Written by Cláudio Afonso | LinkedIn | X
Faraday Future announced on Tuesday it has received approval for continued listing from the Nasdaq Hearings Panel after filing as it filed its Form 10-Q for the first quarter of the year.
In the report of the financial results, the company said it will “keep working to optimize operations to support sustainability” including “ongoing evaluations of current cost reductions and spending efficiency”.
Faraday’s operating expenses declined year over year from $95.8 million to $22.9 million as the company registered $499.9 million of assets, $298.4 million liabilities and a book value of $201.5 million
The EV maker “reported progress on strategic financing” without mentioning any details. Faraday Future clarified that “if strategic investments are secured” it will be able to ramp the production and deliver more FF 91 units.
“Furthermore, incremental funding could support the development of the China
-U.S Automotive Bridge Strategy that is being developed,” the company added.
On Cash from operating activities, FF registered a loss of $14.7 million, significantly lower than the $103.0 million in first quarter 2023.
FF will also keep working to optimize operations to support sustainability. This includes ongoing evaluations of current cost reductions and spending efficiency, including daily operations and FF 91 materials costs.
In an interview with the YouTuber “The Omar Gosh Vlogs,” Faraday’s founder YT Jia revealed recently that deliveries will continue on the last day of July, when the Annual Meeting of shareholders will take place.
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As the company tries to establish other sources of revenue besides the sales of its electric vehicle (EV) model FF91 2.0, YT Jia said the progress will be shared in a future event.
“During the third phase, we have made substantial advancements in developing the bridge strategy and a potential second brand. We are preparing to launch the strategy in an event to share more details and our progress,” he stated.
“We are hopeful to set sail together in the blue ocean with potential partners. Additionally, my personal IP commercialization endeavor has also made significant progress. In the third phase, the most crucial task is to meet Nasdaq’s two compliance requirements as soon as possible,” he added.
Regarding the report of the financial results from this year, the company is aiming to file the first quarter numbers “by the end of the month” and the second quarter ones “by the middle of August”.
“First, if all goes well, we will file our first quarter report by the end of the month and our second quarter report by the middle of August. Second, we must meet Nasdaq’s minimum bid price requirements and have sufficient shares to enable us to raise strategic equity financing. As for the other two chapters, I may share more details when wrapping up the safeguard,” YT Jia said.
Here’s the 9-minute speech from the company’s founder.
The company is expecting to deliver the next vehicle (the 13th FF91 2.0 overall) on the last day of the month, at the Annual meeting of shareholders — the founder YT Jia unveiled last week.
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In a video shared on YouTube, Faraday showed that attendees took rides in the FF91 luxurious EV model. Here’s the full video shared by the US-based startup.
On Friday, the company published a letter urging the shareholders to approve all the proposals at the upcoming Annual General Meeting scheduled for the last day of July.
The company founded by YT Jia warned that if the reverse stock split is not approved, it can lead to delisting from Nasdaq making it “impossible” the capital raise in the near future. Faraday is aiming to get approved for a reverse split with a ratio ranging from 1-for-2 to 1-for-40.
Faraday will also seek approval to increase the number of authorized shares of Class A and Class B common stock from 463,312,500 to 4,169,812,500, and the total number of authorized shares of common and preferred stock from 473,312,500 to 4,179,812,500.
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Written by Cláudio Afonso | LinkedIn | X
