The Vmoto Ltd (ASX: VMT) share price is flat today as the company announced its first quarterly update for the calendar year.
Despite a couple of lifts this morning, shares in the electric scooter company are currently back where they started, trading at 44 cents. For comparison, the All Ordinaries Index (ASX: XAO) is up 0.03%.
Let's take a closer look at what's happening with the Vmoto share price.
Sales performance
For the first quarter ended 31 March 2021 (1Q21), Vmoto reported strong sales growth. The company sold 42% more units than in the first quarter of 2020, bringing its total to 5,869. Of these, 5,636 were sold into international markets with 233 specifically sold into China.
The company advised the sales were in line with its expectations and reflected seasonality across Europe and China.
The strong sales performance also led to positive operating cash flows for the first quarter. The company expects this to continue with firm international orders of 10,702 units as of March 31.
Furthermore, it has appointed new distributors to boost the number of international orders. They have shared ongoing discussions and samples with a significant number of potential new customers.
Looking ahead
Despite the impacts of the COVID-19 pandemic, Vmoto said it was confident in the strength of its global growth strategy. As a result, the company expects to deliver similar levels of growth for the 2021 financial year. As stated in its release:
Vmoto continues to execute on its strategy of selling high performance and value electric two-wheel vehicles into international markets and continues to build both its B2B and B2C distribution network worldwide.
In addition, Vmoto intends to continue developing its product suite, with $15.8 million in the bank to fund growth and no bank debt on its books.
Pushing into the future, the electric scooter company believes it has significant tailwinds. As stated by the company, this is "thanks, in large due to the global focus on mitigating the effects of climate change" and the consequential push towards electric vehicles.
About the Vmoto share price
While the Vmoto share price is trading flat today, the company has undergone a phenomenal year of growth. In the last year alone, its shares are up 193.33%.
