Tue, May 14, 8:45 PM (220 days ago)
Mullen Automotive Inc.'s quarterly financial results for the period ending March 31, 2024, reveal several critical points regarding its financial health and performance metrics. The company reported a significant contraction in its cash position, with cash and cash equivalents dropping from $155.3 million as of September 30, 2023, to $22.4 million. The total assets also decreased to $214.1 million from $421.7 million. The net loss attributable to stockholders was $193.8 million for the six months ended March 31, 2024, compared to $491.2 million for the same period in 2023. The company's revenue from vehicle sales was minimal, totaling $33,335, while the cost of revenues was $13,440, resulting in a gross profit of $19,895. Operating expenses remained high, with general and administrative expenses at $91.1 million and research and development costs at $40.2 million. Significant impairments were recorded, including $28.8 million for goodwill and $73.4 million for intangible assets. The balance sheet shows a considerable reduction in stockholders' equity from $272.8 million to $117.4 million, primarily due to the net loss and impairments. Current liabilities are $83.5 million, with accounts payable and accrued expenses constituting the majority. The company faces substantial doubt about its ability to continue as a going concern, necessitating additional funding to meet its working capital and capital expenditure requirements. Subsequent events include the termination of a $50 million debt agreement and a new $50 million financing arrangement.