Nikola Corp, the electric truck manufacturer, has announced the immediate departure of its CEO, Michael Lohscheller, alongside the release of its second-quarter financial report. Lohscheller’s decision to step down is due to a family health matter, and former General Motors vice chairman Steve Girsky will take over as CEO. Lohscheller will remain in an advisory capacity until the end of September for a smooth transition. The Q2 report shows that Nikola exceeded expectations in net loss per share but fell slightly short of estimated net revenue.

A New Chapter Begins for Nikola

With the CEO transition, Nikola’s second-quarter earnings report provides insights into the company’s financial performance. Nikola reported a net loss of $217.8 million for the quarter or 31 cents per share. The net loss includes a charge of $77.8 million for ceased operations, particularly the shutdown of the defunct battery-pack manufacturing in California. Comparing these results to the previous year, Nikola’s net loss has reduced from $173 million. On an adjusted basis, the company incurred a loss of 25 cents per share in the same period last year.

Nikola’s Q2 2023 Report

Aside from financial performance, Nikola’s Q2 report also reveals the company’s efforts to strengthen its financial base. During the quarter, Nikola raised $233.2 million in cash through stock sales and the sale of physical assets. This contributed to a significant increase in the company’s cash on hand, which rose from $121.1 million on March 31 to $226.7 million as of June 30. Nikola also achieved its best quarterly retail performance to date, delivering 45 battery-electric semitrucks to dealers and selling 66 of these vehicles to end users.

The production of battery-electric trucks was halted in May to integrate the assembly of both battery-electric and fuel-cell trucks on the same line. Nikola’s latest model, a longer-range fuel-cell-powered version of its Tre semitruck, has gone into production on July 31, with deliveries set to start in September. The company has received orders for 202 fuel-cell trucks from 18 fleet clients.

FAQ

Why did Nikola’s CEO, Michael Lohscheller, step down?

Michael Lohscheller decided to step down as CEO of Nikola due to a family health matter.

Who will be the new CEO of Nikola?

Former General Motors vice chairman Steve Girsky will take over as CEO of Nikola.

What were Nikola’s financial results for Q2 2023?

Nikola reported a net loss of $217.8 million or 31 cents per share for Q2 2023. The net revenue for the quarter was reported at $15.36 million, slightly lower than the estimated $15.4 million.

What were the highlights of Nikola’s Q2 2023 report?

Nikola raised $233.2 million in cash during the quarter and achieved its best quarterly retail performance to date. The company also started production of a longer-range fuel-cell-powered version of its Tre semitruck and received orders for 202 fuel-cell trucks from 18 fleet clients.

What was the reason for halting production of battery-electric trucks in May?

Nikola halted the production of battery-electric trucks in May to integrate the assembly of both battery-electric and fuel-cell trucks on the same line.

Summary

Nikola’s CEO, Michael Lohscheller, has resigned due to a family health matter, and Steve Girsky will take over as CEO. The Q2 2023 report shows Nikola exceeding expectations in net loss per share but falling slightly short in net revenue. The report also highlights Nikola’s efforts to strengthen its financial base, including raising $233.2 million in cash and achieving its best quarterly retail performance to date. The company has started production of a longer-range fuel-cell-powered version of its Tre semitruck and has received orders for 202 fuel-cell trucks from 18 fleet clients.