ASX listed global electric motorcycle and scooter manufacturing and distribution group Vmoto (ASX:VMT) is gaining momentum in Europe.
Similar to its electric engines, Vmoto is a quiet achiever.
In 2018 the company generated revenues of $19.6 million, a sizable 30 percent increase on its 2017 figures.
Vmoto also boasted cash-flow positive status in 2018, and achieved a positive EBITDA of $18k.
Capitalising on the rising demand for affordable, low emissions electric transportation, Vmoto’s sales have seen significant growth across Europe.
In the fourth quarter of its 2018 financial year, Vmoto sold 1,689 electric vehicle (EV) units to Europe, a 141 percent rise on the previous quarter and a 587 percent increase on the prior corresponding period in 2017.
Vmoto’s Managing Director, Mr Charles Chen, commented on the company’s strong performance in 2018 and continued expansion across Europe.
“I am very pleased to confirm that FY2018 saw Vmoto achieve record unit sales into international markets and a modest positive EBITDA, as our investment into international marketing and expansion of the Company’s European distribution network and European warehouse began to see results.”
“Our manufacturing and international sales and marketing cooperation with Super Soco has also created synergies for both organisations and further supported our growth and with the upward trend of electric vehicle sales in international markets, we are very confident for another successful year in FY2019.”
The company also saw its distribution network grow further in Europe, Africa and Asia, with new exclusive distributors appointed in Austria, Germany, South Africa and Taiwan.
Vmoto’s product range is separated into two streams. The company’s E-Max range of electric scooters are focused on B2B markets, particularly companies operating in the booming ‘last mile’ delivery space, typified by companies such as Deliveroo and Zoom2u.
The company’s other product range, the Super Soco electric motorcycles, is focused on the B2C market.
The two wheel EV market in Europe
In 2018, Europe’s two wheel vehicle sales experienced a bumper year. Across the region, motorcycle and scooter sales rose 9.9 percent.
While electric bikes accounted for a modest 0.75 percent of bikes currently sold in Europe, 2018 EV bike sales rose by an astonishing 81.5 percent.
Within Europe, the biggest adopter of EV two wheelers has been Spain, followed by France, the Netherlands, Italy and Germany.
In Spain electric scooters and mopeds now account for 21.5 percent of Spain’s total 16,073 market.
With Europe as its primary focus, Vmoto looks perfectly placed to capitalise on the two wheel EV boom.
This content is produced by Star Investing in commercial partnership with Vmoto. This content does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.
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