Polestar Automotive Holding posted one other working loss within the second quarter as the electrical automobile maker struggled with software program delays and intensifying competitors.
Whereas income surged within the U.Okay. and Sweden, it declined in key markets together with the U.S. and China throughout the three months via June, the EV maker stated Thursday. Polestar, owned by Volvo Automobile and Chinese language billionaire Li Shufu’s non-public funding firm, posted a $304 million internet loss.
EV makers all through Europe are struggling to achieve market share amid intense competitors from Tesla and Chinese language producers promoting battery-powered automobiles at considerably decrease costs.
Polestar’s outcomes present ongoing woes on the firm, which has solely seen losses since its itemizing final yr, pushing its inventory down about 65 p.c. Some shareholders are suing the architects of the itemizing, saying they had been misled in regards to the firm’s worth.
Polestar delivered 15,765 automobiles throughout the second quarter — 36 p.c greater than the identical interval final yr — and stored in place its Could forecast that it’ll ship as many as 70,000 automobiles this yr. The corporate is predicted to ramp up volumes within the second half of the yr, with Polestar 4 crossover manufacturing slated to start in November.
Given the weak point in world markets, Polestar’s affirmation of its earlier steerage on deliveries and a 4 p.c gross margin for the total yr is a “very robust sign,” CEO Thomas Ingenlath stated in an interview. “It’s actually not an atmosphere the place shoppers are that simple to persuade that they need to purchase a brand new automobile.”
Polestar reiterated that it might want to elevate extra funds — presumably by issuing new shares or bonds — to assist operations and make sure the firm’s solvency. The corporate has repeatedly stated there’s “substantial doubt” about its means to take action.
“We’ve stated all alongside that via the actions we’ve taken, we’re funded via the tip of this yr,” stated CFO Johan Malmqvist. “We’re not guiding past that, apart from simply mentioning that we’re working actively on it along with the 2 shareholders.”