What caused PEV's EPS to drop sharply in Q3 2023?

The EPS of Phoenix Motor (PEV) dropped sharply in Q3 2023 to -$0.13. This decline can be attributed to several factors: |code|Ticker|Name|Date|Diluted EPS YoY|Diluted EPS|market_code| |---|---|---|---|---|---|---| |PEV|PEV.O|Phoenix Motor|2023 Q1|0|-0.13|186| |PEV|PEV.O|Phoenix Motor|2023 Q2|-36.36363636363636|-0.15|186| |PEV|PEV.O|Phoenix Motor|2023 Q3|35|-0.13|186| 1. **Strategic Divestiture**: SPI Energy's divesture of a majority stake in Phoenix Motor improved its own profitability by eliminating the impact of Phoenix Motor's net losses. This indicates that Phoenix Motor's financial performance was a drag on SPI Energy's profitability. 2. **Insider Transactions**: The sale of 12 million shares of Phoenix Motor by EdisonFuture Inc. for $12.24 million could signal a lack of confidence in Phoenix Motor's short-term prospects. Insider sales are often seen as a bearish indicator, although they do not necessarily imply a negative outlook. In conclusion, the drop in PEV's EPS in Q3 2023 is likely a result of a combination of factors including strategic divestiture and insider transactions.