GreenMobility: Downgrades revenue guidance and upgrades net result guidance for 2023

This morning, GreenMobility reported its H1 2023 results and changed its guidance for 2023. In H1 2023, the company grew its revenue to DKK 54.9m, corresponding to a growth rate of 29% compared to the same period last year. Following the increasing focus on its core markets and cost initiatives, the company improved its net result to DKK -10.1m in Q2 2023 (DKK -16.6m in Q2 2022), totaling DKK -27.7m in H1 2023 (DKK -34.9m in H1 2022).

For the full-year 2023, GreenMobility downgrades its revenue guidance to the range of DKK 120-130m (from the range of DKK 135-145m) and upgrades its net result guidance to the range of DKK -42m to DKK -32m (from the range of DKK -45m to DKK -35m). Revenue guidance is downgraded, as the company has seen a slower revenue uptake in moved cars from its closed markets (Sweden and Germany) to its existing core markets. On the other hand, GreenMobility has improved its operational effectiveness in line with its strategy update at the beginning of 2023, which is expected to improve the net result for the year.

With the new 2023 guidance, GreenMobility expects revenue in H2 2023 of approx. DKK 65-75m, corresponding to a growth rate of 18-36% vs. H1 2023. The company has also carried out general cost reductions by the end of June 2023 with full effect from Q4 2023. This is expected to reduce GreenMobility’s monthly cost base by DKK 1.5m per month and support the company’s goal of reaching group profitability in 2024.

GreenMobility had liquidity of DKK 12.2m at the end of H1 2023. The company comments that they do not see a current need for additional capital, however, GreenMobility operates in an industry where cost and customer behavior may change. As a result, the board and management are looking into possible solutions to strengthen its liquidity position, including loans, credit lines, or a capital raise.

Read the full H1 report here: https://view.news.eu.nasdaq.com/view?id=bc39b720aaed9109fea2d0999d17caafe&lang=en&src=listed

Sign up for the presentation today at 12:00 with GreenMobility’s CFO Anders Wall. He will present the H1 2023 report and answer questions from the audience: https://www.inderes.dk/videos/greenmobility-presentation-of-h1-2023

Disclaimer: HC Andersen Capital receives payment from GreenMobility for a Digital IR/Corporate Visibility subscription agreement. CEO of HC Andersen Capital, Tue Østergaard, owns shares and is the Chairman of the Board of GreenMobility. /Kasper Lihn 10:25, 10 August 2023.