Polestar (PSNY) went public officially on 24 June 2022. Ever since the company went public, it made various strategies to increase its profitability. By cost-cutting measures and rising demand for its vehicles. Now, the company eyes 50,000 deliveries by this year-end. In October, the company reported a total of 30,424 deliveries, with 9,215 deliveries in Q3.
According to the CEO, Thomas Ingenlath, the company could have already hit 50,000 deliveries if not for the COVID lockdown in China this year. He stated during the Q3 earnings call, “we are a real [electric] car company, we are in production, we are putting cars on the road today, and we are delivering on our ambitious growth plan.” Indicating that these numbers are showing that the company is actually achieving its goals.
Furthermore, Polestar expects the fourth quarter to be its highest production period yet, with over 20,000 anticipated deliveries. The company’s CFO, Johan Mamqvist, says Polestar “will catch up” as it has already produced the vehicles, which are now being delivered to customers. Since this is Polestar’s first earnings as a public company, the EV maker has chosen to compare results for the first nine months of 2022. Polestar achieved revenue of $1.48 billion on 30,000 deliveries in the first nine months of 2022. Strong backing ($1.6B) helped the company navigate the changing economic environment – it’s well-funded through 2023.
Growth globally
Polestar’s established network from Volvo and Geely means the EV maker can aggressively enter major auto markets (Asia, EU, US) without building or partnering. The company already has a presence in 27 markets across seven countries. Polestar’s asset-light strategy helped the company shrink its operating loss by 33% while promoting its first quarterly profit as a public company of $299.4 million.
Polestar plans to rapidly expand its EV portfolio with the Polestar 4, a sports SUV, expected in 2023, followed by the Polestar 5 sports GT in 2024 and Polestar 6 roadster in 2026. PSNY stock is up over 20% today as investors digest the positive news. However, Polestar’s stock is down over 50% since the start of 2022. Polestar accomplished five feats in Q3, including the launch of the Polestar 3, which was met with mixed reviews due to its stylish and competitive design that also features less-than-admirable efficiency. The event provided a spike to the company’s website, only succeeded by user visits following the Superbowl ad the company ran in February.
The automaker’s $1.48 billion in revenues through the first nine months of 2022 only transitions into the $2.4 billion that Polestar expects to deliver for the full year.
