GlobeNewswire·Nov 9, 2026, 5:00 PM ET

Microvast Reports Third Quarter 2026 Financial Results

MVST

Microvast Holdings reported Q3 2026 revenues of $45.8 million, a 62.8% decrease from $123.3 million in Q3 2025, driven by a 62.2% drop in sales volume to 189.6 MWh.
The company posted a net loss of $76.8 million for the quarter, compared to a $1.5 million loss in the prior year period.
Gross margin declined to 5.2% from 37.6%, primarily due to a $9.3 million non-cash write-down for obsolete inventories.
Operating expenses rose to $69.0 million from $31.6 million, largely due to $35.7 million in non-cash impairment charges on long-lived assets across China, Germany, and the U.S.
As of September 30, 2026, total cash, cash equivalents, and restricted cash totaled $124.4 million, with $84.8 million unrestricted; however, $30.4 million held in China and $14.4 million in Europe cannot be repatriated to the U.S. due to regulatory restrictions.
Total debt stood at $177.0 million, including $135.3 million in bank borrowings and $41.7 million in convertible bonds, with a working capital deficit of $3.1 million.
Near-term debt obligations include $41.7 million in convertible bonds due by January 2027, $84.0 million in short-term PRC bank loans, and other notes payable due throughout 2027.
Management stated that absent additional financing or debt restructuring, available cash is insufficient to meet obligations over the next twelve months, leaving substantial doubt about the company's ability to continue as a going concern.
The company is currently negotiating with lenders to refinance, extend, or restructure debt, though no assurance exists that favorable terms will be secured.
Huzhou Phase 3.2 production equipment installation is complete, while the Clarksville pack assembly line is substantially complete; however, full production ramp-up depends on securing financing and customer demand.
For the nine months ended September 30, 2026, revenues were $193.7 million, down 41.5% from $331.1 million in the prior year period.
Nine-month net loss was $40.6 million, a decrease from $45.8 million in the prior year, driven by a $58.0 million non-cash gain on warrant liability changes, partially offset by $35.8 million in asset impairment charges.
Capital expenditures for the nine-month period were $17.9 million, down from $31.4 million in the prior year.
The company is implementing cost-reduction initiatives, including workforce reductions and deferred discretionary capital expenditures, to preserve liquidity.
One significant European customer was acquired by a third party, creating additional uncertainty regarding future orders.
Subsequent to September 30, 2026, the company repaid a $22.4 million loan facility and refinanced an additional $8.9 million in short-term bank borrowings.
As of October 31, 2026, total usable cash across all entities was approximately $71.3 million.

Company: Microvast, Inc.
Keywords: Nasdaq:MVST, Microvast, Inc.