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DALIAN, China - CBAK Energy Technology, Inc. (NASDAQ:CBAT) announced Wednesday the completion of a new production line for its Model 40135 battery at its Dalian CBAK Power Battery subsidiary. According to InvestingPro data, the company maintains a solid financial position with more cash than debt on its balance sheet, supporting its expansion initiatives.
The new battery features larger size and higher capacity compared to the company’s current flagship Model 32140. The production line has achieved an initial daily capacity of approximately 20,000 cells and has delivered around 500,000 cells in its first month of operation, generating approximately $2 million in revenue. This development comes as CBAT’s total revenue reached $145.5 million in the last twelve months, though analysts tracked by InvestingPro anticipate an 11% sales decline for the current year.
CBAK Energy expects production to increase to about 100,000 cells per day by the end of 2025. The company has already received orders for approximately 1.2 million cells awaiting delivery, representing an estimated $5 million in revenue.
"CBAK Energy’s product portfolio now includes small cylindrical cell models such as 26650/26700, and large cylindrical models including 32140/40135," said Zhiguang Hu, CEO of CBAK Energy, in the press release.
The company noted that major customers are currently testing and validating the new Model 40135, which has temporarily affected sales performance during this transition period.
The Model 40135 represents an upgrade from the Model 26650, which was originally developed in 2006. CBAK Energy has been investing in the establishment of this new production line since the beginning of 2025.
CBAK Energy became the first lithium battery manufacturer in China listed on the Nasdaq Stock Market in January 2006 and operates multiple subsidiaries in Dalian, Nanjing and Shaoxing. The stock has shown strong momentum with a 69% return over the past six months, though it trades at a relatively low revenue multiple. Discover more insights about CBAT’s valuation and growth potential in the comprehensive Pro Research Report, available exclusively on InvestingPro, along with 12 additional ProTips and detailed financial metrics.
In other recent news, CBAK Energy Technology has reported a 15% decline in net revenue for the second quarter of 2025, amounting to $40.52 million. Despite the revenue drop, the company experienced a net loss of $3.07 million, with the battery segment significantly contributing to these losses. However, the Hytrans segment reported impressive growth, with net revenue increasing by 59.36%. In a separate development, CBAK Energy Technology announced a merger agreement with its wholly owned subsidiary, CBAK Energy Technology Limited, based in the Cayman Islands. The merger aims to redomicile the company from Nevada to the Cayman Islands, with the Cayman entity becoming the surviving company. Each share of CBAK Energy Technology, Inc. common stock will convert into one ordinary share of the Cayman Islands company upon completion of the merger. The merger is expected to maintain the same assets and liabilities as the current company. These recent developments highlight significant changes and strategic moves within CBAK Energy Technology.
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