EVMO Inc. (OTCMKTS:YAYO) shares are up 21% in a week. The rideshare and delivery gig economy sector vehicles provider has announced its Q3 2021 financial results in which revenue was up 31.6% YoY to $2.72 million.
Trading Data
On Tuesday, YAYO stock gained 1% to $1.03 with 104k shares, compared to its average volume of 161K shares. The stock has moved within a range of $0.9000 – 1.1100 after opening trade at $1.04.
Earnings Recap
The company entered a $15 million loan facility in July 2021, and daily active rentals increased 15% from Q1. In addition, Evmo had record driver retention, with average rental days for each driver growing 21% from the first quarter. Hybrids and EVs currently make up 23% of the company’s 600 vehicle fleet.
CEO Stephen Sanchez said they are delighted to announce record revenue for the quarter as core rental initiatives maintain profitability. In addition, Sanchez said that they anticipate gross margins to increase going forward, increasing its fleet of vehicles and transitioning to a favorable EV mode. Most importantly, the company anticipates metrics related to driver vehicle demand and end customer to improve as the economy recovers. So, in the coming weeks, YOYO is worth watching.
Key Quote
“We are thrilled to report yet another quarter of record revenue,” commented Stephen Sanchez, CEO of EVmo. “Our core rental operations continue to be profitable before taking into account corporate overhead and one-time costs. We expect our gross margins will expand moving forward as we substantially increase our fleet and transition to an EV model with favorable legislation improving overall total cost of ownership and available infrastructure. We further expect the rideshare industry metrics related to end customer and driver vehicle demand to continue to improve with the recovering and reopening economy.
Technical Data
YAYO stock is trading below the 20-Day and 50-Day Moving averages of $1.06 and $1.18 respectively. However, the stock is trading above 200-Day moving average of $2.38. The stock is down 2% in the past month.
