4Q22 Gross Margin Rises 380 Basis Points Year over Year
FY22 Gross Margin Rises 200 Basis Points Year over Year
Cash Balance Rises 47% to $16.3 Million as of End-22
EAST WINDSOR, N.J., March 30, 2023 /PRNewswire/ — Greenland Technologies Holding Corporation (NASDAQ: GTEC) (“Greenland” or the “Company”), a technology developer and manufacturer of electric industrial vehicles and drivetrain systems for material handling machineries and vehicles, today announced its unaudited financial results for the fourth quarter and full year ended December 31, 2022.
Investors and analysts interested in participating in Greenland’s fourth quarter and full year 2022 earnings call need to register in advance using the URL provided below. Conference access information will be provided upon registration.
A live and archived webcast will also be available on the investor relations section of Greenland’s website at https://ir.gtec-tech.com/.
About Greenland Technologies Holding Corporation
Greenland Technologies Holding Corporation (NASDAQ: GTEC) is a developer and a manufacturer of drivetrain systems for material handling machineries and electric vehicles, as well as electric industrial vehicles. Information on the Company’s clean industrial heavy equipment division can be found at HEVI Corp.
Safe Harbor Statement
This press release contains statements that may constitute “forward-looking statements.” Such statements reflect Greenland’s current views with respect to future events and are subject to such risks and uncertainties, many of which are beyond the control of Greenland, including those set forth in the Risk Factors section of Greenland’s Annual Report on Form 10-K and Definitive Proxy Statement on Schedule 14A filed with the Securities and Exchange Commission (“SEC”). Copies are available on the SEC’s website, www.sec.gov. Words such as “expect,” “estimate,” “project,” “budget,” “forecast,” “anticipate,” “intend,” “plan,” “may,” “will,” “could,” “should,” “believes,” “predicts,” “potential,” “continue,” and similar expressions are intended to identify such forward-looking statements. These forward-looking statements include, without limitation, Greenland’s expectations with respect to future performance. In addition, there is uncertainty about the further spread of the COVID-19 virus or the occurrence of another wave of cases and the impact it may have on the Company’s operations, the demand for the Company’s products, global supply chains and economic activity in general. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated or expected. Statements contained in this news release regarding past trends or activities should not be taken as a representation that such trends or activities will continue in the future. Greenland does not intend and does not assume any obligation to update these forward-looking statements, other than as required by law.
Statement Regarding Preliminary Unaudited Financial Information
The unaudited financial information set out in this earnings release is preliminary and subject to potential adjustments. Adjustments to the consolidated financial statements may be identified when audit work has been performed for the Company’s year-end audit, which could result in significant differences from this preliminary unaudited financial information.
GREENLAND TECHNOLOGIES HOLDING CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)
FOR THE THREE MONTHS AND YEARS ENDED DECEMBER 31, 2022 and 2021
(IN U.S. DOLLARS)
For the three months ended
December 31,
For the years ended
December 31,
2022
2021
2022
2021
REVENUES
$
19,134,350
$
22,939,906
$
90,830,674
$
98,839,900
COST OF GOODS SOLD
15,319,047
19,253,272
70,995,940
79,246,280
GROSS PROFIT
3,815,303
3,686,634
19,834,734
19,593,620
Selling expenses
950,626
470,694
2,630,226
1,868,156
General and administrative expenses
1,742,430
1,134,730
5,459,020
3,948,850
Research and development expenses
2,818,374
2,189,490
5,786,946
5,526,546
Total operating expenses
$
5,511,430
$
3,794,914
$
13,876,192
$
11,343,552
INCOME FROM OPERATIONS
$
(1,696,127)
$
(108,280)
$
5,958,542
$
8,250,068
Interest income
21,578
54,130
56,817
68,295
Interest expense
(80,327)
(78,905)
(402,968)
(587,264)
(Loss) income on disposal of property and equipment
(816)
2,744
(1,511)
1,785
Other income
286,926
548,082
1,705,506
1,378,597
INCOME BEFORE INCOME TAX
$
(1,468,766)
$
417,771
$
7,316,386
$
9,111,481
INCOME TAX
(693,044)
(1,359)
699,691
1,843,260
NET INCOME
$
(775,722)
$
419,130
$
6,616,695
$
7,268,221
LESS: NET INCOME ATTRIBUTABLE TO NONCONTROLLING INTEREST
216,993
91,221
3,057,130
1,002,643
NET INCOME (LOSS) ATTRIBUTABLE TO GREENLAND TECHNOLOGIES HOLDING CORPORATION AND SUBSIDIARIES
$
(992,715)
$
327,909
$
3,559,565
$
6,265,578
OTHER COMPREHENSIVE INCOME (LOSS):
2,402,406
1,506,491
(5,740,161)
1,476,710
Unrealized foreign currency translation income (loss) attributable to Greenland Technologies Holding Corporation and subsidiaries
1,600,657
1,108,637
(3,845,818)
1,077,324
Unrealized foreign currency translation income (loss) attributable to Noncontrolling interest
801,749
397,854
(1,894,343)
399,386
Comprehensive income (loss)
607,942
1,436,546
(286,253)
7,342,902
Noncontrolling interest
1,018,742
489,075
1,162,787
1,402,029
WEIGHTED AVERAGE ORDINARY SHARES OUTSTANDING:
Basic and diluted
12,657,590
11,329,530
11,886,876
10,840,638
NET INCOME (LOSS) PER ORDINARY SHARE ATTRIBUTABLE TO OWNERS OF THE COMPANY:
Basic and diluted
(0.08)
0.03
0.30
0.58
GREENLAND TECHNOLOGIES HOLDING CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
AS OF DECEMBER 31, 2022 and 2021
(IN U.S. DOLLARS)
December 31,
December 31,
2022
2021
ASSETS
Current assets
Cash and cash equivalents
$
16,295,695
$
11,062,590
Restricted cash
3,433,361
6,738,302
Short Term Investment
7,800,723
2,105,938
Notes receivable
28,748,879
37,551,121
Accounts receivable, net of allowance for doubtful accounts of $762,325 and $859,319, respectively
14,337,760
15,915,002
Inventories
23,096,382
25,803,474
Due from related parties-current
36,669,907
39,679,565
Advance to suppliers
412,766
434,893
Prepayments and other current assets
1,568,687
14,518
Total Current Assets
$
132,364,160
$
139,305,403
Non-current asset
Property, plant, equipment and construction in progress, net
15,585,214
18,957,553
Land use rights, net
3,639,067
4,035,198
Other intangible assets
147,465
–
Long term investment
250,000
–
Deferred tax assets
219,207
141,623
Goodwill
–
3,890
Operating lease right-of-use assets
2,627,110
80,682
Other non-current assets
283,118
44,093
Total non-current assets
$
22,751,181
$
23,263,039
TOTAL ASSETS
$
155,115,341
$
162,568,442
GREENLAND TECHNOLOGIES HOLDING CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
AS OF DECEMBER 31, 2022 and 2021 (Continued)
(IN U.S. DOLLARS)
December 31,
December 31,
2022
2021
Current Liabilities
Short-term bank loans
$
8,986,255
$
8,760,945
Notes payable-bank acceptance notes
28,272,472
42,093,061
Accounts payable
24,817,165
29,064,132
Taxes payables
192,478
108,058
Customer deposits
227,432
387,919
Due to related parties
1,693,315
3,619,459
Other current liabilities
1,547,390
1,198,427
Current portion of operating lease liabilities
472,182
33,308
Lease obligations – current
–
197,915
Total current liabilities
$
66,208,689
$
85,463,224
Long-term liabilities
Long term operating lease liabilities
2,176,130
47,614
Other long-term liabilities
1,812,759
2,212,938
Total long-term liabilities
$
3,988,889
$
2,260,552
TOTAL LIABILITIES
$
70,197,578
$
87,723,776
COMMITMENTS AND CONTINGENCIES
EQUITY
Ordinary shares, no par value, 12,978,504 shares authorized; 12,978,504 and 11,329,530 shares issued and outstanding as of December 31, 2022 and December 31, 2021.