On October 4, 2024, U Power Limited, a vehicle sourcing service provider in China with a focus on electric vehicle (EV) market and proprietary battery-swapping technology, reported its unaudited financial results for the six months ended June 30, 2024. The report, filed with the SEC, included comprehensive financial statements and an operating and financial review. U Power, which began operations in 2013, has shifted its focus from vehicle sourcing to developing its UOTTA technology since 2020, and has been cooperating with major automobile manufacturers to develop UOTTA-powered EVs. The company also operates a battery-swapping station factory in Zibo, China. The financial results showed a significant increase in product sales, primarily from battery swapping stations, which accounted for 93.9% of total revenues, while sourcing services...Show More

On October 4, 2024, U Power Limited, a vehicle sourcing service provider in China with a focus on electric vehicle (EV) market and proprietary battery-swapping technology, reported its unaudited financial results for the six months ended June 30, 2024. The report, filed with the SEC, included comprehensive financial statements and an operating and financial review. U Power, which began operations in 2013, has shifted its focus from vehicle sourcing to developing its UOTTA technology since 2020, and has been cooperating with major automobile manufacturers to develop UOTTA-powered EVs. The company also operates a battery-swapping station factory in Zibo, China. The financial results showed a significant increase in product sales, primarily from battery swapping stations, which accounted for 93.9% of total revenues, while sourcing services decreased to 0.6%. The company's cost of revenues increased substantially due to the cost of product sales, and as a result, gross profit slightly decreased. General and administrative expenses rose due to increased audit and professional service costs, while research and development expenses decreased. The company recorded a net loss of RMB26.5 million (US$3.6 million) for the period. U Power's cash and cash equivalents stood at RMB39.6 million (US$5.5 million) as of June 30, 2024. The report also discussed the impact of COVID-19 on operations, the company's tax obligations in various jurisdictions, and its liquidity and capital resources, including a bank facility agreement with Bank of Qishang. The company's ability to continue as a going concern was noted, with management's plan to alleviate this concern through investor proceeds and operational cash flow.