Income down 31.5% to $87.4 million in 2025 and internet loss widened to $95.6 million ($1.12 per share), pushed primarily by anti-dumping responsibility bills, greater litigation prices and weaker demand for EV and leisure car merchandise.
Margins and liquidity improved: gross margin rose to 42.6% from 30.8%, Kandi generated $96.8 million in internet money from operations and ended the yr with $211.9 million in money regardless of the income decline.
2026 “dual-engine” progress plan focuses on North American off-road EVs (UTVs, golf carts and the Rawrr acquisition) alongside battery-swap tools and clever robotics — together with CATL qualification and a three-year cooperation for heavy-truck swap stations and a JV with HawkRobo focusing on a robotics demo by June 2026.
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Kandi Applied sciences Group (NASDAQ:KNDI) used its full-year 2025 earnings name to emphasise operational and steadiness sheet enhancements regardless of a pointy decline in income and a wider annual internet loss. Administration described 2025 as a “pivotal yr” and outlined a dual-engine technique for 2026 centered on North American off-road electrical automobiles and new companies in battery swapping tools and clever robotics.
Administration cites stronger margins, money move and liquidity
Chief Government Officer Feng Chen, talking by means of an interpreter, stated the corporate has been working amid “a difficult macro backdrop marked by evolving geopolitics, shifting commerce insurance policies and uneven demand throughout our finish markets,” which weighed on efficiency. Even so, Chen stated Kandi made “significant enhancements in working high quality, a stronger money move profile, and a materially more healthy steadiness sheet.”
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Chen highlighted margin and money move progress, noting that gross margin improved to 42.6% in 2025 from 30.8% in 2024. He additionally stated the corporate generated $96.8 million in internet money from working actions and ended the yr with $211.9 million in money available. “These outcomes replicate our dedication to high-quality earnings, extra sustainable money flows, and stronger returns on invested capital,” he stated.
2025 monetary outcomes: income down, internet loss wider
Chief Monetary Officer Alan Lim reported internet income of $87.4 million for 2025, down 31.5% from $127.6 million in 2024. Lim attributed the decline primarily to “decreased demand for EV merchandise within the PRC market and fewer gross sales of crossover golf carts and different car fashions.” He additionally pointed to macro and coverage components, saying “ongoing commerce uncertainties, together with the potential tariffs and commerce restrictions, along with persistent inflation and elevated rates of interest,” damage shopper demand for higher-priced leisure automobiles and decreased gross sales to Kandi’s main retail prospects and distributors.
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Value of products offered fell to $50.1 million from $88.3 million, which Lim stated was primarily as a result of lower in gross sales. Gross revenue was $37.3 million in contrast with $39.3 million a yr earlier. Gross margin rose to 42.6% from 30.8%; Lim stated the margin enchancment was “primarily pushed by elevated gross sales of the beforehand impaired stock.”
Complete working bills declined 12.6% to $91.5 million from $108.1 million. Inside working bills:
Analysis and improvement elevated to $7.6 million from $5.0 million, up 52.6%, which Lim attributed primarily to “the completion of analysis and improvement tasks through the present interval.”
Promoting and advertising decreased to $16.7 million from $21.2 million, down 21.5%, pushed by decrease freight and fee bills in keeping with decrease income.
Common and administrative declined to $54.4 million from $57.7 million, down 5.7%, which Lim stated was primarily because of decreased depreciation and amortization following a “materials impairment of long-term property provision in 2024.”
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Loss from operations narrowed to $57.2 million from $68.8 million. Nonetheless, internet loss widened to $95.6 million from $51.0 million in 2024. Lim attributed the change primarily to greater bills tied to anti-dumping responsibility bills and elevated litigation prices in contrast with the prior yr. Fundamental and diluted internet loss per share was $1.12, versus $0.59 in 2024.
Twin-engine technique for 2026: North American off-road EVs and new progress companies
Chen stated that after reassessing “enterprise boundaries, progress trajectory, and long-term general path,” the corporate will enter a “new section of progress” beginning in 2026, anchored round two core engines.
The primary engine is Kandi’s off-road electrical car enterprise centered on North America, spanning UTVs, golf carts and different electrical off-road merchandise. Chen described this phase as Kandi’s “core franchise,” supporting steady money flows and a developed distribution community. He stated the “core enterprise remained steady” within the first quarter, with progress in distribution growth and improved per-dealer gross sales efficiency. Trying into 2026, Chen stated Kandi is advancing its North American UTV enterprise throughout 4 dimensions: next-generation mannequin improvement, enhanced product expertise, improved channel effectivity and strengthened provide chain capabilities.
Chen added that Kandi has set inside gross sales targets “meaningfully above historic ranges” and has engaged an exterior automotive design crew “with confirmed mass manufacturing expertise” to assist design next-generation UTV merchandise, with a acknowledged purpose to enhance competitiveness in out of doors recreation and low-carbon mobility markets.
The second engine combines battery swapping tools and clever robotics. Chen characterised battery swapping tools as the corporate’s “most vital breakthrough alternative in 2026.” He stated that in August 2025, the corporate’s subsidiary China Battery Change was certified as a battery swap tools provider inside CATL’s provide chain and secured its first order for heavy truck battery swap station tools. In January 2026, Chen stated China Battery Change entered a three-year strategic cooperation settlement with a CATL subsidiary protecting mass manufacturing and supply of heavy truck battery swap station tools. “Based mostly on our present order visibility and manufacturing schedule, we’re assured in attaining significant income progress in 2026,” Chen stated.
Rawrr acquisition and robotics milestone targets
Chen additionally mentioned a deal to increase Kandi’s North American product portfolio. He stated that in December 2025, the corporate signed an settlement to accumulate Rawrr, which he described as a premium U.S.-based electrical off-road bike model. With Rawrr, Chen stated Kandi goals to determine electrical off-road bikes as a “significant new progress class” in North America by 2026. He cited potential synergies with Kandi’s distribution community, provide chain and product lineup, and stated integration priorities embrace “model alignment, channel coordination, provide chain optimization, and product improvement,” with an emphasis on turning the acquisition into “significant, measurable income contribution.”
On clever robotics, Chen stated the corporate is focusing on deployments of autonomous quadruped robots in safety, patrol and logistics parking environments. He stated Kandi entered a strategic partnership with HawkRobo Methods LLC to kind a three way partnership, KH Robotics, aimed toward creating localized testing, validation and industrial operations capabilities in North America. Chen stated the corporate expects to finish a primary useful demo “by roughly June 2026,” adopted by discipline testing and preliminary pilot deployments within the second half of the yr, whereas refraining from near-term income steerage given the early stage of deployment.
Chen stated Kandi intends to keep up a disciplined strategy to capital allocation, arguing that the corporate’s money place is supposed to protect flexibility in an unsure surroundings. He added that future investments, acquisitions or capability growth can be evaluated towards benchmarks together with “industrial progress, money payback cycles, and risk-adjusted returns.”
About Kandi Applied sciences Group (NASDAQ:KNDI)
Kandi Applied sciences Group, Inc is a China-based producer centered on the design, improvement and manufacturing of electrical automobiles (EVs), batteries and charging infrastructure. The corporate gives a variety of small, neighborhood electrical automobiles (NEVs) underneath its personal model and provides key parts—together with battery packs and electrical drive programs—to automotive companions. Along with car manufacturing, Kandi is engaged within the improvement and operation of charging stations and battery-swap amenities supposed to help EV adoption in city environments.
Based in 2002 and headquartered in Jinhua, Zhejiang Province, Kandi started its operations producing all-terrain automobiles (ATVs) and leisure off-road merchandise.
The article “Kandi Applied sciences Group This fall Earnings Name Highlights” was initially revealed by MarketBeat.
