Microvast Stock Hits New 52-Week Highs: What's Going On?

Microvast Holdings Inc. MVST shares are soaring Tuesday after the company reported better-than-expected first-quarter earnings and a sharp improvement in profitability.

What To Know: The battery technology firm posted first-quarter revenue of $116.5 million, beating analyst estimates of $103.75 million and marking a 43.2% increase from the $81.4 million reported in the same quarter last year.

Adjusted earnings came in at 6 cents per share in the first quarter, while adjusted net profit reached $19.3 million. This marks a reversal from the adjusted net loss of $13 million in the year-ago period. The company also reported a GAAP net profit of $61.8 million and adjusted EBITDA of $28.5 million, signaling a significant improvement in operating efficiency.

Margins improved as well, with non-GAAP adjusted gross margin rising to 37%, up from 22.6% a year earlier. Operating expenses fell to $24.9 million from $30.1 million last year, reflecting tighter cost control. CEO Yang Wu pointed to rising demand for Microvast's battery solutions and the company's continued focus on profitability as key factors behind the strong quarter.

Microvast reaffirmed its full-year 2025 revenue guidance of $450 million to $475 million, maintaining a year-over-year growth target of 18% to 25%. Analysts currently expect the company to report full-year revenue of $462.97 million.

The sharp surge higher in shares appears to reflect investor confidence in the company's financial turnaround and its positioning in the battery manufacturing sector.

MVST Price Action: Microvast shares were up 34.9% at $3.22, trading at 52-week highs at the time of publication Tuesday, according to Benzinga Pro.

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