Cenntro (CENN) Q1 2026 earnings summary

Executive summary

• Net revenues for Q1 2026 were $1.2M, down 43% year-over-year, mainly due to lower vehicle sales in Asia and Europe, partially offset by higher spare-part sales.

• Gross profit decreased 26% to $0.2M, with overall gross margin improving to 19.6% from 15.0% year-over-year.

• Operating expenses declined significantly across all categories, reflecting cost optimization and reduced freight and salary expenses.

• Net loss attributable to shareholders was $3.9M, a substantial improvement from $5.7M in Q1 2025.

• Discontinued operations in Europe contributed a $0.14M gain, compared to a $0.3M loss in the prior year.

Financial highlights

• Vehicle sales revenue dropped to $0.6M (51% of total), spare-part sales rose to $0.6M (47%), and other sales were $33K.

• Cost of goods sold fell 46% to $1.0M, mainly due to lower vehicle sales volume.

• Adjusted EBITDA improved to $(3.0)M from $(4.0)M year-over-year.

• Cash and cash equivalents at quarter-end were $3.6M, down from $8.5M a year earlier.

• Working capital stood at $18.4M, a slight decrease from $19.0M at year-end 2025.

Outlook and guidance

• Management expects sufficient liquidity for the next twelve months, focusing on new ECV model rollouts and expanding distribution in North America and Europe.

• Plans include regionalizing manufacturing and supply chains, and increasing R&D investment for long-term growth.