Cenntro 2025 Q2 Earnings Narrowed Losses Amid Revenue Decline

Cenntro (CENN) reported its fiscal 2025 Q2 earnings on Aug 12th, 2025, showing a 12.4% drop in total revenue to $6.41 million from $7.31 million a year ago. While the company managed to narrow its per-share losses, its net loss widened year-over-year, indicating persistent financial challenges.

Cenntro narrowed its per-share loss to $0.27 in Q2 2025 from $0.30 in the same period last year, a 10.0% improvement. However, the company’s net loss expanded to $-9.90 million, a 7.6% increase from $-9.19 million in 2024 Q2. This follows four consecutive years of losses in the same quarter, underscoring ongoing operational difficulties.

Revenue

Cenntro’s total revenue for Q2 2025 declined by 12.4% to $6.41 million compared to $7.31 million in Q2 2024. The decrease was primarily driven by lower performance in vehicle sales, which accounted for $6.08 million of the total revenue. Spare-part sales and other sales contributed $259,222 and $68,898 respectively. Despite the overall decline, vehicle sales remained the core revenue generator for the company.

Earnings/Net Income

Cenntro’s narrowed per-share loss to $0.27 in Q2 2025, a 10.0% improvement from the $0.30 loss per share in the same period a year prior. However, the company’s net loss widened to $-9.90 million in Q2 2025 from $-9.19 million in Q2 2024, representing a 7.6% increase. The company has now posted losses for the fourth consecutive year in this quarter, highlighting the continued financial strain it faces.

Price Action

Following the earnings report, Cenntro’s stock price rose by 4.80% during the latest trading day and by 6.98% during the most recent full trading week. However, the stock has experienced a sharp decline of 22.19% month-to-date, indicating volatile market sentiment.

Post-Earnings Price Action Review

The strategy of purchasing Cenntro shares after its revenue increased quarter-over-quarter on the earnings report date and holding for 30 days has not been successful. Over the past three years, this strategy returned -93.52%, significantly underperforming the benchmark by 142.68%. The approach exhibited a high level of risk, as indicated by a maximum drawdown of 0% and a Sharpe ratio of -0.70.

CEO Commentary

Cenntro’s CEO, Mr. William H. H. Lin, reiterated the company’s focus on delivering sustainable electric vehicle solutions for urban mobility and last-mile delivery. He highlighted challenges in scaling production and supply chain constraints while expressing confidence in the growing demand for zero-emission commercial EVs. Strategic priorities include expanding market presence through targeted investments and strengthening product innovation across Class 1 to Class 8 vehicles. Lin remained cautiously optimistic, acknowledging both the potential of the EV market and the need for careful execution to achieve long-term goals.

Guidance

Cenntro did not provide explicit forward-looking quantitative guidance in its Q2 2025 earnings report. However, the CEO reiterated the company’s focus on cost optimization, market expansion, and enhancing operational efficiency to position Cenntro for future profitability.

Additional News

In the three weeks following Cenntro’s Q2 2025 earnings report, several key corporate developments emerged. One significant event involved a major investment by a venture capital firm into a battery innovation startup, reflecting growing interest in electric vehicle (EV) infrastructure. Another notable development was a strategic partnership between a leading EV parts supplier and an emerging automaker, aimed at co-developing next-generation EV components. Additionally, a prominent EV industry executive was announced as the new president of a major industry association, marking a leadership change that could influence policy and market dynamics. These developments highlight continued momentum in the EV sector, although Cenntro’s own path toward profitability remains uncertain.