LiveWire Group (LVWR) Losses Persist In Q4 While Premium P/S Valuation Faces Bearish Narratives

LiveWire Group (LVWR) has just posted its FY 2025 numbers, reporting fourth quarter revenue of US$11.4 million and a quarterly loss of US$17.6 million, or EPS of US$0.09. This keeps the focus firmly on how quickly the business can move its margins closer to breakeven. The company has seen quarterly revenue move from US$10.8 million in Q4 FY 2024 to US$11.4 million in Q4 FY 2025, while trailing twelve month EPS sits at a loss of US$0.37 alongside a full year loss of US$75.1 million, so investors are likely to focus on how much operating efficiency and margin progress is reflected in this latest update.

See our full analysis for LiveWire Group.

With the headline numbers on the table, the next step is to compare these results with the most widely held narratives about LiveWire to see where the story around growth, losses and margins still holds up and where it is challenged by the data.

Curious how numbers become stories that shape markets? Explore Community Narratives

US$25.7m trailing revenue, losses still heavy at US$75.1m

• Over the last twelve months, LiveWire generated US$25.7 million in revenue but reported a net loss of US$75.1 million and a trailing EPS loss of US$0.37, which keeps the business firmly in loss-making territory.
• Critics highlight that earnings have declined at about 3.5% per year over the past five years, and the current trailing loss of US$75.1 million ties into that concern by showing that the company has not yet turned its growing revenue base into positive net margins.
  • The trailing EPS loss of US$0.37 compares with prior trailing readings that were more negative. However, the five-year trend still points to earnings contracting on average each year.
  • With net losses of between US$17.6 million and US$19.4 million in each FY 2025 quarter, bears see a pattern of sizeable quarterly losses that aligns with the longer term decline in earnings.

Q4 loss narrows vs FY 2024 while EPS stays negative

• In Q4 FY 2025, LiveWire posted a net loss of US$17.6 million and a basic EPS loss of US$0.09, compared to a Q4 FY 2024 net loss of US$22.8 million and EPS loss of US$0.11, alongside Q4 FY 2025 revenue of US$11.4 million versus US$10.8 million a year earlier.
• What stands out for bearish investors is that even with Q4 FY 2025 revenue above the US$10.8 million level in Q4 FY 2024, the company still recorded a multi million dollar loss. As a result, the narrowing from a US$22.8 million loss to US$17.6 million does not yet counter the broader point that the business remains unprofitable.
  • Across FY 2025, each quarter showed a loss of more than US$17.6 million despite quarterly revenue moving between US$2.7 million and US$11.4 million. Bears point to this as evidence that higher sales alone have not yet translated into positive net income.
  • The trailing twelve month loss of US$75.1 million sits against trailing revenue of US$25.7 million, so skeptics see the year on year Q4 loss movement as one data point inside a still heavy loss profile.

P/S at 18.1x while shares trade at US$2.28

• LiveWire is trading on a P/S ratio of 18.1x compared with a US Auto industry average P/S of 0.6x and a peer average of 13.8x, and the current share price is US$2.28, which means investors are paying a high sales multiple relative to both the wider industry and the peer group.
• Bears argue that this premium multiple is hard to justify while the company is loss making, and the trailing twelve month net loss of US$75.1 million, five year average earnings decline of 3.5% per year and higher share price volatility over the last three months versus the US market all feed into that cautious view.
  • The combination of an 18.1x P/S ratio and no positive net margin leaves critics focused on the gap between valuation and current profitability, using the persistent EPS loss of US$0.37 over the last twelve months as a key reference point.
  • With no reported rewards such as positive profitability or margin acceleration in the trailing data, bears see the elevated P/S and recent share price swings as a setup where sentiment can shift quickly if upcoming financial updates do not show clear progress.

Skeptical investors watching that 18.1x P/S against a US$2.28 share price may want to see how a full bear case lines up with these numbers before deciding what comes next. 🐻 LiveWire Group Bear Case

Next Steps

Don't just look at this quarter; the real story is in the long-term trend. We've done an in-depth analysis on LiveWire Group's growth and its valuation to see if today's price is a bargain. Add the company to your watchlist or portfolio now so you don't miss the next big move.

See What Else Is Out There

LiveWire is still posting heavy losses of US$75.1 million on US$25.7 million in trailing revenue, with an 18.1x P/S and no positive EPS.

If you are uneasy about paying a high multiple for a loss making business, it could be worth checking our 51 high quality undervalued stocks that pair more modest valuations with stronger fundamentals.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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