(Yicai Global) Aug. 31 -- Shares in China Evergrande New Energy Vehicle Group slumped after the electric carmaker’s first-half loss almost doubled and it said mass production may be delayed due to a lack of funds.

Evergrande NEV’s stock [HKG:0708] lost 2 percent today to end at HKD5.93 (76 US cents), after earlier falling as much as 5.8 percent. The stock has slumped more than 90 percent since reaching a record high on Feb. 19.

The Guangzhou-based firm’s net loss was CNY4.8 billion (USD741.6 million) in the six months ended June 30 due to big investments, versus CNY2.5 billion a year ago, according to its earnings report released yesterday. Revenue soared 53.5 percent to CNY6.92 billion.

Income from its healthcare business jumped 54.5 percent to CNY6.88 billion, buoyed by growth in wellbeing services, aesthetic medicine and rentals, accounting for 99.5 percent of Evergrande NEV’s total revenue.

NEV business revenue fell 30.2 percent to CNY37 million (USD5.7 million). Investments in NEV sales and marketing soared 94.2 percent to CNY1.5 billion, and administrative expenses rose 48.7 percent to CNY2.1 billion.

The firm’s liquidity was hit by negative reports, Evergrande NEV said. It delayed payment of suppliers and construction funds for some wellbeing services and NEV outlets, resulting in the suspension of projects.

Evergrande NEV also said mass production of its Hengchi cars has entered the final stretch, but the group is still facing cash flow challenges, so if it lacks further capital contribution in the short term, mass production could be delayed. President Liu Yongzhuo said in April that mass production would start in the fourth quarter to achieve large-scale deliveries next year.

“The company will continue to actively approach potential investors to discuss the sale of assets, while further increasing project sales,” it said in the financial report.

Evergrande NEV had about CNY9.6 billion in cash and cash equivalents, CNY2.9 billion in restricted cash, CNY165 billion of total assets and CNY153 billion of total liabilities as of June 30.

Editor: Futura Costaglione