Kandi Technologies Reports First Quarter 2023 Financial Results

                                                               - Successful Pivot to FullyElectricOff-road Vehicles Continued to Boost Revenue-

                                                                       - High Gross Margin Driven by FullyElectric Crossover Golf Carts-

JINHUA, CHINA-- (May 10, 2023) - Kandi Technologies Group, Inc. (the “Company”, “we” or “Kandi”) (NASDAQ GS: KNDI), today announced its financial results for the first quarter of 2023.

First Quarter Highlights

• Total revenues of $22.9 million compared to $24.9 million in the same period of 2022.

• Off-road vehicles and associated parts sales increased by 94.0% to $20.8 million, compared to $10.7 million in the same period of 2022.

• EV products and parts sales totaled $0.03 million, compared with $4.0 million total for the first quarter of 2022, attributed to the Company's shift in focus towards production of off-road vehicles with higher demand and better margins.

• Electric Scooters, Electric Self-Balancing Scooters and associated parts sales were $0.1 million, compared with $2.1 million in the same period of 2022.

• Battery exchange equipment and battery exchange service sales were $0.10 million, compared with $0.03million in the same period of 2022.

• Lithium-ion cells sales of $1.8 million compared to $8.0 million in the same period of 2022.

• Net income was $0.6 million, or $0.01 income per fully diluted share, compared to a net loss of $1.6 million, or $0.02 loss per fully diluted share for the same period of 2022.

• Working capital totaled $253.1 million as of March 31, 2023.

• Cash and equivalents, restricted cash, and certificate of deposit totaled $238.6 million as of March 31, 2023.

Dr. Xueqin Dong, CEO of Kandi commented, “We are pleased to report that sales of our off-road vehicles have significantly contributed to our overall revenue and gross margin. Our all-electric crossover golf cart has been successfully launched and well received by customers, enabling our company to maintain a strong growth momentum in the rapidly expanding market for all-electric off-road vehicles. As the trend towards electrification of off-road fuel vehicles continues globally, we will continue to introduce a variety of fully electric off-road vehicles. We are confident that we will achieve sustained growth in this field.”

Dr. Dong continued, “Our successful transition in the fully electric off-road vehicles demonstrates our commitment to innovation and development. We are confident in our continued focus on this market, which will not only bring significant financial benefits but also meaningful benefits in terms of environmental sustainability and social responsibility.”

Q1 2023 Financial Results

Net Revenues and Gross Profit (in USD millions)

Q1 2023

Q1 2022


Net Revenues




Gross Profit




Gross Margin%




Net revenues of $22.9 million decreased by 8.2% from the same period of 2022. This decrease was primarily due to a reduction in sales of EV parts and products, as the Company saw a lower demand for EV and shifted its focus towards off-road vehicles and associated parts with surging demand. However, the year-over-year gross margins were higher, attributed to the higher-margin features of off-road vehicles particularly crossover golf carts.

Operating Income/Loss (in USD millions)

Q1 2023

Q1 2022


Operating Expenses




Loss from Operations




Operating Margin%




Operating expenses amounted to $10.3 million, compared to $8.1 million during the corresponding period in 2022. The rise in operating expenses can be attributed to higher sales and marketing expenses, which is mainly due to increased commission offered for the sales of off-road vehicles, as well as higher shipping and related expenses due to larger exports to the US market. Additionally, the increase in OpEx was also driven by higher general and administrative expenses resulting from an increase in hires and increased storage fees due to a rise in inventories kept in the US.

Net Income/Loss (in USD millions)

Q1 2023

Q1 2022


Net Income(Loss) 




Net Income (Loss) per Share, Basic and Diluted




Net income was $0.6 million, compared with a net loss of $1.6 million for the same period of 2022. The primary factor contributing to the rise in net income was the increase in gross profit, driven by a greater proportion of sales from off-road vehicles with larger gross margins.

First Quarter 2023 Conference Call Details

The Company has scheduled a conference call and live webcast to discuss its financial results at 8:00 A.M. Eastern Time (8:00 P.M. Beijing Time) on Wednesday, May 10, 2023. Management will deliver prepared remarks to be followed by a question-and-answer session.

The dial-in details for the conference call are as follows:

• Toll-free dial-in number: +1-844-826-3035

• International dial-in number: + 1-412-317-5195

• Webcast and replay:


The live audio webcast of the call can also be accessed by visiting Kandi's Investor Relations page on the Company's website at http://www.kandivehicle.com. An archive of the webcast will be available on the Company's website following the live call.