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EV maker Nikola to miss annual delivery target for semi-trucks

Published 11/03/2022, 09:04 AM
Updated 11/03/2022, 11:15 AM
© Reuters. FILE PHOTO: Logo of U.S. truckmaker Nikola is pictured at the IAA Transportation fair, which will open its doors to the public on September 20, 2022, in Hanover, Germany, September 19, 2022. REUTERS/Fabian Bimmer

(Reuters) -EV maker Nikola Corp said it will miss its goal of delivering at least 300 semi-trucks this year and declined to issue fresh forecasts as companies cut back spending due to rising borrowing costs, sending its shares down 3% on Thursday.

The company was expected to deliver between 300 and 500 Tre battery electric vehicles this year by cashing in on a shift to electric trucks by logistic companies looking to cut ownership costs and meet sustainability goals.

Nikola executives said in a conference call with analysts after its third-quarter results that it will not provide fourth quarter and full-year forecasts.

The company has so far this year delivered 111 trucks and produced 125 units. In the third quarter, it produced 75 Tre battery electric trucks but delivered only 63 units. Analysts had expected it to produce 70 units, according to Visible Alpha.

The bleak forecast on deliveries comes as electric-truck maker looks to capitalize on the recently passed Inflation Reduction Act to lower costs across its manufacturing and hydrogen energy businesses.

It reported revenue of $24.2 million in the third quarter, beating estimates of $22.1 million, according to Refinitiv data.

© Reuters. FILE PHOTO: Logo of U.S. truckmaker Nikola is pictured at the IAA Transportation fair, which will open its doors to the public on September 20, 2022, in Hanover, Germany, September 19, 2022. REUTERS/Fabian Bimmer

Excluding items, Nikola posted lower adjusted loss of 28 cents per share, compared with estimates of 39 cents.

Shares of the Phoenix, Arizona-based company, which rose more than 11% in early trading, fell 3% to $3.20.

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