LOBO EV Reports Fiscal Year 2023 Results and Sets Stage for Accelerating Growth in 2024

Net profit margin increased to 6.4% in 2023, up from 6.1% in 2022

Capital from IPO driving new customer acquisitions and production capacity expansion

International expansion and innovative product launches position LOBO for growth in 2024

WUXI, China, May 06, 2024 (GLOBE NEWSWIRE) -- LOBO EV Technologies Ltd. (Nasdaq: LOBO) (“LOBO” or the “Company”), an innovative electric vehicle manufacturer and seller, today announced its financial results for the fiscal year ended December 31, 2023.

2023 Highlights

• Generated $15.5 million revenue in 2023, down from $18.3 million in 2022
• Operating expenses decreased to $1.4 million in 2023, down from $1.5 million in 2022
• Net profit margin increased to 6.4% in 2023, up from 6.1% in 2022
  

“In 2023, we navigated through several external challenges, yet our strategic initiatives, which capitalized on growing demand in international markets, allowed us to maintain a solid footing in a competitive landscape,” stated Huajian Xu, CEO of LOBO. “Our year-over-year revenue decline primarily reflects the broader economic slowdown in China. Additionally, our revenue figures in 2022 were unusually high due to a strategic liquidation of excess inventory accumulated during the COVID-19 pandemic. This one-time boost in 2022, where we cleared our stocks at wholesale, significantly elevated our revenue base for that year, making the comparison seem more pronounced in 2023. These moves were essential to optimize our inventory and set the stage for sustainable growth going forward.”

Tong Zhu, CFO of LOBO, stated, “Despite top-line pressures, our net profit margin increased to 6.4% in 2023, up from 6.1% in 2022. This performance reflects not only improvements in operational efficiency but also better inventory management and overhead control. The initiatives we undertook for optimizing our product lineup and enhancing our production techniques have paid off, leading to improved profitability metrics that we believe are sustainable.”

“With the successful capital influx from our March 2024 IPO, we are rapidly scaling our operations,” continued Xu. “We’ve added over ten new dealer customers to our network this year, securing potential orders worth more than $5 million, with over $1 million in new paid deposits already received. To meet this surging demand, we’ve recently further expanded our production capabilities with the addition of two high-capacity assembly lines that will enter production at our new Wuxi facility in early May. The new assembly lines will enable us to add new in-demand products to our portfolio, and together with production improvements at our other assembly lines, our overall production capacity will be up nearly 20% in 2024.”