Luminar Applied sciences shares tumbled about 10% on Wednesday after the self-driving sensor maker’s fourth-quarter outcomes missed estimates on delayed manufacturing schedule for Volvo Vehicles’ new EX90 electrical SUVs.
The corporate had shifted its manufacturing and engineering sources to arrange for the beginning of manufacturing for the automobiles moved to 2024 from the initially scheduled 2023-end, weighing on gross sales of its sensors.
“The EX90 manufacturing delay is more likely to final till mid-2024. Volvo is focusing on buyer deliveries of the EX90 in late 2024,” stated Jaime Perez, analyst at R.F. Lafferty Fairness Analysis.
Luminar reported income of USD 22.1 million within the fourth quarter, lacking estimates of USD 27.34 million, in line with LSEG knowledge. Adjusted loss per share of 20 cents additionally fell simply in need of expectations.
“Business progress has been slower than we anticipated, however definitely not solely at Luminar however throughout the auto-tech ecosystem,” TD Cowen stated.
Adoption of electrical automobiles have slowed whereas analysts have stated that Advance Driver-Help Techniques face a “largely adverse sentiment” because of autonomous program delays and cancellations.
Mobileye International, which offers know-how for ADAS and totally autonomous automobiles, stated final month that stock build-up at its clients will impression development in 2024.
Luminar’s shares have been down 10.4% at USD 2.24 on Wednesday. The inventory had misplaced almost a 3rd of its worth final yr.
