Why Fisker (FSR) Shares Are Plunging Today

Fisker Inc FSR shares are down Tuesday morning following its downbeat first-quarter performance. The company also reduced its calendar 2023 production volume guidance.
FSR reported first-quarter FY23 sales of $198 thousand versus $12 thousand, missing the consensus of $14.35 million.
Total operating costs and expenses fell 1.4% to $121.6 million.
Operating loss for the quarter narrowed to $(121.6) million from $(123.45) million last year.
The company held $657 million in cash and equivalents as of March 31, 2023. Cash used in operating activities for the quarter totaled $(83.7) million.
EPS of $(0.38) missed the analyst consensus of $(0.30).
Outlook: Fisker cuts its 2023 production target from 42,400 units to 32,000 – 36,000 units. This adjustment reflects updated homologation timing, supply chain maturity and ramp readiness progress.
It expects Q2 production of 1,400 – 1,700 vehicles.
The company expects FY23 operating expenses and capital expenditure of $535 million - $610 million.
The company still forecasts an 8-12% annual gross margin and potentially positive EBITDA for 2023.
Price Action: FSR shares are trading lower by 15.7% at $5.58 in premarket on the last check Tuesday.
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Why Fisker Shares Are Plunging Today