CBAK Energy Technology Inc (NASDAQ:CBAT) reported a fourth-quarter FY23 revenue increase of 3.2% Y/Y to $56.2 million.
Revenues benefitted from the battery business, partially offset by a decrease in sales from Hitrans, which was affected by the slowdown in the raw materials market.
Battery business revenues rose 30.9% Y/Y to $36.8 million, owing to an increase of 84.3% Y/Y from revenues from residential energy supply & uninterruptible supplies.
However, net revenues from batteries used in light electric vehicles declined 69.5% Y/Y.
Gross profit increased significantly to $12.7 million from $3.8 million a year ago. The gross margin stood at 22.6%, vs. 7.0% a year ago.
Net loss attributable to shareholders of CBAK Energy,(after deducting the change in fair value of warrants, was $(4.8) million, compared to a net loss of $(11.7) million in the same period of 2022, mainly due to the weaker performance of Hitrans.
As of December 31, 2023, cash and cash equivalents stood at $4.6 million.
Jiewei Li, CFO and Secretary of the Board, said, "As of December 31, 2023, our Dalian and Nanjing lithium production facilities had no outstanding secured bank loans. We believe that our solid fundamentals will continue to serve as a strong foundation for our business. Looking ahead to 2024, we are confident in our growth trajectory and project another year of net income for our battery business. We will share detailed net income guidance at an appropriate time."
Price Action: CBAT shares are trading lower by 1.74% at $1.15 on the last check Friday.
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