QuantumScape (NYSE:QS) is trending on social media, and QS stock is up about 5% after the battery maker reported its second-quarter results yesterday after the market close. QS reported that its capital and operating expenses would remain in line with its previous forecasts and detailed the accomplishments that it had achieved in Q2.
Future Spending and Q2 Accomplishments
QuantumScape reiterated its 2023 capital spending guidance “of $100M to $150M and cash operating expenses of $225M to $275M.” Also noteworthy is that the company finished Q2 with $900 million of cash, while QS believes that it will have enough funds to last until “the second half of 2025,” excluding any money that it can raise by selling additional shares of QS stock.
On the accomplishments front, the firm noted that it had successfully increased the energy capacity of its battery cells last quarter. Moreover, QS reported that it had shipped these cells “to multiple (of its) automotive partners.”
QS Stock: What Investors Should Watch Going Forward
QunatumScape outlined its future goals in its shareholder letter but offered no timetables for when it expects to meet those targets.
Specifically, the firm reported that it was “working closely with a prospective launch customer” on the development of its initial battery but only stated that the battery would be commercialized “as soon as possible.” Similarly, QS published a chart showing that it expects to launch a battery with a cell energy density of over 1,000 watt-hours per liter and the ability to charge from 10% to 80% capacity in about 18 minutes, but did not suggest when it could commercialize such a battery.
Going forward, investors should monitor the company’s progress in meeting these goals and whether it is staying ahead of its many competitors that are also attempting to develop greatly improved EV batteries.
On the date of publication, Larry Ramer did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
