Sales of 1,689 units in Europe during the three months represent a springboard into 2019 when further growth in Europe and other international markets is expected.
European sales in the three months were 141% higher than the previous quarter and 587% higher than the corresponding period of 2017.
International sales orders are also continuing an upward trend as Vmoto further consolidates its position as a leading electric two-wheel vehicle manufacturer and provider to international markets.
There were firm international orders for 3,027 units at December 31, 2018.
Deposits have been received for all the orders from international customers and distributors and these are expected to be delivered by the end of the current quarter.
Vmoto expects to receive more forward orders for its B2B E-Max electric delivery vehicle and B2C Super Soco electric two-wheel vehicles from its distribution network after participating in a number of major European trade exhibitions.
The company is focused on the B2C market via its sales and marketing of Super Soco two-wheel electric vehicles and the B2B market via its own E-Max electric delivery scooters.
Vmoto’s Mexican distributor took part in the Expo Moto show in Mexico City from November 22-25.
In recent months the company has signed new exclusive international distributor agreements, which are expected to boost sales.
New distributor agreement in Italy
Among the most significant is an agreement with Graziano Milone, a successful Italian entrepreneur and experienced electric vehicle operator.
This will see Milone equally own and jointly manage Vmoto Soco Italy srl, which will focus on distributing the company’s electric two-wheel vehicle products in Italy.
Vmoto and an entity nominated by Milone will hold an equal share and contribute working capital equally while Milone will manage the day-to-day operations of Vmoto Italy.
Vmoto’s managing director Charles Chen said: “We are delighted to have reached agreement with Mr Graziano Milone, a successful entrepreneur and experienced EV operator in Italy to join together with Vmoto to further penetrate the Italian market, fast track our distribution into Italy, including consumer markets, and bring more high performance electric two-wheel vehicle products to Italy.
“We believe Vmoto’s product range and Mr Milone’s experience, network in Italy, professionalism and understanding of electric two-wheel vehicle products and markets are a perfect combination to achieve a successful operation in the Italian market.”
Vmoto’s Australian distributor participated in the Moto Expo Melbourne from November 23-25.
Further distributor agreements
Other distributor agreements have been reached with Hans Leeb GmbH in Germany and Austria, Electric Mobility Solutions (Pty) Ltd in South Africa and Startrade Component Co, Ltd in Taiwan.
The higher sales which followed formal approval of the homologation process to comply with European standards resulted in the company achieving a positive unaudited EBITDA of approximately $18,000 for 2018.
Delays in the approval process saw Vmoto adjust its unaudited earnings guidance for the 12 months from a positive EBITDA to a range of between $50,000 positive and a $180,000 loss.
The $18,000 EBITDA, therefore, represents a positive outcome and one which the company is very confident of building strongly on in the next 12 months.
To assist in the growth strategy, Vmoto plans to invest further in international marketing including, but not limited to, a new product-focused website, enhanced social media initiatives, additional marketing support for distributors/dealers and continued participation in international exhibitions.
Apart from the very large 2018 Esposizione Internazionale Ciclo e Motociclo e Accessori (EICMA) international motorcycle exhibition in Milan, Italy, Vmoto also participated in a number of other exhibitions and shows.
Launch of Goku Sharing using Super Soco CU model in Taiwan in November 2018.
Vmoto’s French distributor participated in the TC Max launch event in Paris on December 18.