Microvast (NASDAQ:MVST) Posts Earnings Results, Misses Expectations By $0.09 EPS

Microvast (NASDAQ:MVST) issued its quarterly earnings results on Monday. The company reported ($0.04) earnings per share for the quarter, missing analysts’ consensus estimates of $0.05 by ($0.09), Zacks reports. Microvast had a positive return on equity of 2.51% and a negative net margin of 6.83%.

Here are the key takeaways from Microvast’s conference call:

• Q1 revenue was $60.6 million, a 48% year‑over‑year decline driven by lower shipment volumes (536 MWh to ~274 MWh); the company reported an adjusted net loss of $14.6 million and negative adjusted EBITDA of $5.5 million.
• Gross margin remained relatively resilient at 31.6% despite lower utilization, though management cautioned margins face near‑term pressure from Phase 3.2 ramp costs, raw material inflation, and tariffs.
• The Huzhou Phase 3.2 expansion is progressing (trial production completed on the 55 Ah electrode) with SOP expected in 2026 and up to ~2 GWh of incremental annual capacity, a key growth catalyst that will incur ramp expenses.
• Microvast announced a new 290 Ah LFP pack and CAF integrated electric powertrain targeting the U.S. school‑bus market (including a nitrogen purge safety system) aimed at reducing total cost of ownership and accelerating adoption.
• Liquidity finished the quarter at $174 million after $22.8 million of operating cash use and $29.3 million of financing proceeds, but further U.S. plant construction depends on additional financing and partnerships.

Microvast Price Performance

Shares of NASDAQ MVST traded down $0.11 during midday trading on Monday, reaching $2.02. The company’s stock had a trading volume of 11,947,413 shares, compared to its average volume of 3,977,699. The company has a current ratio of 0.92, a quick ratio of 0.74 and a debt-to-equity ratio of 0.13. The company has a 50 day moving average price of $1.85 and a 200 day moving average price of $2.88. Microvast has a one year low of $1.37 and a one year high of $7.12. The company has a market cap of $670.70 million, a price-to-earnings ratio of -8.78 and a beta of 3.60.

Analysts Set New Price Targets

A number of analysts have recently weighed in on the stock. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Microvast in a research note on Friday, March 27th. Zacks Research downgraded shares of Microvast from a “hold” rating to a “strong sell” rating in a report on Thursday, March 19th. Finally, Wall Street Zen downgraded shares of Microvast from a “buy” rating to a “hold” rating in a report on Saturday, March 21st. Two equities research analysts have rated the stock with a Sell rating, According to MarketBeat, the company currently has a consensus rating of “Sell”.

Institutional Investors Weigh In On Microvast

A number of large investors have recently made changes to their positions in the company. Hsbc Holdings PLC raised its holdings in shares of Microvast by 106.9% during the fourth quarter. Hsbc Holdings PLC now owns 31,913 shares of the company’s stock valued at $89,000 after acquiring an additional 16,489 shares during the period. Virtu Financial LLC acquired a new stake in shares of Microvast during the fourth quarter valued at approximately $448,000. XTX Topco Ltd raised its holdings in shares of Microvast by 189.3% during the fourth quarter. XTX Topco Ltd now owns 362,574 shares of the company’s stock valued at $1,015,000 after acquiring an additional 237,238 shares during the period. Voloridge Investment Management LLC acquired a new stake in shares of Microvast during the fourth quarter valued at approximately $479,000. Finally, Tudor Investment Corp ET AL acquired a new position in Microvast in the 4th quarter valued at approximately $2,189,000. Institutional investors and hedge funds own 20.72% of the company’s stock.

About Microvast

Microvast Holdings, Inc, traded on NASDAQ under the symbol MVST, is a global provider of advanced lithium-ion battery solutions for transportation and stationary energy storage applications. The company designs, develops and manufactures a range of battery cells, modules and packs tailored to electric buses, commercial vehicles, passenger cars and grid storage systems. Its technology emphasizes fast charging, long cycle life and high energy density to meet stringent performance requirements in demanding operating environments.

Founded in 2006, Microvast has established a vertically integrated platform that spans research and development, pilot production and full-scale manufacturing.