Nikola Motor Company
Source: Nikola Motor Co.
Electric truck maker Nikola said on Tuesday it was “refocusing the business on North America” by exiting a European joint venture with its chassis supplier,
The news came as the company announced its first quarter results. Here are the key numbers, along with Wall Street estimates as reported by Refinitiv.
- Adjusted loss per share: 26 cents, versus 26 cents expected.
- Income: $11.1 million, vs $12.5 million expected.
investment related news
Shares fell about 10% in early trading after the report.
Nikola’s net loss for the quarter was $169.1 million, or 26 cents per share, adjusted. A year ago, Nikola lost $152.9 million, or 21 cents per share on an adjusted basis, on revenue of $1.9 million.
Nikola had $121.1 million in cash remaining as of March 31, up from $233.4 million at the end of 2022.
As part of a realignment to conserve cash, Nikola announced overnight that it had sold its share of a European joint venture to its longtime partner, Italian heavy-duty manufacturer Iveco Group, for $35 million. in cash and 20.6 million Nikola shares which will be returned. by Iveco. Under the agreement, Iveco will continue to supply chassis and related components to Nikola and remain an investor in the company.
“Manufacturing and energy are capital-intensive businesses, and we need to stay focused where we have competitive and first-mover advantages,” Nikola said in a statement.
Nikola produced 63 battery electric trucks and delivered 31 to dealers during the quarter. Its dealers sold 33 trucks to end customers during the period. Production of Nikola’s next model, a longer-range fuel cell version of its tractor-trailer, is set to begin in July, as planned.
Nikola currently has orders for a total of 140 fuel cell trucks for 12 fleet customers, he said.
Nikola said it will temporarily suspend production of the battery-electric truck while it reconfigures its assembly line to build both the battery-electric and fuel-cell electric trucks. Although it expects the fuel cell truck to become its main product, it will continue to build battery-electric trucks to order after the production of the fuel cell truck begins, he said. declared.
“As we move forward, we will focus on the North American market, hydrogen fuel cell trucks, the HYLA hydrogen refueling business and autonomous technologies,” CEO Michael Lohscheller said. “We have the right products at the right time.”