CHANGZHOU, China, Jan. 27, 2022 /PRNewswire/ -- EZGO
Technologies Ltd. (Nasdaq: EZGO) ("EZGO" or "we", "our", or
"the Company"), a leading short-distance transportation
solutions provider in China, today announced its audited
financial results for the fiscal year ended September 30, 2021 ("Fiscal Year
2021").
Fiscal Year 2021 Financial Highlights (all results
compared to the prior fiscal year unless otherwise
noted)
- Revenues were $23.4
million, an increase of 53.7%
- Net loss was $3.4 million,
compared to net income of $0.3
million, primarily as a result of increased cost of revenues
and operating expenses associated with new hires and marketing
- Cash and cash equivalents of approximately $4.8 million at September
30, 2021
Management Commentary
Mr. Jianhui Ye, Chief Executive
Officer of EZGO, stated, "We are pleased with the progress we have
made during Fiscal Year 2021, which was a major turning point in
our Company's development. We became a public company following our
IPO in the first half of the fiscal year and made great strides
with our new business focus—manufacturing and sales of two- and
three-wheeled electric vehicles. We reported solid year-over-year
top line growth of 53.7% due to the increased sales of our
e-bicycles, which we attribute to our ongoing development and
launch of high-quality products, all of which was possible with the
help of our growing sales and support team. As we have continued to
invest in our products and people to support EZGO's long-term
growth, our bottom line for Fiscal Year 2021 was impacted. We
anticipate that these investments will enable us to realize
economies of scale in our business over time."
Mr. Ye concluded, "Demand for our e-bicycles remains strong, and
we are working to increase the production capacity at our current
facilities to up to 200,000 units of our e-bicycles in the next
couple of months. Last November, we were excited to announce the
launch of our new EZGO branded products, along with the release of
seven new independent innovation models. Of these new models, the
four ultra-high-speed electric motorcycles are anticipated to be
marketed primarily in American, European and other markets. We
believe our commitment to ongoing innovation and quality, as well
as our expanded marketing efforts, will lead to increased brand
awareness and sales of our e-bicycles in Fiscal Year 2022 and
beyond."
Fiscal Year 2021 Financial Review
Net Revenues
Net revenues from continuing operations for the fiscal year
ended September 30, 2021,
were approximately $23.4 million, a 53.7% increase
from approximately $15.2 million for the prior
fiscal year. The significant increase in revenues were mainly
driven by the increase of sales of e-bicycles, which was a result
of reduced unit prices and increased advertising.
The following table identifies revenue from continuing
operations and reportable segments for the fiscal years ended
September 30, 2021 and 2020:
|
|
|
|
For the
fiscal year ended September
30,
|
|
|
Change
|
|
|
|
Segment
|
|
2021
|
|
|
%
|
|
|
2020
|
|
|
%
|
|
|
Amount
|
|
|
%
|
|
Sales of
e-bicycles
|
|
E-bicycle sales
segment
|
|
$
|
18,232,537
|
|
|
|
77.9
|
|
|
$
|
11,165,290
|
|
|
|
73.2
|
|
|
$
|
7,067,247
|
|
|
|
63.3
|
|
Sales of batteries
and
battery
packs
|
|
Battery cells and
packs segment
|
|
|
4,288,366
|
|
|
|
18.3
|
|
|
|
3,148,156
|
|
|
|
20.7
|
|
|
|
1,140,210
|
|
|
|
36.2
|
|
Others
|
|
|
|
|
901,103
|
|
|
|
3.8
|
|
|
|
929,836
|
|
|
|
6.1
|
|
|
|
(28,733)
|
|
|
|
(3.1)
|
|
Net
revenues
|
|
|
|
$
|
23,422,006
|
|
|
|
100.0
|
|
|
$
|
15,243,282
|
|
|
|
100.0
|
|
|
$
|
8,178,724
|
|
|
|
53.7
|
|
The e-bicycles sales segment mainly engages in offline sales of
e-bicycles. For the fiscal year ended September 30, 2021, revenues from sales of
e-bicycles were $18.2 million, a 63.3% increase from the prior
fiscal year, mainly due to the continued development
and launch of new products, rapid growth in the
Company's offline e-bicycles sales market, and the
mitigated impact of COVID-19 since the second quarter of 2020.
Revenue from battery cells and packs segment for the fiscal year
ended September 30, 2021, were
$4.3 million, a 36.2% increase from
$3.1 million in the prior fiscal
year, as a result of increased demand from
long-term customers.
Cost of Revenues
Cost of revenues for the fiscal year ended September 30, 2021, were $23.0 million, an increase of 68.1% from
$13.7 million for the prior fiscal
year. The increase was primarily due to increased manufacturing and
purchase costs of e-bicycles, increased purchase costs of battery
packs, and increased costs associated with sales rebates the
Company provided to distributors and wholesalers.
Gross Profit
Gross profit for the fiscal year ended September 30, 2021, was $0.4 million, compared to $1.5 million in the prior fiscal year.
Selling and Marketing Expenses
EZGO's selling and marketing expenses primarily consist of
salaries and benefits expense, advertising expense, and
freight expense. Selling and marketing expenses increased to
$1.6 million for the fiscal year
ended September 30, 2021, from
$0.4 million for the prior fiscal
year, primarily due to expenses related to the hiring of additional
salespersons and marketing costs to promote sales of the
Company's e-bicycles during the period.
General and Administrative Expenses
General and administrative expenses increased to $2.7 million for the fiscal year ended
September 30, 2021, from $1.1 million from the prior fiscal year. The
increase was mainly due to increased expenses related to operating
as a public company, as well as additional consulting, research and
development and salary expenses.
Income Tax Benefit (Expense)
Income tax benefit was approximately $0.4 million for the
fiscal year ended September 30,2021,
compared to income tax expense of approximately $0.1
million for the prior fiscal year. The income tax benefit was
recognized due to the net loss recorded for Fiscal Year 2021, which
was partially offset by the deferred tax asset valuation
allowance.
Net Income (Loss)
Net loss was $3.4 million for
the fiscal year ended September 30,
2021, compared to net income of $0.3
million for the prior fiscal year. The net loss was
primarily a result of the aforementioned increased cost of revenues
and increased selling and marketing and general and administrative
expenses.
For additional information, please see EZGO's Annual Report on
Form 20-F for the fiscal year ended September 30, 2021, which was filed with the U.S.
Securities and Exchange Commission on January 27, 2022.
About EZGO Technologies Ltd.
Leveraging an Internet of Things (IoT) product and service
platform and three E-bicycle brands, "EZGO", "Dilang" and
"Cenbird", EZGO has established a business model centered on the
manufacturing and sale of two- and three-wheeled electric vehicles,
complemented by the E-bicycle charging pile business. For
additional information, please visit EZGO's website at
www.ezgotech.com.cn. Investors can visit the "Investor Relations"
section of EZGO's website at
http://www.ezgotech.com.cn/Investor/index.html.
Exchange Rate
This announcement contains translations of certain Chinese
Renminbi ("RMB") amounts into U.S. dollars ("US$") at specified
rates solely for the convenience of the readers. Unless otherwise
stated, all translations from RMB to US$ were made at the rate of
RMB6.4854 to US$ 1.00, the exchange rate in effect as of
September 30, 2021, as set forth in
the H.10 Statistical release of the Board of Governors of the
Federal Reserve System. The Company makes no representation that
the RMB or US$ amounts referred could be converted into US$ or RMB,
as the case may be, at any particular rate or at all.
Safe Harbor Statement
This press release contains forward-looking statements as
defined by the Private Securities Litigation Reform Act of 1995.
Forward-looking statements include statements concerning plans,
objectives, goals, strategies, future events or performance, and
underlying assumptions and other statements that are other than
statements of historical facts. When the Company uses words such as
"may," "will," "intend," "should," "believe," "expect,"
"anticipate," "project," "estimate," or similar expressions that do
not relate solely to historical matters, it is making
forward-looking statements. Forward-looking statements are not
guarantees of future performance and involve risks and
uncertainties that may cause the actual results to differ
materially from the Company's expectations discussed in the
forward-looking statements. These statements are subject to
uncertainties and risks including, but not limited to, the
following: the Company's goals and strategies; the Company's future
business development; product and service demand and acceptance;
changes in technology; economic conditions; the growth of the
short-distance transportation solutions market in China and the other international markets the
Company plans to serve; reputation and brand; the impact of
competition and pricing; government regulations; fluctuations in
general economic and business conditions in China and the international markets the
Company plans to serve and assumptions underlying or related to any
of the foregoing and other risks contained in reports filed by the
Company with the Securities and Exchange Commission ("SEC"). For
these reasons, among others, investors are cautioned not to place
undue reliance upon any forward-looking statements in this press
release. Additional factors are discussed in the Company's filings
with the SEC, which are available for review at www.sec.gov.
The Company undertakes no obligation to publicly revise these
forward–looking statements to reflect events or circumstances that
arise after the date hereof.
For more information, please contact:
At the Company:
Shawn Wen
Email: ir@ez-go.com.cn
Phone: (+86) 13502829216
Investor Relations:
Carolyne Sohn
The Equity Group Inc.
Email: csohn@equityny.com
Phone: (415) 568-2255
EZGO TECHNOLOGIES
LTD.
|
CONSOLIDATED
BALANCE SHEETS
|
(In U.S. dollars
except for number of shares)
|
|
|
|
|
|
|
|
|
|
|
As of September
30,
|
|
|
|
2020
|
|
|
2021
|
|
ASSETS
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
|
322,598
|
|
|
$
|
4,774,531
|
|
Restricted
cash
|
|
|
17,932
|
|
|
|
1,115,354
|
|
Short-term
investments
|
|
|
2,209,261
|
|
|
|
2,387,003
|
|
Accounts receivable,
net
|
|
|
6,325,733
|
|
|
|
6,847,608
|
|
Notes
receivable
|
|
|
1,664,310
|
|
|
|
-
|
|
Inventories,
net
|
|
|
867,752
|
|
|
|
924,342
|
|
Advances to
suppliers, net
|
|
|
2,700,383
|
|
|
|
7,404,538
|
|
Amount due from
related parties, current
|
|
|
577,035
|
|
|
|
3,524,635
|
|
Prepaid expenses and
other current assets, net
|
|
|
881,073
|
|
|
|
609,602
|
|
Current assets of
discontinued operation
|
|
|
750,784
|
|
|
|
91,997
|
|
Total current
assets
|
|
|
16,316,861
|
|
|
|
27,679,610
|
|
Property, plants and
equipment, net
|
|
|
2,369,891
|
|
|
|
8,746,386
|
|
Land use
right
|
|
|
-
|
|
|
|
4,510,849
|
|
Amount due from
related parties, noncurrent
|
|
|
294,568
|
|
|
|
310,395
|
|
Long-term
investments
|
|
|
-
|
|
|
|
132,621
|
|
Deferred tax assets,
net
|
|
|
97,324
|
|
|
|
585,428
|
|
Non-current assets of
discontinued operation
|
|
|
739,154
|
|
|
|
46,381
|
|
Total
assets
|
|
$
|
19,817,798
|
|
|
$
|
42,011,670
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
EQUITY
|
|
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
|
|
Short-term
borrowings
|
|
$
|
299,315
|
|
|
$
|
310,395
|
|
Accounts
payable
|
|
|
298,060
|
|
|
|
650,693
|
|
Accrued expenses and
other payables
|
|
|
3,753,817
|
|
|
|
7,142,630
|
|
Advances from
customers
|
|
|
154,554
|
|
|
|
94,899
|
|
Income tax
payable
|
|
|
292,940
|
|
|
|
395,483
|
|
Amount due to related
parties
|
|
|
754,283
|
|
|
|
71,849
|
|
Current liabilities
of discontinued operation
|
|
|
1,119,684
|
|
|
|
809,221
|
|
Total current
liabilities
|
|
|
6,672,653
|
|
|
|
9,475,170
|
|
Total
liabilities
|
|
|
6,672,653
|
|
|
|
9,475,170
|
|
|
|
|
|
|
|
|
|
|
Commitments and
contingencies
|
|
|
-
|
|
|
|
-
|
|
|
|
|
|
|
|
|
|
|
Equity
|
|
|
|
|
|
|
|
|
Preferred
shares
|
|
|
-
|
|
|
|
-
|
|
Ordinary shares (par
value of $0.001 per share; 100,000,000 shares authorized as of
September 30, 2020 and
2021; 7,800,000 and 13,626,602 shares issued and outstanding as of
September 30, 2020 and 2021,
respectively)
|
|
|
7,800
|
|
|
|
13,627
|
|
Subscription
receivable
|
|
|
(7,800)
|
|
|
|
(7,800)
|
|
Receivables from a
shareholder
|
|
|
(4,737,521)
|
|
|
|
(3,152,179)
|
|
Additional paid-in
capital
|
|
|
12,078,058
|
|
|
|
32,260,048
|
|
Statutory
reserve
|
|
|
212,842
|
|
|
|
233,413
|
|
Retained earnings and
(deficit)
|
|
|
1,575,630
|
|
|
|
(1,423,614)
|
|
Accumulated other
comprehensive income (loss)
|
|
|
(259,547)
|
|
|
|
594,507
|
|
Total EZGO
Technologies Ltd.'s shareholders' equity
|
|
|
8,869,462
|
|
|
|
28,518,002
|
|
Non-controlling
interests
|
|
|
4,275,683
|
|
|
|
4,018,498
|
|
Total
equity
|
|
|
13,145,145
|
|
|
|
32,536,500
|
|
|
|
|
|
|
|
|
|
|
Total liabilities
and equity
|
|
$
|
19,817,798
|
|
|
$
|
42,011,670
|
|
EZGO TECHNOLOGIES
LTD.
|
CONSOLIDATED
STATEMENT OF INCOME AND COMPREHENSIVE INCOME (LOSS)
|
(In U.S. dollars
except for number of shares)
|
|
|
|
|
|
|
|
|
|
|
For the fiscal
years ended September 30,
|
|
|
|
2020
|
|
|
2021
|
|
|
|
|
|
|
|
|
Net
revenues
|
|
$
|
15,243,282
|
|
|
$
|
23,422,006
|
|
Cost of
revenues
|
|
|
(13,704,248)
|
|
|
|
(23,039,528)
|
|
Gross
profit
|
|
|
1,539,034
|
|
|
|
382,478
|
|
|
|
|
|
|
|
|
|
|
Operating
expenses:
|
|
|
|
|
|
|
|
|
Selling and marketing
expenses
|
|
|
(385,722)
|
|
|
|
(1,558,719)
|
|
General and
administrative expenses
|
|
|
(1,081,346)
|
|
|
|
(2,701,178)
|
|
Total operating
expenses
|
|
|
(1,467,068)
|
|
|
|
(4,259,897)
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from
operations
|
|
|
71,966
|
|
|
|
(3,877,419)
|
|
|
|
|
|
|
|
|
|
|
Other income
(expenses):
|
|
|
|
|
|
|
|
|
Interest expense,
net
|
|
|
(14,803)
|
|
|
|
(60,756)
|
|
Other income,
net
|
|
|
393,198
|
|
|
|
141,530
|
|
Total other income,
net
|
|
|
378,395
|
|
|
|
80,774
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from
continuing operations before income tax expense
|
|
|
450,361
|
|
|
|
(3,796,645)
|
|
Income tax (expense)
benefit
|
|
|
(116,063)
|
|
|
|
419,405
|
|
Net income (loss)
from continuing operations
|
|
|
334,298
|
|
|
|
(3,377,240)
|
|
Income (loss) from
discontinued operation, net of tax
|
|
|
(57,376)
|
|
|
|
(36,404)
|
|
Net income
(loss)
|
|
|
276,922
|
|
|
|
(3,413,644)
|
|
|
|
|
|
|
|
|
|
|
Net income (loss)
from continuing operations
|
|
|
334,298
|
|
|
|
(3,377,240)
|
|
Less: Net income
(loss) attributable to non-controlling interests from continuing
operations
|
|
|
129,748
|
|
|
|
(434,971)
|
|
Net income (loss)
attributable to EZGO Technologies Ltd.'s shareholders from
continuing
operations
|
|
|
204,550
|
|
|
|
(2,942,269)
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from
discontinued operation, net of tax
|
|
|
(57,376)
|
|
|
|
(36,404)
|
|
Less: Net income
attributable to non-controlling interests from discontinued
operation
|
|
|
-
|
|
|
|
-
|
|
Net income (loss)
attributable to EZGO Technologies Ltd.'s shareholders from
discontinued
operation
|
|
|
(57,376)
|
|
|
|
(36,404)
|
|
Net income (loss)
attributable to EZGO Technologies Ltd.'s
shareholders
|
|
$
|
147,174
|
|
|
$
|
(2,978,673)
|
|
|
|
|
|
|
|
|
|
|
Net income (loss)
from continuing operations per ordinary share:
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
|
$
|
0.03
|
|
|
$
|
(0.27)
|
|
Net income (loss)
from discontinued operation per ordinary share:
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
|
$
|
(0.01)
|
|
|
$
|
(0.00)
|
|
Net income (loss) per
ordinary share:
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
|
$
|
0.02
|
|
|
$
|
(0.27)
|
|
Weighted average
shares outstanding
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
|
|
7,800,000
|
|
|
|
10,735,606
|
|
|
|
|
|
|
|
Income (loss) from
continuing operations before non-controlling interests
|
$
|
334,298
|
|
|
$
|
(3,377,240)
|
|
Income (loss) from
discontinued operation, net of tax
|
|
(57,376)
|
|
|
|
(36,404)
|
|
Net income
(loss)
|
|
276,922
|
|
|
|
(3,413,644)
|
|
|
|
|
|
|
|
|
|
Other comprehensive
(loss) income
|
|
|
|
|
|
|
|
Foreign currency
translation adjustment
|
|
438,839
|
|
|
|
973,379
|
|
Unrealized gain on
investments in available-for-sale debt investments
|
|
-
|
|
|
|
58,461
|
|
Comprehensive
income (loss)
|
|
715,761
|
|
|
|
(2,381,804)
|
|
Less: Comprehensive
income (loss) attributable to non-controlling interests
|
|
171,477
|
|
|
|
(257,185)
|
|
Comprehensive
income (loss) attributable to EZGO Technologies Ltd.'s
shareholders
|
$
|
544,284
|
|
|
$
|
(2,124,619)
|
|
View original
content:https://www.prnewswire.com/news-releases/ezgo-announces-financial-results-for-fiscal-year-2021-301470342.html
SOURCE EZGO Technologies Ltd.