Electric truck manufacturer Nikola Corp. NKLA is yet to return several of the battery electric trucks it recalled in August last year, company CFO Tom Okray said on Thursday.
What Happened: While the company has returned 78 trucks that were part of the recall back to customers and dealers, it is yet to deliver another 81 trucks that were part of the recall, Okray said on the company’s third-quarter earnings call on Thursday.
“I think the important point to repeat is approximately 150 in our inventory and another 81 as part of the recall. So, you put those together, you got approximately 230 trucks that we have optionality with,” he said.
Nikola initially began delivering battery electric trucks before its hydrogen fuel cell electric trucks. However, following a few fire incidents, the BEV trucks were subsequently recalled in August 2023. The company is now returning the recalled battery electric trucks to customers with improved battery packs, renamed BEV 2.0.
Why It Matters: In February, Nikola said that the company is eyeing deliveries of at least 100 battery-electric trucks this year after fixing issues that led to multiple fire incidents last year. The company then also said that it would return all the recalled vehicles by the end of Q2 or Q3 but there has seemingly been a delay.
Nikola did not immediately respond to Benzinga’s request for comment on the reasons behind the delay.
Nikola on Thursday reported third-quarter revenue of $25.18 million, missing analyst estimates of $37.23 million. The EV maker reported a third-quarter adjusted loss of $2.75 per share, missing estimates for a loss of $2.35 per share.
Price Action: Nikola shares closed down 7% at $3.93 on Thursday. The stock is down 84.3% year-to-date, according to data from Benzinga Pro.
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Photo courtesy: Nikola
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