Faraday Future Shares Plummet On Disappointing FY23 Sales And Nasdaq Compliance Issues

Zinger Key Points
  • Faraday Future's shares dropped after reporting worse-than-expected FY23 sales and withdrawing its production target guidance.
  • The company is set to reveal its "US-China Automotive Industry Bridge Strategy" soon aiming to leverage strengths from AI.

Faraday Future Intelligent Electric Inc. FFIE shares dropped sharply after the company reported worse-than-expected fiscal year 2023 sales results and withdrew its production target guidance. The company also received a written notice from Nasdaq regarding its failure to timely file the Quarterly Report on Form 10-Q, further impacting investor confidence.

What’s Going On: The company reported quarterly sales of $784 thousand, missing the analyst consensus estimate of $2.60 million by 69.73% and EPS of $(44.81) per share which beat the analyst consensus estimate of $(47.97) by 6.59%. Faraday Future also announced the withdrawal for the target guidance 2024 is due to current market conditions and funding levels.

Despite these setbacks, Faraday Future plans to unveil its “US-China Automotive Industry Bridge Strategy” within the next two months. This initiative aims to leverage the strengths of both US and Chinese automotive industries by integrating Faraday Future’s high-value “Ultimate AI TechLuxury” solutions into more affordable mass-market products. The company has already started discussions with global OEMs and suppliers to explore industrial coordination and collaboration.

Furthermore, Faraday Future received an extension from Nasdaq pending a hearing with the Nasdaq Hearings Panel. The company successfully filed its 10-K Financial Report and is working on the first quarter 2024 Form 10-Q.

Related Link: Faraday Future Plans to Share Details of its “US-China Automotive Industry Bridge Strategy” in the Next Month or Two and has Received a Grant from Nasdaq for an Extended Stay of Suspension

What Else: Faraday Future is also focused on ramping up production of its FF 91 vehicle. A quality enhancement campaign has been launched to accompany the production increase, with improvements in quality assurance and vehicle functionality.

Faraday Future remains committed to advancing electric vehicle technology and aims to establish itself as a leader in the intelligent, AI-driven mobility sector.

FFIE Price Action: Faraday Future Intelligent Electric Inc. shares are down 42.7% at 67 cents at the time of writing, according to Benzinga Pro.

See Also: Is Faraday Future Meme Stock Material? Reddit Army Charges In As EV Maker Faces SEC Heat, Reveals Bleak Results: ‘Hold The Fort! Don’t Panic!’

Photo courtesy: Faraday Future

Market News and Data brought to you by Benzinga APIs
Posted In: NewsMoverswhy it's moving
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!