Vmoto Ltd (ASX:VMT) achieved record international sales of its ‘green’ electric powered two-wheel vehicles in the first three months of 2018.
There were 2,114 units sold to international customers and distributors in the quarter compared to 1,678 in the corresponding period of 2017.
The 26% growth in international sales sets the scene for a strong year of sales for the company with orders for another 2,460 units in hand at the end of March.
Leading electric two-wheel vehicle manufacturer
Management is confident Vmoto will continue to increase sales and further consolidate its position as a leading electric two-wheel vehicle manufacturer and provider to international markets.
Adding to Vmoto’s potential revenue growth is the appointment of Mujoo France as exclusive French distributors for the Super Soco branded products.
Mujoo is one of France’s leading motorcycle distributors and offers high-performance electric motorcycles.
Vmoto has also signed an exclusive distribution agreement with U’Mob France to warehouse, distribute and market E-Max delivery electric scooters in France.
E-Max a B2B operation
E-max is 100%-owned by Vmoto and is a business-to-business (B2B) operation, with Dominos and postal services among its clients.
Super Soco is an emerging industrial design and innovative technology EV company founded in 2015 in China and the international sales and marketing of the Super Soco products are carried out solely by Vmoto through its existing and expanding distribution network.
A new Super Soco CU model was launched recently in Hangzhou, China
Vmoto and Super Soco have also agreed to cooperate on R&D to improve and develop more electric two-wheel vehicle models for international markets. Working together in the shared manufacturing facilities will produce benefits of scale for both organisations.
New production line
A new state-of-the-art production line was installed last year at Vmoto’s manufacturing facility and is now fully operational.
Vmoto and Super Soco models are now being produced on the same production line.
In April, Super Soco launched a new model of electric two-wheel vehicle named the CU, targeting B2C markets.
CU launch draws strong interest
A launch on April 23 in Hangzhou, China, was attended by more than 300 international and local distributors, customers and visitors as well as more than 100 media groups.
The launch was accompanied by a pre-release sales campaign whereby participants paid a 100% deposit to receive the first CU products.
Vmoto’s key international distributors at the Super Soco CU model launch
This crowdfunding campaign conducted on Xiaomi Youpin, Mi Group’s e-commerce platform, was a great success.
Pre-release commitments
Firm commitments were received for RMB50 million, or about $10.5 million, within the first week of launch and the pre-release was open for a month.
Funds committed by pre-release participants will fund working capital to manufacture and supply the new CU model.
The success of this campaign is expected to provide flow-on benefits to Vmoto when the new, high-tech CU model becomes available for distribution through Vmoto’s international distribution network.
Vmoto remains committed to executing its strategy of selling high-value, high-performance electric two-wheel vehicles to international markets, including delivery, sharing and rental customers.