Microvast (NASDAQ:MVST) Issues Quarterly Earnings Results

Microvast (NASDAQ:MVST) posted its quarterly earnings results on Monday. The company reported ($0.03) EPS for the quarter, FiscalAI reports. Microvast had a negative return on equity of 6.12% and a negative net margin of 11.52%.The business had revenue of $87.26 million during the quarter, compared to analyst estimates of $94.40 million.

Here are the key takeaways from Microvast’s conference call:

• Profitability deteriorated sharply: Q2 revenue fell 4.5% year over year to $87.3 million, gross margin declined to 29.5% from 34.7%, and adjusted EBITDA dropped to $3.6 million from $25.9 million. The company reported a $5.3 million adjusted net loss versus a $16.3 million adjusted profit a year earlier.
• First-half revenue decreased 28.8% as sales volumes fell 24.3% to approximately 717 MWh, while operating cash flow turned negative at $33.3 million compared with $44.3 million of cash generation in the prior-year period. Cash, including restricted cash, ended the quarter at $143.1 million after a $26.2 million decline.
• Regional performance was mixed: APAC sales declined 23% in Q2 and 45% year to date amid regulatory, geopolitical, and pricing pressures, while U.S. sales were affected by tariff uncertainty and customer order timing. Higher raw-material costs and lower factory utilization also pressured margins.
• Manufacturing expansion is progressing: Equipment installation and commissioning at the Huzhou Phase 3.2 facility are complete, with serial production expected in 2026 and up to 2 GWh of additional annual capacity. The Clarksville, Tennessee pack line remains on schedule for initial output by year-end, although the full battery plant still depends on additional financing or strategic partnerships.
• Microvast highlighted solid-state technology milestones, including a 17-layer, 72-volt bipolar prototype with 88.5% capacity retention after 200 cycles and no ignition or smoke in a 200°C hot-box test. An early silicon-sulfur prototype exceeded 1,000 mAh/g and is being explored for high-energy applications such as commercial and defense drones.

Microvast Stock Down 3.4%

Shares of NASDAQ:MVST traded down $0.03 during trading hours on Monday, reaching $0.87. The stock had a trading volume of 9,458,724 shares, compared to its average volume of 4,582,100. Microvast has a 1 year low of $0.71 and a 1 year high of $7.12. The firm’s 50 day moving average is $1.07 and its 200-day moving average is $1.66. The stock has a market capitalization of $291.45 million, a price-to-earnings ratio of -2.73 and a beta of 3.56. The company has a debt-to-equity ratio of 0.06, a quick ratio of 0.74 and a current ratio of 0.96.

Insider Buying and Selling at Microvast

In other Microvast news, CEO Yang Wu sold 46,313 shares of the firm’s stock in a transaction on Tuesday, June 9th. The stock was sold at an average price of $1.24, for a total value of $57,428.12. Following the sale, the chief executive officer directly owned 134,065,439 shares in the company, valued at $166,241,144.36. This trade represents a 0.03% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CTO Wenjuan Mattis sold 48,346 shares of Microvast stock in a transaction dated Monday, May 18th. The stock was sold at an average price of $1.32, for a total value of $63,816.72. Following the sale, the chief technology officer directly owned 932,678 shares of the company’s stock, valued at $1,231,134.96. This trade represents a 4.93% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 105,767 shares of company stock worth $134,360 in the last three months. 44.80% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Microvast

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Millennium Management LLC boosted its holdings in shares of Microvast by 101.6% in the 1st quarter. Millennium Management LLC now owns 4,646,060 shares of the company’s stock valued at $5,436,000 after buying an additional 2,341,637 shares in the last quarter. First Trust Advisors LP grew its position in shares of Microvast by 4,632.7% in the 4th quarter. First Trust Advisors LP now owns 2,088,304 shares of the company’s stock valued at $5,847,000 after buying an additional 2,044,179 shares during the last quarter. Vanguard Group Inc. raised its stake in Microvast by 14.6% during the 3rd quarter. Vanguard Group Inc. now owns 12,010,655 shares of the company’s stock worth $46,241,000 after acquiring an additional 1,533,708 shares in the last quarter. Bank of America Corp DE raised its stake in Microvast by 349.0% during the 2nd quarter. Bank of America Corp DE now owns 1,636,970 shares of the company’s stock worth $5,942,000 after acquiring an additional 1,272,420 shares in the last quarter. Finally, Dimensional Fund Advisors LP acquired a new stake in Microvast during the 4th quarter worth $2,937,000. 20.72% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

A number of research analysts recently issued reports on MVST shares. Zacks Research upgraded Microvast from a “strong sell” rating to a “hold” rating in a report on Monday, July 13th. Weiss Ratings restated a “sell (d-)” rating on shares of Microvast in a report on Wednesday, June 24th. One investment analyst has rated the stock with a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the company has an average rating of “Reduce”.

Key Stories Impacting Microvast

Here are the key news stories impacting Microvast this week:

• Positive Sentiment: Microvast’s cash and cash equivalents increased to $127.8 million, while total liabilities declined to $409.1 million. The company also reported gross profit of $25.8 million, suggesting its core battery operations remained gross-profit positive. Microvast Holdings Q2 2026 Earnings
• Neutral Sentiment: Institutional positioning was mixed: 72 investors increased their holdings in the latest quarter, while 91 reduced positions. State Street, Millennium Management, and Dimensional Fund Advisors added shares, but Point72, Morgan Stanley, Citadel, and Counterpoint reduced or exited positions. Microvast Institutional Activity
• Negative Sentiment: Second-quarter revenue fell 4.5% year over year to $87.3 million, below the approximately $94.4 million consensus estimate. Operating results shifted to a $1.7 million loss, while the net loss attributable to common shareholders widened to $12.0 million, or $0.03 per share. Microvast Earnings Results
• Negative Sentiment: Cash flow remained pressured, with $10.5 million of operating cash outflow and $11.3 million in capital expenditures. Continued spending while the company remains unprofitable raises concerns about future financing needs.
• Negative Sentiment: Several law firms reiterated notices about a pending securities class-action lawsuit covering investors who purchased Microvast securities between April 1, 2025, and March 16, 2026. The lead-plaintiff deadline is September 21, 2026, adding reputational and potential financial risk. Microvast Securities Lawsuit Reminder
• Negative Sentiment: Reported insider activity showed four sales and no purchases over the past six months, including sales by the chief executive officer and chief technology officer. This may reinforce investor concerns about management confidence.

About Microvast

Microvast Holdings, Inc, traded on NASDAQ under the symbol MVST, is a global provider of advanced lithium-ion battery solutions for transportation and stationary energy storage applications. The company designs, develops and manufactures a range of battery cells, modules and packs tailored to electric buses, commercial vehicles, passenger cars and grid storage systems. Its technology emphasizes fast charging, long cycle life and high energy density to meet stringent performance requirements in demanding operating environments.

Founded in 2006, Microvast has established a vertically integrated platform that spans research and development, pilot production and full-scale manufacturing.