Lion Electric Reports Revenue Increase for 2nd Quarter 2022

The Lion Electric Company, maker of all-electric medium- and heavy-duty urban vehicles, announced financial and operating results for the second quarter of fiscal year 2022, which ended on June 30.

“We are pleased with our Q2 performance, as in spite of ongoing supply-chain challenges, for the third quarter in a row, we delivered a record number of vehicles in the history of Lion,” said Marc Bedard, CEO and Founder of Lion Electric. “As we are nearing the start of operations at our U.S. manufacturing facility and our battery plant, we also decided to adjust the cadence of our capital spend. This will enable us to accelerate return on investment and optimally manage our capital resources.”

Financial highlights included:

• Delivery of 105 vehicles, up 44 compared to Q2 2021.
• Revenue of $29.5 million, up $12.8 million compared to Q2 2021.
• Gross loss of $3.5 million, compared to a gross profit of $900,000 in Q2 2021.
• Net earnings of $37.5 million, compared to a net loss of $178.5 million in Q2 2021.
• Capital expenditures, including investments related to the Joliet, Ill., facility and the Lion Campus, amounted to $43 million, up $41 million compared to Q2 2021.

Business updates included:

• More than 700 vehicles on the road, with more than 10 million miles driven.
• As of Aug. 4, vehicle order book of 2,357 all-electric medium- and heavy-duty urban vehicles, consisting of 286 trucks and 2,071 buses, representing a combined total order value of about $575 million.
• As of Aug. 4, LionEnergy order book of 226 charging stations and related services, representing a combined total order value of about $3 million.
• According to a news release, the company “decided to review the cadence of its initial ramp up of production capacity at the Joliet Facility to align it further with projected deliveries and to initially focus on bus production.”
• The building shell for the Lion Electric battery plant building is substantially complete. Foundation work has been completed on the Innovation Center and the steel structure is 90% done. The company’s prototype battery packs are in testing and certification. Engineering design for one version of the packs and module line is finished.

The company also decided to suspend commercial production and projected delivery of the LionA bus after making “configuration changes to certain vehicles to increase quality and performance, improve manufacturing efficiencies, and optimize the development of new models,” according to a news release.

Lion Electric also added two independent directors to its board of directors:

• Latasha Akoma, operating partner at GenNx360 Capital Partner.
• Dane L. Parker, General Motors’ first chief sustainability officer.