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Nikola expects to post first revenue in 2022, shares rise – Metro US

Nikola expects to post first revenue in 2022, shares rise

FILE PHOTO – U.S. Nikola’s logo is pictured at an
FILE PHOTO – U.S. Nikola’s logo is pictured at an event held to present CNH’s new full-electric and Hydrogen fuel-cell battery trucks in partnership with U.S. Nikola event in Turin

(Reuters) -Electric-truck maker Nikola Corp said on Thursday it expects to report its first ever revenue this year as it aims to deliver 300 to 500 Tre BEV trucks in 2022, sending the company’s shares soaring 10%.

Nikola, which has yet to report any revenue from truck sales, said it expects revenue between $90 million and $150 million this year. Its current quarter will not record any revenue, it added.

The company, which is working on expanding its plant in Coolidge, Arizona, delivered its first two electric trucks in December to a southern Californian port trucking company TTSI as part of a three-month pilot program.

“During the fourth quarter, we began delivering Pre-Series Tre BEVs to customers and dealers, and we are ramping up production in Coolidge,” Nikola Chief Executive Officer Mark Russell said in the company’s quarterly report.

“We anticipate beginning series production of the Tre BEV on March 21.”

Nikola, which was working with the U.S. Securities and Exchange Commission (SEC) to pay a $125 million penalty to settle a charge against its founder Trevor Milton, said it had made its first installment last December and was seeking reimbursement from its founder.

A representative for Milton declined to comment.

The U.S. regulators had charged Milton for using social media to repeatedly mislead investors about the electric-truck maker’s technology and capabilities, reaping “tens of millions of dollars” as a result of his misconduct.

The Phoenix, Arizona-based startup, which has been trying to close this chapter and focus on ramping up production, said it expected to complete the expansion works at its Coolidge, Arizona facility in the first quarter of 2023.

The larger facility will provide Nikola with a production capacity of up to 20,000-trucks per year on two shifts, the company added.

(Reporting by Subrat Patnaik and Chavi Mehta in Bengaluru; Editing by Shailesh Kuber)

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