Nikola's stock keeps bounce alive as revenue beats expectations

MW Nikola's stock keeps bounce alive as revenue beats expectations

By Tomi Kilgore

Adjusted losses more than halved from a year ago and total revenue more than doubled

Shares of Nikola Corp. extended their bounce on Friday after the maker of electric and hydrogen-fuel-cell trucks reported losses that narrowed sharply and revenue that more than doubled to beat expectations for the first time in nearly two years.

The stock $(NKLA)$ charged 10.1% higher in morning trading.

On Thursday, the stock had rallied 6.4% ahead of the results to snap a record-long 11-session losing streak that took it to a record closing low of $7.33 on Wednesday.

Net losses narrowed to $133.7 million, or $2.86 a share, from $217.8 million, or $5.93 a share, in the same period a year ago. Excluding nonrecurring items, adjusted per-share losses more than halved - to $2.67 from $5.90 - and beat the FactSet loss consensus of $2.78.

Total revenue more than doubled - to $31.3 million from $15.4 million - and was well above the FactSet consensus of $26.2 million. That marked the first revenue beat in seven quarters, since the third quarter of 2022.

The number of trucks produced jumped 133% to 77 and the number of trucks shipped surged 62% to 73.

"In Q2, we exceeded the high-end of the guidance range by delivering 72 hydrogen fuel cell electric vehicles (FCEVs) to our dealer network," the company said in a statement. "That makes 147 wholesaled FCEVs in the first three quarters of serial production."

Regarding its battery-electric trucks, the company said it has continued to "make progress" on returning them to its dealer network and fleet users, following a recall announced a year ago.

Nikola's stock has plunged 67.3% year to date, while the Global X Autonomous & Electric Vehicles ETF DRIV has dropped 14.2% and the S&P 500 index SPX has gained 11.4%.

-Tomi Kilgore

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August 09, 2024 09:45 ET (13:45 GMT)

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