ElectraMeccanica Vehicles Corp (NASDAQ:SOLO) finished a milestone quarter that saw it deliver the first shipment of its SOLO electric vehicle in the US with over C$101 million in cash, according to its 3Q financial results released Tuesday.
The firm saw a slight revenue bump from the production of more custom-built roadsters, which resulted in total revenue of C$300,000 compared to C$200,000 in the same period a year prior.
Vancouver-based ElectraMeccanica also expanded its SOLO retail footprint into six more upscale shopping centers in the southwestern US, in cities particularly amenable to electric vehicles.
READ: ElectraMeccanica says the first SOLO electric cars arrive in US; six retail locations to open by Thanksgiving
CEO Paul Rivera said the quarter saw the company hit a number of milestones highlighted by the start of SOLO production.
“Beginning last month we started shipping the first production SOLOs and have already been putting them to use in high-value commercial activities including marketing, retail distribution, test drives and fleet demonstrations,” Rivera told shareholders in a statement.
“Over the next few weeks, we will be dramatically expanding our sales efforts by opening an additional six locations throughout the western US, bringing the ‘Drive SOLO’ movement to an even greater retail audience just in time for the holidays.”
Rivera added that the group expects to finalize a decision on a manufacturing partner later this month ahead of making its first customer deliveries early next year.
ElectraMeccanica’s net loss came in at C$14.9 million compared to C$5.3 million during the three-month period to end September 30, 2020. The increase in net loss was primarily due to a revaluation of the firm’s warrant derivative liability, the company said.
'Strongest finanical position'
ElectraMeccanica CFO Bal Bhullar hailed the firm’s financial strength going into production ramp up.
“With our anticipated production ramp over the coming quarters and future plans for a US facility buildout, we have created a financial pathway to execute on our immediate and longer-term goals and objectives,” Bhullar said in a statement.
“While we are in the most financially secure position in our company’s history, our focus remains on managing our resources effectively and efficiently to maximize results and output for our business and generate greater value for our shareholders over time.”
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