All financial comparisons stated below are 2020 versus 2019, unless otherwise noted
- Revenue Increased 180% to $30.4M
- Overall Gross Profit Increased by $3.2M to $3.1M
- Subscription Leasing and Rental Margins1 Increased by 113% to 56%
- Adjusted EBITDA1 loss was $1.31M with an Adjusted EBITDA Margin of 4.3%, an Improvement of $0.74M and 14.6%, Respectively
- Adjusted EBITDA Loss Per Share was $0.13, an Increase of $0.01
- Shareholder Equity and Current Shares Outstanding at Fiscal Year Ending 2020 was $29.1M and 10.03M, Respectively
FORT LAUDERDALE, Fla., March 25, 2021 (GLOBE NEWSWIRE) -- LMP Automotive Holdings, Inc. (NASDAQ: LMPX) (“LMP” or the “Company”), an e-commerce and facilities-based automotive retailer in the United States, today reported its 2020 audited financial results, with strong growth momentum for 2021. Management will hold a conference call at 4:30p.m. ET today to review and discuss the Company's business and results.
As shown in the attached non-GAAP reconciliation tables, 2020 Adjusted EBITDA loss per share was $0.13, an increase of $0.01 per share reported in 2019. Adjusted 2020 net loss per share was $0.30, a $0.06 increase compared to Adjusted Net Loss of $0.24 per share in 2019.
Revenue increased 180% to $30.4 million from $10.9 million in 2019.
2020 Adjusted EBITDA loss was $1.31 million, a $744,381 decrease compared to Adjusted EBITDA loss of $2.06 million in 2019.
2020 net loss was $4.82 million, a $785,942 increase compared to a net loss of $4.03 million in 2020. Net loss per share was $0.49, a $0.25 increase compared to a net loss of $0.24 per share in 2019.
________
1 EBITDA, Adjusted EBITDA, Adjusted EBITDA loss, Adjusted EBITDA Margin and Subscription Leasing and Rental Margin are non-GAAP financial measures which are reconciled to the most directly comparable measures calculated in accordance with GAAP under the caption “Non-GAAP Financial Measures.”
2020 Financial Discussion
2020 revenue increased to $30,442,617, an increase of 19,584,023 from $10,858,594 in 2019. The growth was primarily driven by the increase in sales from ‘sales-type’ lease contracts, and increased vehicle sales revenues.
Total operating expenses, consisting of selling, general, and administrative expenses, share-based compensation, acquisition, consulting and legal expenses and property, equipment, leasehold improvements and intangibles, depreciation and amortization were approximately $7.54 million in 2020, compared to $3.85 million in 2019. The increase in operating expenses was primarily due to increases in expenses related to selling, general and administrative expenses, acquisition expenses and a legal settlement.
Adjusted EBITDA loss in 2020 totaled $1.31 million, or a loss of $0.13 per share, compared to an Adjusted EBITDA loss of $2.06 million, or a loss of $0.12 per share, in 2019. Total shares outstanding as of December 31, 2020 were 10,029,040, versus 8,691,323 as of December 31, 2019.
Additional 2020 Highlights
2020 GAAP Results
- Subscription and rental fee revenue was $1,872,570 in 2020, as compared to $1,741,564 in 2019;
- Total gross profit was $3,054,592 in 2020, an improvement of $3,201,618 as compared to 2019;
- Inventory totaled $8,498,089 as of December 31, 2020;
- Net loss per share was $0.49, based on a weighted average shares of common stock outstanding of 9,796,233 shares;
- Shares of common stock outstanding at the end of the year was 10,029,040; and
- Stockholder equity at the end of the year was $29.1 million, an increase of $13.3 million from 2019.
As shown in the attached non-GAAP reconciliation tables, fourth quarter 2020 Adjusted EBITDA loss per share was $0.10, an increase of $0.07 per share reported in the fourth quarter of 2019. Adjusted fourth quarter 2020 net loss per share was $0.14, a $0.06 increase compared to Adjusted Net Loss of $0.08 per share in the same period of 2019.
Fourth quarter 2020 revenue increased 32% to $4.0 million from $3.0 million in the fourth quarter of 2019.
Fourth quarter 2020 Adjusted EBITDA loss was $1.0 million, a $0.8 million increase compared to Adjusted EBITDA loss of $0.2 million in the same period of 2019. Adjusted 2020 EBITDA loss was $1.31 million, a $0.74 million improvement compared to an Adjusted EBITDA loss of $2.06 million for the same period of 2019. Adjusted 2020 net loss was $2.96M, a $0.95 million improvement compared to an adjusted net loss of $3.92 million in the same period of 2019.
Fourth quarter 2020 net loss was $2.56 million, a $1.99 million increase compared to a net loss of $0.57 million in the same period of 2019.
Fourth quarter 2020 net loss per share was $0.26, a $0.17 increase compared to a net loss of $0.09 per share in the same period of 2019.
Fourth Quarter 2020 Financial Discussion
Fourth quarter 2020 revenue increased to $4.0 million, an increase of $1.0 million from $3.0 million in the fourth quarter of 2019. The growth was primarily driven by the increase in sales from ‘sales-type’ lease contracts, and increased vehicle sales revenues.
Revenue in fourth quarter 2020 decreased by $9.4 million as compared to third quarter 2020. As stated in the Company’s previous earnings release, “LMP has chosen to limit our pre-owned vehicle inventory and order new vehicles to mitigate the risk of a material inventory impairment in 2021 as well as conserve cash for our anticipated closings of certain of our contracted acquisitions.” New vehicle inventory started arriving in the first quarter of 2021 in connection with the closings of our recent acquisitions, which will propel this quarter to significantly higher revenue run rates than the previous quarter.
Total operating expenses, consisting of selling, general, and administrative expenses, share-based compensation, acquisition, consulting and legal expenses and property, equipment, leasehold improvements and intangibles, depreciation and amortization were approximately $2.8 million in the fourth quarter of 2020, compared to $0.8 million in the fourth quarter of 2019. The increase in operating expenses was primarily due to increases in expenses related to acquisition expenses and a legal settlement.
Adjusted EBITDA loss in the fourth quarter of 2020 totaled $1.0 million, or $(0.10) per share, compared to an Adjusted EBITDA loss of $0.1 million, or $(0.03) per share, in the fourth quarter of 2019.
Additional Fourth Quarter 2020 Highlights
Q4 2020 GAAP Results
- Revenue of $4.0 million a decrease of $9.4 million as compared to Q3 2020;
- Subscription fees revenue of $347,565, as compared to $430,760 in Q3 2020 and $482,059 in Q4 2019;
- Total gross profit of $291,041, an improvement of $43,167 as compared to Q4 2019;
- Net loss of $2.6 million, an increase of $1.9 million as compared to Q4 2019; and
- Net loss per share of $0.26, based on weighted average shares of common stock outstanding of 10,010,218 shares.
Future Near-Term Outlook
Our 2021 and 2022 internal expectations and goals, including our recent acquisitions, but excluding any additional acquisitions, are as follows:
| Q1 2021 | Annualized 2021 | Full Year 2022 | |
| Select Financial Data | |||
| Revenue | $29M-$31M | $535M | $587M |
| Adjusted EBITDA | $1M | $24M | $29M |
| Adjusted EBITDA Margin | 3.3%-3.6% | 4.4% | 4.9% |
| Q-1 2021 | Annualized 2021 | Full Year 2022 | |
| Vehicle Units | |||
| New | 400 | 6,600 | 6,900 |
| Pre-Owned Retail | 400 | 8,400 | 8,800 |
| Pre-Owned Wholesale | 200 | 4,600 | 4,900 |
| Total Units | 1,000 | 19,600 | 20,600 |
| F&I New Vehicle Revenue Per Unit | $1,620 | $1,620 | $1,670 |
| F&I Used Vehicle Revenue Per Unit | $1,490 | $1,490 | $1,530 |
| Q-1 2021 | Annualized 2021 | Full Year 2022 | |
| Sales and Revenue | |||
| New Vehicle | $12,400,000 | $216,000,000 | $231,000,000 |
| Used Vehicle | $8,300,000 | $180,000,000 | $19,900,000 |
| Wholesale Used Vehicles | $3,600,000 | $54,000,000 | $59,000,000 |
| Service, Body and Parts | $1,800,000 | $33,000,000 | $34,000,000 |
| F&I New Vehicle | $750,000 | $11,000,000 | $12,000,000 |
| F&I Used Vehicle | $900,000 | $12,000,000 | $13,000,000 |
| Subscription Leasing | $325,000 | $27,000,000 | $41,000,000 |
| Real Estate Revenue | $280,000 | $4,000,000 | $4,000,000 |
Future Internal Near-Term Goals:
Enter New Geographical Markets
- At the forefront of our strategy is our unique and profitable industry consolidation effort by means of our dealer principal partnership structure in which we are seeing extraordinary interest from both small and large dealer groups that want to diversify as well as “stay in the game” and operate and grow the business. This strategy remains LMP’s primary focus given the impressive returns on invested capital and the significant addition to income and earnings per share it provides. We believe this is the swiftest way to increase earnings and shareholder value.
- Our goal is to add an additional 80 to 100 dealerships to our network by the end of next year by way of mergers and acquisitions, which we project has the potential to add an additional $5.1 billion to $6.4 billion in revenue and $136 million to $170 million in Adjusted EBITDA income post minority interest.
- Profitably consolidate and modernize the industry through our strategy, technology, physical logistics network, grow our experienced teams and grow our selection of owned inventories, hence providing customers with a seamless experience both online and in person.
Drive Revenue and Profit Growth in Existing Markets
- Launch our planned “Order Online and Get It Delivered” advertising campaign.
- Improve brand awareness.
- Expand our pre-owned e-commerce sales utilizing our 77 acres of recently acquired real estate, logistics footprint and physical store network.
- Improve all company-wide operating metrics as we achieve economies of scale.
Innovate and Expand our e-commerce Technology Platform
- Continue building out our integrated online sales platform to provide an improved experience for consumers and a seamless auto shopping and buying experience. Some of the features we expect to add include:
- Estimate trade-in, get a certified offer with same-day payment
- Real-time, personalized financing
- Choose a vehicle and finance then upload important paperwork
- Choose vehicle protection offerings then upload important paperwork
- Set up a time for home delivery or in-store pickup
- Make payments and manage your account online
- Estimate trade-in, get a certified offer with same-day payment
Corporate Development
During the first quarter of 2021, we completed the acquisition of a 51% interest in LTO Holdings LLC, an automotive leasing company and body shop located in Connecticut. We have consummated acquisitions representing 92% of the expected EBITDA contribution from our Stage 1 acquisitions. In the coming weeks, we expect to close the remaining two contracted acquisitions in West Virginia. With the acquisitions we have closed to date, the company’s operations will consist of 11 locations covering the Southeast, Mid-Atlantic and Northeast regions as follows:
- 5 Pre-Owned Centers:
- 1 Southeast
- 3 Mid-Atlantic
- 1 Northeast
- 11 Franchises on 6 Locations:
- 3 KIA
- 3 Chevrolet
- 2 GMC
- 1 Cadillac
- 2 Buick
"We expanded our network at a rapid pace during the first quarter and are just getting started," said Sam Tawfik, the Company’s Chairman and Chief Executive Officer. "The acquisition market remains robust, and we are well positioned to continue the acceleration of our growth strategy," Mr. Tawfik added.
Results for Q4 2020 and the Year were as Follows:
| LMP Automotive Holdings, Inc. | ||||||||||||||||||||||
| Comparative Statement of Operations | ||||||||||||||||||||||
| For the Three Months and the Year Ended December 31, 2020 | ||||||||||||||||||||||
| Q4 | YTD | |||||||||||||||||||||
| 2020 | 2019 | Change | % | 2020 | 2019 | Change | % | |||||||||||||||
| Revenues | (Unaudited) | |||||||||||||||||||||
| Vehicle sales | $ | 3,458,461 | $ | 2,544,904 | $ | 913,557 | 35.9 | % | $ | 28,009,886 | $ | 9,111,513 | $ | 18,898,373 | 207.4 | % | ||||||
| Subscription and rental fees | 347,565 | 482,059 | (134,494 | ) | -27.9 | % | 1,872,570 | 1,741,564 | 131,006 | 7.5 | % | |||||||||||
| Interest revenue | 199,778 | 5,517 | 194,261 | 3521.1 | % | 560,161 | 5,517 | 554,644 | 10053.4 | % | ||||||||||||
| Total revenues | 4,005,804 | 3,032,480 | 973,324 | 32.1 | % | 30,442,617 | 10,858,594 | 19,584,023 | 180.4 | % | ||||||||||||
| Cost of Sales | ||||||||||||||||||||||
| Vehicles | 3,633,793 | 2,493,080 | 1,140,713 | 45.8 | % | 26,563,952 | 9,719,713 | 16,844,239 | 173.3 | % | ||||||||||||
| Subscriptions and rentals | 80,970 | 291,526 | (210,556 | ) | -72.2 | % | 824,073 | 1,285,907 | (461,834 | ) | -35.9 | % | ||||||||||
| Total Cost of Sales | 3,714,763 | 2,784,606 | 930,157 | -26.47 | % | 27,388,025 | 11,005,620 | 16,382,405 | 137.38 | % | ||||||||||||
| Gross profit | 291,041 | 247,874 | 43,167 | 17.4 | % | 3,054,592 | (147,026 | ) | 3,201,618 | 2177.6 | % | |||||||||||
| Gross profit% | 7.27 | % | 8.17 | % | 10.03 | % | -1.35 | % | ||||||||||||||
| Selling, general and administrative expenses | 803,084 | 837,829 | (34,745 | ) | -4.1 | % | 3,988,292 | 2,878,988 | 1,109,304 | 38.5 | % | |||||||||||
| Share based compensation | 74,939 | 31,845 | 43,094 | 135.3 | % | 147,020 | 111,623 | 35,397 | 31.7 | % | ||||||||||||
| Acquisition, consulting and legal expense | 1,739,088 | (99,343 | ) | 1,838,431 | -1850.6 | % | 2,837,330 | 761,813 | 2,075,517 | 272.4 | % | |||||||||||
| Depreciation and amortization | 177,741 | 26,505 | 151,236 | 570.6 | % | 566,372 | 95,764 | 470,608 | 491.4 | % | ||||||||||||
| Loss from operations | (2,503,811 | ) | (548,962 | ) | (1,954,849 | ) | 356.1 | % | (4,484,422 | ) | (3,995,214 | ) | (489,208 | ) | 12.2 | % | ||||||
| Interest expense | (55,809 | ) | (23,233 | ) | (32,576 | ) | 140.2 | % | (331,371 | ) | (34,637 | ) | (296,734 | ) | 856.7 | % | ||||||
| Net Income(Loss) | ($ | 2,559,620 | ) | ($ | 572,195 | ) | ($ | 1,987,425 | ) | 347.3 | % | ($ | 4,815,793 | ) | ($ | 4,029,851 | ) | ($ | 785,942 | ) | 19.5 | % |
| Net Income(Loss) per share | ($ | 0.26 | ) | ($ | 0.09 | ) | ($ | 0.17 | ) | ($ | 0.49 | ) | ($ | 0.24 | ) | ($ | 0.25 | ) | ||||
Non-GAAP Financial Measures
The Company has provided in this release certain non-GAAP financial measures, including EBITDA, Adjusted EBITDA, Adjusted Net Loss and Subscription Leasing and Rental Margins, to supplement its financial results that are prepared in accordance with generally accepted accounting principles in the United States (“GAAP”). Management uses these financial metrics internally in analyzing the Company’s financial results to assess operational performance and to determine the Company’s future capital requirements. The presentation of this financial information is not intended to be considered in isolation or as a substitute for the financial information prepared in accordance with GAAP. The Company believes that both management and investors benefit from referring to these financial metrics in assessing our performance and when planning, forecasting and analyzing future periods. The Company believes these financial metrics are useful to investors and others to understand and evaluate the Company’s operating results and it allows for a more meaningful comparison between the Company’s performance and that of competitors. Our use of EBITDA, Adjusted EBITDA, Adjusted Net Loss and Subscription Leasing and Rental Margins have limitations as analytical tools, and you should not consider these performance measures in isolation from or as a substitute for analysis of our results as reported under GAAP. Because of these limitations, you should consider these financial metrics along with other financial performance measures, including total revenues, total gross profit and net loss presented in accordance with GAAP.
EBITDA and Adjusted EBITDA for 2020 and 2019
The company defines EBITDA as net loss before interest expense, income tax expense, depreciation (including vehicle inventory impairment) and amortization and stock option expense.
The company defines Adjusted EBITDA as EBITDA before acquisition and financing related costs and legal settlement expenses.
The following table provides a reconciliation of EBITDA and Adjusted EBITDA to net loss, the most directly comparable GAAP financial measure, on a historical basis and for each of the periods indicated.
| Reconciliation of Net loss to EBITDA and Adjusted EBITDA | 2020 | 2019 | Change | ||||||||
| Net loss | $ | (4,815,793 | ) | $ | (4,029,851 | ) | |||||
| Interest expense | $ | 331,371 | $ | 34,637 | |||||||
| Tax | $ | - | $ | - | |||||||
| Depreciation, amortization and impairment | $ | 1,307,938 | $ | 1,086,556 | |||||||
| Stock option expense | $ | 147,020 | $ | 111,623 | |||||||
| Amortization of operating lease | $ | 12,438 | $ | 725,916 | |||||||
| EBITDA | $ | (3,017,026 | ) | $ | (2,058,526 | ) | $ | (958,500 | ) | ||
| Acquisition and financing related expenses | $ | 1,152,881 | $ | - | |||||||
| Legal Settlement expenses | $ | 550,000 | $ | - | |||||||
| Adjusted EBITDA | $ | (1,314,145 | ) | $ | (2,058,526 | ) | $ | (744,381 | ) | ||
| EBITDA and Adjusted EBITDA per share | |||||||||||
| EBITDA per share | $ | (0.31 | ) | $ | (0.12 | ) | |||||
| Adjusted EBITDA per share | $ | (0.13 | ) | $ | (0.12 | ) | |||||
| Weighted Average Shares Outstanding | 9,796,233 | 16,577,106 | |||||||||
| Adjusted EBITDA Margin | (4.3 | )% | (18.9 | )% | |||||||
EBITDA and Adjusted EBITDA for the Fourth Quarter of 2020 and 2019
The following table provides a reconciliation of EBITDA and Adjusted EBITDA to net loss, the most directly comparable GAAP financial measure, on a historical basis and for each of the periods indicated.
| Reconciliation of Net loss to EBITDA and Adjusted EBITDA | Q4 2020 | Q4 2019 | Change | ||||||||
| Net loss | $ | (2,559,620 | ) | $ | (572,195 | ) | |||||
| Interest expense | $ | 55,809 | $ | 23,233 | |||||||
| Tax | $ | - | $ | - | |||||||
| Depreciation, amortization and impairment | $ | 292,874 | $ | 324,716 | |||||||
| Stock option expense | $ | 74,939 | $ | 31,845 | |||||||
| Amortization of operating lease | $ | 12,438 | $ | 3,148 | |||||||
| EBITDA | $ | (2,123,650 | ) | $ | (189,253 | ) | $ | (1,934,397 | ) | ||
| Acquisition and financing related expenses | $ | 664,127 | $ | - | |||||||
| Legal Settlement expenses | $ | 436,217 | $ | - | |||||||
| Adjusted EBITDA | $ | (1,023,216 | ) | $ | (189,253 | ) | $ | (833,963 | ) | ||
| EBITDA and Adjusted EBITDA per share | |||||||||||
| EBITDA per share | $ | (0.21 | ) | $ | (0.03 | ) | |||||
| Adjusted EBITDA per share | $ | (0.10 | ) | $ | (0.03 | ) | |||||
| Weighted Average Shares Outstanding | 10,010,218 | 6,641,424 | |||||||||
Adjusted Net Loss for 2020 and 2019
The company defines Adjusted Net Loss as net loss before stock option expense, acquisition and financing related costs, and legal settlement expenses.
The following table provides a reconciliation of Adjusted Net Loss to net loss, the most directly comparable GAAP financial measure, on a historical basis and for each of the periods indicated.
| Reconciliation of Net loss to Adjusted Net Loss | 2020 | 2019 | Change | ||||||||
| Net loss | $ | (4,815,793 | ) | $ | (4,029,851 | ) | |||||
| Acquisition and financing related costs | $ | 1,152,881 | $ | - | |||||||
| Stock option expense | $ | 147,020 | $ | 111,623 | |||||||
| Legal settlement expenses | $ | 550,000 | $ | 725,916 | |||||||
| Adjusted Net Loss | $ | (2,965,892 | ) | $ | (3,918,228 | ) | $ | (952,336 | ) | ||
| Adjusted Net Loss per share | $ | (0.30 | ) | $ | (0.24 | ) | |||||
| Weighted average shares outstanding | 9,796,233 | 16,577,106 | |||||||||
Adjusted Net Loss for the Fourth Quarter of 2020 and 2019
The following table provides a reconciliation of Adjusted Net Loss to net loss, the most directly comparable GAAP financial measure, on a historical basis and for each of the periods indicated.
| Reconciliation of Net loss to Adjusted Net Loss | Q4 2020 | Q4 2019 | Change | ||||||||
| Net loss | $ | (2,559,620 | ) | $ | (572,195 | ) | |||||
| Acquisition and financing related costs | $ | 664,127 | $ | - | |||||||
| Stock option expense | $ | 79,939 | $ | 31,845 | |||||||
| Legal settlement expenses | $ | 436,217 | $ | - | |||||||
| Adjusted Net Loss | $ | (1,384,337 | ) | $ | (540,350 | ) | $ | (843,987 | ) | ||
| Adjusted Net Loss per share | $ | (0.14 | ) | $ | (0.08 | ) | |||||
| Weighted average shares outstanding | 10,010,218 | 6,641,424 | |||||||||
Subscription Leasing and Rental Margins for 2020 and 2019
The Company calculates Subscription Leasing and Rental Margins by deducting subscription and rental cost of revenues from subscription fee and rental revenues adjusted for non-recurring, material adjustments.
The following table provides a reconciliation of Subscription Leasing and Rental Margins to subscription fee and rental revenues, the most directly comparable GAAP financial measure, on a historical basis and for each of the periods indicated.
| Reconciliation of Subscription Fees and Rental Revenues to Subscription Leasing and Rental Margin | 2020 | 2019 | Change from 2019 | |||||||
| Subscription fees and rental revenues | $ | 1,872,570 | $ | 1,741,564 | ||||||
| Subscription and rental cost of revenues | $ | (824,073 | ) | $ | (1,285,907 | ) | ||||
| Gross profit | $ | 1,048,497 | $ | 455,657 | ||||||
| Subscription Leasing and Rental Margin | 56.0 | % | 26.2 | % | 29.8 | % | ||||
Subscription Leasing and Rental Margins for the Fourth Quarter of 2020 and 2019
| Reconciliation of Subscription Fees and Rental Revenues to Subscription Leasing and Rental Margin | Q4 2020 | Q4 2019 | Change from 2019 | |||||||
| Subscription fees and rental revenues | $ | 347,565 | $ | 482,059 | ||||||
| Subscription and rental cost of revenues | $ | (80,970 | ) | $ | (291,526 | ) | ||||
| Gross profit | $ | 265,595 | $ | 190,533 | ||||||
| Subscription Leasing and Rental Margin | 76.7 | % | 39.5 | % | 37.2 | % | ||||
ABOUT LMP AUTOMOTIVE HOLDINGS, INC.
LMP Automotive Holdings, Inc. (NASDAQ: LMPX) is a growth company with a long-term plan to profitably consolidate and partner with automotive dealership groups in the United States. We offer a wide array of products and services fulfilling the entire vehicle ownership lifecycle, including new and used vehicles, finance and insurance products and automotive repair and maintenance.
Our proprietary e-commerce technology and strategy are designed to disrupt the industry by leveraging our experienced teams, growing selection of owned inventories and physical logistics network. We seek to provide customers with a seamless experience both online and in person. Our physical logistics network enables us to provide convenient free delivery points for customers and provide services throughout the entire ownership life cycle. We use digital technologies to lower our customer acquisition costs, achieve operational efficiencies and generate additional revenues. Our unique growth model generates significant cash flows, which funds our innovation and expansion into new geographical markets, along with strategically building out dealership networks, creating personal transportation solutions that consumers desire.
Investor Relations:
LMP Automotive Holdings, Inc.
500 East Broward Boulevard, Suite 1900
Fort Lauderdale, FL 33394
investors@lmpah.com
For more information visit:
lmpmotors.com
FORWARD-LOOKING STATEMENTS:
This press release may contain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, each as amended. Such statements include, but are not limited to, any statements relating to our expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar matters that are not historical facts. These statements may be preceded by, followed by or include the words “aim,” “anticipate,” “believe,” “estimate,” “expect,” “forecast,” “intend,” “likely,” “outlook,” “plan,” “potential,” “project,” “projection,” “seek,” “can,” “could,” “may,” “should,” “would,” will,” the negatives thereof and other words and terms of similar meanings. Forward-looking statements are based on management’s current expectations and are subject to risks and uncertainties that could negatively affect our business, operating results, financial condition and stock value. Factors that could cause actual results to differ materially from those currently anticipated include: our dependence upon external sources for the financing of our operations; our ability to effectively executive our business plan; our ability to maintain and grow our reputation and to achieve and maintain the market acceptance of our services and platform; our ability to manage the growth of our operations over time; our ability to maintain adequate protection of our intellectual property and to avoid violation of the intellectual property rights of others; our ability to maintain relationships with existing customers and automobile suppliers, and develop relationships; and our ability to compete and succeed in a highly competitive and evolving industry; as well as other risks described in our SEC filings. There is no assurance that any forward-looking statements will materialize. You are cautioned not to place undue reliance on forward-looking statements, which reflect expectations only as of this date. We expressly disclaim any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in our expectations or any changes in events, conditions or circumstances on which any such statement is based, except as required by law.
SOURCE: LMP Automotive Holdings, Inc.