Written by Cláudio Afonso | LinkedIn | X
Electric vehicle (EV) maker Polestar is having a tough year with some of its key markets seeing weaker than expected demand for its Polestar 2 model and, more recently, the 3 and the 4 which were recently launched.
The brand under China’s Geely Holding Group registered 816 vehicles in the United Kingdom during July, down from the 1,300 units a year ago.
The result represents a decline of 37.23% while its competitor Tesla registered 2,462 units, down 21.62% year over year.
According to official data from the German and the Australian markets, Polestar registrations in July dropped 59.9% and 70%, respectively. In Germany, the company registered 422 vehicles while in Australia it sold 103 units.
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The company has recently delivered the first units of the Polestar 3 at its headquarters in Gothenburg, Sweden. Earlier in the day, the company said it would start offering a new entry-level variant for the SUV with the introduction of a new Long Range Single Motor variant.
The brand’s first fully electric model, Polestar 2, has also now a refreshed version, featuring design updates, a revamped pack structure, increased range, and more individual options as it aims to increase the model’s competitiveness.
On Monday, the company’s stock reached a new all time low at $0.61 per share. The shares of the company led by Thomas Ingenlath, which currently has a market cap of about $1.38 billion, has lost about 70% of its value since the beginning of the year.
The company delivered “approximately 13,000” units in the second quarter of the year sending its year to date year-to-date deliveries to 20,200 vehicles.
Polestar has recently announced that it has received a notice from Nasdaq indicating non-compliance with the $1.00 minimum bid price requirement. The company has now until 2 January 2025 — to regain compliance by having a closing price for its shares above $1.00 per share for ten consecutive days.
Based on the current price of $0.62 per share, the stock needs to surge 72% over the next five months to regain compliance with Nasdaq listing rules.
Earlier this year, Volvo Cars reduced its stake in Polestar to 18% after being pointed out that the investment in the pure EV maker was affecting the company financials.
Written by Cláudio Afonso | LinkedIn | X
