The slump in the U.S. electric vehicle (EV) industry continued in 2025, and several startups, including Nikola (NKLAQ) and Canoo (GOEVQ), filed for bankruptcy, continuing the spate of bankruptcies from the previous year. Most U.S. EV startups that went public between 2020 and 2021 have already gone out of business or become inconsequential. Rivian (RIVN) and Lucid Motors (LCID) are the only two EV startups of some consequence still standing, even as they trade at a fraction of their all-time highs. Both ...

Core Insights - Michael Burry, known for predicting the 2008 financial crisis, is exiting asset management, with his firm Scion Asset Management LLC officially terminating its registration as of November 10, 2025 [1][5] - Burry plans to liquidate his funds and return capital to investors by the end of the year, citing a significant divergence between market valuations and his assessments [1][5] - His recent actions and statements indicate a belief that the market is overvalued and lacks rationality, particularly regarding large tech companies and AI valuations [5][6] Company Actions - Scion Asset Management managed $155 million in assets as of March and has been viewed as a barometer for detecting bubble risks [5] - Burry has established short positions against AI-related stocks like Nvidia and Palantir, reflecting his cautious stance on the AI-driven market rally [5][6] - The firm’s termination and Burry's decision to return capital signal a retreat from what he perceives as a fundamentally manipulated market [5][8] Market Context - Burry's exit highlights the challenges faced by short-sellers in a market characterized by optimism towards the tech sector and retail investor enthusiasm [7] - The recent performance of AI-related stocks has significantly contributed to the S&P 500's gains, with reports indicating that these stocks accounted for 75% of the index's increase since November 2022 [8] - Burry's actions may symbolize a protest against speculative trends in the market, as he adheres to a value-driven investment philosophy [8][9] Future Outlook - It remains uncertain where Burry will direct his investments post-liquidation, with speculation suggesting a shift towards family office or private investment strategies [8] - Burry's upcoming announcement on November 25 may provide insights into his future investment direction [6][8]

[Explanatory Note](index=4&type=section&id=Explanatory%20Note) Nikola Corporation filed for Chapter 11 bankruptcy on February 19, 2025, leading to debt acceleration, Nasdaq delisting, and a confirmed Plan of Liquidation that cancels all equity interests for no value - Nikola Corporation and certain subsidiaries filed voluntary petitions for relief under Chapter 11 of the United States Code on **February 19, 2025**[9](index=9&type=chunk) - The bankruptcy filing constituted an event of default, accelerating obligations under the company's convertible notes[10](index=10&type=chunk) - Nikola's common stock was suspended from trading on Nasdaq on February 26, 2025, and delisted effective April 14, 2025. The company intends to file a Form 15 for deregistration[11](index=11&type=chunk) - A Plan of Liquidation was filed on June 23, 2025, and confirmed by the Bankruptcy Court on **September 5, 2025**. This plan provides for the liquidation of remaining assets, creation of a liquidation trust, and dissolution of the company[12](index=12&type=chunk)[13](index=13&type=chunk) - Pursuant to the Plan of Liquidation, all common stock and equity securities will be cancelled by order of the Bankruptcy Court, and holders will not receive any distribution[14](index=14&type=chunk) - The company has sold substantially all of its assets and ceased business operations, including truck manufacturing and sales, since **April 2025**, and is in the process of winding down[15](index=15&type=chunk) [Forward-Looking Statements](index=4&type=section&id=Forward-Looking%20Statements) This section highlights that the report contains forward-looking statements based on management's current expectations and assumptions, which are subject to significant risks and uncertainties, including the company's pending bankruptcy and liquidation. Actual results may differ materially - The report contains forward-looking statements identified by words such as 'believe,' 'may,' 'will,' 'expect,' and similar expressions, which predict future events or trends[17](index=17&type=chunk) - These statements are based on various assumptions and current management expectations and are not predictions of actual performance[17](index=17&type=chunk) - Forward-looking statements are subject to risks and uncertainties, including the Company's pending bankruptcy proceedings and liquidation, that could cause actual results to differ materially from those expected[18](index=18&type=chunk) [PART I](index=7&type=section&id=PART%20I) [Item 1. Business](index=7&type=section&id=Item%201.%20Business) Nikola Corporation operated in two business units: Truck (FCEV and BEV Class 8 trucks) and Energy (hydrogen fueling infrastructure under the HYLA brand). The company commenced commercial production of Tre BEVs in Q1 2022 and Tre FCEVs in Q3 2023. However, as of April 2025, the company has ceased business operations and sold substantially all assets due to bankruptcy [Company Overview](index=7&type=section&id=Company%20Overview) Nikola Corporation focused on commercializing hydrogen fuel cell electric vehicles (FCEV) and battery electric vehicles (BEV) Class 8 trucks, alongside developing hydrogen fueling infrastructure under the HYLA brand. Production of BEVs started in Q1 2022 and FCEVs in Q3 2023 at its Arizona facility - Nikola operated in two business units: Truck (commercializing FCEV and BEV Class 8 trucks) and Energy (developing hydrogen fueling infrastructure under the HYLA brand)[22](index=22&type=chunk)[24](index=24&type=chunk) - Commercial production of Tre BEVs began in **Q1 2022**, and Tre FCEVs in **Q3 2023**, both at the Coolidge, Arizona manufacturing facility[23](index=23&type=chunk) [Shift to Zero-Emission Vehicles](index=7&type=section&id=Shift%20to%20Zero-Emission%20Vehicles) Nikola aimed to address the environmental impact of diesel vehicles, which are a major source of air pollutants and GHG emissions, by promoting zero-emission vehicles (ZEVs) as a viable solution to meet climate and regulatory targets - Diesel vehicles are a major source of harmful air pollutants and U.S. greenhouse gas (GHG) emissions, negatively impacting health and quality of life[25](index=25&type=chunk) - Zero-emission vehicles are considered a viable option to reduce emissions in the transportation sector and meet climate, ozone, and regulatory targets[26](index=26&type=chunk) - There is a strong global consensus among governments to shift to zero-emission vehicles and eventually eliminate internal combustion engine (ICE) vehicles[26](index=26&type=chunk) [Zero-Emission Vehicle Incentive Programs](index=7&type=section&id=Zero-Emission%20Vehicle%20Incentive%20Programs) Various incentive programs, such as California's HVIP and New York's NYTVIP, were crucial for lowering the upfront and operational costs of zero-emission vehicles, including Nikola's Tre FCEV and BEV trucks, which qualified for significant incentives and tax credits - Vehicle-specific incentive programs like California's HVIP and New York's NYTVIP were expected to play an important role in the adoption of zero-emission vehicles[27](index=27&type=chunk) - Nikola's Tre FCEV qualified for HVIP incentives of **$240,000 to $288,000 per truck in 2024**, and the Tre BEV was eligible for **$120,000 to $150,000**[28](index=28&type=chunk) - Purchasers of Tre BEV and FCEVs also qualified for an additional **$40,000** in clean commercial vehicle tax credits from the federal government starting in 2023[28](index=28&type=chunk) - The loss or absence of these grants, credits, or incentives could have a material adverse effect on demand for Nikola's trucks and its business[30](index=30&type=chunk) [Industry and Competition](index=8&type=section&id=Industry%20and%20Competition) The Class 8 heavy-duty truck industry is highly competitive and evolving towards zero-emission solutions due to new regulations and technological advancements. Key competitive factors include total cost of ownership, reliability, fueling infrastructure, and service quality. Nikola faced competition from both traditional OEMs and new entrants, many of whom had greater resources - The Class 8 heavy-duty truck industry is highly competitive, driven by new regulatory requirements for vehicle emissions, technological advances, and shifting customer demands towards zero-emission solutions[32](index=32&type=chunk) - Primary competitive factors include total cost of ownership (TCO), reliability, availability of charging/refueling networks, service quality, product performance, emissions profile, and technological innovation[31](index=31&type=chunk)[37](index=37&type=chunk) - Nikola faced competition from established OEMs (Daimler, Volvo, Paccar) and new entrants (Tesla, BYD, XOS, Lion) in the BEV market, and Hyundai, Toyota, Daimler, and Volvo in the FCEV market[35](index=35&type=chunk)[36](index=36&type=chunk) - Most competitors possess greater financial, technical, manufacturing, marketing, and other resources than Nikola[34](index=34&type=chunk) [Products](index=9&type=section&id=Products) Nikola offered two Class 8 truck models: the Tre BEV, designed for short and medium-haul with a range of up to 330 miles, and the Tre FCEV, targeted for medium missions up to 500 miles per fill, leveraging the BEV platform with hydrogen fuel cell technology - The Nikola Tre Class 8 BEV is a purpose-built zero-emissions truck with a range of up to **330 miles**, designed for short and medium-haul markets in North America. Sales began in **Q2 2022**[38](index=38&type=chunk) - The Nikola Tre Class 8 FCEV uses hydrogen fuel cells, targeting medium missions up to **500 miles per fill** and multi-shift operations. Sales began in **Q4 2023**[39](index=39&type=chunk)[40](index=40&type=chunk) - The Tre FCEV leverages the Tre BEV platform with modifications for hydrogen fuel cell operation, improved aerodynamics, thermal management, and light-weighting[40](index=40&type=chunk) [Nikola Energy](index=9&type=section&id=Nikola%20Energy) Nikola Energy, under the HYLA brand, was developing a hydrogen fueling ecosystem in North America, encompassing hydrogen supply, distribution, storage, and dispensing. It also provided BEV charging solutions, focusing on mobile and fixed infrastructure - Nikola launched HYLA in **January 2023** as its new brand for hydrogen energy products, comprising a planned hydrogen fueling ecosystem and integrated BEV charging solutions[41](index=41&type=chunk) - The hydrogen fueling ecosystem includes hydrogen supply (on-site, hub production, or third-party contracts), distribution (liquid, gas, dissolved hydrogen via various methods), and storage/dispensing (fixed heavy-duty stations and modular assets)[42](index=42&type=chunk)[43](index=43&type=chunk)[44](index=44&type=chunk)[46](index=46&type=chunk)[47](index=47&type=chunk) - BEV charging solutions focused on mobile charging trailers (MCTs) for remote testing and transitional charging, and fixed infrastructure development with end-user fleets and dealers[45](index=45&type=chunk)[51](index=51&type=chunk)[52](index=52&type=chunk)[53](index=53&type=chunk) - The first HYLA 700 bar pressure hydrogen mobile fueler was commissioned in **2022**, and the first modular station opened in Ontario, California, in **Q4 2023**[50](index=50&type=chunk) [Sales, Service, and our Dealer Network](index=10&type=section&id=Sales%2C%20Service%2C%20and%20our%20Dealer%20Network) Nikola employed an end-user-focused, integrated solution approach for sales, service, and parts. This included traditional marketing, direct fleet engagement, a training academy for technicians, and a dealer network for sales and maintenance, supported by predictive maintenance and over-the-air software updates - Nikola adopted an end-user-focused, integrated solution approach for delivering trucks, infrastructure, and support services, including market research and direct engagement with fleets[54](index=54&type=chunk)[55](index=55&type=chunk) - The Nikola training academy, opened in **December 2021**, provides dealer technician training and certification for BEV and FCEV trucks[56](index=56&type=chunk) - Service solutions included smart predictive maintenance, over-the-air software updates, and a dealer network for maintenance and warranty work, with trained technicians and diagnostic technologies[59](index=59&type=chunk) - A sales and service dealer network was established in key metropolitan areas and major interstate highway intersections across the U.S.[57](index=57&type=chunk) [Bosch Fuel Cell Supply](index=11&type=section&id=Bosch%20Fuel%20Cell%20Supply) Nikola had agreements with Robert Bosch LLC for the supply of fuel cell power module (FCPM) components and a license to adapt and assemble FCPMs for its FCEV trucks, effective through 2030 - Nikola entered a Fuel Cell Supply Framework Agreement with Robert Bosch LLC in **August 2021** to purchase FCPM components from June 1, 2023, through December 31, 2030[58](index=58&type=chunk) - An FCPM Design and Manufacturing License Agreement with Bosch (**September 2021**) granted Nikola a non-exclusive license to intellectual property for adapting, developing, and assembling FCPMs for its FCEV trucks[58](index=58&type=chunk) - Bosch continues to supply FCPMs assembled in Germany to Nikola for its trucks[60](index=60&type=chunk) [Manufacturing and Production](index=12&type=section&id=Manufacturing%20and%20Production) Nikola's 670,000 sq ft manufacturing facility in Coolidge, Arizona, was designed with environmentally thoughtful features, including energy-efficient lighting, HVAC, and a solar array, utilizing modern energy-efficient equipment - Nikola's manufacturing facility in Coolidge, Arizona, is approximately **670,000 square feet** and features state-of-the-art manufacturing technology[61](index=61&type=chunk) - The facility was designed with environmentally thoughtful features, including energy-efficient LED lighting, HVAC, industrial fans, day lighting, smart controls, low water use landscaping, and a **750 kW solar array**[61](index=61&type=chunk) - The manufacturing process utilizes modern energy-efficient equipment, electric automated guided vehicles (AGVs), and electric forklifts[61](index=61&type=chunk) [Intellectual Property](index=12&type=section&id=Intellectual%20Property) Nikola protected its core technology and intellectual property through a combination of patents, trademarks, copyrights, trade secrets, and confidentiality agreements, focusing on vehicle powertrains (battery and fuel cell) and hydrogen fueling - Nikola's success depends on its ability to protect core technology and intellectual property through a combination of patent, trademark, copyright, and trade secret protection[62](index=62&type=chunk) - The company also uses confidentiality and invention assignment agreements with employees and consultants to control access to proprietary information[62](index=62&type=chunk) - Patents and patent applications cover vehicle and vehicle powertrain (including battery and fuel cell technology) and hydrogen fueling[63](index=63&type=chunk) [Sustainability](index=12&type=section&id=Sustainability) Sustainability was central to Nikola's mission of zero tailpipe emission vehicles, integrating sustainable principles into operations, systems, and management. The company had a dedicated sustainability team, performed materiality assessments, and integrated oversight into its corporate governance - Sustainability is inherent in Nikola's purpose-built zero tailpipe emission vehicles and integrated into its operations, systems, and management[64](index=64&type=chunk) - The company focused on avoiding emissions in heavy-duty transportation through clean technology and energy solutions, while also managing its operational footprint[64](index=64&type=chunk) - Nikola appointed a sustainability team lead, partnered for a materiality assessment, and integrated sustainability oversight into its sustainability, nominating, and corporate governance committee[65](index=65&type=chunk) [Safety](index=12&type=section&id=Safety) Nikola implemented a comprehensive health and safety management system, overseen by dedicated officers, covering employees and partners. This included contractor safety programs, routine internal inspections, and audits, resulting in ISO 9001, 14001, and 45001 certifications - Nikola's safety programs encompass employees and partners, with safety being critical in all phases of production, testing, validation, and use[66](index=66&type=chunk) - A health and safety management system is implemented, steered by the Head of Environmental Health and Safety and a Safety Officer[66](index=66&type=chunk) - Routine monthly internal inspections are conducted at all facilities, and internal audits of the Environmental Management System are performed[66](index=66&type=chunk) - The company achieved International Standards Organization (ISO) **9001, 14001, and 45001** certifications[66](index=66&type=chunk) [Governance](index=12&type=section&id=Governance) Nikola aimed for leadership in corporate responsibility through a Code of Business Conduct and Ethics and a Code of Ethics for Senior Financial Officers, supplemented by workforce training and a whistleblower program - Nikola's corporate governance is guided by a Code of Business Conduct and Ethics and a Code of Ethics for Senior Financial Officers, publicly available on its website[67](index=67&type=chunk) - Ethics policies are supplemented by workforce training courses on ethical standards and an Ethics and Whistleblower program for anonymous reporting of concerns[67](index=67&type=chunk) - Any concerns regarding accounting or auditing matters reported through these procedures are communicated promptly to the audit committee[67](index=67&type=chunk) [Employees](index=13&type=section&id=Employees) As of December 31, 2024, Nikola had approximately 940 employees, primarily in Arizona. Employee relations were favorable, with no external union representation, and the company actively complied with employment laws - As of **December 31, 2024**, Nikola had approximately **940 employees**, with the majority located in Coolidge, Arizona, or the Phoenix metropolitan area[68](index=68&type=chunk) - None of the employees were represented by an external employee organization such as a union, and relations with employees were considered favorable[68](index=68&type=chunk) - The company actively sought to comply with all local, state, and federal employment laws and monitored labor and human capital management risks[69](index=69&type=chunk) [Government Regulation](index=13&type=section&id=Government%20Regulation) Nikola operated in a heavily regulated industry, subject to extensive environmental, vehicle safety, and emissions regulations at international, federal, state, and local levels. Compliance was critical, with violations potentially leading to substantial fines or operational cessation - Nikola operates in an industry subject to extensive and increasingly stringent environmental regulations governing water use, air emissions, hazardous materials, and environmental protection[70](index=70&type=chunk) - Vehicles are designed to comply with numerous regulatory safety requirements established by NHTSA (FMVSS) and Canadian CMVSS[71](index=71&type=chunk)[72](index=72&type=chunk) - The company is required to obtain a Certificate of Conformity for GHG from the EPA and an Executive Order for GHG from CARB, which it has received each model year since **2021**[75](index=75&type=chunk)[77](index=77&type=chunk) - Nikola's BEV and FCEV trucks received Executive Orders for Zero Emission Powertrain and Enhanced Zero Emission Vehicle from CARB since **2023**, qualifying them for HVIP funding[78](index=78&type=chunk)[79](index=79&type=chunk) - Battery packs conform with mandatory regulations for transporting 'dangerous goods,' including lithium-ion batteries, and are designed to meet and exceed UN Manual of Tests and Criteria compliance[81](index=81&type=chunk)[82](index=82&type=chunk) [Available Information](index=14&type=section&id=Available%20Information) Nikola's SEC filings, including annual, quarterly, and current reports, proxy statements, and other information, are publicly available on the SEC's website and the company's investor relations page - Nikola files annual, quarterly, and current reports, proxy statements, and other information with the SEC, available to the public at www.sec.gov[83](index=83&type=chunk) - SEC filings are also available free of charge on the Investors Overview page of Nikola's website at nikolamotor.com[83](index=83&type=chunk) [Item 1A. Risk Factors](index=14&type=section&id=Item%201A.%20Risk%20Factors) Nikola has ceased business operations and sold substantially all assets, with its Plan of Liquidation confirmed by the Bankruptcy Court. All existing equity interests will be cancelled for no value, leading to a total loss for equity investors. Trading in common stock is highly speculative and may not reflect this pending cancellation - Nikola has ceased business operations and sold substantially all of its assets, and the Bankruptcy Court has confirmed its Plan of Liquidation[84](index=84&type=chunk)[87](index=87&type=chunk)[88](index=88&type=chunk) - On the Effective Date (expected **December 2025**), all existing common stock and equity securities will be cancelled for no value, and investors will lose their entire investments[89](index=89&type=chunk) - Trading in Nikola's common stock is highly speculative and may not reflect the pending cancellation of shares pursuant to the Plan of Liquidation[90](index=90&type=chunk) - The bankruptcy filings accelerated obligations under the company's convertible notes and led to the suspension and voluntary delisting of common stock from Nasdaq[85](index=85&type=chunk)[86](index=86&type=chunk) [Item 1B. Unresolved Staff Comments](index=15&type=section&id=Item%201B.%20Unresolved%20Staff%20Comments) There are no unresolved staff comments - There are no unresolved staff comments[91](index=91&type=chunk) [Item 1C. Cybersecurity](index=15&type=section&id=Item%201C.%20Cybersecurity) Nikola implemented processes and controls for identifying, monitoring, assessing, mitigating, and managing cybersecurity risks, integrated into its overall risk management program. This included end-user training, security assessments, incident response plans, and engagement with third-party experts, with oversight from the Global Head of IT and the audit committee - Nikola implemented processes and controls for identifying, monitoring, assessing, mitigating, and managing potential cybersecurity risks, integrated into its overall risk management program[92](index=92&type=chunk) - The cybersecurity risk mitigation program includes end-user training, application security assessments, risk scores, security audits, and change review boards[92](index=92&type=chunk) - The security team, led by the Global Head of Information Technology, is responsible for cybersecurity practices and provides regular updates to the audit committee of the board of directors[94](index=94&type=chunk)[95](index=95&type=chunk) - Nikola partners with third-party security vendors to conduct security assessments, penetration testing, and ongoing risk assessments[96](index=96&type=chunk) [Item 2. Properties](index=15&type=section&id=Item%202.%20Properties) Nikola leased its headquarters in Phoenix, Arizona (over 150,000 sq ft), additional office space in Arizona, California, and Colorado, a service center in California, and eight parcels of land in California and Canada for refueling stations. Its manufacturing facility was leased in Coolidge, Arizona - Nikola leased its headquarters facility in Phoenix, Arizona, consisting of over **150,000 square feet**[98](index=98&type=chunk) - The company also leased office space in Arizona, California, and Colorado, a service center in California, and eight parcels of land in California and Canada for refueling stations[98](index=98&type=chunk) - An approximately **400-acre** parcel of real property in Coolidge, Arizona, where the manufacturing facility is constructed, is also leased[98](index=98&type=chunk) [Item 3. Legal Proceedings](index=16&type=section&id=Item%203.%20Legal%20Proceedings) Material pending legal proceedings are detailed in Note 13, Commitments and Contingencies, to the consolidated financial statements - A description of material pending legal proceedings is provided in Note 13, Commitments and Contingencies, to the consolidated financial statements[99](index=99&type=chunk) [Item 4. Mine Safety Disclosures](index=16&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) Not applicable - This item is not applicable[100](index=100&type=chunk) [PART II](index=17&type=section&id=PART%20II) [Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=17&type=section&id=Item%205.%20Market%20for%20Registrant%27s%20Common%20Equity%2C%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) Nikola's common stock was delisted from Nasdaq on April 14, 2025, and is now quoted on the Pink Market under "NKLAQ." As of April 28, 2025, there were 214 holders of record. The company has never paid cash dividends and has no current plans to do so, intending to retain future earnings for operations - Nikola's common stock was delisted from The Nasdaq Stock Market LLC on **April 14, 2025**, and is now available for quotation on the Pink Market under the symbol "**NKLAQ**"[103](index=103&type=chunk) - As of **April 28, 2025**, there were **214 holders of record** of Nikola's common stock[104](index=104&type=chunk) - Nikola has not paid any cash dividends on its common stock to date and has no current plans to pay cash dividends for the foreseeable future, intending to retain future earnings for operations[105](index=105&type=chunk) [Item 6. [Reserved]](index=17&type=section&id=Item%206.%20%5BReserved%5D) This item is reserved - This item is reserved[106](index=106&type=chunk) [Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=18&type=section&id=Item%207.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) This section provides an overview of Nikola's financial condition and results of operations for the year ended December 31, 2024, compared to 2023, focusing on continuing operations. It highlights the impact of the company's bankruptcy and pending liquidation on financial comparability and future outlook [Overview](index=18&type=section&id=Overview) Nikola operated in two business units: Truck (FCEV and BEV Class 8 trucks) and Energy (hydrogen fueling infrastructure under the HYLA brand). The company required substantial additional capital to fund operations and was impacted by a voluntary recall of BEV trucks in H2 2023 - Nikola operated in two business units: Truck (commercializing FCEV and BEV Class 8 trucks) and Energy (developing hydrogen fueling infrastructure under the HYLA brand)[108](index=108&type=chunk)[109](index=109&type=chunk) - The company required substantial additional capital to manufacture and validate products, services, and fund operations, dependent on revenue, gross margins, and financing[111](index=111&type=chunk) - Commercial production of Tre BEVs began in **Q1 2022** and Tre FCEVs in **Q3 2023**; however, BEV production and shipment were suspended in **H2 2023** due to a voluntary recall[112](index=112&type=chunk) - Nikola accrued **$57.4 million** for BEV truck recall campaign costs, with **$44.3 million** incurred through December 31, 2024[113](index=113&type=chunk) [Results of Operations](index=19&type=section&id=Results%20of%20Operations) Nikola experienced a significant increase in total revenues by 92% to $68.9 million in 2024, primarily driven by a 107% increase in truck sales. However, gross loss widened by 8% to $(230.4) million, and loss from operations increased by 41% to $(916.5) million, largely due to a $336.8 million impairment expense in 2024. Net loss from continuing operations increased by 11% to $(958.2) million Years Ended December 31, 2024 vs. 2023 (in thousands, except per share data) | Metric | 2024 | 2023 | $ Change | % Change | | :----------------------------------- | :------- | :------- | :------- | :------- | | Revenues: | | | | | | Truck sales | $62,210 | $30,061 | $32,149 | 107% | | Service and other | $6,652 | $5,778 | $874 | 15% | | **Total revenues** | **$68,862** | **$35,839** | **$33,023** | **92%** | | Cost of revenues: | | | | | | Truck sales | $279,854 | $242,519 | $37,335 | 15% | | Service and other | $19,434 | $7,387 | $12,047 | 163% | | **Total cost of revenues** | **$299,288** | **$249,906** | **$49,382** | **20%** | | **Gross loss** | **$(230,426)** | **$(214,067)** | **$(16,359)** | **8%** | | Operating expenses: | | | | | | Research and development | $158,061 | $208,160 | $(50,099) | (24)% | | Selling, general and administrative | $191,212 | $198,768 | $(7,556) | (4)% | | Impairment expense | $336,758 | $— | $336,758 | NM | | Loss on supplier deposits | $— | $28,834 | $(28,834) | NM | | **Total operating expenses** | **$686,031** | **$435,762** | **$250,269** | **57%** | | **Loss from operations** | **$(916,457)** | **$(649,829)** | **$(266,628)** | **41%** | | Other income (expense): | | | | | | Interest expense, net | $(22,824) | $(76,023) | $53,199 | (70)% | | Gain on divestiture of affiliate | $— | $70,849 | $(70,849) | NM | | Loss on debt extinguishment | $(6,004) | $(31,025) | $25,021 | (81)% | | Inducement expense | $(7,714) | $— | $(7,714) | NM | | Other expense, net | $(3,529) | $(162,163) | $158,634 | (98)% | | Loss before income taxes and equity in net loss of affiliates | $(956,528) | $(848,191) | $(108,337) | 13% | | Income tax expense | $71 | $12 | $59 | 492% | | Loss before equity in net loss of affiliates | $(956,599) | $(848,203) | $(108,396) | 13% | | Equity in net loss of affiliates | $(1,630) | $(16,418) | $14,788 | (90)% | | **Net loss from continuing operations** | **$(958,229)** | **$(864,621)** | **$(93,608)** | **11%** | | Basic and diluted net loss per share | $(17.56) | $(32.42) | $14.86 | (46)% | | Weighted-average shares outstanding | 54,558,229 | 26,667,685 | 27,890,544 | 105% | [Liquidity and Capital Resources](index=22&type=section&id=Liquidity%20and%20Capital%20Resources) As of December 31, 2024, Nikola's principal liquidity source was $104.3 million in cash and cash equivalents. The company's current assets were $265.1 million and current liabilities were $245.4 million. Management concluded that the Chapter 11 bankruptcy filing raises substantial doubt about the company's ability to continue as a going concern - As of **December 31, 2024**, Nikola's principal sources of liquidity were cash and cash equivalents totaling **$104.3 million**[136](index=136&type=chunk) - Current assets were **$265.1 million** (including **$104.3 million** cash and **$71.8 million** inventory), and current liabilities were **$245.4 million** (including **$80.2 million** SEC settlement and **$24.9 million** warranty reserves)[137](index=137&type=chunk)[138](index=138&type=chunk) - Management concluded that the Chapter 11 bankruptcy petitions raise substantial doubt about the company's ability to continue as a going concern for 12 months following the issuance of financial statements[139](index=139&type=chunk) Summary of Cash Flow Data (in thousands) | Years Ended December 31, | 2024 | 2023 | | :------------------------------ | :------- | :------- | | Net cash used in operating activities | $(521,504) | $(496,178) | | Net cash used in investing activities | $(25,209) | $(66,749) | | Net cash provided by financing activities | $174,360 | $742,983 | - Net cash used in operating activities was **$521.5 million in 2024**, primarily due to a net loss of **$958.2 million**, partially offset by non-cash items like impairment expense (**$336.8 million**) and inventory write-downs (**$88.0 million**)[145](index=145&type=chunk) - Net cash provided by financing activities was **$174.4 million in 2024**, mainly from proceeds from common stock issuance (**$144.1 million**) and convertible notes (**$80.0 million**), partially offset by debt and lease repayments[149](index=149&type=chunk) [Off-Balance Sheet Arrangements](index=24&type=section&id=Off-Balance%20Sheet%20Arrangements) Nikola has not engaged in any off-balance sheet arrangements since its incorporation - Since the date of incorporation, Nikola has not engaged in any off-balance sheet arrangements[151](index=151&type=chunk) [Critical Accounting Policies and Estimates](index=24&type=section&id=Critical%20Accounting%20Policies%20and%20Estimates) Nikola's financial statements rely on significant management judgments and estimates, particularly for impairment assessments of long-lived and intangible assets, valuation of derivative liabilities, lease assumptions, revenue recognition, contingent liabilities (including litigation and warranty reserves), and stock-based compensation - Significant estimates and judgments involve impairment assessments for long-lived and intangible assets, valuation of derivative assets and liabilities, lease assumptions, revenue recognition, contingent liabilities (litigation, inventory, warranty reserves), and stock-based compensation[152](index=152&type=chunk)[217](index=217&type=chunk) - Product warranty costs and recall campaign costs are recognized based on estimates of product failure rates, replacement costs, and required repairs, which are highly subjective and require significant management judgment[154](index=154&type=chunk)[156](index=156&type=chunk)[278](index=278&type=chunk)[279](index=279&type=chunk) - Goodwill and indefinite-lived intangible assets are tested for impairment annually, and long-lived assets are reviewed when carrying values may not be recoverable. In 2024, a sustained stock price decline led to impairment charges for goodwill (**$5.2 million**), indefinite-lived intangible assets (**$47.2 million**), and long-lived assets (**$284.3 million**)[157](index=157&type=chunk)[158](index=158&type=chunk)[159](index=159&type=chunk)[160](index=160&type=chunk)[161](index=161&type=chunk)[162](index=162&type=chunk)[163](index=163&type=chunk)[164](index=164&type=chunk)[256](index=256&type=chunk)[258](index=258&type=chunk)[259](index=259&type=chunk)[260](index=260&type=chunk)[261](index=261&type=chunk)[262](index=262&type=chunk)[266](index=266&type=chunk)[267](index=267&type=chunk) [Recent Accounting Pronouncements](index=26&type=section&id=Recent%20Accounting%20Pronouncements) Nikola adopted ASU No. 2023-07 on Segment Reporting effective December 31, 2024, with no material impact. The company is evaluating the impact of ASU No. 2023-09 (Income Taxes), ASU No. 2024-03 (Expense Disaggregation Disclosures), and ASU No. 2024-04 (Induced Conversions of Convertible Debt) for future periods - Nikola adopted ASU No. 2023-07, Segment Reporting, effective **December 31, 2024**, which increased required disclosures about reportable segments but had no material impact on financial condition or results of operations[293](index=293&type=chunk) - The company is currently evaluating the impact of recently issued accounting pronouncements, including ASU No. 2023-09 (Income Taxes), ASU No. 2024-03 (Expense Disaggregation Disclosures), and ASU No. 2024-04 (Induced Conversions of Convertible Debt Instruments), for future periods[294](index=294&type=chunk)[295](index=295&type=chunk)[296](index=296&type=chunk)[298](index=298&type=chunk) [Item 7A. Quantitative and Qualitative Disclosures About Market Risk](index=26&type=section&id=Item%207A.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) As a smaller reporting company, Nikola is not required to provide quantitative and qualitative disclosures about market risk - As a smaller reporting company, Nikola is not required to provide quantitative and qualitative disclosures about market risk[166](index=166&type=chunk) [Item 8. Financial Statements and Supplementary Data](index=27&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) This section presents Nikola Corporation's audited consolidated financial statements, including balance sheets, statements of operations, comprehensive loss, stockholders' equity, and cash flows for the years ended December 31, 2024 and 2023, along with accompanying notes. The financial statements are prepared assuming a going concern, despite the company's Chapter 11 filing [Report of Independent Registered Public Accounting Firm (Grant Thornton LLP)](index=28&type=section&id=Report%20of%20Independent%20Registered%20Public%20Accounting%20Firm%20(Grant%20Thornton%20LLP)) Grant Thornton LLP, as the auditor since 2024, issued an unqualified opinion on Nikola's consolidated financial statements for the year ended December 31, 2024. However, they highlighted the Chapter 11 filing as raising substantial doubt about the company's ability to continue as a going concern. The critical audit matter identified was the liability for product warranties due to significant management and auditor judgment in estimating product failure rates - Grant Thornton LLP issued an unqualified opinion on Nikola's consolidated financial statements for the year ended **December 31, 2024**[170](index=170&type=chunk) - The audit report highlighted that the Chapter 11 filing on **February 19, 2025**, raises substantial doubt about the Company's ability to continue as a going concern[171](index=171&type=chunk) - The critical audit matter identified was the liability for product warranties (**$53.2 million** at December 31, 2024), due to significant management and auditor judgment in developing assumptions for expected product failure rates[176](index=176&type=chunk)[177](index=177&type=chunk) [Report of Independent Registered Public Accounting Firm (Ernst & Young LLP)](index=30&type=section&id=Report%20of%20Independent%20Registered%20Public%20Accounting%20Firm%20(Ernst%20%26%20Young%20LLP)) Ernst & Young LLP, as the auditor from 2018 to 2024, issued an unqualified opinion on Nikola's consolidated financial statements for the year ended December 31, 2023 - Ernst & Young LLP issued an unqualified opinion on Nikola's consolidated financial statements for the year ended **December 31, 2023**[180](index=180&type=chunk) - Ernst & Young LLP served as the Company's auditor from **2018 to 2024**[183](index=183&type=chunk) [Consolidated Balance Sheets](index=31&type=section&id=Consolidated%20Balance%20Sheets) Nikola's total assets decreased from $1,274.9 million in 2023 to $596.2 million in 2024, primarily due to a significant reduction in cash and cash equivalents and impairment of property, plant, and equipment. Total liabilities decreased from $555.7 million to $488.8 million, while total stockholders' equity decreased from $719.2 million to $107.4 million Consolidated Balance Sheet Highlights (in thousands) | Metric | December 31, 2024 | December 31, 2023 | | :----------------------------------- | :------------------ | :------------------ | | **Assets** | | | | Cash and cash equivalents | $104,302 | $464,715 | | Restricted cash and cash equivalents | $4,284 | $1,224 | | Accounts receivable, net | $33,381 | $17,974 | | Inventory | $71,847 | $62,588 | | Prepaid expenses and other current assets | $51,244 | $25,911 | | **Total current assets** | **$265,058** | **$572,412** | | Property, plant and equipment, net | $230,876 | $503,416 | | Intangible assets, net | $1,364 | $85,860 | | Goodwill | $— | $5,238 | | **Total assets** | **$596,177** | **$1,274,857** | | **Liabilities** | | | | Accounts payable | $53,412 | $44,133 | | Accrued expenses and other current liabilities | $182,391 | $207,022 | | Debt and finance lease liabilities, current | $9,595 | $8,950 | | **Total current liabilities** | **$245,398** | **$260,105** | | Long-term debt and finance lease liabilities, net of current portion | $192,700 | $269,279 | | **Total liabilities** | **$488,755** | **$555,683** | | **Stockholders' equity** | | | | Common stock (shares outstanding) | 115,639,591 | 44,336,100 | | Additional paid-in capital | $4,136,586 | $3,790,401 | | Accumulated deficit | $(4,029,298) | $(3,071,069) | | **Total stockholders' equity** | **$107,422** | **$719,174** | - Total assets decreased by **$678.7 million (53%)** from **$1,274.9 million in 2023** to **$596.2 million in 2024**[186](index=186&type=chunk) - Cash and cash equivalents decreased by **$360.4 million (78%)** from **$464.7 million in 2023** to **$104.3 million in 2024**[186](index=186&type=chunk) - Total stockholders' equity decreased by **$611.8 million (85%)** from **$719.2 million in 2023** to **$107.4 million in 2024**[186](index=186&type=chunk) [Consolidated Statements of Operations](index=32&type=section&id=Consolidated%20Statements%20of%20Operations) Nikola reported a net loss of $(958.2) million in 2024, an increase from $(966.3) million in 2023 (which included discontinued operations). Loss from continuing operations increased to $(958.2) million in 2024 from $(864.6) million in 2023, driven by higher operating expenses, particularly impairment expense Consolidated Statements of Operations Highlights (in thousands, except per share data) | Metric | 2024 | 2023 | | :----------------------------------- | :------- | :------- | | Total revenues | $68,862 | $35,839 | | Gross loss | $(230,426) | $(214,067) | | Total operating expenses | $686,031 | $435,762 | | Loss from operations | $(916,457) | $(649,829) | | Net loss from continuing operations | $(958,229) | $(864,621) | | Loss from discontinued operations | $— | $(101,661) | | **Net loss** | **$(958,229)** | **$(966,282)** | | Basic and diluted net loss per share | $(17.56) | $(36.23) | | Weighted-average shares outstanding | 54,558,229 | 26,667,685 | - Net loss from continuing operations increased by **$93.6 million (11%)** to **$(958.2) million in 2024**[188](index=188&type=chunk) - Total operating expenses increased by **$250.3 million (57%)** to **$686.0 million in 2024**, primarily due to a **$336.8 million** impairment expense[188](index=188&type=chunk) - Basic and diluted net loss per share improved from **$(36.23) in 2023** to **$(17.56) in 2024**, partly due to a **105% increase** in weighted-average shares outstanding[188](index=188&type=chunk) [Consolidated Statements of Comprehensive Loss](index=33&type=section&id=Consolidated%20Statements%20of%20Comprehensive%20Loss) Nikola reported a comprehensive loss of $(957.9) million in 2024, compared to $(964.9) million in 2023. This includes the net loss adjusted for foreign currency translation adjustments Consolidated Statements of Comprehensive Loss (in thousands) | Metric | 2024 | 2023 | | :----------------------------------- | :------- | :------- | | Net loss | $(958,229) | $(966,282) | | Other comprehensive income (loss): | | | | Foreign currency translation adjustment, net of tax | $284 | $1,415 | | **Comprehensive loss** | **$(957,945)** | **$(964,867)** | [Consolidated Statements of Stockholders' Equity](index=34&type=section&id=Consolidated%20Statements%20of%20Stockholders%27%20Equity) Total stockholders' equity decreased significantly from $719.2 million in 2023 to $107.4 million in 2024, primarily due to a net loss of $(958.2) million, partially offset by $187.4 million from common stock issued for convertible notes conversions and $126.9 million from equity distribution agreements - Total stockholders' equity decreased from **$719.174 million** as of December 31, 2023, to **$107.422 million** as of December 31, 2024[192](index=192&type=chunk) - The accumulated deficit increased by **$958.2 million** due to the net loss in 2024, reaching **$(4,029.3) million**[192](index=192&type=chunk) - Additional paid-in capital increased by **$346.2 million**, primarily from common stock issued for convertible notes conversions (**$187.4 million**) and Equity Distribution Agreements (**$126.9 million**)[192](index=192&type=chunk) - Common stock shares issued and outstanding increased from **44,336,100 in 2023** to **115,639,591 in 2024**, reflecting new issuances and the reverse stock split adjustment[186](index=186&type=chunk)[192](index=192&type=chunk) [Consolidated Statements of Cash Flows](index=35&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) In 2024, Nikola used $(521.5) million in operating activities and $(25.2) million in investing activities, while generating $174.4 million from financing activities. This resulted in a net decrease of $(372.4) million in cash and cash equivalents, ending the year with $121.6 million Consolidated Statements of Cash Flows (in thousands) | Cash Flow Activity | 2024 | 2023 | | :-------------------------------- | :------- | :------- | | Net cash used in operating activities | $(521,504) | $(496,178) | | Net cash used in investing activities | $(25,209) | $(66,749) | | Net cash provided by financing activities | $174,360 | $742,983 | | Net increase (decrease) in cash and cash equivalents and restricted cash | $(372,353) | $180,056 | | Cash and cash equivalents, including restricted cash, end of period | $121,612 | $493,965 | - Net cash used in operating activities was **$(521.5) million in 2024**, primarily driven by the net loss from continuing operations, partially offset by non-cash adjustments like impairment expense and inventory write-downs[145](index=145&type=chunk)[195](index=195&type=chunk) - Net cash provided by financing activities was **$174.4 million in 2024**, mainly from proceeds from common stock issuances under Equity Distribution Agreements and convertible debt instruments[149](index=149&type=chunk)[196](index=196&type=chunk) [Notes to Consolidated Financial Statements](index=37&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) The notes provide detailed information on Nikola's accounting policies, financial statement components, and significant events, including the Chapter 11 bankruptcy filing, which raises substantial doubt about the company's going concern ability [1. BASIS OF PRESENTATION](index=37&type=section&id=1.%20BASIS%20OF%20PRESENTATION) This note outlines Nikola's business as a designer and manufacturer of FCEV and BEV trucks and energy infrastructure. It details the reverse stock split in June 2024 and the Chapter 11 bankruptcy filing in February 2025, which raises substantial doubt about the company's ability to continue as a going concern, leading to a plan of liquidation and cancellation of equity interests - Nikola Corporation is a designer and manufacturer of heavy-duty commercial fuel cell electric vehicles (FCEV) and battery electric vehicles (BEV), and energy infrastructure solutions[198](index=198&type=chunk) - A **one-for-thirty reverse stock split** of common stock became effective on **June 24, 2024**, and the number of authorized common shares was reduced from **1,600,000,000 to 1,000,000,000**[200](index=200&type=chunk) - On **February 19, 2025**, Nikola and certain subsidiaries filed voluntary petitions for relief under Chapter 11, and a plan of liquidation was filed on **June 23, 2025**, and confirmed on **September 5, 2025**[207](index=207&type=chunk)[208](index=208&type=chunk)[209](index=209&type=chunk) - Pursuant to the Plan of Liquidation, all common stock and equity securities will be cancelled by order of the Bankruptcy Court, and holders will not receive any distribution[210](index=210&type=chunk) - Management concluded that the Chapter 11 filing raises substantial doubt about the company's ability to continue as a going concern[212](index=212&type=chunk) [2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES](index=38&type=section&id=2.%20SUMMARY%20OF%20SIGNIFICANT%20ACCOUNTING%20POLICIES) This note details Nikola's significant accounting policies, including principles of consolidation, comprehensive loss, use of estimates, segment information (single operating segment), accounts receivable, concentration of credit, supplier, and customer risks, cash and cash equivalents, fair value of financial instruments (including derivative liabilities), inventory, investments, property, plant and equipment, leases, goodwill, intangible assets, income taxes, stock-based compensation, revenue recognition, product warranties and recall campaigns, and recent accounting pronouncements - The preparation of financial statements requires management to make certain estimates and assumptions, which affect reported amounts and disclosures, and actual results could differ materially[215](index=215&type=chunk)[217](index=217&type=chunk) - Nikola operates as a single operating and reportable segment, with the CEO as the chief operating decision-maker[218](index=218&type=chunk) - The company is subject to concentration of supplier risk (limited sources for battery products and fuel cell power modules) and customer risk (dependence on a few dealers for over 10% of total revenue)[221](index=221&type=chunk)[222](index=222&type=chunk)[224](index=224&type=chunk) - Derivative liabilities were recognized for embedded conversion features in convertible notes due to temporary cash settlement requirements, with changes in fair value recorded in other expense, net[234](index=234&type=chunk)[235](index=235&type=chunk)[238](index=238&type=chunk) - Goodwill and indefinite-lived intangible assets are tested for impairment annually, and long-lived assets are reviewed when carrying values may not be recoverable, with impairment charges recognized in 2024[256](index=256&type=chunk)[258](index=258&type=chunk)[259](index=259&type=chunk)[260](index=260&type=chunk)[261](index=261&type=chunk)[262](index=262&type=chunk)[266](index=266&type=chunk)[267](index=267&type=chunk) - Product warranty costs and recall campaign costs are estimated and recognized when probable and estimable, based on factors like warranty length, product costs, and failure rates, involving significant management judgment[278](index=278&type=chunk)[279](index=279&type=chunk) [3. BALANCE SHEET COMPONENTS](index=53&type=section&id=3.%20BALANCE%20SHEET%20COMPONENTS) This note provides detailed breakdowns of key balance sheet components. Inventory increased to $71.8 million in 2024, with BEV finished goods reclassified to work-in-process and significant write-downs in 2023 due to recalls. Prepaid expenses and other current assets increased to $51.2 million, including insurance and non-trade receivables. Property, plant and equipment, net, decreased to $230.9 million due to a $254.2 million impairment loss in 2024. Accrued expenses and other current liabilities decreased to $182.4 million, including settlement liabilities and warranty reserves Inventory (in thousands) | Category | December 31, 2024 | December 31, 2023 | | :------------- | :------------------ | :------------------ | | Raw materials | $2,408 | $32,889 | | Work-in-process | $30,146 | $15,486 | | Finished goods | $30,806 | $8,206 | | Service parts | $8,487 | $6,007 | | **Total inventory** | **$71,847** | **$62,588** | - During 2023, all BEV truck finished goods inventory was reclassified to work-in-process for retrofitting, and **$45.7 million** was written down for excess or obsolete BEV battery packs and components due to the voluntary recall[299](index=299&type=chunk) Property, Plant and Equipment, Net (in thousands) | Category | December 31, 2024 | December 31, 2023 | | :----------------------------------- | :------------------ | :------------------ | | Buildings | $62,862 | $239,918 | | Tooling | $54,471 | $39,389 | | Construction-in-progress | $66,085 | $135,994 | | Finance lease assets | $12,538 | $37,504 | | Equipment | $88,682 | $67,657 | | Software | $10,202 | $8,649 | | Land | $347 | $7,957 | | Other | $8,032 | $6,409 | | Demo vehicles | $2,955 | $788 | | Leasehold improvements | $4,027 | $3,100 | | Property, plant and equipment, gross | $310,201 | $547,365 | | Less: accumulated depreciation and amortization | $(79,325) | $(43,949) | | **Total property, plant and equipment, net** | **$230,876** | **$503,416** | - An impairment loss of **$254.2 million** was recognized for property, plant and equipment in 2024, based on the difference between carrying value and estimated fair value[306](index=306&type=chunk) Accrued Expenses and Other Current Liabilities (in thousands) | Category | December 31, 2024 | December 31, 2023 | | :----------------------------------- | :------------------ | :------------------ | | Settlement liabilities | $115,950 | $91,330 | | Warranty liability, current | $24,939 | $65,703 | | Inventory received not yet invoiced | $10,603 | $8,642 | | Accrued return reserve | $4,425 | $658 | | Accrued purchase of intangible asset | $5,193 | $13,796 | | Accrued payroll and payroll related expenses | $5,020 | $3,254 | | Accrued purchases of property, plant and equipment | $5,009 | $2,458 | | Operating lease liabilities, current | $3,295 | $1,867 | | Other accrued expenses | $6,078 | $6,236 | | Accrued outsourced engineering services | $1,879 | $4,207 | | Derivative liability | $— | $8,871 | | **Total** | **$182,391** | **$207,022** | [4. LEASES](index=56&type=section&id=4.%20LEASES) Nikola leased various assets under noncancellable operating and finance leases expiring through March 2033. Total lease cost was $14.0 million in 2024. In Q4 2024, an impairment test resulted in impairment losses of $40.8 million for finance lease ROU assets and $0.2 million for operating lease ROU assets - Nikola leased land, buildings, mobile fueling, hydrogen infrastructure assets, and equipment under noncancellable operating and finance leases expiring through **March 2033**[312](index=312&type=chunk) - Total lease cost was **$14.0 million in 2024**, an increase from **$8.2 million in 2023**[315](index=315&type=chunk) Maturities of Lease Liabilities (in thousands) | Years Ended December 31, | Finance leases | Operating leases | Total | | :----------------------- | :------------- | :--------------- | :---- | | 2025 | $10,135 | $4,039 | $14,174 | | 2026 | $19,063 | $3,347 | $22,410 | | 2027 | $8,310 | $1,877 | $10,187 | | 2028 | $7,153 | $1,642 | $8,795 | | 2029 | $4,150 | $1,365 | $5,515 | | Thereafter | $1,327 | $1,712 | $3,039 | | **Total lease payments** | **$50,138** | **$13,982** | **$64,120** | - Impairment losses of **$40.8 million** for finance lease right-of-use assets and **$0.2 million** for operating lease right-of-use assets were recognized in 2024[318](index=318&type=chunk) [5. GOODWILL AND INTANGIBLE ASSETS, NET](index=61&type=section&id=5.%20GOODWILL%20AND%20INTANGIBLE%20ASSETS%2C%20NET) Nikola's total intangible assets, net, decreased from $85.9 million in 2023 to $1.4 million in 2024, and goodwill was fully impaired. This was due to impairment charges of $82.3 million in 2024 for indefinite-lived intangible assets, definite-lived intangible assets, and goodwill, triggered by a sustained decline in stock price and market capitalization Goodwill and Intangible Assets, Net (in thousands) | Category | December 31, 2024 (Net Carrying Amount) | December 31, 2023 (Net Carrying Amount) | | :----------------------------------- | :---------------------------------------- | :---------------------------------------- | | Licenses: | | | | S-WAY Product and Platform license | $441 | $37,500 | | FCPM license | $— | $47,181 | | Other intangibles | $923 | $1,179 | | **Total intangible assets** | **$1,364** | **$85,860** | | **Goodwill** | **$—** | **$5,238** | - Amortization expense for all intangible assets was **$7.4 million** for both the years ended December 31, 2024, and 2023[320](index=320&type=chunk) - In 2024, Nikola recognized impairment charges of **$82.3 million** for its indefinite-lived intangible asset, definite-lived intangible assets, and goodwill, triggered by sustained declines in stock price and market capitalization[325](index=325&type=chunk) [6. INVESTMENTS IN AFFILIATES](index=62&type=section&id=6.%20INVESTMENTS%20IN%20AFFILIATES) Nikola's investment in affiliates, primarily Wabash Valley Resources LLC (20% ownership), was $55.4 million in 2024. Equity in net loss of affiliates decreased significantly to $(1.6) million in 2024, mainly due to the divestiture of Nikola Iveco Europe GmbH in 2023, which generated a $70.8 million gain. Nikola - TA HRS 1, LLC was also dissolved in 2023 - Nikola's investment in Wabash Valley Resources LLC (**20% equity interest**) was **$55.4 million** as of December 31, 2024[327](index=327&type=chunk) - Equity in net loss of affiliates decreased from **$(16.4) million in 2023** to **$(1.6) million in 2024**, primarily due to a reduction of losses from Nikola Iveco Europe GmbH[327](index=327&type=chunk)[135](index=135&type=chunk) - The divestiture of Nikola Iveco Europe GmbH in **June 2023** resulted in a gain of **$70.8 million**[334](index=334&type=chunk)[335](index=335&type=chunk) - The joint venture Nikola - TA HRS 1, LLC was dissolved in **November 2023**, with Nikola receiving a distribution equal to its investment basis[345](index=345&type=chunk) [7. DEBT AND FINANCE LEASE LIABILITIES](index=66&type=section&id=7.%20DEBT%20AND%20FINANCE%20LEASE%20LIABILITIES) Total debt and finance lease liabilities (current and non-current) decreased from $278.2 million in 2023 to $202.3 million in 2024. This includes Toggle Convertible Notes, Senior Convertible Notes, 8.25% Convertible Notes, financing obligations, collateralized promissory notes, and insurance premium financing. Significant conversions of convertible notes occurred in both years Debt and Finance Lease Liabilities (in thousands) | Category | December 31, 2024 | December 31, 2023 | | :----------------------------------- | :------------------ | :------------------ | | Current: | | | | Finance lease liabilities | $6,783 | $6,312 | | Insurance premium financing | $1,865 | $1,852 | | Promissory notes | $777 | $699 | | Financing obligations | $170 | $87 | | **Debt and finance lease liabilities, current** | **$9,595** | **$8,950** | | Non-current: | | | | Financing obligations | $102,389 | $101,470 | | Toggle Convertible Notes | $52,638 | $124,061 | | Finance lease liabilities | $34,875 | $26,395 | | Promissory notes | $1,572 | $2,306 | | 8.25% Convertible Notes | $1,226 | $15,047 | | **Long-term debt and finance lease liabilities, net of current portion** | **$192,700** | **$269,279** | - In 2024, holders of June 2022 Toggle Convertible Notes converted **$94.2 million**, resulting in an inducement expense of **$22.9 million**[374](index=374&type=chunk) - Third Purchase Agreement Notes (Senior Convertible Notes) had **$47.8 million** principal converted in 2024, and the agreement was terminated with a **$39.4 million** payment[405](index=405&type=chunk) - The 8.25% Convertible Notes saw **$19.8 million** principal converted in 2024 and **$153.4 million in 2023**[418](index=418&type=chunk) - Financing obligations for the Phoenix headquarters and Coolidge land totaled **$102.4 million** as of December 31, 2024[421](index=421&type=chunk)[425](index=425&type=chunk) [8. CAPITAL STRUCTURE](index=81&type=section&id=8.%20CAPITAL%20STRUCTURE) Nikola's authorized shares as of December 31, 2024, included 1,000,000,000 common shares and 150,000,000 preferred shares. The company utilized stock purchase agreements (Tumim) and equity distribution agreements (Citi, BTIG) to issue common stock, raising significant net proceeds in 2023 and 2024. Public and direct offerings also contributed to capital - As of **December 31, 2024**, Nikola had authorized **1,000,000,000 shares of common stock** and **150,000,000 shares of preferred stock**[440](index=440&type=chunk) - The company terminated the First and Second Tumim Purchase Agreements in 2023 after selling shares for net proceeds of **$8.4 million** and **$59.2 million**, respectively[444](index=444&type=chunk)[447](index=447&type=chunk) - Under Equity Distribution Agreements, Nikola sold **28.9 million shares** for **$126.0 million** net proceeds in 2024 and **2.3 million shares** for **$117.5 million** net proceeds in 2023[449](index=449&type=chunk) - Public offerings in 2023 raised **$32.2 million (April)** and **$95.6 million (December)**, and a direct offering in **April 2023** raised **$63.2 million**[454](index=454&type=chunk)[455](index=455&type=chunk)[456](index=456&type=chunk) [9. STOCK-BASED COMPENSATION EXPENSE](index=83&type=section&id=9.%20STOCK-BASED%20COMPENSATION%20EXPENSE) Nikola's stock-based compensation expense decreased from $75.4 million in 2023 to $32.0 million in 2024. The company granted stock options, restricted stock units (RSUs), and market-based RSUs (TSR awards) under its 2017 and 2020 Stock Plans. Unrecognized compensation expense totaled $27.8 million as of December 31, 2024 Stock-Based Compensation Expense (in thousands) | Category | 2024 | 2023 | | :----------------------------------- | :------- | :------- | | Selling, general, and administrative | $21,360 | $51,003 | | Research and development | $9,343 | $22,213 | | Cost of revenues | $1,266 | $2,175 | | **Total stock-based compensation expense** | **$31,969** | **$75,391** | - Nikola granted stock options, restricted stock units (RSUs), and market-based RSU awards (TSR awards) under its **2017 and 2020 Stock Plans**[457](index=457&type=chunk)[460](index=460&type=chunk)[463](index=463&type=chunk)[464](index=464&type=chunk) - Market-based RSU awards (TSR awards) have a performance condition based on the company's total shareholder return (TSR) relative to a broad group of green energy companies[464](index=464&type=chunk) - Total unrecognized compensation expense related to outstanding share-based awards was **$27.8 million** as of December 31, 2024, with a weighted-average recognition period of **1.37 to 1.65 years**[468](index=468&type=chunk) [10. DECONSOLIDATION OF SUBSIDIARY](index=86&type=section&id=10.%20DECONSOLIDATION%20OF%20SUBSIDIARY) Nikola deconsolidated Romeo Power, Inc. on June 30, 2023, by transferring ownership of its assets to an Assignee. This strategic shift resulted in a loss from deconsolidation of $24.9 million in 2023, and Romeo's results are reported as discontinued operations - Nikola deconsolidated Romeo Power, Inc. as of **June 30, 2023**, by transferring ownership of its assets to SG Service Co., LLC, as Assignee for the Benefit of Creditors of Romeo[469](index=469&type=chunk) - The deconsolidation resulted in a loss of **$24.9 million** from deconsolidation of discontinued operations, recorded in 2023[472](index=472&type=chunk) - The operating results of Romeo are reported as discontinued operations for the year ended **December 31, 2023**[471](index=471&type=chunk) Net Loss from Discontinued Operations (in thousands) | Category | 2023 | | :-------------------------- | :------- | | Revenues | $1,665 | | Cost of revenues | $12,926 | | Gross loss | $(11,261) | | Operating expenses: | | | Research and development | $5,673 | | Selling, general and administrative | $14,937 | | Loss on supplier deposits | $44,835 | | Total operating expenses | $65,445 | | Loss from operations | $(76,706) | | Other income (expense), net | | | Interest expense, net | $(53) | | Revaluation of warrant liability | $33 | | **Loss from discontinued operations** | **$(76,726)** | [11. RETIREMENT SAVINGS PLAN](index=89&type=section&id=11.%20RETIREMENT%20SAVINGS%20PLAN) Nikola sponsors a 401(k) savings plan for eligible employees, providing an employer matching contribution. In 2024 and 2023, the company contributed $4.0 million and $4.1 million, respectively, in matching contributions - Nikola sponsors a 401(k) savings plan available to all eligible employees[475](index=475&type=chunk) - The company provides an employer matching contribution of up to **100% for the first 1% of compensation** and **50% for each additional 1%** contributed between 1% and 6%[475](index=475&type=chunk) - Employer matching contributions were **$4.0 million in 2024** and **$4.1 million in 2023**[475](index=475&type=chunk) [12. INCOME TAXES](index=89&type=section&id=12.%20INCOME%20TAXES) Nikola recognized immaterial income tax expense in 2024 ($71 thousand) and 2023 ($12 thousand). The company has significant federal and state net operating loss (NOL) carryforwards and tax credits, but maintains a full valuation allowance against its net deferred tax assets due to a lack of earnings history. A Section 382 study in March 2025 identified an ownership change but no limitation on NOL utilization after December 31, 2047 - Income tax expense was **$71 thousand in 2024** and **$12 thousand in 2023**, primarily related to changes in indefinite-lived goodwill deferred tax liabilities[476](index=476&type=chunk) - Nikola maintains a full valuation allowance of **$341.0 million in 2024** and **$597.7 million in 2023** against its net deferred tax assets due to a lack of earnings history[481](index=481&type=chunk) - As of December 31, 2024, the company had federal net operating loss carryforwards of **$11.2 million (expiring 2037)** and **$195.8 million (indefinite)**, and state NOL carryforwards of **$764.1 million (expiring starting 2033)**[482](index=482&type=chunk) - A Section 382 study in **March 2025** identified an ownership change on **September 30, 2023**, but concluded there is no limitation on the company's ability to utilize its net operating losses after **December 31, 2047**[483](index=483&type=chunk) - Gross unrecognized tax benefits related to research and experimental tax credits were **$21.9 million in 2024** and **$22.8 million in 2023**[485](index=485&type=chunk) [13. COMMITMENTS AND CONTINGENCIES](index=93&type=section&id=13.%20COMMITMENTS%20AND%20CONTINGENCIES) Nikola is involved in various legal and regulatory actions, including an SEC settlement ($80.2 million remaining liability in 2024), shareholder securities litigation, and derivative litigation. The company was awarded $165.0 million plus interest in arbitration against Mr. Milton. It also has purchase commitments ($115.5 million in 2024) and a $7.2 million maximum exposure under an inventory repurchase agreement. The BEV recall campaign, with $57.4 million accrued, was completed in June 2025 - Nikola has a remaining liability of **$80.2 million** as of December 31, 2024, for the **$125.0 million** SEC civil penalty, with a resolution agreement reached to classify **$43.1 million** as an Allowed General Unsecured Claim with a **$4.0 million** cash payment on the Effective Date[491](index=491&type=chunk) - An arbitration panel awarded Nikola approximately **$165.0 million plus interest** against Mr. Milton, which the company is pursuing for c

Core Viewpoint - The SPAC market, which gained popularity during the Covid-19 pandemic, has seen mixed results, leading to skepticism among investors regarding future SPAC deals [1][2]. Group 1: SPAC Market Overview - The SPAC craze of 2020 and 2021 attracted many retail investors due to favorable market conditions, but it also resulted in several unsuccessful ventures alongside a few successful ones like DraftKings and SoFi Technologies [1][2]. - Notable failures in the SPAC market include companies like Nikola, Canoo, and Lordstown Motors, which have not performed well post-merger [2]. Group 2: American Exceptionalism Acquisition Corp. A (AEXA) - Chamath Palihapitiya, known as the "SPAC King," has launched a new SPAC, American Exceptionalism Acquisition Corp. A (AEXA), which is currently trading on the NYSE and is looking to partner with companies in sectors such as AI, energy, defense, or decentralized finance [3]. - AEXA stock was launched on September 26 with an IPO of 30 million shares priced at $10 each, plus an additional 4.5 million shares from underwriters' over-allotment, valuing the company at $345 million [4]. Group 3: Palihapitiya's Approach - Palihapitiya acknowledges past challenges in the SPAC market, particularly regarding sponsor compensation and retail investor involvement, and claims that AEXA will be managed differently to improve its chances of success [5][6]. - He emphasizes that lessons learned from previous SPAC experiences will inform the management and operational strategies of AEXA [6].

Crime szn baby everything is allowed as long as you make enough money to buy your way out via donation to Trump and friendsCoffeezilla (@coffeebreak_YT):Trevor Milton was pardoned after donating to Trump, and being represented by Brad Bondi, AG Pam Pondi's brother.Trevor will not be required to pay back victims as previously ordered. Now it appears his SEC case has been dropped as well. ...

Core Insights - The American electric vehicle (EV) market is facing significant challenges, with many new entrants struggling for survival and some already filing for bankruptcy [3][4][9] - Recent investments, such as Uber's $300 million investment in Lucid, highlight the ongoing need for financing among these companies to continue operations [2][5] - The decline in EV sales growth in the U.S. and the tightening of funding conditions have exacerbated the difficulties faced by new EV manufacturers [5][6] Group 1: Financial Struggles - Fisker filed for bankruptcy protection in June 2024, with assets valued between $500 million and $1 billion and debts exceeding $500 million, primarily due to quality issues and production shortfalls [3][6] - Canoo initiated bankruptcy proceedings in January 2025 after failing to secure financing, with debts of $164 million [3][6] - Over 10 American EV startups are reported to be in financial crisis or heading towards bankruptcy or restructuring in the first half of 2024-2025 [3][5] Group 2: Market Dynamics - Bloomberg New Energy Finance indicates that nearly 60% of global EV sales will be concentrated in China in 2024, while U.S. market growth is declining by 15% year-on-year [5][6] - Only four out of the top ten U.S. EV startups have cash reserves that can sustain operations for over a year, with some like Nikola having reserves for less than three months [5][6] - The high-interest rate environment has led to a 70% drop in industry financing compared to the peak in 2021, indicating a loss of investor patience with "PPT-driven" companies [5][6] Group 3: Competitive Landscape - Traditional automakers like General Motors and Ford are accelerating their EV transitions, launching over ten new models in 2024, which increases competitive pressure on new entrants [7][8] - The reduction of EV subsidies in the U.S. has made electric vehicles more expensive for consumers, further complicating the market for new players [7][8] - The shift in policy under the Trump administration has created uncertainty in the industry, impacting strategic planning for many new EV companies [8][9] Group 4: Lessons Learned - Many new EV companies failed to focus on core technology development after receiving significant funding, instead prioritizing marketing and expansion, leading to their current predicaments [9][10] - The industry's transition from "PPT-driven" to "value-driven" models is seen as a necessary evolution for healthier market development [10]

Group 1: Automotive Industry Developments - The Ministry of Industry and Information Technology aims to strengthen technological breakthroughs, accelerate the industrialization of autonomous driving, and stabilize and expand automotive consumption through various policies [1] - GAC Group's partnership with Huawei focuses on the Huawang project targeting high-end customers, with product definitions primarily led by Huawei [1] - BYD has introduced a limited-time pricing policy for certain models, reducing prices by up to 16,000 yuan for non-intelligent driving versions [1] Group 2: Regulatory and Corporate Changes - Zhang Heng's appointment as the general manager of Beijing Ideal Insurance Brokerage has been approved, with a requirement to comply with financial regulatory standards [2] - Beijing Automotive plans to acquire 40 battery swap stations for approximately 129 million yuan from Blue Valley Energy [2] Group 3: International Automotive News - President Trump expressed indifference to potential price increases by automakers due to tariffs, believing it will boost U.S. manufacturing [3] - Nissan announced the closure of its Frontier pickup production line in Argentina, consolidating production to a single center in Mexico [4] - Trevor Milton, founder of Nikola, announced he received a full pardon from President Trump after serving time for fraud related to misleading investors [4]

Core Viewpoint - Forever 21, a fast-fashion women's clothing brand, has filed for bankruptcy for the second time, highlighting the challenges faced by traditional retail in the face of e-commerce competition and changing consumer behavior [4][11][15]. Company Overview - Forever 21 was founded in 1984 by Korean-American couple Do Won Chang and Jin Sook Chang, initially opening a small store in San Francisco with a focus on affordable fashion for young women [7][9]. - At its peak, Forever 21 operated over 800 stores globally, including a prominent location on Nanjing East Road in Shanghai [4][9]. - The brand's revenue exceeded $4 billion by 2015, with ambitions to reach $8 billion by 2017 [10]. Decline Factors - The rise of e-commerce platforms like SHEIN and Temu, coupled with declining foot traffic in U.S. malls, contributed to Forever 21's struggles [5][11]. - The company's failure to adapt to the digital retail landscape and its aggressive physical expansion led to unsustainable costs and ultimately its first bankruptcy filing in 2019 [11][14]. - Despite a brief recovery after being acquired by a consortium in 2020, Forever 21 faced renewed challenges, leading to its second bankruptcy filing in 2023 [13][14]. Financial Situation - As of the latest filing, Forever 21's estimated liabilities range from $1 billion to $10 billion, while its assets are estimated between $100 million and $500 million [15]. - The brand's decline reflects broader trends in the retail sector, where many companies are struggling under the pressures of inflation and changing consumer spending habits [15][18]. Industry Context - The U.S. bankruptcy rate has reached its highest level since the global financial crisis, with significant impacts on sectors like retail, healthcare, and automotive [18]. - The economic environment, characterized by high inflation and rising interest rates, has led to increased financial strain on many businesses, including those in the fast-fashion sector [19][20].

以下文章来源于字母榜 ，作者彦飞 字母榜 . 让未来不止于大 他还适合当特斯拉CEO吗？ 文 ｜ 彦飞 编辑 ｜ 王靖 来源｜ 字母榜（ID：wujicaijing） 封面来源 ｜ IC photo 花费六万多元购买特斯拉FSD智驾软件的中国车主，一天之内驾照就被扣完12分；另一边， 马斯克的"12分"也快扣完了。 自特朗普1月20日上台以来，特斯拉在全球销量下滑、马斯克"不务正业"等负面因素拖累下，股价累计下跌近三分之一，其中2月下跌约28%，从400美元上 方跌至不足300美元。 特斯拉市值跌破万亿美元， 马斯克净资产缩水超1000亿美元。 相比之下，英伟达目前市值超3万亿美元，相当于3个特斯拉。马斯克"一生之敌"OpenAI在新一轮融资中的估值也有望达到3000亿美元。 2024年，特斯拉首次遭遇新车交付量年度下滑，相比前一年降低1.1%。转过年来，特斯拉的颓势还在继续。 销量跌幅最大的是欧洲市场。 今年1月，特斯拉在欧盟、欧洲自由贸易联盟和英国的新车注册量为9945辆，同比暴跌45.2%。 三大业务先后受挫，尤其是"现金牛"特斯拉表现拉胯，马斯克当下的心思却没有放在如何改进上。 在大西洋两岸指点江山， ...

潮水退去。 作者 I 岳笑笑 报道 I 投资界PEdaily 终于落幕。 本周，美国氢能卡车制造商Ni kol a正式向特拉华州破产法院提交破产保护申请。随即公 司股价遭遇崩盘式下跌，市值申请破产前已不足1亿美元，曾经的千亿市值灰飞烟灭，令 人唏嘘。 创始人特雷弗·米尔顿（Tr e vo r Milt on），出生于一个美国普通家庭。虽然高中辍学，但 他是一位连续创业者，早年有过三段创业经历，直到2 00 9年他联合成立一家天然气存储 技术公司dHy bri d，最终以15 90万美元卖给金属加工巨头沃辛顿工业，赚到人生第一桶 金。 但很快，米尔顿开启新项目，Ni kol a横空出世。这个名字出自于发明家尼古拉·特斯拉， 与特斯拉对标，野心不言而喻。起初，Ni k o l a本想继续聚焦天然气技术，但米尔顿发现 氢能风口，随即转向氢燃料汽车赛道。 Ni k ol a真正闯进大众视野是在2 01 6年。米尔顿在盐湖城举办了一场盛大的发布会，推出 首款氢燃料电动半挂卡车Ni kol a One。他宣称其搭载着自主研发的氢燃料电池，可输出 1 0 0 0马力，载重30吨续航超160 0公里，成本远低于柴油车。 众多 ...