Xos narrows loss 50% but internal control weaknesses expand; debt restructured to 2028

Filed March 30, 2026 · Period ending December 31, 2025 · Compared to 10-K Mar 31, 2025 · ~2 min read

Key Changes

• high

  Net loss halved to $25M from $50M, but $9.9M one-time lease termination gain masks underlying $35M operating loss. Revenue fell 18% to $46M as product mix shifted to lower-margin strip chassis.

  MD&A: Financial Results verify on EDGAR →
• high

  Material weaknesses in internal controls worsened: revenue recognition issues persist from 2024, and new weaknesses emerged in vendor accruals and contract terminations. Remediation now pushed to end of 2026.

  Controls & Procedures verify on EDGAR →
• high

  Aljomaih $20M convertible note restructured from single August 2025 payment to ten quarterly installments through February 2028. Accrued $6M interest converted to 1.8M shares, diluting existing holders ~16%.

  Notes: Debt Restructuring verify on EDGAR →