actually start to incur marketing and selling and more public company costs. So you'd be getting nearer towards $1 million a month by month to collateral that sort of stuff in.

是的，顯然，我們仍處於預收入、預生產、預上市階段。所以我們現在很苗條。我想我們說過去年我們的營業虧損是 780 萬美元。這包括成為一家上市公司的成本，所以我們目前所處的階段，以現金計算的每月運行費用將約為 500 美元左右，當我們真正開始承擔費用時，這一數字將會增加。以及更多的上市公司成本。所以你每個月都會接近 100 萬美元來抵押這類東西。

But I think what I would draw back to is we said our expectation once we start shipping bikes from and from the beginning when we start shipping bikes is we're looking to expect the margins we set up double digits, but actually margins towards the high teens on an incremental basis from almost from day one based on the selling prices that we're going to be targeting and the current bond, the current bond that we have and the bundle to the and it goes down as it as the volumes increase because you get economies of scale and better purchasing power. So we can expect double-digit margins on a gross level. Pretty much from day one.

但我想我想說的是，我們說過，一旦我們開始運輸自行車，我們的期望是，我們期望我們設定的利潤率達到兩位數，但實際上利潤率很高幾乎從第一天開始，基於我們將要瞄準的銷售價格和當前債券，我們擁有的當前債券和捆綁包，它就會隨著數量的增加而下降，因為您可以獲得規模經濟和更好的購買力。因此，我們可以預期毛利率將達到兩位數。從第一天開始就差不多了。

Dave, if I might give Poe a little bit of perspective on how on our economy, if Dave is correct, and our burn rate increases $2 million a month, based on the gross margins we're expecting we would only need to sell a few hundred bikes. The gross margins of those sales will take care of that burn rate quite quickly. So we are not a company that needs a serious sales numbers, serious utilization achievements to get pasta to get past them and that burn rate at the OpEx level.

戴夫，如果我可以給坡一點關於我們經濟的看法，如果戴夫是正確的，我們的燒錢率每月增加 200 萬美元，根據我們預期的毛利率，我們只需要出售一些一百輛自行車。這些銷售的毛利率將很快解決燒錢率。因此，我們不是一家需要大量銷售數據、大量利用成果才能超越這些目標以及營運支出水準燃燒率的公司。

Okay. And did I hear correctly that your landed cost, your shipping costs would be about $100 per vehicle per motorcycle for two wheeler and that would be at 2%. So your landed vehicle or your landed costs would be in the $5,000 range?

好的。我沒聽錯的話，您的到岸成本、兩輪摩托車每輛摩托車的運輸成本約為 100 美元，稅率為 2%。那麼您的到岸車輛或到岸成本將在 5,000 美元範圍內？

I'm sorry, Poe, it's Swin. Let me just start over. One of our sustainability commitments is reducing our shipping overheads, so we've actually created proprietary technologies there as well. And we're able to pack 48 bikes into a 40 foot container. So therefore, including the metal frames that are used to rack up four bikes per set, times 12 sets equals one container. Plus added less than $100. So yes, it's less than less than 2% and depending how you calculate it.

對不起，波，我是斯溫。讓我重新開始吧。我們的永續發展承諾之一是減少運輸費用，因此我們實際上也在那裡創建了專有技術。我們能夠將 48 輛自行車裝入 40 英尺的貨櫃中。因此，包括用於每組放置四輛自行車的金屬框架，乘以 12 組等於一個貨櫃。加起來還不到100美元。所以是的，它不到 2%，這取決於你如何計算。

But the landed cost should be in the $5,000-ish range. So I'm putting words in your mouth here and you know, with our retail prices take 20% sales tax in Europe away from that, 10% import duty, and you can see that right from bike number one, we're into positive margin. Clearly, we won't be cash flow positive immediately, of course, not we're at least being gross margin positive immediately.

但到岸成本應該在 5,000 美元左右。所以我在這裡把話放在你嘴裡，你知道，我們的零售價格在歐洲扣除了20% 的銷售稅，10% 的進口稅，你可以從第一輛自行車上看到，我們正在積極地進行利潤。顯然，我們的現金流不會立即為正，當然，至少毛利率不會立即為正。

That's very helpful, Swin. And then, Dave, I sent you e-mail, but you kept them. Did you refer to a presentation that you were following? If so, would you please send that out?

這非常有幫助，斯溫。然後，戴夫，我給你發了電子郵件，但你保留了它們。您是否提到了您正在關注的簡報？如果是的話，請您把它發出來好嗎？

Yes. There's an earnings call deck. That's the webcast can see. So we will get that circulated, yes.

是的。有一個收益電話會議。這是網路直播可以看到的。所以我們會將其分發出去，是的。

Yeah, sorry, I didn't see that because I'm not on the webcast. Okay, great. Thank you so much. Congratulations for getting the funding

是的，抱歉，我沒有看到，因為我不在網路廣播中。好的，太好了。太感謝了。恭喜獲得資金

Thanks, Poe.

謝謝，波。

Pavel Molchanov, Raymond James.

帕維爾·莫爾恰諾夫，雷蒙德·詹姆斯。

Yes, thanks for taking the question. I think it was last September, you guys announced the United financing deal in the European market. One thing we've been hearing more and more about, Europe is a flood of Chinese EVs, mostly that refers to passenger cars, but I'm curious if the same sort of competitive pressure it is coming in the motorcycle segment as well?

是的，感謝您提出問題。我想是去年九月，你們在歐洲市場宣布了曼聯的融資協議。我們越來越常聽到一件事，歐洲大量湧入中國電動車，其中大部分是乘用車，但我很好奇摩托車領域是否也會面臨同樣的競爭壓力？

Thanks, Pavel. It isn't, and I think if I did read it wrong, the European Union is now trying to implement some kind of upstream tariff system where it wants to see the provenance of battery cells that are in cars that has not applied to motorcycles yet. Actually, electric two wheelers, particularly scooters, or step throughs as I define it as the industry defines it, they arrived before we did. And but they were cheap and commensurately, not that great quality of performance and they retrench and what's happened in Europe now is very exciting for us, in that, to give you some context there, BMW launched on a pretty top of the range commuter product and it sells for about EUR14,000, which is very close to the price they sell that top of the range, gasoline super bikes, and yet it proved to be a bestseller.

謝謝，帕維爾。事實並非如此，我想如果我沒讀錯的話，歐盟現在正在嘗試實施某種上游關稅制度，它希望了解尚未應用於摩托車的汽車電池的來源。實際上，電動兩輪車，特別是踏板車，或者按照我對它的定義以及行業的定義，它們在我們之前就已經出現了。但它們很便宜，而且性能品質也不是很好，而且它們還緊縮開支，現在歐洲發生的事情對我們來說非常令人興奮，為了給你一些背景信息，寶馬推出了一款相當頂級的通勤產品它的售價約為14,000 歐元，非常接近頂級汽油超級自行車的售價，但事實證明它是暢銷書。

They sold over 2,400 of those in 2022 just in France. Now, you've got to remember that i300 is no slower, has bigger storage, much more manoeuvrable. We think it's a great product, but we're going into the market at EUR8,000 something euros. So we're going to be nearly 50% cheaper than them for the same kind of product. And right now, 50% of the value, for example in France, is that one product. And 75% of the value of the two wheeler Electric in France is just two products. CEO for BMW and Fiat, which is part of the Volkswagen Group, they have a little thing called MO, which is the same price as ours.

2022 年，他們僅在法國就售出了 2,400 多輛。現在，您必須記住，i300 並不慢，但具有更大的儲存空間，並且更易於操作。我們認為這是一個很棒的產品，但我們以 8,000 歐元左右的價格進入市場。所以同種產品我們會比他們便宜近50%。目前，例如在法國，50% 的價值就是這種產品。法國兩輪電動車價值的 75% 只是兩種產品。寶馬和菲亞特的首席執行官，隸屬於大眾集團，他們有一個小東西叫MO，和我們的價格一樣。

And so yes, the market is still there to be had very much. COVID kind of put paid to a lot of the tool room companies. And so the real industrial companies today are Zapp and they acquired a company like ours, and BMW, and the Chinese have gone away because the Europeans, as I mentioned, moved by the sort of baseline, what we call standard segment products, which cost between EUR2,000 and EUR4,000, EUR5,000. It's too basic for them.

所以，是的，市場仍然存在著很大的潛力。新冠疫情讓許多工具室公司受益匪淺。因此，今天真正的工業公司是Zapp，他們收購了像我們這樣的公司，還有寶馬，而中國人已經離開了，因為正如我所提到的，歐洲人受到了某種基線的影響，我們稱之為為標準細分產品，其成本2,000 歐元至 4,000 歐元、5,000 歐元之間。這對他們來說太基本了。

Okay, interesting. One other thing we have been watching is the kind of meltdown in the cost of lithium-ion batteries. I mean, even compare to a year ago to say nothing of pre COVID and for the price point that you are sort of aiming for, are you seeing potential savings compared to maybe the economics that you had been kind of originally envisioning in your cost of goods?

好吧，有趣。我們一直在關注的另一件事是鋰離子電池成本的急劇下降。我的意思是，即使與一年前相比，更不用說新冠疫情之前的情況了，就您的目標價格點而言，與您最初設想的成本成本相比，您是否看到了潛在的節省？商品？

You'll be surprised when I tell you not so much, but we designed that in. Our counsel may not want me to say that, but I personally claim that we've the least number of battery sales per vehicle and per mile travel. I can't prove that. But suffice to say that we use very few battery cells and battery packs, which are cell to pack, are unique and therefore represent less than 10% of the value and some of our bond.

當我告訴你的不是那麼多時，你會感到驚訝，但我們設計了這一點。我無法證明這一點。但可以說的是，我們使用的電池芯和電池組非常少，而且電池組是獨一無二的，因此只代表了不到 10% 的價值和我們的部分債券。

And therefore, the battery cells themselves are less than half that. So actually where both sell agnostic and not at all sensitive to the value or the price rather of lithium ion and battery cells.

因此，電池本身的重量還不到一半。因此，實際上，兩者的銷售都是不可知論的，對鋰離子和電池的價值或價格根本不敏感。

Got it. Perfect. That's it for me. Thank you.

知道了。完美的。對我來說就是這樣。謝謝。

Okay, thank you. It looks like we have no further questions. So thank you, everyone, for joining us today. Please remember, you can keep up-to-date and follow ups progress through the investor portal on our website zappev.com. You can also subscribe there to receive e-mail alerts. We are happy to receive your questions and feedback and please also be sure to follow our social media channels through the links provided. Thank you again for joining us on the call and have a great rest of your day.

好的謝謝。看來我們沒有其他問題了。謝謝大家今天加入我們。請記住，您可以透過我們網站 zappev.com 上的投資者入口網站了解最新情況並跟進進展。您也可以在那裡訂閱以接收電子郵件提醒。我們很高興收到您的問題和回饋，也請務必透過提供的連結關注我們的社群媒體管道。再次感謝您接受我們的通話，並祝您有個愉快的一天。