Exhibit 99.1


AYRO Announces Third Quarter 2022 Financial Results and Provides Corporate Update


**Please note the new 3Q22 earnings conference call link below**


ROUND ROCK, TX (November 3, 2022) – AYRO, Inc. (Nasdaq: AYRO) (“AYRO” or the “Company”), a designer and manufacturer of electric, purpose-built delivery vehicles and solutions for micro distribution, micro mobility, and last-mile delivery, announces financial results for the quarter ended September 30, 2022.


Recent Financial and Corporate Highlights:


  Revenue of approximately $373,000
  Net loss of ($5.7) million in 3Q22 vs. net loss of ($12.0) million in 3Q21
  Adjusted EBITDA loss of ($4.8) million in 3Q22 vs. an Adjusted EBITDA loss of ($8.2) million in 3Q21
  Total cash and marketable securities of $55.2 million and no debt as of September 30, 2022
  Unveiled the Vanish, the first low-speed electric vehicle (LSEV) in the Company’s new platform


“We reached a milestone recently with the introduction of the AYRO Vanish, a low-speed electric vehicle (LSEV) based on our core AYRO platform, sourced primarily from a North American and European supply chain,” commented AYRO CEO Tom Wittenschlaeger. “The Vanish is lightweight, yet rugged enough to support both light-duty and heavy-duty applications and features fully swappable payloads. It is ideally suited for urban last-mile delivery, stadium and campus environments, and situations where toxic fumes are a concern.


“As we wrap up the initial bench testing and prototype units, we are simultaneously scaling up our manufacturing and assembly facility in Round Rock in anticipation of first article production of the Vanish in the first quarter of 2023. We intend to rely on e-commerce channels for direct delivery where possible and other distribution channels, including our fleet management partner Element and our food-box partner Gallery Carts. Furthermore, we intend to target other distributors across the country that see the value proposition that a next-generation LSEV offers, in addition to maximizing sales through the federal government’s GSA channel later in 2023.


“Should the Vanish be successful, we may be in position to target different segments of the electric vehicle market, should we desire. Using the same components, subsystems, and chassis as the Vanish, we can easily configure additional vehicles with different outer frames to meet the demands of other segments.


“Financial performance in the third quarter of 2022 was negatively impacted by defective components that came from a former supplier that limited our inventory of the Club Car Current. While revenue was negatively impacted due to this defective supply situation, ultimately the success of AYRO will be determined by how effective our team is at designing, developing, assembling, and selling the Vanish and any other new vehicles that come out of our factory.




“Our cash and marketable securities balance at the end of the third quarter was $55.2 million. We certainly look forward to ramping unit production, developing sales, and shipping the Vanish to customers in 2023 accordingly,” concluded Mr. Wittenschlaeger.


Third Quarter 2022 Earnings Conference Call


AYRO management will host a conference call at 8:30 a.m. ET on Thursday, November 3, 2022 to review financial results and provide an update on corporate developments. Following management’s formal remarks, there will be a question-and-answer session.


To listen to the conference call, interested parties within the U.S. should dial 1-833-953-2436 (domestic) or 1-412-317-5765 (international). All callers should dial in approximately 10 minutes prior to the scheduled start time and ask to be joined into the AYRO, Inc. conference call.


The conference call will also be available through a live webcast that can be accessed at: https://event.choruscall.com/mediaframe/webcast.html?webcastid=sT527BMU or via the Company’s website at https://ir.ayro.com/news-events/ir-calendar.


The webcast replay will be available until February 3, 2022 and can be accessed through the above links. A telephonic replay will be available until November 17, 2022 by calling 1-877-344-7529 (domestic) or 1-412-317-0088 (international) and using access code 7440827.


About AYRO, Inc.


AYRO designs and produces zero emission vehicles and systems that redefine the very nature of sustainability. Our goal is to craft solutions in a way that leaves minimal impact on not only carbon emissions, but the space itself. From tire tread, fuel cells, sound, and even discordant visuals, we apply engineering and artistry to every element of our product mix. The AYRO Vanish is the first in this new product roadmap. For more information, visit: www.ayro.com.




Forward-Looking Statements


This press release may contain forward-looking statements. These forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements to be materially different from any expected future results, performance, or achievements. Words such as “anticipate,” “believe,” “could,” “estimate,” “intend,” “expect,” “may,” “plan,” “will,” “would” and their opposites and similar expressions are intended to identify forward-looking statements and include the development and launch of the AYRO Z. Such forward-looking statements are based on the beliefs of management as well as assumptions made by and information currently available to management. Important factors that could cause actual results to differ materially from those indicated by such forward-looking statements include, without limitation: AYRO’s success depends on its ability to complete the development of and successfully introduce new products; AYRO may experience delays in the development and introduction of new products; the ability of AYRO’s suppliers to deliver parts and assemble vehicles; the ability of the purchaser to terminate or reduce purchase orders; AYRO has a history of losses and has never been profitable, and AYRO expects to incur additional losses in the future and may never be profitable; AYRO’s failure to meet the continued listing requirements of The Nasdaq Capital Market could result in a delisting of its common stock; AYRO may be unable to replace lost manufacturing capacity on a timely and cost-effective basis, which could adversely impact its operations and ability to meet delivery timelines; the impact of public health epidemics, including the COVID-19 pandemic; the market for AYRO’s products is developing and may not develop as expected and AYRO, accordingly, may never meet its targeted production and sales goals; AYRO’s limited operating history makes evaluating its business and future prospects difficult and may increase the risk of any investment in its securities; AYRO may experience lower-than-anticipated market acceptance of its vehicles; developments in alternative technologies or improvements in the internal combustion engine may have a materially adverse effect on the demand for AYRO’s electric vehicles; the markets in which AYRO operates are highly competitive, and AYRO may not be successful in competing in these industries; AYRO may become subject to product liability claims, which could harm AYRO’s financial condition and liquidity if AYRO is not able to successfully defend or insure against such claims; increases in costs, disruption of supply or shortage of raw materials, in particular lithium-ion cells, could harm AYRO’s business; AYRO may be required to raise additional capital to fund its operations, and such capital raising may be costly or difficult to obtain and could dilute AYRO stockholders’ ownership interests, and AYRO’s long term capital requirements are subject to numerous risks; AYRO may fail to comply with environmental and safety laws and regulations; and AYRO is subject to governmental export and import controls that could impair AYRO’s ability to compete in international market due to licensing requirements and subject AYRO to liability if AYRO is not in compliance with applicable laws. A discussion of these and other factors with respect to AYRO is set forth in our most recent Annual Report on Form 10-K and subsequent reports on Form 10-Q. Forward-looking statements speak only as of the date they are made and AYRO disclaims any intention or obligation to revise any forward-looking statements, whether as a result of new information, future events or otherwise.


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   September 30,   December 31, 
   2022   2021 
Current assets:          
Cash  $39,428,850   $69,160,466 
Marketable securities   15,790,595    - 
Accounts receivable, net   456,372    969,429 
Inventory   1,479,501    3,744,037 
Prepaid expenses and other current assets   2,327,563    2,276,178 
Total current assets   59,482,881    76,150,110 
Property and equipment, net   1,663,385    835,160 
Intangible assets, net   99,023    88,322 
Operating lease – right-of-use asset   857,576    1,012,884 
Deposits and other assets   22,491    41,288 
Total assets  $62,125,356   $78,127,764 
Current liabilities:          
Accounts payable  $1,163,398   $647,050 
Accrued expenses   1,622,149    2,990,513 
Current portion lease obligation – operating lease   159,910    206,426 
Total current liabilities   2,945,457    3,843,989 
Lease obligation - operating lease, net of current portion   737,124    859,543 
Total liabilities   3,682,581    4,703,532 
Stockholders’ equity:          
Preferred Stock, (authorized – 20,000,000 shares)   -    - 
Convertible Preferred Stock Series H, ($0.0001 par value; authorized – 8,500 shares; issued and outstanding – 8 shares as of September 30, 2022 and December 31, 2021, respectively)   -    - 
Convertible Preferred Stock Series H-3, ($.0001 par value; authorized – 8,461 shares; issued and outstanding – 1,234 as of September 30, 2022 and December 31, 2021, respectively)   -    - 
Convertible Preferred Stock Series H-6, ($.0001 par value; authorized – 50,000 shares; issued and outstanding – 50 as of September 30, 2022 and December 31, 2021, respectively)   -    - 
Common Stock, ($0.0001 par value; authorized – 100,000,000 shares; issued and outstanding – 37,131,380 and 36,866,975 as of September 30, 2022 and December 31, 2021, respectively)   3,713    3,687 
Additional paid-in capital   132,907,975    131,654,776 
Accumulated deficit   (74,468,913)   (58,234,231)
Total stockholders’ equity   58,442,775    73,424,232 
Total liabilities and stockholders’ equity  $62,125,356   $78,127,764 








   Three Months Ended   Nine Months Ended 
   September 30,   September 30, 
   2022   2021   2022   2021 
Revenue  $373,186   $559,370   $2,381,592   $1,870,306 
Cost of goods sold   955,003    955,466    4,959,660    2,030,447 
Gross loss   (581,817)   (396,096)   (2,578,068)   (160,141)
Operating expenses:                    
Research and development   1,837,510    4,165,732    3,749,714    9,135,410 
Sales and marketing   384,748    646,713    1,566,790    1,873,955 
General and administrative   3,000,156    6,805,788    8,446,785    14,168,782 
Total operating expenses   5,222,414    11,618,233    13,763,289    25,178,147 
Loss from operations   (5,804,231)   (12,014,329)   (16,341,357)   (25,338,288)
Other income (expense):                    
Other income, net   51,792    12,254    71,389    40,943 
Interest expense   -    -    -    (2,312)
Realized gain on marketable securities   103,000    -    110,490    - 
Unrealized loss on marketable securities   (32,135)   -    (75,204)   - 
Other income (expense), net   122,657    12,254    106,675    38,631 
Net loss  $(5,681,574)  $(12,002,075)  $(16,234,682)  $(25,299,657)
Net loss per share, basic and diluted  $(0.15)  $(0.33)  $(0.44)  $(0.73)
Basic and diluted weighted average Common Stock outstanding   37,094,631    36,312,478    36,995,497    34,615,858 








   Nine Months Ended 
   September 30, 
   2022   2021 
Net loss  $(16,234,682)  $(25,299,657 
Adjustments to reconcile net loss to net cash used in operating activities:          
Depreciation and amortization   442,890    384,157 
Stock-based compensation   923,844    6,997,986 
Amortization of right-of-use asset   155,308    149,376 
Bad debt expense   2,136    92,176 
Realized gain on marketable securities   (110,490)     
Unrealized loss on marketable securities   75,204    - 
Impairment of inventory and prepaid   2,351,947    - 
Change in operating assets and liabilities:          
Accounts receivable   510,922    (66,550 
Inventory   462,025    (1,568,687 
Prepaid expenses and other current assets   (1,430,565)   (841,465)
Deposits   18,798    (18,797 
Accounts payable   516,347    420,420 
Accrued expenses   (473,953)   1,168,858 
Contract liability   -    (24,000 
Lease obligations - operating leases   (168,935)   (117,474 
Net cash used in operating activities   (12,959,204)   (18,723,657 
Purchase of property and equipment   (970,557)   (512,298 
Purchase of marketable securities, net   (15,755,309)   - 
Purchase of intangible assets   (46,546)   (57,227 
Net cash used in investing activities   (16,772,412)   (569,525 
Repayments of debt   -    (21,609 
Proceeds from exercise of warrants, net of fees   -    100,000 
Proceeds from exercise of stock options   -    1,506,999 
Proceeds from issuance of Common Stock, net of fees and expenses   -    58,269,829 
Net cash provided by financing activities   -    59,855,219 
Net change in cash   (29,731,616)   40,562,037 
Cash, beginning of year   69,160,466    36,537,097 
Cash, end of quarter  $39,428,850   $77,099,134 
Supplemental disclosure of cash and non-cash transactions:          
Cash paid for interest  $-   $1,971 
Restricted Stock issued, previously accrued  $329,381   $- 
Accrued Fixed Assets  $193,053      
Supplemental non-cash amounts of lease liabilities arising from obtaining right of use assets  $-   $120,440 




Non-GAAP Financial Measures


We present Adjusted EBITDA because we consider it to be an important supplemental measure of our operating performance, and we believe it may be used by certain investors as a measure of our operating performance. Adjusted EBITDA is defined as income (loss) from operations before interest income and expense, income taxes, depreciation, amortization of intangible assets, amortization of discount on debt, impairment of long-lived assets, stock-based compensation expense and certain non-recurring expenses.


Adjusted EBITDA is not a measurement of financial performance under generally accepted accounting principles in the United States, or GAAP. Because of varying available valuation methodologies, subjective assumptions and the variety of equity instruments that can impact our non-cash operating expenses, we believe that providing a non-GAAP financial measure that excludes non-cash and non-recurring expenses allows for meaningful comparisons between our core business operating results and those of other companies, as well as providing us with an important tool for financial and operational decision making and for evaluating our own core business operating results over different periods of time.


Adjusted EBITDA may not provide information that is directly comparable to that provided by other companies in our industry, as other companies in our industry may calculate non-GAAP financial results differently, particularly related to non-recurring, unusual items. Adjusted EBITDA is not a measurement of financial performance under GAAP and should not be considered as an alternative to operating income or as an indication of operating performance or any other measure of performance derived in accordance with GAAP. We do not consider Adjusted EBITDA to be a substitute for, or superior to, the information provided by GAAP financial results.


Below is a reconciliation of Adjusted EBITDA to net loss for the three and nine months ended September 30, 2022 and 2021 and the three months ended June 30, 2022 and March 31, 2022: