Nikola's Revenue Misses Estimates On Slowing Truck Demand | Old North State Wealth News
Connect with us


Nikola’s revenue misses estimates on slowing truck demand



(Reuters) -Nikola missed Wall Street expectations for first-quarter revenue on Tuesday, as the electric truck maker delivered fewer hydrogen fuel cell trucks amid an uncertain macroeconomic outlook and reduced spending by customers.

The company reported revenue of $7.5 million, missing expectations of $15.8 million, according to LSEG data. Its shares fell 5.8% before the bell.

It delivered 75 of its hydrogen fuel cell trucks in the first two quarters of production and completed the delivery of its reworked battery truck at the end of the first quarter.

The company, however, delayed its delivery timeline for its reworked battery trucks to 2024 end from its earlier plan to complete it by the end of the second quarter or early third quarter.

Nikola is finding it tough to sell its hydrogen big rigs as consumers and businesses curb spending on relatively pricer electric vehicles amid high borrowing costs and turn to cheaper hybrid alternatives.

Revenue from the company’s trucks fell 26% to $7.4 million, despite ramping up production for its hydrogen big rigs.

Its net loss stood at $147.7 million, smaller than $169.1 million a year ago, helped by a 15% reduction in operating expenses.

Nikola’s cash and cash equivalents at the end of the first quarter stood at $345.6 million, down from $464.7 million, in the prior three months.

The company said it opened refueling stations in California and Canada’s Alberta for its hydrogen trucks in March.

(Reporting by Zaheer Kachwala in Bengaluru; Editing by Arun Koyyur)

Read the full article here


Copyright © 2022 ONSWM News. Content posted on the Old North State Wealth News page was developed and produced by a third party news aggregation service. Old North State Wealth Management is not affiliated with the news aggregation service. The information presented is believed to be current. It should not be viewed as personalized investment advice. All expressions of opinion reflect the judgment of the authors on the date the articles were published. The information presented is not an offer to buy or sell, or a solicitation of any offer to buy or sell, any of the securities discussed.