Revenue plummeted 90.3% year-over-year in 2024Q4, while operating margins deteriorated to -133.7% due to a complete lack of operating leverage.
| Sales/Revenue | 386.94K | 3.16M | 6.82M | 15.99M |
| Revenue Growth % | -87.77% | -53.6% | -57.37% | - |
| Cost of Goods Sold | 3.85M | 7.08M | 9.67M | 19.75M |
| COGS % of Revenue | 994.79% | 223.76% | 141.85% | 123.53% |
| Gross Profit | -3.46M | -3.91M | -2.85M | -3.76M |
| Gross Margin % | -894.79% | -123.75% | -41.85% | -23.53% |
| Gross Profit Growth % | 11.54% | -37.23% | 24.19% | - |
| Operating Expenses | 25.66M | 4.03M | 5.36M | 5.94M |
| OpEx % of Revenue | 6631.41% | 127.44% | 78.63% | 37.18% |
| Selling, General & Admin | 13.11M | 3.49M | 4.25M | 5.52M |
| SG&A % of Revenue | 3388.4% | 110.28% | 62.38% | 34.55% |
| Research & Development | 108.86K | 873.97K | 904K | 1.36M |
| R&D % of Revenue | 28.13% | 27.63% | 13.26% | 8.49% |
| Other Operating Expenses | 12.44M | -331.3K | 203.27K | -938.29K |
| Operating Income | -29.12M | -7.94M | -8.21M | -9.71M |
| Operating Margin % | -7526.2% | -251.2% | -120.48% | -60.71% |
| Operating Income Growth % | -266.56% | 3.24% | 15.4% | - |
| EBITDA | -27.41M | -4.95M | -4.27M | -4.25M |
| EBITDA Margin % | -7083.47% | -156.56% | -62.63% | -26.59% |
| EBITDA Growth % | -453.54% | -16.01% | -0.42% | - |
| D&A (Non-Cash Add-back) | 1.71M | 2.99M | 3.94M | 5.46M |
| EBIT | -18.77M | -7.34M | -9.24M | -9.79M |
| Net Interest Income | -324.1K | -82.47K | -506.9K | -491.16K |
| Interest Income | 38.57K | 18.66K | 20.1K | 68.86K |
| Interest Expense | 362.68K | 101.13K | 527K | 560.02K |
| Other Income/Expense | -991.62K | 498.65K | -1.56M | -647.41K |
| Pretax Income | -30.11M | -7.45M | -9.77M | -10.35M |
| Pretax Margin % | -7782.47% | -235.43% | -143.29% | -64.76% |
| Income Tax | 0 | 0 | 2.21K | 0 |
| Effective Tax Rate % | 0% | 0% | -0.02% | 0% |
| Net Income | -30.11M | -7.45M | -9.77M | -10.35M |
| Net Margin % | -7782.47% | -235.43% | -143.32% | -64.76% |
| Net Income Growth % | -304.43% | 23.77% | 5.65% | - |
| Net Income (Continuing) | -30.11M | -7.45M | -9.77M | -10.35M |
| Discontinued Operations | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -40.80 | -409.60 | -256.00 | -268.80 |
| EPS Growth % | 90.04% | -60% | 4.76% | - |
| EPS (Basic) | -40.80 | -409.60 | -256.00 | -268.80 |
| Diluted Shares Outstanding | 738.2K | 18.27K | 39.1K | 39.1K |
| Basic Shares Outstanding | 738.2K | 18.27K | 39.1K | 39.1K |
| Dividend Payout Ratio | - | - | - | - |
Imminent liquidity insolvency risk
As reported in recent financial filings, Elong Power experienced a severe 90.3% year-over-year revenue decline in 2024Q4, underscoring a fundamental inability to secure recurring supply agreements within the competitive Chinese industrial battery market while operating at a negligible scale of under $400,000 in quarterly revenue.
The dramatic contraction suggests that the company's project-based business model has failed to gain traction, leaving it without a reliable revenue stream. Investors should monitor whether this decline reflects a permanent loss of market share or a complete cessation of commercial activity in its core construction machinery segment.
Based on the company's latest income statement, gross margins have deteriorated to -12.8% in 2024Q4, indicating that the cost of goods sold consistently exceeds revenue and suggesting that the current manufacturing footprint is fundamentally misaligned with the company's extremely low production volume.
The persistent negative gross margins imply that the company is unable to cover even the variable costs of production, let alone the high fixed overhead associated with battery manufacturing. This level of margin compression warrants deep skepticism regarding the firm's ability to achieve unit-level profitability without a radical restructuring of its cost base.
According to the provided quarterly data, operating expenses ballooned to $12.1 million in 2024Q4 while revenue plummeted, resulting in an operating margin of -133.7% and demonstrating a complete lack of operating leverage as the company fails to scale its administrative and overhead costs appropriately.
The divergence between rising SG&A expenses and collapsing revenue suggests that management has been unable to align its cost structure with the reality of its commercial performance. This disconnect indicates that the company is burning through its remaining capital to support an infrastructure that is not generating meaningful economic value.
With cash reserves reported at only $146,514, the company faces an immediate going-concern risk, as the current burn rate significantly exceeds the available liquidity, rendering any potential value in its specialized LMO and LFP battery intellectual property largely inaccessible without an urgent and dilutive capital infusion.
While some might argue the company holds niche value for a larger industrial acquirer, the financial data suggests that the firm is effectively a distressed asset. Investors should consider that the lack of a capital buffer makes the company highly susceptible to total loss in the event of any further operational or market-related disruption.
Quick answers to the most common questions about buying ELPW stock.
For fiscal year 2024, Elong Power Holding Limited (ELPW) reported total revenue of $0.4M. This represents a 97.6% decline compared to $16.0M in 2021.
Elong Power Holding Limited (ELPW) reported a net loss of $30.1M for the fiscal year ending 2024.
Elong Power Holding Limited (ELPW) reported an operating income of $-29.1M, resulting in an operating profit margin of -7526.2%. This margin reflects the operational efficiency of the business before interest and taxes.
Elong Power Holding Limited (ELPW) generated $-3.5M in gross profit for the year, representing a gross profit margin of -894.8%. This demonstrates the company's core pricing power and production efficiency.