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AUSTIN, Texas - Volcon Inc. (NASDAQ: VLCN), an all-electric off-road powersports company with a current market capitalization of $2.62 million, announced its financial results for the first quarter ending March 31, 2025, along with operational highlights. The company successfully sold all remaining Grunt EVO motorcycles during the quarter and is developing a new dual-sport motorcycle aimed for release in the second half of 2025. According to InvestingPro data, the stock has experienced significant volatility, currently trading near its 52-week low of $0.66.
The company’s revenue for Q1 2025 was reported at $736,049, a decrease from the previous two quarters. The cost of goods sold was significantly lower than in Q4 2024 and Q3 2024, with no similar significant expenses noted in Q1 2025. While the gross margin is trending close to break-even when adjusted for one-time charges in previous quarters, InvestingPro analysis reveals concerning metrics, including a gross profit margin of -350% over the last twelve months. The company maintains a current ratio of 1.09, indicating adequate short-term liquidity despite operational challenges.
Operating expenses have decreased across all categories as the company focuses on reducing costs. The net loss for the quarter was $2,460,430, which included an insignificant amount of other income. This is an improvement from the net losses reported in the last two quarters of 2024.
In recent developments, Volcon signed an amended golf cart supply agreement with Venom-EV LLC in April 2025, adjusting payment terms and the percentage Volcon will be paid for each golf cart ordered. Furthermore, the company is assessing the impact of tariffs imposed by the U.S. on goods imported from China and Vietnam, where Volcon’s vehicles are manufactured. With a beta of -1.08, the stock typically moves counter to market trends, which could be significant given the current trade uncertainties. For deeper insights into Volcon’s financial health and 17 additional ProTips, consider subscribing to InvestingPro. Tariffs for China increased on April 9, 2025, while those for Vietnam were deferred for 90 days. The company is considering options to mitigate the impact of these tariffs, including assembling vehicles in the U.S. or passing the costs on to consumers.
CEO John Kim emphasized the company’s strong cash position and commitment to navigating the uncertainty of the international trade landscape. He mentioned ongoing efforts to limit the impact of tariffs and maintain profitability.
The financial results are preliminary and subject to audit. This report is based on a press release statement from Volcon Inc. and presents the company’s performance and strategic adjustments without speculation or promotional commentary.
In other recent news, Volcon Inc. has announced a $2 million share buyback program, as detailed in a regulatory filing. This initiative, approved by the Board of Directors, allows the company to repurchase shares until March 7, 2026, with the aim of potentially enhancing shareholder value by reducing the number of shares outstanding. Concurrently, Volcon has entered into a significant supply agreement with Venom-EV to provide up to $3 million worth of electric golf carts. This deal includes a unique equity component where Volcon will issue shares to Venom based on the number of units purchased, marking a strategic expansion into the golf cart market.
The partnership with Venom-EV is expected to bolster Volcon’s presence in this segment, supported by recent U.S. tariffs on Chinese-made golf carts. Additionally, Volcon has made new appointments to its board committees, with Karin-Joyce Tjon and Jonathan Foster taking on key roles. The company’s CEO, John Kim, has highlighted the recent product launches and distribution agreements as pivotal to these strategic decisions. These developments reflect Volcon’s ongoing efforts to enhance its market position and financial strategy.
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