Nikola lowers revenue and delivery expectations for 2021

Nikola Motor Corporation

Source: Nikola Motor Organization

Electric vehicle start-up Nikola on Tuesday documented a narrower-than-envisioned reduction for the second quarter but lowered its shipping and profits expectations for the yr due to source-chain troubles.

Here’s how Nikola did in contrast with what Wall Avenue envisioned based on regular estimates compiled by Refinitiv.

  • Modified benefits: a reduction of 20 cents for each share vs a loss of 29 cents a share
  • Earnings: $ vs $

CEO Mark Russell instructed investors for the duration of the earnings phone that the firm’s expected manufacturing during the next 50 percent of the calendar year will be minimal because of to offer disruptions, such as an ongoing shortage of semiconductor chips.

Nikola slash its income forecast for the calendar year to $ to $7.5 million, down from $15 million to $30 million. It also reduced vehicle shipping expectations to 25 to 50 models, down from 50 to 100.

Shares of Nikola ended up down by about 6.5% throughout early investing Tuesday to $10.45 a share. The stock is down by about 27% this calendar year.

The loss will come 5 days soon after a federal grand jury charged Nikola founder Trevor Milton with three counts of prison fraud for lying about “nearly all elements of the company” to bolster inventory income of the electric powered vehicle start off-up.

Milton pleaded not guilty Thursday to the federal legal charges.

In a assertion previous 7 days, the enterprise tried to different alone from Milton and the costs: “Trevor Milton resigned from Nikola on September 20, 2020 and has not been concerned in the firm’s functions or communications because that time. Present day federal government steps are versus Mr. Milton individually, and not from the enterprise.¬† Nikola has cooperated with the govt in the course of the program of its inquiry.”

The corporation claimed it remained committed to previously declared milestones and timelines and offering Nikola Tre battery-electric powered trucks afterwards this calendar year from the company’s manufacturing services.