Mullen Automotive Cuts Down Losses As It Barrels Towards Production Target
Mullen Automotive (NASDAQ: MULN) reported its fiscal Q2 2023 financials last night, ending the quarter with $106.9 million in net losses. This is a cut from fiscal Q2 2022’s net loss of $357.3 million.
The automaker actually doubled its operating expenses to $67.9 million from last year’s $30.5 million. But absent of the derivative liabilities first recognized in the year-ago period, the firm was able to drive down its losses, ending with a $1.30 loss per share.
For the six months ended March 31, 2023, cash burn from operating activities totalled $67.6 million, with cash outflows from investing totalling $97.4 million, partially offset by cash inflows from financing activities totaling $167.4 million.
At the end of the quarter, the company had about $86.3 million in cash available for operations and investment. This brings the total current assets to $98.9 million while current liabilities ended at $121.5 million.
“We are pleased with the accomplishments and progress made during our fiscal second quarter of 2023,” said CEO David Michery. “Mullen remains committed to delivering innovative and sustainable transportation solutions to our customers, and these achievements reflect our dedication to advancing the EV industry and driving meaningful growth for our company.”
The financials follow the company’s 1-for-25 reverse stock split of its ordinary stock, which was put into effect on May 4.
The company touted that it has received $279 million in purchase orders for Mullen Class 1 and Class 3 EV vans and trucks from Randy Marion Automotive Group, coming from an earlier report by the firm over $263 million in outstanding purchase orders earlier this month.
The firm still targets the production line for Class 3 in its Tunica, Mississippi assembly facility to become operational in July 2023, with anticipated deliveries and revenue from the Class 3 truck in August and September 2023.
Mullen Automotive last traded at $1.18 on the Nasdaq.
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