WHITEFISH, MT / May 28, 2014 / Saleen Automotive Inc. (OTC: SLNN), a specialty manufacturer of high performance vehicles, technical performance parts, and lifestyle accessories, has significantly expanded the quality and depth of its products. Over the past few months, management has focused on revving up its business with new product launches, existing product enhancements, and new team members.
In this article, we’ll take a look at these initiatives and management’s progress in building long-term value for the company’s shareholders.
Saleen’s Take on Tesla
Tesla Motors Inc. (NASDAQ: TSLA) has made big waves in both the automotive and financial world with its breakthrough vehicle line-up. With the best ratings for its class, the Tesla Model S has become a blueprint for how electric vehicles should be designed. The stock’s meteoric 117% rise over the past 52-weeks have also impressed many investors skeptical of its ability to profit in the EV space.
In January, Saleen Automotive announced its intent to produce a Saleen Tesla Model S sports car based on the iconic frame. Industry experts speculated that the high-performance automotive company would focus on new aerodynamics, new materials (e.g. carbon fiber), and perhaps some changes to the vehicle’s suspension rather than tweaking anything it’s widely praised for (e.g. its engine performance).
The Saleen Tesla Model S would sit alongside the company’s existing retrofitted high-performance vehicles, including Ford Inc.’s (NYSE: F) Mustang, General Motors Inc.’s (NYSE: GM) Chevrolet Camaro, or Fiat SpA’s (OTC: FIATY) Dodge Charger. The firm’s other products include its Saleen S7 supercar, which was prominently featured in the movie Need for Speed in March 2014.
Better Materials, Lower Costs
Saleen Automotive has also been busy improving the quality of its new and existing product lines. With upcoming aesthetic and performance improvements in its pipeline, the company is being positioned to increase sales by differentiating itself from the competition. The company is also reducing costs by bringing components in-house, in order to ultimately drive long-term shareholder value.
In February, the company announced an agreement with AC Propulsion to assist with the technology and implementation of its EV powertrains and batteries. As a key technology provider to Tesla in the past, AC Propulsion specializes in alternating-current based drivetrain systems for electric vehicles. These systems are ideally suited for maximum efficiency and high performance.
More recently, the company announced an exclusive agreement with BASF SE (OTC: BASFY) to exclusively use its products at its campus in California. The agreement with enable the firm to develop all new colors using co-developed technology and Saleen’s state-of-the-art facility, while helping lower costs by enabling the company to bring paint under its roof rather than subcontracting to someone else.
Building a Better Team
Saleen Automotive Inc. was already founded by one of racing’s legends, but that’s not stopping the team from adding more fuel to the engine. In May, legendary driver and businessman Joe Amato agreed to join its Board of Directors to provide key technical and business advice. Mr. Amato’s accomplishments on the track are rivaled by his high-performance auto parts distribution business.
Before that, the company also added a world-class advertising agency called Havas Edge to create a nationwide advertising campaign. Havas is the largest integrated full-service direct response agency in the U.S., using data and analytics to drive results for its clients. The addition of the advertising firm represents a key partnership that could drive brand awareness higher over the long-term.
The combination of Board of Director experience and strategic partnerships should continue to assist the company in its efforts to expand brand awareness, build better products, and ultimately generate higher revenues and profits. In particular, Mr. Amato’s presence on the Board of Directors also represents a strong vote of confidence in the company and its management team.
Looking Ahead
Saleen Automotive Inc.’s efforts have already resulted in some improvements to its top- and bottom-line financial results. Looking at its core Vehicles & Parts revenue, the company reported a 77.1% increase to $1,076,153 during the three-month period ended December 31, 2013. Management attributed the gains to higher vehicle sales from the addition of new dealers and expansions with existing dealers.
Investors in the high-performance vehicle or electric vehicle space may want to keep an eye on the stock over the coming months. With new products, product enhancements, and management talent added to the mix, the company could start to see its business accelerate both operationally and financially over the coming quarters if management is able to continue to execute on its plans.
Additional Information:
– Company Website – http://saleen.com/
– Recent SEC Filings – http://secfilings.com/SearchResults.aspx?ticker=SLNN
SOURCE: Emerging Growth LLC
Source: Accesswire IA (May 28, 2014 – 9:41 AM EDT)
News by QuoteMedia
www.quotemedia.com
From Naples Motorsports:
