Zapp Electric Vehicles Group (ZAPP) H1 2024 earnings summary

Executive summary

• Reported financial results for the six months ended March 31, 2024, with a focus on the upcoming commercial rollout of the i300 electric motorcycle in India, Southeast Asia, Europe, and Thailand.

• First customer deliveries of the i300 are expected in summer 2024, with accelerated expansion plans in key Asian markets.

• Raised business outlook, projecting over 5,000 unit sales in fiscal 2025 and a run-rate exceeding 25,000 units per year by fiscal 2026.

Financial highlights

• IFRS net loss of $5.0 million for the six months ended March 31, 2024, compared to $8.6 million in the same period in 2023.

• Operating loss of $3.1 million, down from $3.9 million year-over-year.

• Net loss included a $2.0 million non-cash charge related to revaluation and termination of financial instruments from the 2023 business combination.

• Net cash used in operating activities was $1.5 million, a significant improvement from $3.6 million in the prior year period.

• Cash and cash equivalents at March 31, 2024, totaled $485,000, down from $1.47 million at September 30, 2023.

Outlook and guidance

• First i300 customer deliveries expected in fiscal Q4 2024.

• Anticipates selling more than 5,000 units in fiscal year ending September 30, 2025, with sales weighted toward the second half.

• Expects to achieve a run-rate of over 25,000 units per year at the start of fiscal 2026.