Gogoro (NASDAQ:GGR) reported lower third-quarter revenue but narrowed its net loss and posted record gross margins, as the electric scooter and battery-swapping company benefited from lower costs and a shift toward higher-priced models.
Revenue fell 9.1% from a year earlier to $70.6 million, or 2.9% on a constant-currency basis. Principal Financial Officer Jacky Lee said foreign exchange movements were a significant headwind and that revenue would have been approximately $4.8 million higher at the prior-year average exchange rates.
The company forecast full-year 2026 revenue of $270 million to $290 million, citing continued challenging market conditions. Lee said Gogoro’s longer-term objectives remained unchanged: achieving free cash flow in 2027 and non-IFRS profitability in 2028.
Margins Improve as Hardware Revenue Falls
Gogoro’s third-quarter net loss narrowed to $3.4 million from $14.9 million a year earlier. Non-IFRS net loss improved to $3.9 million from $6.7 million, while adjusted EBITDA declined to $19.0 million from $20.2 million.
Both IFRS and non-IFRS gross margins reached 24.4%, compared with 12.2% and 22.2%, respectively, in the prior-year quarter. Lee attributed the improvement partly to the completion of a battery upgrade program at the end of last year, which eliminated $7.7 million in costs that had affected the year-earlier quarter. Better production overhead absorption, lower network operating costs and a shift toward higher-end scooters also helped, he said.
CEO Henry Chiang cautioned that maintaining the record margin would be difficult as raw material and component costs rise. Gogoro plans to balance pricing, competitiveness and cost management, he said.
Hardware and other revenue fell 13.5% to $33.5 million, or 7.5% on a constant-currency basis. Lee cited lower scooter registrations, reduced component and accessory sales to international customers and partners, and lower sharing revenue. Improved average selling prices following the launch of Gogoro Luna partly offset those pressures.
Subscriber Growth Supports Battery-Swapping Business
Battery-swapping service revenue fell 4.7% to $37.1 million on a reported basis but rose 1.8% in constant currency. Gogoro ended the quarter with approximately 684,000 subscribers, up 4% year over year. Chiang said a growing share of lower-mileage subscribers continued to put pressure on average revenue per user.
Chiang said the company was making progress on a $30 million capital expenditure initiative announced earlier in 2026, including the retirement and recycling of first-generation batteries. A pilot deployment of the GoStation Q in Taiwan remains on track for the end of 2026, he said.
For the first nine months of 2026, operating cash flow rose 8.8% to $27.9 million. Lee said Gogoro had generated positive operating cash flow for six consecutive quarters.
Cash and cash equivalents stood at $68.9 million at the end of September, including an initial $16.7 million equity investment from Gold Sino. Gogoro received another $61.8 million in equity proceeds in October, after the quarter ended, completing the funding commitment, Lee said.
Vietnam Pilot Tests Expansion Opportunity
Chiang said Gogoro established a presence in Vietnam during the third quarter through Castrol Gogoro Mobility, its joint venture with Castrol, and expanded battery-swapping infrastructure in Ho Chi Minh City. The venture is working with two Vietnamese mobility platforms to pilot the technology with high-utilization commercial riders.
Initial feedback has been encouraging, Chiang said, but the company is still testing the operating model and its economics. Gogoro will evaluate rider adoption and utilization, network performance, service quality and partner execution before deciding the pace and scope of further expansion.
Chiang said the company does not expect significant revenue growth from Taiwan alone and anticipates Vietnam will be a catalyst for its next phase of growth.
About Gogoro (NASDAQ:GGR)
Gogoro Inc. is a Taiwan-based technology company focused on electric two-wheel transportation and battery-swapping infrastructure. The company develops and sells electric scooters, known as Smartscooters, along with related components, accessories and connected software designed to support urban mobility. Gogoro’s primary service is its battery-swapping network, which allows riders to exchange depleted batteries for charged units at automated GoStation locations. The company operates a networked energy platform that manages batteries, vehicles and charging infrastructure, helping reduce charging time and supporting the use of electric scooters in dense urban environments.
