Technology
ZEEKR Reports First Quarter 2024 Unaudited Financial Results
Published
2 years agoon
By
HANGZHOU, China, June 11, 2024 /PRNewswire/ — ZEEKR Intelligent Technology Holding Limited (“ZEEKR” or the “Company”) (NYSE: ZK), a fast-growing intelligent battery electric vehicle (“BEV”) technology company, today announced its unaudited financial results for the first quarter ended March 31, 2024.
Operating Highlights for the First Quarter of 2024
Total vehicle deliveries were 33,059 units for the first quarter of 2024, representing a 117% year-over-year increase.
Deliveries
2024 Q1
2023 Q4
2023 Q3
2023 Q2
33,059
39,657
36,395
27,399
Deliveries
2023 Q1
2022 Q4
2022 Q3
2022 Q2
15,234
32,467
20,464
10,769
Financial Highlights for the First Quarter of 2024
Vehicle sales were RMB8,174.1 million (US$1,132.1 million) for the first quarter of 2024, representing an increase of 73.0% from the first quarter of 2023 and a decrease of 22.8% from the fourth quarter of 2023.Vehicle margin was 14.0% for the first quarter of 2024, compared with 10.1% for the first quarter of 2023 and 15.3% for the fourth quarter of 2023.Total revenues were RMB14,736.8 million (US$2,041.0 million) for the first quarter of 2024, representing an increase of 71.0% from the first quarter of 2023 and a decrease of 9.9% from the fourth quarter of 2023.Gross profit was RMB1,739.4 million (US$240.9 million) for the first quarter of 2024, representing an increase of 154.9% from the first quarter of 2023 and a decrease of 25.3% from the fourth quarter of 2023.Gross margin was 11.8% for the first quarter of 2024, compared with 7.9% for the first quarter of 2023 and 14.2% for the fourth quarter of 2023.Loss from operations was RMB2,086.9 million (US$289.0 million) for the first quarter of 2024, representing a decrease of 11.2% from the first quarter of 2023 and a decrease of 29.3% from the fourth quarter of 2023. Excluding share-based compensation expenses, adjusted loss from operations (non-GAAP) was RMB2,084.2 million (US$288.7 million) for the first quarter of 2024, representing a decrease of 10.0% from the first quarter of 2023 and a decrease of 28.5% from the fourth quarter of 2023.Net loss was RMB2,022.1 million (US$280.1 million) for the first quarter of 2024, representing a decrease of 18.0% from the first quarter of 2023 and a decrease of 31.2% from the fourth quarter of 2023. Excluding share-based compensation expenses, adjusted net loss (non-GAAP) was RMB2,019.4 million (US$279.7 million) for the first quarter of 2024, representing a decrease of 17.0% from the first quarter of 2023 and a decrease of 30.4% from the fourth quarter of 2023.
Key Financial Results
(in RMB millions, except for percentages)
2024 Q1
2023 Q4
2023 Q1
% Change i
YoY
QoQ
Vehicle sales
8,174.1
10,592.6
4,725.2
73.0 %
(22.8) %
Vehicle margin
14.0 %
15.3 %
10.1 %
3.9 %
(1.3) %
Total revenues
14,736.8
16,357.9
8,620.4
71.0 %
(9.9) %
Gross profit
1,739.4
2,328.3
682.5
154.9 %
(25.3) %
Gross margin
11.8 %
14.2 %
7.9 %
3.9 %
(2.4) %
Loss from operations
(2,086.9)
(2,950.1)
(2,349.2)
(11.2) %
(29.3) %
Non-GAAP loss from operations
(2,084.2)
(2,914.8)
(2,316.5)
(10.0) %
(28.5) %
Net loss
(2,022.1)
(2,937.9)
(2,465.4)
(18.0) %
(31.2) %
Non-GAAP net loss
(2,019.4)
(2,902.6)
(2,432.6)
(17.0) %
(30.4) %
i Except for vehicle margin and gross margin, where absolute changes instead of percentage changes
are presented
Recent Developments
Delivery Updates
In April 2024, the Company delivered 16,089 vehicles, representing an increase of 99% from April 2023.
In May 2024, the Company delivered 18,616 vehicles, representing an increase of 115% from May 2023.
New Model Launches
In February 2024, the Company launched the all-new ZEEKR 001 2024 model, a five-seater, cross-over shooting brake, and started deliveries in March 2024.
In April 2024, the Company launched the ZEEKR 009 Grand, a deluxe version of the ZEEKR 009, and started deliveries in May 2024.
CEO and CFO Comments
“We started our journey as a public company on a strong note with an excellent operational and financial performance for the first quarter of 2024,” said Mr. Andy An, ZEEKR’s chief executive officer. “First quarter deliveries soared to 33,059 vehicles, up 117% year-over-year to reach a new quarterly record high and propelling our progress toward our full-year goal of 230,000 vehicles. This sustained growth in deliveries also secured our position as the best-selling brand in the battery electric vehicle market segment priced over RMB200,000 in China. With multiple groundbreakings, feature-rich models in our production pipeline, ZEEKR continues to redefine the ultimate in handling, performance, innovation and luxury. Going forward, we will continue to push the boundaries of intelligent and autonomous technology, build out our ultra-fast charging ecosystem and expand our channel services, boosting our competitiveness on all fronts. Given these strengths and the strategic advantages and synergies we derive from our parent company, Geely Group, ZEEKR is well-positioned to drive sustainable, global growth.”
“We delivered robust results across the board for the first quarter of 2024, with total revenues rising by 71.0% and gross profit surging by 154.9% year-over-year,” added Mr. Jing Yuan, chief financial officer of ZEEKR. “Vehicle margin also increased, up by 3.9 percentage points year-over-year thanks to effective procurement cost control. Our successful initial public offering on the New York Stock Exchange in May significantly strengthened our balance sheet, setting the stage for our long-term development. We remain confident that our solid financial position and growing competitiveness will empower us to deliver long-term value to our shareholders and global stakeholders.”
Financial Results for the First Quarter of 2024
Revenues
Total revenues were RMB14,736.8 million (US$2,041.0 million) for the first quarter of 2024, representing an increase of 71.0% from RMB8,620.4 million for the first quarter of 2023 and a decrease of 9.9% from RMB16,357.9 million for the fourth quarter of 2023.
Revenues from vehicle sales were RMB8,174.1 million (US$1,132.1 million) for the first quarter of 2024, representing an increase of 73.0% from RMB4,725.2 million for the first quarter of 2023, and a decrease of 22.8% from RMB10,592.6 million for the fourth quarter of 2023. The year-over-year increase was due to the increased sales volume of ZEEKR vehicles. The quarter-over-quarter decrease was due to seasonality that impacted our delivery volume, as well as the lower average selling price primarily caused by the change in our product mix.
Revenues from sales of batteries and other components were RMB6,318.5 million (US$875.1 million) for the first quarter of 2024, representing an increase of 82.0% from RMB3,471.5 million for the first quarter of 2023 and an increase of 56.5% from RMB4,038.1 million for the fourth quarter of 2023. The year-over-year and quarter-over-quarter increases were mainly attributable to the increasing sales volume of battery packs and electric drives, as well as the growth of battery components overseas.
Revenues from research and development service and other services were RMB244.1 million (US$33.8 million) for the first quarter of 2024, representing a decrease of 42.4% from RMB423.7 million for the first quarter of 2023 and a decrease of 85.9% from RMB1,727.2 million for the fourth quarter of 2023. The year-over-year and quarter-over-quarter decreases were mainly due to the decreased sales of research and development services and out-licensed technologies to related parties.
Cost of Revenues and Gross Margin
Cost of revenues was RMB12,997.4 million (US$1,800.1 million) for the first quarter of 2024, representing an increase of 63.7% from RMB7,937.9 million for the first quarter of 2023 and a decrease of 7.4% from RMB14,029.6 million for the fourth quarter of 2023.
Gross profit was RMB1,739.4 million (US$240.9 million) for the first quarter of 2024, representing an increase of 154.9% from RMB682.5 million for the first quarter of 2023 and a decrease of 25.3% from RMB2,328.3 million for the fourth quarter of 2023.
Gross margin was 11.8% for the first quarter of 2024, compared with 7.9% for the first quarter of 2023 and 14.2% for the fourth quarter of 2023. The year-over-year increase was mainly attributable to the increase in vehicle margin. The quarter-over-quarter decrease was mainly due to the decrease in vehicle margin as well as the increase in the percentage of revenues from sales of batteries and other components, which has a lower gross margin than vehicle sales.
Vehicle margin was 14.0% for the first quarter of 2024, compared with 10.1% for the first quarter of 2023 and 15.3% for the fourth quarter of 2023. The year-over-year increase was primarily attributed to procurement savings as the cost of auto parts and materials decreased. The quarter-over-quarter decrease was mainly due to the delivery of new vehicle models as well as the change in product mix.
Operating Expenses
Research and development expenses were RMB1,925.3 million (US$266.6 million) for the first quarter of 2024, representing an increase of 6.7% from RMB1,805.1 million for the first quarter of 2023 and a decrease of 39.1% from RMB3,162.5 million for the fourth quarter of 2023. The year-over-year increase was attributable to increased employee compensation as a result of our growing number of staff as well as increased expenses to support our expanding product portfolios and intelligent technologies. The quarter-over-quarter decrease reflected fluctuations due to different design and development stages of new products and technologies.
Selling, general and administrative expenses were RMB1,951.5 million (US$270.3 million) for the first quarter of 2024, representing an increase of 51.9% from RMB1,284.4 million for the first quarter of 2023 and a decrease of 11.6% from RMB2,207.9 million for the fourth quarter of 2023. The year-over-year increase was due to increased employee compensation as a result of our growing number of staff as well as increased marketing and promotional activities for ZEEKR vehicles in China and overseas, and an increase in rental and related expenses due to the expansion of our offline channel. The quarter-over-quarter decrease was mainly due to decreased marketing and promotional activities.
Loss from Operations
Loss from operations was RMB2,086.9 million (US$289.0 million) for the first quarter of 2024, representing a decrease of 11.2% from RMB2,349.2 million for the first quarter of 2023 and a decrease of 29.3% from RMB2,950.1 million for the fourth quarter of 2023.
Non-GAAP loss from operations, which excludes share-based compensation expenses, was RMB2,084.2 million (US$288.7 million) for the first quarter of 2024, representing a decrease of 10.0% from RMB2,316.5 million for the first quarter of 2023 and a decrease of 28.5% from RMB2,914.8 million for the fourth quarter of 2023.
Net Loss and Net Loss Per Share
Net loss was RMB2,022.1 million (US$280.1 million) for the first quarter of 2024, representing a decrease of 18.0% from RMB2,465.4 million for the first quarter of 2023 and a decrease of 31.2% from RMB2,937.9 million for the fourth quarter of 2023.
Non-GAAP net loss, which excludes share-based compensation expenses, was RMB2,019.4 million (US$279.7 million) for the first quarter of 2024, representing a decrease of 17.0% from RMB2,432.6 million for the first quarter of 2023 and a decrease of 30.4% from RMB2,902.6 million for the fourth quarter of 2023.
Net loss attributable to ordinary shareholders of ZEEKR was RMB2,014.3 million (US$279.0 million) for the first quarter of 2024, representing a decrease of 15.9% from RMB2,394.3 million for the first quarter of 2023 and a decrease of 32.6% from RMB2,986.9 million for the fourth quarter of 2023.
Non-GAAP net loss attributable to ordinary shareholders of ZEEKR, which excludes share-based compensation expenses, was RMB2,011.6 million (US$278.6 million) for the first quarter of 2024, representing a decrease of 14.8% from RMB2,361.6 million for the first quarter of 2023 and a decrease of 31.8% from RMB2,951.6 million for the fourth quarter of 2023.
Basic and diluted net loss per share were both RMB1.01 (US$0.14) for the first quarter of 2024, compared with RMB1.20 for the first quarter of 2023 and RMB1.49 for the fourth quarter of 2023.
Non-GAAP basic and diluted net loss per share were both RMB1.01 (US$0.14) for the first quarter of 2024, compared with RMB1.18 for the first quarter of 2023 and RMB1.48 for the fourth quarter of 2023.
Balance Sheets
Cash and cash equivalents and restricted cash was RMB3,791.1 million (US$525.1 million) as of March 31, 2024.
Conference Call
The Company’s management will host an earnings conference call on Tuesday, June 11, 2024, at 8:00 A.M. U.S. Eastern Time (8:00 P.M. Beijing/Hong Kong Time on the same day).
All participants who wish to join the call are requested to complete the online registration using the link provided below. After registration, each participant will receive by email a set of dial-in numbers, a passcode and a unique access PIN to join the conference call. Participants may pre-register at any time, including up to and after the call start time.
Participant Online Registration: https://dpregister.com/sreg/10189650/fca07ffcd6
A live webcast of the conference call will be available on the Company’s investor relations website at https://ir.zeekrlife.com/.
About ZEEKR
ZEEKR is a fast-growing intelligent BEV technology company. The Company aspires to lead the electrification, intelligentization, and innovation of the automobile industry through the development and sales of next-generation premium BEVs and technology-driven solutions. Incorporated in March 2021, ZEEKR has focused on innovative BEV architecture, hardware, software, and the application of new technologies. Its current product portfolio primarily includes ZEEKR 001, a five-seater, cross-over shooting brake; ZEEKR 001 FR, its latest cross-over shooting brake; ZEEKR 009, a luxury six-seater MPV; ZEEKR 009 Grand, a four-seat deluxe version of ZEEKR 009; ZEEKR X, a compact SUV, and an upscale sedan model.
With a mission to create the ultimate mobility experience through technology and solutions, ZEEKR’s efforts are backed by strong in-house R&D capabilities, a deep understanding of products, high operational flexibility, and a flat, efficient organizational structure. Together, these features enable fast product development, launch, and iteration, as well as the creation of a series of customer-oriented products and go-to-market strategies.
For more information, please visit https://ir.zeekrlife.com/.
Non-GAAP Financial Measures
The Company uses non-GAAP financial measures, such as non-GAAP loss from operations, non-GAAP net loss, non-GAAP net loss attributable to ordinary shareholders, non-GAAP basic loss per weighted average number of ordinary shares, in evaluating its operating results and for financial and operational decision-making purposes. By excluding the impact of share-based compensation expenses, the Company believes that the non-GAAP financial measures help identify underlying trends in its business and enhance the overall understanding of the Company’s past performance and future prospects. The Company also believes that the non-GAAP financial measures allow for greater visibility with respect to key metrics used by the Company’s management in its financial and operational decision-making. The non-GAAP financial measures are not presented in accordance with U.S. GAAP and may be different from non-GAAP methods of accounting and reporting used by other companies. The non-GAAP financial measures have limitations as analytical tools and when assessing the Company’s operating performance, investors should not consider them in isolation, or as a substitute for net loss or other consolidated statements of comprehensive loss data prepared in accordance with U.S. GAAP. The Company encourages investors and others to review its financial information in its entirety and not rely on a single financial measure. The Company mitigates these limitations by reconciling the non-GAAP financial measures to the most comparable U.S. GAAP performance measures, all of which should be considered when evaluating the Company’s performance.
For more information on the non-GAAP financial measures, please see the table captioned “Unaudited Reconciliations of GAAP and non-GAAP Results” set forth in this announcement.
Exchange Rate Information
This announcement contains translations of certain RMB amounts into U.S. dollars at a specified rate solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to U.S. dollars and from U.S. dollars to RMB are made at a rate of RMB7.2203 to US$1.00, the exchange rate on March 29, 2024, set forth in the H.10 statistical release of the Federal Reserve Board. The Company makes no representation that the RMB or U.S. dollar amounts referred to could be converted into U.S. dollars or RMB, as the case may be, at any particular rate or at all.
Safe Harbor Statement
This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. Statements that are not historical facts, including statements about the Company’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties, and a number of factors could cause actual results to differ materially from those contained in any forward-looking statement. In some cases, forward-looking statements can be identified by words or phrases such as “may,” “will,” “expect,” “anticipate,” “future,” “target,” “aim,” “estimate,” “intend,” “plan,” “believe,” “potential,” “continue,” “is/are likely to,” or other similar expressions. Further information regarding these and other risks, uncertainties or factors is included in the Company’s filings with the SEC. All information provided in this announcement is as of the date of this announcement, and the Company does not undertake any duty to update such information, except as required under applicable law.
For Investor Enquiries
ZEEKR
Investor Relations
Email: ir@zeekrlife.com
For Media Enquiries
ZEEKR
Media Relations
Email: Globalcomms@zeekrlife.com
ZEEKR INC.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(Amounts in thousands, except share and per share data and otherwise noted)
As of
December 31
March 31
March 31
2023
2024
2024
RMB
RMB
US$
ASSETS
Current assets:
Cash and cash equivalents
3,260,670
2,722,703
377,090
Restricted cash
844,079
1,068,400
147,972
Notes receivable
487,851
768,360
106,417
Accounts receivable
1,104,450
1,240,508
171,808
Inventories
5,228,689
4,927,757
682,486
Amounts due from related parties
7,256,861
7,761,784
1,074,995
Prepayments and other current assets
2,294,508
3,163,007
438,071
Total current assets
20,477,108
21,652,519
2,998,839
Property, plant and equipment, net
2,914,274
3,000,793
415,605
Intangible assets, net
410,912
480,042
66,485
Land use rights, net
51,755
51,461
7,127
Operating lease right-of-use assets
2,443,545
2,369,528
328,176
Deferred tax assets
86,395
109,177
15,121
Long-term investments
459,794
550,674
76,267
Other non-current assets
273,717
315,846
43,744
Total non-current assets
6,640,392
6,877,521
952,525
TOTAL ASSETS
27,117,500
28,530,040
3,951,364
ZEEKR INC.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (CONTINUED)
(Amounts in thousands, except share and per share data and otherwise noted)
As of
December 31
March 31
March 31
2023
2024
2024
RMB
RMB
US$
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Accounts payable
4,104,717
4,578,825
634,160
Notes payable
5,504,945
9,785,003
1,355,207
Amounts due to related parties
16,355,902
13,245,235
1,834,444
Income tax payable
108,083
85,691
11,868
Accruals and other current liabilities
6,243,956
8,121,980
1,124,881
Total current liabilities
32,317,603
35,816,734
4,960,560
Operating lease liabilities, non-current
1,807,159
1,826,532
252,972
Amounts due to related parties, non-current
1,100,000
1,100,000
152,348
Other non-current liabilities
563,001
519,365
71,931
Deferred tax liability
8,337
8,150
1,129
Total non-current liabilities
3,478,497
3,454,047
478,380
TOTAL LIABILITIES
35,796,100
39,270,781
5,438,940
SHAREHOLDERS’ EQUITY
Ordinary shares
2,584
2,584
358
Convertible preferred shares
362
362
50
Additional paid-in capital
11,213,798
11,216,532
1,553,472
Accumulated deficits
(20,865,686)
(22,880,010)
(3,168,846)
Accumulated other comprehensive income/(loss)
17,555
(25,214)
(3,492)
Total ZEEKR shareholders’ equity (deficit)
(9,631,387)
(11,685,746)
(1,618,458)
Non-controlling interest
952,787
945,005
130,882
TOTAL SHAREHOLDERS’ EQUITY (DEFICIT)
(8,678,600)
(10,740,741)
(1,487,576)
TOTAL LIABILITIES AND SHAREHOLDERS’
EQUITY (DEFICIT)
27,117,500
28,530,040
3,951,364
ZEEKR INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE
(LOSS)/INCOME
(Amounts in thousands, except share and per share data and otherwise noted)
Three Months Ended
March 31
December 31
March 31
March 31
2023
2023
2024
2024
RMB
RMB
RMB
US$
Revenues:
Vehicle sales
4,725,196
10,592,647
8,174,117
1,132,102
Sales of batteries and other components
3,471,469
4,038,075
6,318,535
875,107
Research and development service and
other services
423,743
1,727,203
244,100
33,807
Total revenues
8,620,408
16,357,925
14,736,752
2,041,016
Cost of revenues:
Vehicle sales
(4,248,677)
(8,974,061)
(7,026,741)
(973,192)
Sales of batteries and other components
(3,403,866)
(3,746,895)
(5,883,360)
(814,836)
Research and development service and
other services
(285,395)
(1,308,642)
(87,301)
(12,091)
Total cost of revenues
(7,937,938)
(14,029,598)
(12,997,402)
(1,800,119)
Gross profit
682,470
2,328,327
1,739,350
240,897
Operating expenses:
Research and development expenses
(1,805,053)
(3,162,517)
(1,925,278)
(266,648)
Selling, general and administrative
expenses
(1,284,428)
(2,207,938)
(1,951,530)
(270,284)
Other operating income, net
57,808
92,041
50,525
6,998
Total operating expenses
(3,031,673)
(5,278,414)
(3,826,283)
(529,934)
Loss from operations
(2,349,203)
(2,950,087)
(2,086,933)
(289,037)
Interest expense
(104,801)
(35,730)
(10,700)
(1,482)
Interest income
22,731
25,767
20,192
2,797
Other income/(expense), net
11,107
6,420
(29,658)
(4,109)
Loss before income tax expense and
share of losses in equity method
investments
(2,420,166)
(2,953,630)
(2,107,099)
(291,831)
Share of (loss)/income in equity method
investments
(44,150)
109,061
90,882
12,588
Income tax expense
(1,046)
(93,350)
(5,889)
(816)
Net loss
(2,465,362)
(2,937,919)
(2,022,106)
(280,059)
Less: (loss)/income attributable to non-
controlling interest
(71,029)
48,969
(7,782)
(1,078)
Net loss attributable to shareholders of
ZEEKR
(2,394,333)
(2,986,888)
(2,014,324)
(278,981)
ZEEKR INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE
(LOSS)/INCOME (CONTINUED)
(Amounts in thousands, except share and per share data and otherwise noted)
Three Months Ended
March 31
December 31
March 31
March 31
2023
2023
2024
2024
RMB
RMB
RMB
US$
Net loss per share:
Basic and diluted
(1.20)
(1.49)
(1.01)
(0.14)
Weighted average shares used in
calculating net loss per share:
Basic and diluted
2,000,000,000
2,000,000,000
2,000,000,000
2,000,000,000
Net loss
(2,465,362)
(2,937,919)
(2,022,106)
(280,059)
Other comprehensive loss, net of
tax of nil:
Foreign currency translation
adjustments
(1,919)
38,684
(42,769)
(5,923)
Comprehensive loss
(2,467,281)
(2,899,235)
(2,064,875)
(285,982)
Less: comprehensive (loss)/income
attributable to non-controlling interest
(71,029)
48,969
(7,782)
(1,078)
Comprehensive loss attributable to
shareholders of ZEEKR
(2,396,252)
(2,948,204)
(2,057,093)
(284,904)
ZEEKR INC.
UNAUDITED RECONCILIATIONS OF GAAP AND NON-GAAP RESULTS
(Amounts in thousands, except share and per share data and otherwise noted)
Three Months Ended
March 31
December 31
March 31
March 31
2023
2023
2024
2024
RMB
RMB
RMB
US$
Loss from operations
(2,349,203)
(2,950,087)
(2,086,933)
(289,037)
Share-based compensation expenses
32,728
35,308
2,734
379
Non-GAAP loss from operations
(2,316,475)
(2,914,779)
(2,084,199)
(288,658)
Net loss
(2,465,362)
(2,937,919)
(2,022,106)
(280,059)
Share-based compensation expenses
32,728
35,308
2,734
379
Non-GAAP net loss
(2,432,634)
(2,902,611)
(2,019,372)
(279,680)
Net loss attributable to ordinary
shareholders
(2,394,333)
(2,986,888)
(2,014,324)
(278,981)
Share-based compensation expenses
32,728
35,308
2,734
379
Non-GAAP net loss attributable to
ordinary shareholders of ZEEKR
(2,361,605)
(2,951,580)
(2,011,590)
(278,602)
Weighted average number of ordinary
shares used in calculating Non-GAAP
net loss per share
Basic and diluted
2,000,000,000
2,000,000,000
2,000,000,000
2,000,000,000
Non-GAAP net loss per ordinary share
Basic and diluted
(1.18)
(1.48)
(1.01)
(0.14)
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SOURCE ZEEKR Intelligent Technology Holding Limited
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Technology
BTQ Technologies’ QSSN Selected as Core Security Infrastructure for South Korea’s First Bank-Led KRW Stablecoin Proof-of-Concept
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18 hours agoon
May 6, 2026By
BTQ provides strategic advisory support and QSSN as core PQC security infrastructure for the iM Bank initiative on the Kaia mainnet, advancing post-quantum migration across global financial infrastructure
BTQ has been selected as the core post-quantum cryptography security technology provider for South Korea’s first bank-led KRW stablecoin proof-of-concept, delivering its Quantum Secure Stablecoin Settlement Network (“QSSN”) for the initiative.
BTQ is providing strategic advisory support and helping coordinate implementation across the partnership with iM Bank and Finger, supporting the integration of post-quantum protections into regulated digital money infrastructure.
Built on the Kaia mainnet, the proof-of-concept is connected to the blockchain ecosystems originally developed by Kakao and LINE, linking the initiative to two of the largest messaging and digital platform ecosystems in Korea and Japan.
VANCOUVER, BC, May 6, 2026 /PRNewswire/ – BTQ Technologies Corp. (“BTQ” or the “Company”) (Nasdaq: BTQ) (CBOE CA: BTQ), a global quantum technology company focused on securing mission-critical networks, today announced that it it has been selected as the core PQC security technology provider through its Quantum Secure Stablecoin Settlement Network (“QSSN”) in a proof-of-concept with its Korean strategic partner, Finger Inc. (“Finger”), and iM Bank, a leading Korean commercial bank, for South Korea’s first bank-led Korean won stablecoin infrastructure incorporating post-quantum cryptography (“PQC”).
The proof-of-concept represents more than a technical pilot. It marks an important step in bringing next-generation quantum security into banking infrastructure within Korea’s regulated financial system. In addition to providing QSSN as the core PQC security framework, BTQ is contributing consulting and strategic coordination across the three-way partnership, helping align the project’s security architecture, implementation approach, and long-term post-quantum migration objectives.
“Post-quantum migration requires more than a cryptographic upgrade. It requires coordination across infrastructure, implementation, and institutional stakeholders,” said Olivier Roussy Newton, Chief Executive Officer of BTQ Technologies. “In this initiative, BTQ is providing both strategic advisory support and QSSN as the post-quantum security architecture, while helping lead coordination across the three-way partnership. We believe this proof-of-concept demonstrates how financial institutions can begin integrating quantum-resilient protections into digital money systems in a practical and operationally viable way.”
South Korea’s First Bank-Led PQC Stablecoin Infrastructure Initiative
BTQ is working alongside iM Bank and Finger on a three-way initiative to validate the issuance and distribution infrastructure for a Korean won stablecoin. In addition to supplying QSSN as the PQC security layer, BTQ is providing consulting support and helping to guide coordination across the partnership as the parties evaluate how to integrate post-quantum protections into bank-led digital asset infrastructure.
The proof-of-concept will validate several key components, including real-time reconciliation between bank reserves and blockchain-issued supply, a global-standard smart contract architecture, connectivity to global infrastructure for overseas distribution, and the integration of a PQC-based dual-signature security structure. By applying BTQ’s PQC signature architecture alongside the existing ECDSA cryptographic framework, the system is designed to preserve operational continuity for financial institutions while proactively addressing future quantum computing threats.
Built on Kaia Mainnet
A notable feature of the proof-of-concept is that it will be implemented on the Kaia mainnet, one of Korea’s leading Layer 1 blockchain networks. Kaia was created through the merger of Klaytn, the blockchain originally developed by Kakao, and Finschia, the blockchain associated with LINE. Kakao and LINE sit at the center of two of the largest messaging and digital platform ecosystems in Korea and Japan, respectively, making Kaia a significant piece of regional digital infrastructure.
Klaytn previously participated in the Bank of Korea’s CBDC pilot ecosystem, and the Bank of Korea has continued to advance CBDC testing through initiatives such as Project Hangang.
By combining BTQ’s PQC technology with blockchain infrastructure tied to the Kakao and LINE ecosystems, the proof-of-concept is intended to establish a model that aligns institutional-grade security, blockchain scalability, and evolving regulatory requirements for digital money infrastructure.
QSSN as the Security Layer
The PQC security foundation for the initiative is BTQ’s Quantum Secure Stablecoin Settlement Network, or QSSN, a quantum-secure network architecture designed for stablecoin, tokenized deposit, payment, and digital asset infrastructure. QSSN is designed to protect critical issuer functions, including stablecoin issuance, burning, transfer authority, upgrade control, and administrative permissions, by integrating PQC-based signatures while maintaining existing user experience and operational workflows.
BTQ has previously announced that QSSN was highlighted in the U.S. Post-Quantum Financial Infrastructure Framework (“PQFIF”) as a model architecture for post-quantum digital money infrastructure. The Company has also positioned QSSN as a standards-oriented initiative advanced through QuINSA and aligned with emerging post-quantum financial infrastructure requirements.
Addressing the Harvest-Now, Decrypt-Later Risk
The timing of the proof-of-concept reflects the growing urgency surrounding the “Harvest-Now, Decrypt-Later” risk, in which attackers may collect encrypted financial data today and decrypt it later once sufficiently advanced quantum capabilities emerge. Global institutions are already accelerating post-quantum migration. The U.S. National Institute of Standards and Technology (“NIST”) has finalized its first set of post-quantum cryptography standards, including ML-DSA, ML-KEM, and SLH-DSA, while major technology companies and financial institutions continue to define their own post-quantum transition timelines.
BTQ’s QSSN addresses this challenge through a dual-signature design that allows existing ECDSA-based infrastructure to operate in parallel with NIST-aligned PQC signatures such as ML-DSA. This approach enables banks and payment infrastructure providers to begin a phased transition toward quantum-safe security without disrupting existing systems.
Expanding BTQ’s Korean Ecosystem
BTQ continues to expand its Korean ecosystem across digital assets, payments, banking infrastructure, and hardware-based security. In October 2025, BTQ announced that Finger had joined Danal as an early participant in BTQ’s QSSN pilot program, with the initiative expected to progress from proof-of-concept toward commercialization under QuINSA-aligned guidelines and broader industry frameworks such as PQFIF.
The commencement of the iM Bank proof-of-concept represents an important commercial signal for BTQ, indicating that demand for post-quantum migration among Korean financial institutions is beginning to move from policy discussion toward infrastructure-level implementation. As Korea advances both quantum technology policy and stablecoin-related regulatory discussions, BTQ believes QSSN is well positioned at the intersection of regulated finance, digital asset infrastructure, and post-quantum security.
About iM Bank
iM Bank is a South Korean commercial bank and a subsidiary of DGB Financial Group. Headquartered in Daegu, iM Bank presents itself as a financial companion for customers and traces its roots to Daegu Bank, which was established in 1967 as Korea’s first regional bank. For more information, please visit https://www.imbank.co.kr/
About Finger Inc. Group
Finger supplies and develops financial IT solutions to provide optimized money management strategies for employees and corporate customers. Providing “Smartphone Financial Services”, “Corporate Cash Management Services” for businesses, “Private Wealth Management Services” for private consumers.
Since the year 2000, Finger has accumulated a number of awards and patents regarding its businesses. Based on its Mobile Enterprise Application Platform(MEAP) Orchestra and its funds management system using screen-scrapping technologies, Finger was the first company in Korea to deliver a smartphone banking banking-service. For more information, please visit http://www.finger.co.kr/
About BTQ
BTQ Technologies Corp. (Nasdaq: BTQ | Cboe CA: BTQ) is a quantum technology company focused on accelerating the transition from classical networks to the quantum internet. Backed by a broad patent portfolio and deep technical expertise, BTQ is advancing a full-stack, neutral-atom quantum computing platform spanning hardware, middleware, and post-quantum security solutions for finance, telecommunications, logistics, life sciences, and defense.
Connect with BTQ: Website | LinkedIn | X/Twitter
ON BEHALF OF THE BOARD OF DIRECTORS
Olivier Roussy Newton
CEO, Chairman
Neither Cboe Canada nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.
Forward Looking Information
Certain statements herein contain forward-looking statements and forward-looking information within the meaning of applicable securities laws. Such forward-looking statements or information include but are not limited to statements or information with respect to the business plans of the Company, including with respect to its research partnerships, and anticipated markets in which the Company may be listing its common shares. Forward-looking statements or information often can be identified by the use of words such as “anticipate”, “intend”, “expect”, “plan” or “may” and the variations of these words are intended to identify forward-looking statements and information.
The Company has made numerous assumptions including among other things, assumptions about general business and economic conditions, the development of post-quantum algorithms and quantum vulnerabilities, and the quantum computing industry generally. The foregoing list of assumptions is not exhaustive.
Although management of the Company believes that the assumptions made and the expectations represented by such statements or information are reasonable, there can be no assurance that forward-looking statements or information herein will prove to be accurate. Forward-looking statements and information are based on assumptions and involve known and unknown risks which may cause actual results to be materially different from any future results, expressed or implied, by such forward-looking statements or information. These factors include risks relating to: the availability of financing for the Company; business and economic conditions in the post-quantum and encryption computing industries generally; the speculative nature of the Company’s research and development programs; the supply and demand for labour and technological post-quantum and encryption technology; unanticipated events related to regulatory and licensing matters and environmental matters; changes in general economic conditions or conditions in the financial markets; changes in laws (including regulations respecting blockchains); risks related to the direct and indirect impact of COVID-19 including, but not limited to, its impact on general economic conditions, the ability to obtain financing as required, and causing potential delays to research and development activities; and other risk factors as detailed from time to time. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
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SOURCE BTQ Technologies Corp.
Technology
Zimmer Biomet to Present at the BofA Securities 2026 Health Care Conference
Published
18 hours agoon
May 6, 2026By
WARSAW, Ind., May 6, 2026 /PRNewswire/ — Zimmer Biomet Holdings, Inc. (NYSE and SIX: ZBH), a global medical technology leader, today announced that members of the Zimmer Biomet management team will participate in the Bank of America Securities Health Care Conference on Wednesday, May 13, 2026, with a fireside chat at 8:40 a.m. PT (11:40 a.m. ET).
A live audio webcast can be accessed via Zimmer Biomet’s Investor Relations website at https://investor.zimmerbiomet.com. It will be available for replay following the fireside chat.
About Zimmer Biomet
Zimmer Biomet is a global medical technology leader with a comprehensive portfolio designed to maximize mobility and improve health. We seamlessly transform the patient experience through our innovative products and suite of integrated digital and robotic technologies that leverage data, data analytics and artificial intelligence.
With 90+ years of trusted leadership and proven expertise, Zimmer Biomet is positioned to deliver the highest quality solutions to patients and providers. Our legacy continues to come to life today through our progressive culture of evolution and innovation.
For more information about our product portfolio, our operations in 25+ countries and sales in 100+ countries or about joining our team, visit www.zimmerbiomet.com or follow on LinkedIn at www.linkedin.com/company/zimmerbiomet or X at www.x.com/zimmerbiomet.
Contacts:
Media
Investors
Troy Kirkpatrick
David DeMartino
614-284-1926
646-531-6115
troy.kirkpatrick@zimmerbiomet.com
david.demartino@zimmerbiomet.com
Kirsten Fallon
Zach Weiner
781-779-5561
908-591-6955
View original content to download multimedia:https://www.prnewswire.com/news-releases/zimmer-biomet-to-present-at-the-bofa-securities-2026-health-care-conference-302763299.html
SOURCE Zimmer Biomet Holdings, Inc.
Technology
NextLadder Ventures Announces Co-Founder Leadership Team, Investment Focus Areas For Over $1 Billion Initiative Empowering Americans with Personalized, Tech-Enabled Support Tools
Published
18 hours agoon
May 6, 2026By
New senior hires from Google and The Collaborative Fund to lead product strategy and venture investing
Fund unveils first investment focus areas to catalyze new ‘Navigation Technology’ market, equipping Americans with cutting-edge tools to achieve economic security, opportunity and empowerment
ST. LOUIS, May 6, 2026 /PRNewswire/ — NextLadder Ventures, a new fund backed by more than $1 billion in capital, today announced its priority investment areas for building a new market for “Navigation Technology” (NavTech) — tools that provide Americans with personalized solutions to navigate life’s challenges and achieve greater economic mobility — and announced its co-founding team, including two new senior hires.
The fund’s active focus areas are based on extensive research identifying the key experiences and high-stakes decision points that have an outsized impact on American families’ economic mobility. Launched investment areas include financial health, career navigation, and benefits and social services access, with further exploration underway around housing, legal aid, justice and re-entry, and mental and physical health.
The organization is also today welcoming two senior leaders: Lauren Loktev is joining NextLadder as Managing Director of Investments and Brigitte Hoyer Gosselink as Managing Director of Product. Loktev was most recently a partner at the Collaborative Fund, where she backed several breakout companies in early child development, education, and sustainability. Gosselink comes to NextLadder from Google, where she led the company’s AI and social impact portfolio. They join a growing team which has deep expertise at the intersection of economic mobility, technology, public policy, and philanthropy.
NextLadder’s Focus Areas for Investment
Today, the fund is kicking off a plan to deploy $1 billion over the next seven years to accelerate the design, development, and deployment of accessible NavTech tools that aim to help families more successfully navigate the major life experiences that determine whether they get ahead or fall behind. As NextLadder’s inaugural frontier AI lab partner, Anthropic is supporting the build-out of the organization’s AI-native capabilities and is offering technical assistance to NextLadder’s portfolio organizations.
As an increasing proportion of Americans across income levels find themselves overextended and overwhelmed, NavTech tools are designed to help individuals and families understand their options, connect to information and resources, and take action to recover from a setback or take advantage of an opportunity and reclaim their economic futures.
“Life is getting harder, and too many Americans are stuck facing some of the most complex and consequential moments of their lives without much support,” said Ryan Rippel, CEO of NextLadder Ventures. “Every day, millions in this country face fork-in-the-road decisions that have major implications on whether they climb up the economic ladder or fall farther behind. AI has understandably intensified many Americans’ anxieties about their jobs and their security in the economy. But these technologies are now also making it possible to deliver highly personalized, affordable tools to meet the needs of tens of millions of Americans in a way that has never been practically achievable or financially viable before. With NavTech tools, built for the reality of families’ everyday experiences, we can empower Americans to overcome setbacks, navigate life’s toughest financial decisions, and build more secure futures.”
NavTech tools, built with the needs of individuals, families, and trusted community partners at the center of their design, have the potential to ease burdens most acutely faced by 90 million Americans who live in households that have difficulty in paying for usual home expenses, and turbocharge the capacity of the 1.6 million community workers in non-profit or local, state, and federal government roles who serve them. This growing category of digital technologies includes tools that help families access opportunities such as personalized financial advice and legal aid, get connected with available resources and programs, and manage unexpected hurdles like losing a job or facing an eviction – while freeing social workers and service providers to spend more time on people and less time on red tape and paperwork.
The fund’s active investment areas include:
Financial Health: Developing highly personalized, AI-powered financial health tools that can provide tailored, sustained counsel to help users build savings and protect and recover from financial shocks;
Career Navigation: Building tools to support career navigation, manage and support career transitions, and help workers, case managers, and employers identify pathways to living wage work — all designed to help people successfully find the right jobs for them.
Benefits & Social Services Access: Helping eligible Americans seamlessly identify and enroll in all the benefits and social services available to them, particularly those that support career navigation and transitions, help them navigate critical life moments, and achieve stability toward economic opportunity.
NextLadder is exploring additional focus areas, including housing, legal aid, justice and re-entry, caregiving, and mental and physical health. More on the organization’s vision of these focus areas is available HERE.
In addition to backing direct NavTech solutions, NextLadder is investing in the developers, partners, and standards required to build a durable, self-sustaining market. Across all focus areas, the fund is prioritizing efforts to ensure NavTech tools are reliable, protect users’ privacy, and are trusted by the families who depend on them.
NextLadder’s Co-Founder Leadership Team
NextLadder’s five co-founders will be CEO Ryan Rippel, Chief Strategy and Operations Officer Rhett Dornbach-Bender, Chief of Staff Callie Schwartz, and the two new senior hires: Managing Director of Investments Lauren Loktev and Managing Director of Product Brigitte Hoyer Gosselink, rounding out the fund’s expertise in investing, technology, and impact.
“We’re thrilled to welcome Lauren and Brigitte to the NextLadder team,” said Rippel. “Brigitte has spent her career proving that when applied purposefully, AI and technology can deliver meaningful benefits for communities, and she’ll set the bar for what NavTech tools can deliver for American families today and in the years to come. And with her deep experience backing mission-driven founders, Lauren is the perfect leader to build our venture practice from the ground up and accelerate the growth of the NavTech field. With this team in place, we’re positioned to make NavTech tools easier to build, fund, and access so they reach the people who need them most.”
Loktev brings 15 years of venture capital experience investing at the intersection of for-profit and for-good. Most recently at Collaborative Fund, she backed several companies to significant scale and launched Collab+Sesame, a first-of-its-kind thematic seed fund in partnership with Sesame Workshop focused on early childhood education. At NextLadder, she will build and lead the fund’s venture practice, sourcing and scaling investments in the founders building the next generation of NavTech tools.
“We have a once in a generation opportunity to help steer AI solutions toward those who need them most,” said Loktev. “Many amazing, accomplished founders see this too, and they are on a mission to build scalable, transformative businesses in the critical verticals that help people navigate life-changing moments. I couldn’t be more excited to join NextLadder and to support the most inspiring leaders building this market from the ground up. Thanks to our unique, long-term mandate, we can be creative and flexible in investing across stage and check size to partner with the entrepreneurs and leaders we believe will change the world.”
Prior to her role at NextLadder, Gosselink spent over a decade at Google in several roles including Director of AI and Social Impact, directing more than $500 million in funding for organizations applying AI to address challenges including crisis response, education, and economic opportunity. At NextLadder, she will lead AI and product strategy across the fund’s portfolio, backing solutions and setting market-wide standards for how NavTech tools are designed, evaluated, and improved over time.
“If we collectively harness the AI transformation strategically and purposefully, we can transform the way Americans are empowered to access greater economic mobility,” said Gosselink. “We believe that people-centered products, combined with shifts in the market and the services available to families, can fundamentally reshape how millions of Americans navigate critical moments and achieve prosperity on their own terms.”
To request interviews from the NextLadder Ventures leadership team, contact media@nextladder.com.
About NextLadder Ventures
NextLadder Ventures is a time-bound venture with one goal: empower millions of Americans to reach their potential by 2040. Backed by over $1 billion in capital, the organization invests in breakthrough technologies that remove barriers to economic success and put people in control of their futures. NextLadder Ventures is trailblazing a new market for tech-enabled Navigation Technology tools that help people access the resources they need to navigate pivotal moments — offering flexible, risk-tolerant capital to entrepreneurs building these transformative tools today, while creating a pipeline of tech, talent, and capital for the long run.
SOURCE NextLadder Ventures
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