Microvast Holdings Inc (NASDAQ:MVST), a global leader in advanced battery technologies, stock rallies 29.06% (As on April 1, 11:28:43 AM UTC-4, Source: Google Finance) after the company reported strong financial results for the fourth quarter of 2024, with record annual revenue of $380 million, marking a 24% increase year-over-year. In APAC, the company is underway with the Huzhou Phase 3.2 expansion and anticipate to have this additional capacity online in the fourth quarter of 2025 to meet increasing customer demand as the company prioritize uncovering new opportunities and market segments. The backlog has grown to $401.3 million as regional demand for the technology continues to rapidly grow. In fiscal 2024, Capital expenditures of $49.9 million, compared to $186.8 million in 2023, and were driven by investments in manufacturing capacity expansions in Huzhou, China. cash, cash equivalents, restricted cash and short-term investment of $109.6 million as of December 31, 2024, compared to $93.8 million as of December 31, 2023. The company launched the ME6 energy storage system and made progress in silicon-based and all-solid-state battery technologies, emphasizing innovation as a key growth driver.

MVST in the fourth quarter of FY24 has reported record quarterly revenue of $113.4 million, compared to $104.6 million in the fourth quarter of 2023, an increase of 8.4%. Gross margin increased to 36.6% from 22.0% in Q4 2023; Non-GAAP adjusted gross margin increased to 36.7%, up from 23.5% in Q4 2023. The company generated $2.8 million cash from operations due to operational efficiency gains and non-cash adjustments. Operating expenses of $43.2 million, compared to $46.0 million in Q4 2023; Non-GAAP adjusted operating expenses of $42.8 million, compared to $34.3 million in Q4 2023. Net loss of $82.3 million, compared to net loss of $24.6 million in Q4 2023; Non-GAAP adjusted net loss of $0.6 million, compared to non-GAAP adjusted net loss of $11.4 million in Q4 2023. Adjusted EBITDA of $8.6 million, compared to adjusted EBITDA of negative $2.6 million in Q4 2023.

The company projected revenue for 2025 to grow by 18%-25%, ranging between $450 million and $475 million. He emphasized maintaining a 30% gross margin target. The company plans to prioritize growth in the EMEA region, with continued strategic partnerships and product innovations to meet rising customer demand. Expansion in the U.S. market is expected, backed by early adoption of battery systems by commercial vehicle OEMs. The company is targeting Huzhou Phase 3.2 production in Q4 2025