Electric car maker Zenn Motor Co posted a slightly wider second-quarter net loss as the downturn in the automotive sector hurt its revenue.
For the quarter ended March 31, Toronto-based Zenn reported a net loss of C$2 million ($1.8 million), compared with a loss of C$1.8 million a year ago.
Gross revenue fell 47 per cent to C$391,227.
“Revenue in the quarter reflects the general malaise of the auto industry,” Chief Executive Ian Clifford said in a statement.
At March 31, Zenn, which stands for Zero Emission No Noise, had working capital of C$12.4 million.
Zenn shares were up 6 Canadian cents at C$5.16 on the Toronto Venture Exchange.
Last week, Zenn confirmed positive test results for a battery being developed by its U.S. partner EEStor Inc. EEStor is trying to develop a battery that will allow electric cars to reach highway speeds over long distances while only needing minutes to recharge.
Zenn said it will invest between $2 million and $5 million to increase its share of privately held EEStor to as much as 10.5 per cent from about 3.8 per cent held currently.
Zenn, which makes low-speed, short-range electric vehicles, has hinged its plans to produce a highway-capable electric vehicle on EEStor’s energy storage system.
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