Nikola(US:NKLA)2024-08-09 15:28Production and Sales - The company commenced commercial production of Tre BEVs in Q1 2022 and Tre FCEVs in Q3 2023 at its Coolidge, Arizona facility[191] - For the three months ended June 30, 2024, the company produced 0 Tre BEVs and shipped 1, while for the same period in 2023, it produced 33 and shipped 45[196] - The company produced 77 Tre FCEVs and shipped 72 during the three months ended June 30, 2024, marking the beginning of FCEV shipments in Q4 2023[197] Financial Performance - Total revenues rose to $31.3 million in Q2 2024, a 104% increase from $15.4 million in Q2 2023[202] - Truck sales revenue increased by $16.7 million, or 139%, from $12.0 million in Q2 2023 to $28.7 million in Q2 2024, driven by higher sales volume and average selling prices of FCEVs[204] - Net loss from continuing operations was $133.7 million in Q2 2024, a slight improvement of $6.3 million compared to a net loss of $140.0 million in Q2 2023[202] Costs and Expenses - Cost of revenues for truck sales increased by $38.8 million, or 96%, from $40.2 million in Q2 2023 to $79.0 million in Q2 2024, due to higher production costs and warranty expenses[206] - Total operating expenses decreased by $64.6 million, or 46%, from $141.0 million in Q2 2023 to $76.4 million in Q2 2024, primarily due to reduced R&D and administrative costs[202] - Research and development expenses decreased by $24.4 million, or 38%, from $64.5 million in Q2 2023 to $40.2 million in Q2 2024, reflecting lower spending on outside development and personnel costs[209] Cash Flow and Liquidity - The company experienced negative cash flow from operations of $250.2 million for the six months ended June 30, 2024[249] - As of June 30, 2024, the company had cash and cash equivalents of $256.3 million, with current assets totaling $430.1 million[245] - The company plans to utilize short-term liquidity for ongoing activities including BEV recall work and scaling production of FCEV and BEV trucks[250] Strategic Plans and Market Conditions - The hydrogen fuel cell vehicle market is in an early stage, leading to potential production shortages and delivery delays due to supply chain challenges[197] - The company aims to develop hydrogen fueling infrastructure to support its FCEV trucks and has plans for long-term supply contracts for hydrogen[192] - The company expects to finance operations through existing cash, stock sales, debt financing, and strategic partnerships until sufficient revenue is generated[193] Shareholder Impact - The company reported a significant increase in weighted-average shares outstanding, from 23,623,094 to 46,699,945, representing a 98% increase[201] - The company expects to fund cash needs through a combination of equity and debt financing, which may result in dilution to stockholders[253] Other Financial Metrics - Adjusted EBITDA for Q2 2024 was $(109.4) million, an improvement from $(125.1) million in Q2 2023, reflecting a 12.6% reduction in losses[235] - Non-GAAP net loss for Q2 2024 was $(124.5) million, compared to $(139.3) million in Q2 2023, indicating a 10.1% improvement[237] - Other income (expense), net improved by $9.4 million, from a net expense of $5.5 million in Q2 2023 to a net income of $3.9 million in Q2 2024, attributed to gains on financial instruments and foreign currency exchange[215]