Press Release: Kandi Technologies Reports First Half of 2026 Unaudited Financial Results

Dow Jones09-28 19:00
   -- Revenue increased 57.4% year over year to $57.1M 
 
   -- Net income increased 452.2% year over year to $9.4M 
 
   -- Strengthened balance sheet with $286M in cash, restricted cash and time 
      deposits 

JINHUA, China, Sept. 28, 2026 (GLOBE NEWSWIRE) -- Kandi Technologies Group, Inc. ("Kandi" or the "Company") (NASDAQ GS: KNDI), a global innovator in intelligent equipment and a technology-driven platform company, today announced its unaudited financial results for the six months ended June 30, 2026.

First Half 2026 Financial Highlights

   -- Total net revenues increased 57.4% year over year to $57.1 million from 
      $36.3 million. 
 
   -- Net income increased 452.2% year over year to $9.4 million from $1.7 
      million. 
 
   -- Cash and cash equivalents, restricted cash, and certificates of deposit 
      totaled $285.7 million as of June 30, 2026, compared with $211.9 million 
      as of December 31, 2025. 
 
   -- Revenue from off-road vehicles and associated parts increased 59.4% to 
      $54.2 million, compared with $34.0 million for the same period of 2025. 

Recent Developments

   -- On February 6, 2026, Kandi completed its acquisition of Rawrr, a premium 
      electric off-road motorcycle brand in the United States. The acquisition 
      reinforces Kandi's presence in the North American sustainable mobility 
      market and represents a pivotal milestone in the Company's long-term 
      multi-brand expansion strategy. Rawrr's electric off-road motorcycles 
      have expanded Kandi's product portfolio, which also includes LSPTVs 
      (Low-Speed Personal Transportation Vehicles), UTVs (Utility Terrain 
      Vehicles), and other off-road vehicles, enabling the Company to serve a 
      broader customer base with a more comprehensive suite of low-carbon 
      mobility solutions across community transportation, outdoor recreation, 
      and sports leisure applications. 
 
   -- In June 2026, Kandi entered into an agreement to acquire a 51% 
      controlling stake in Hangzhou Xinchu New Energy Technology Co., Ltd. 
      ("Xinchu") for RMB20 million (approximately US$2.9 million), marking its 
      entry into the rapidly growing AI data center backup power and energy 
      storage market. Founded by an experienced team with deep expertise across 
      Southeast Asia, the Middle East, and Africa, Xinchu designs and 
      manufactures lithium battery backup power and battery management systems 
      for AI data centers, telecom base stations, and high-density GPU 
      computing environments. The transaction was completed in the third 
      quarter of 2026. 
 
   -- In July 2026, Kandi's subsidiary, Kandi Electric Vehicles (Hainan) Co., 
      Ltd. ("Kandi Hainan"), entered into an exclusive five-year cooperation 
      agreement with Zhejiang Greentown Community Business Group Co., Ltd. to 
      deploy electric sightseeing vehicles, classified as low-speed electric 
      vehicles ("LSVs"), across residential communities in China. By leveraging 
      Greentown's extensive nationwide property management network, the 
      partnership is expected to expand Kandi's domestic off-road EV business 
      and establish a scalable, recurring-revenue community mobility model. 
 
   -- In July 2026, Kandi's subsidiary, China Battery Exchange, secured an 
      equipment procurement order from CATL's QIJI Energy for 18 battery swap 
      stations, representing the first batch order under the parties' 
      three-year cooperation agreement entered into in January 2026. Covering 
      end-to-end services spanning equipment manufacturing, delivery, site 
      deployment, and after-sales maintenance, this order marks the 
      partnership's transition from pilot phase into active commercial 
      deployment, reinforcing China Battery Exchange's position within CATL's 
      heavy-truck battery swap supplier ecosystem. 
 
   -- In July 2026, China Battery Exchange commenced production at its newly 
      established battery swap equipment manufacturing base in Lin'an, Zhejiang 
      Province. The facility is expected to reach an annual production capacity 
      of up to 200 heavy-duty truck battery swap stations, supporting the 
      Company's efforts to expand standardized battery swap equipment 
      manufacturing. The commencement of production is directly supported by 
      growing commercial momentum, including the 18-station equipment 
      procurement order from CATL's QIJI Energy. 

Management Remarks

Mr. Feng Chen, CEO of Kandi, commented, "In the first half of 2026, Kandi delivered strong revenue growth and returned to operating profitability, reflecting improved operating leverage. Our North American off-road electric vehicle business was a key contributor to this growth, supported by increased sales momentum and the additional revenue contribution from Rawrr. We will continue to build on this progress by broadening our channel network, upgrading our product portfolio and deepening Rawrr's integration to reinforce our competitive position.

"Beyond our core business, we are leveraging our technology and manufacturing expertise to pursue opportunities in energy and intelligent equipment. Our battery-swapping equipment business is gaining commercial traction and our expansion into AI data center backup power and energy storage is opening new markets. Our current priority is on fulfilling customer orders, building customer relationships and validating solutions in real-world applications. We will continue to tailor these efforts to each initiative's stage of development as we build a more diversified revenue base.

"Looking beyond 2026, we expect upgrades to Kandi's product lineup, new Rawrr product launches and contributions from emerging businesses to support continued growth. Backed by a solid financial position, we intend to pursue these initiatives with a disciplined approach to capital allocation, aligning investment with commercial progress to optimize capital efficiency, propel sustainable growth and create long-term shareholder value."

First Half 2026 Financial Results

REVENUES

Net revenues were $57.1 million, representing an increase of 57.4% from $36.3 million for the same period of 2025. This increase was mainly due to an increase in sales of off-road vehicles compared to the prior period, as well as the additional revenue contributed by Rawrr, which the Company acquired in February 2026.

COST OF GOODS SOLD

Cost of goods sold was $32.3 million, representing an increase of 62.3% from $19.9 million for the same period of 2025. The increase was primarily due to the corresponding increase in sales.

GROSS PROFIT

Gross profit was $24.8 million, compared with $16.4 million for the same period of 2025. Gross margin was 43.5%, compared with 45.2% for the same period of 2025.

OPERATING EXPENSES

Total operating expenses were $19.3 million, representing an increase of 5.3% from $18.3 million for the same period of 2025.

Research and development expenses were $2.4 million, representing a decrease of 3.5% from $2.5 million for the same period of 2025.

Selling and marketing expenses were $5.0 million, representing an increase of 10.0% from $4.5 million for the same period of 2025. The increase reflected higher sales activity.

General and administrative expenses were $11.9 million, representing an increase of 5.4% from $11.3 million for the same period of 2025.

INCOME (LOSS) FROM OPERATIONS

Income from operations was $5.5 million, compared with loss from operations of $1.9 million for the same period of 2025.

NET INCOME

Net income was $9.4 million, compared with $1.7 million for the same period of 2025. The increase was primarily driven by higher net revenues and gross profit, while operating expenses remained relatively stable.

Basic and diluted net income attributable to the Company's shareholders was $0.10 per share, compared with $0.02 per share for the same period of 2025.

BALANCE SHEET

As of June 30, 2026, the Company had cash and cash equivalents, restricted cash, and certificates of deposit totaling $285.7 million, compared with $211.9 million as of December 31, 2025. Working capital was $189.5 million as of June 30, 2026.

Conference Call

The Company's management will hold an earnings conference call at 8:00 A.M. U.S. Eastern Time on September 28, 2026, or 8:00 P.M. Beijing Time to discuss its financial results and operating performance for the first half of 2026.

The dial-in and webcast details for the conference call are as follows:

   -- Toll-free dial-in number: +1-877-407-3982 
 
   -- International dial-in number: +1-201-493-6780Webcast and replay: 
      https://viavid.webcasts.com/starthere.jsp?ei=1777400&tp_key=03eb3b36c5 
 

A live and archived webcast of the conference call will also be available on the Company's investor relations website at ir.kandigroup.com.

About Kandi Technologies Group, Inc.

Kandi Technologies Group, Inc. (NASDAQ GS: KNDI) is a global innovator in intelligent equipment and a technology-driven platform company. It leverages technological innovation, a global supply chain, and advanced manufacturing to transform industries and expand real-world applications, bringing technology closer to people's everyday lives. Guided by a "one core, two growth engines" framework, the Company anchors its business in all-domain intelligent vehicles, with battery swapping equipment and intelligent robotics as two growth pillars. Driven by its mission to bring joy to daily life, Kandi Technologies fosters shared success and sustainable, long-term growth through open collaboration and mutually beneficial partnerships, creating enduring industrial and societal value while building a globally respected brand.

For more information, please visit ir.kandigroup.com. The Company provides important updates on its website.

Safe Harbor Statement

This press release contains certain statements that may include "forward-looking statements." All statements other than statements of historical fact included herein are "forward-looking statements." These forward-looking statements are often identified by the use of forward-looking terminology such as "believes," "expects," or similar expressions, involving known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including the risk factors discussed in the Company's periodic reports that are filed with the Securities and Exchange Commission and available on the SEC's website . All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these risk factors. Other than as required under the applicable securities laws, the Company does not assume a duty to update these forward-looking statements.

For investor and media inquiries, please contact:

Kandi Technologies Group, Inc.

Kewa Luo

Tel: +1 (212) 551-3610

Email: IR@kandigroup.com

Piacente Financial Communications

Brandi Piacente

Tel: +86-10-6508-0677

Email: Kandi@thepiacentegroup.com

 
 
                     KANDI TECHNOLOGIES GROUP, INC. 
                            AND SUBSIDIARIES 
                  CONDENSED CONSOLIDATED BALANCE SHEETS 
                               (UNAUDITED) 
 
                       (All amounts in thousands) 
 
                                          June 30,      December 31, 
                                             2026           2025 
                                        -------------  -------------- 
                                         (Unaudited) 
CURRENT ASSETS 
Cash and cash equivalents                $     14,641   $      35,531 
Restricted cash                                62,065          93,495 
Short term investment                             100               - 
Certificate of deposit                        208,999          82,918 
Accounts receivable                            13,280          22,479 
Inventories                                    28,021          26,361 
Notes receivable                                  117             183 
Other receivables                               4,927          32,806 
Prepayments and prepaid expense                 4,159           2,613 
Advances to suppliers                           3,743           4,692 
                                            ---------      ---------- 
TOTAL CURRENT ASSETS                          340,052         301,078 
                                            ---------      ---------- 
 
NON-CURRENT ASSETS 
Property, plant and equipment, net             58,538          58,605 
Intangible assets, net                          8,594             318 
Land use rights, net                            2,647           2,613 
Construction in progress                          133              62 
Deferred tax assets                             2,778           2,762 
Long-term investment                            1,086           1,857 
Goodwill                                       35,946          22,491 
Other long-term assets                         11,656           9,877 
                                            ---------      ---------- 
TOTAL NON-CURRENT ASSETS                      121,378          98,585 
                                            ---------      ---------- 
 
TOTAL ASSETS                             $    461,430   $     399,663 
                                            =========      ========== 
 
CURRENT LIABILITIES 
Accounts payable                         $     22,588   $      22,106 
Other payables and accrued expenses            49,356          51,745 
Short-term loans                               43,322          30,751 
Notes payable                                  26,952          16,477 
Income tax payable                                753           1,104 
Other current liabilities                       7,603           6,233 
                                            ---------      ---------- 
TOTAL CURRENT LIABILITIES                     150,574         128,416 
                                            ---------      ---------- 
 
NON-CURRENT LIABILITIES 
Deferred taxes liability                        2,815             857 
Other long-term liabilities                       328             328 
                                            ---------      ---------- 
TOTAL NON-CURRENT LIABILITIES                   3,143           1,185 
                                            ---------      ---------- 
 
TOTAL LIABILITIES                             153,717         129,601 
                                            =========      ========== 
 
SHAREHOLDERS' EQUITY 
Kandi Technologies Group, Inc. 
 shareholders' equity                         307,702         270,063 
Non-controlling interests                          11              (1) 
                                            ---------      ---------- 
TOTAL SHAREHOLDERS' EQUITY                    307,713         270,062 
                                            ---------      ---------- 
 
TOTAL LIABILITIES AND SHAREHOLDERS' 
 EQUITY                                  $    461,430   $     399,663 
                                            =========      ========== 
 
 
 
                   KANDI TECHNOLOGIES GROUP, INC. 
                          AND SUBSIDIARIES 
         CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND 
                     COMPREHENSIVE INCOME (LOSS) 
                             (UNAUDITED) 
 
        (All amounts in thousands, except for share and per 
                             share data) 
 
                                            Six Months Ended 
                                        ------------------------- 
                                         June 30,      June 30, 
                                            2026          2025 
                                        -----------   ----------- 
 
REVENUES, NET                           $    57,117   $    36,291 
 
COST OF GOODS SOLD                          (32,298)      (19,904) 
                                         ----------    ---------- 
 
GROSS PROFIT                                 24,819        16,387 
 
OPERATING EXPENSE: 
Research and development                     (2,417)       (2,504) 
Selling and marketing                        (4,955)       (4,505) 
General and administrative                  (11,922)      (11,310) 
                                         ----------    ---------- 
TOTAL OPERATING EXPENSE                     (19,294)      (18,319) 
                                         ----------    ---------- 
 
INCOME (LOSS) FROM OPERATIONS                 5,525        (1,932) 
                                         ----------    ---------- 
 
OTHER INCOME (EXPENSE): 
Interest income                               3,597         4,334 
Interest expense                               (679)       (1,100) 
Government grants                               322         1,099 
Other income (loss), net                        326          (853) 
                                         ----------    ---------- 
TOTAL OTHER INCOME , NET                      3,566         3,480 
                                         ----------    ---------- 
 
INCOME BEFORE INCOME TAXES                    9,091         1,548 
 
INCOME TAX BENEFIT                              269           147 
                                         ----------    ---------- 
 
NET INCOME                                    9,360         1,695 
                                         ==========    ========== 
 
LESS: NET INCOME (LOSS) ATTRIBUTABLE 
 TO NON-CONTROLLING INTERESTS                    11           (29) 
                                         ----------    ---------- 
 
NET INCOME ATTRIBUTABLE TO KANDI 
 TECHNOLOGIES GROUP, INC. 
 SHAREHOLDERS                                 9,349         1,724 
                                         ==========    ========== 
 
OTHER COMPREHENSIVE INCOME 
Foreign currency translation 
 adjustment                                   8,607         6,148 
                                         ----------    ---------- 
 
COMPREHENSIVE INCOME                    $    17,967   $     7,843 
                                         ==========    ========== 
 
WEIGHTED AVERAGE SHARES OUTSTANDING 
 BASIC                                   96,905,807    84,805,991 
WEIGHTED AVERAGE SHARES OUTSTANDING 
 DILUTED                                 96,905,807    84,805,991 
 
NET INCOME PER SHARE, BASIC             $      0.10   $      0.02 
NET INCOME PER SHARE, DILUTED           $      0.10   $      0.02 
 
NET INCOME ATTRIBUTABLE TO KANDI 
 TECHNOLOGIES GROUP, INC. SHAREHOLDERS 
 PER SHARE, BASIC                       $      0.10   $      0.02 
NET INCOME ATTRIBUTABLE TO KANDI 
 TECHNOLOGIES GROUP, INC. SHAREHOLDERS 
 PER SHARE, DILUTED                     $      0.10   $      0.02 
 

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