Cost reduction initiatives will reduce operating and investing cash flows by approximately $170 million over the next 12 months compared to operating and investing cash flows reported for the 12 months ended September 30, 2023 The purpose is that.
“We're gaining momentum and working with vehicles of all sizes and uses,” said Brad Sigmon, vice president of the Randy Marion Automotive Vehicle Division. “Based on the March transaction, our April goal is to move 100 Mullen commercial EVs.”
Brea, Calif., April 8, 2024 (Globe Newswire) — Via IBN — Mullen Automotive Company (NASDAQ: MarunMaren (“Maren” or the “Company”), an emerging electric vehicle (“EV”) manufacturer, today announced that the Company has initiated significant cost reduction and consolidation measures to align its budget with current conditions. These actions will reduce our operating and investing cash flow expenses by an estimated $170 million over the next 12 months compared to operating and investing cash flows for the 12 months ended September 30, 2023. It is expected that Operating and investing cash flow was $179. The reduction in operating cash flow is estimated to be approximately $69 million, and investment expenditures are estimated to be reduced by $101 million compared to the Company over the next 12 months. Expenditure amount for the previous fiscal year.
Mr. Mullen will better align his focus on the commercial EV sector, where there are opportunities to drive near-term revenue for the company, including Randy Marion Automotive Group's (“RMA”) forecast of 100 commercial EV sales in April. We are making these changes to improve our business operations.
“We're gaining momentum and working with vehicles of all sizes and uses,” said Brad Sigmon, vice president of the Randy Marion Automotive Vehicle Division. “Based on the March transaction, our April goal is to move 100 Mullen commercial EVs.”
The overall changes are focused on long-term growth and aim to reduce our costs at a time when the consumer EV sector and the market as a whole is proving difficult. These measures are intended to reduce our operating expenses compared to prior years.
Our planned changes include:
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Drastically cut nonprofit programs in favor of short-term revenue opportunities
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Consolidation of Troy and Irvine engineering centers focused on building efficiencies through integration
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Focus on expanding nationwide commercial dealer network
“Our sophisticated operational focus improves our financial performance and positions us to take advantage of current market opportunities, while also providing long-term business opportunities,” said David Micheley, CEO and Chairman of Mullen Automotive. It will also drive growth and shareholder value.”
About Maren
Mullen Automotive (NASDAQ: MULN) is a Southern California-based automotive company manufacturing next-generation commercial electric vehicles (EVs) at two U.S.-based vehicle plants in Tunica, Mississippi (120,000 square feet) and Mishawaka, Mississippi. ”) are manufactured. Indiana (650,000 square feet). In August 2023, Mullen began production of commercial vehicles in Tunica. In September 2023, Mullen received IRS approval for the Federal EV Tax Credit for commercial vehicles with qualifying manufacturer designations, providing up to $7,500 per vehicle to eligible customers. As of January 2024, the Mullen ONE, a Class 1 EV cargo van, and the Mullen THREE, a Class 3 EV cab-chassis truck, are both California Air Resources Board (CARB) and EPA certified and available for sale in the U.S. Is possible.
If you would like to learn more about the company, please visit: www.MullenUSA.com.
Forward-looking statements
Certain statements in this press release that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Exchange Act of 1934, as amended. Statements contained in this press release that are not statements of historical fact may be deemed forward-looking statements. “continue”, “will”, “may”, “could”, “should”, “expect”, “anticipate”, “plan”, “intend”, ” Words such as “anticipate,” “believe,” “estimate,” “anticipate,” “may” and similar expressions are intended to identify such forward-looking statements. All forward-looking statements involve significant risks and uncertainties that could cause actual results to differ materially from those expressed or implied by the forward-looking statements, many of which are generally It is outside of Mullen's control and difficult to predict. Examples of such risks and uncertainties include the actual amount of expenses that we can minimize, whether our cost reduction measures will result in improved financial results and long-term growth, and the risks that we may be able to minimize. This includes, but is not limited to, the overall impact it has. Restructuring efforts and cost-cutting measures, and whether his April commercial EV sales forecast of 100 units by Randy Marion Automotive Group will come true. Additional examples of such risks and uncertainties include, but are not limited to: (i) Mullen's ability (or inability) to obtain additional financing in sufficient amounts or on acceptable terms when needed; (ii) Mullen's ability to maintain existing contracts and secure additional contracts with manufacturers, parts and other service providers associated with its operations; (iii) Mullen's ability to successfully expand in existing markets and enter new markets; (iv) Mullen's ability to successfully manage and integrate business, solution or technology acquisitions; (v) unanticipated operating costs, transaction costs and actual or contingent liabilities; (vi) our ability to attract and retain qualified employees and key personnel; (vii) the adverse effects of increased competition on Mullen's business; (viii) changes in government licensing and regulations that may adversely affect Mullen's business; (ix) the risk that changes in consumer behavior may adversely affect Mullen's business; (x) Mullen's ability to protect its intellectual property; (xi) regional, industry, and general business and economic conditions; Other factors that could cause actual results to differ materially from those expressed or implied by the forward-looking statements include our most recent annual report on Form 10-K, quarterly reports on Form 10-Q, and It is included in the current report on Form 8-. K was filed with the Securities and Exchange Commission by Mullen. Mr. Mullen anticipates that subsequent events and developments may cause plans, intentions and expectations to change. Mullen undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by law, and Mullen undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise. disavow. Forward-looking statements speak only as of the date on which they are made and should not be relied upon as representing Mullen's plans or expectations as of a subsequent date.
contact:
Mullen Automotive Company
+1 (714) 613-1900
www.MullenUSA.com
Corporate communications:
Investor Brand Network (IBN)
Los Angeles, California
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