Finance

Nikola lowers revenue and delivery expectations for 2021

Nikola Motor Company
Source: Nikola Motor Company

Electric vehicle start-up Nikola Corp. reported a narrower-than-expected loss for the second quarter, as the company continues vehicle validation testing and progresses toward delivering its first trucks to customers.

Here’s how Nikola did compared with what Wall Street expected based on average estimates compiled by Refinitiv.

  • Adjusted results: a loss of 20 cents per share vs a loss of 29 cents a share
  • Revenue: $0 vs $0

Shares of Nikola were up by about 2% during premarket trading to $11.40 a share. The stock is down by about 27% this year.

The loss comes five days after a federal grand jury charged Nikola founder Trevor Milton with three counts of criminal fraud for lying about “nearly all aspects of the business” to bolster stock sales of the electric vehicle start-up.

Milton pled not guilty to the criminal charges in a Manhattan courtroom Thursday afternoon.

The company, in a statement last week, attempted to separate itself from Milton and the charges: “Trevor Milton resigned from Nikola on September 20, 2020 and has not been involved in the company’s operations or communications since that time. Today’s government actions are against Mr. Milton individually, and not against the company.  Nikola has cooperated with the government throughout the course of its inquiry.”

The company said it remained committed to previously announced milestones and timelines and delivering Nikola Tre battery-electric trucks later this year from the company’s manufacturing facilities.

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