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TORONTO - Electrovaya Inc. (NASDAQ:ELVA)(TSX:ELVA), a manufacturer specializing in lithium-ion battery technology with a market capitalization of $93 million, has secured a purchase order worth approximately $8.7 million from a leading Fortune 500 retailer in the United States. The company announced today that the order is for batteries to power electric vehicles used in material handling across three of the retailer’s existing warehouse sites. According to InvestingPro data, the company’s stock has experienced a notable decline of over 10% in the past week, though analysts remain optimistic about its growth prospects.
This new purchase order follows a $4.1 million order from the same retailer in December 2024 for two distribution centers. Electrovaya’s Vice President of Business Development, Dr. Jeremy Dang, expressed satisfaction with the continuation of the relationship, highlighting the customer’s significant use of their batteries since 2022. Currently, nearly 1500 Electrovaya batteries are in operation within the retailer’s distribution centers, with plans to further expand the fleet conversion to Electrovaya’s battery solutions in 2025 and 2026. The company maintains a healthy financial position with a current ratio of 1.55, indicating sufficient liquidity to meet its short-term obligations.
Electrovaya, headquartered in Ontario, Canada, is known for its proprietary Battery Technology Platform, which is said to offer enhanced safety and industry-leading battery longevity. The company is also advancing in the development of next-generation solid-state battery technology. With operating sites in Canada and a planned gigafactory in New York state, Electrovaya aims to contribute to the prevention of climate change through its energy storage solutions and heavy-duty electric vehicle batteries.
The company’s press release also contains forward-looking statements regarding potential additional orders and customer demand in the fiscal year 2025, as well as future business opportunities. InvestingPro analysis suggests positive prospects, with analysts forecasting earnings per share of $0.11 for fiscal year 2025 and anticipating sales growth. However, these statements are based on assumptions and are subject to various risks and uncertainties. Factors such as historical ordering patterns, the imposition of new tariffs, and macroeconomic effects could impact actual results. For detailed insights into Electrovaya’s financial health and growth potential, including 12 additional ProTips and comprehensive valuation metrics, explore the full Pro Research Report available on InvestingPro.
This news is based on a press release statement and reflects Electrovaya’s current business trajectory with one of its key customers in the retail sector.
In other recent news, Electrovaya Inc. has announced securing significant purchase orders, including a $7.3 million order from a Fortune 100 e-commerce company for batteries powering electric vehicles at distribution centers in the U.S. and Canada. This follows a previous $3.5 million order from the same client, bringing the total number of deployed batteries to over 2000. Additionally, Electrovaya has received a $4.2 million order from a U.S.-based cold storage logistics operator, a repeat customer, further strengthening its business relationships. These orders contribute to over $13 million in purchases by the logistics operator, with plans for further integration of Electrovaya’s battery technology.
The company is also maintaining its regulatory compliance, as evidenced by its recent Form 6-K filing with the U.S. Securities and Exchange Commission. This filing, a routine requirement for foreign private issuers, ensures transparency for investors and affirms Electrovaya’s commitment to regulatory standards. Electrovaya’s CEO, Raj Das Gupta, has signed off on the filing, reinforcing their dedication to open communication with stakeholders. The company’s adherence to SEC regulations is a critical aspect of its corporate governance. Investors and stakeholders can access the full filing on the SEC’s website for detailed information.
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