While both the companies are not yet making a profit, Lightning eMotors seems a much better bet, given that Workhorse is grappling with many management-related issues, in addition to its recall of its EVs.įurther, Lightning eMotors is expected by Wall Street to increase sales from $27 million in 2021 to $203.7 million in 2022. Its revenue is forecast between $4 million and $6 million while adjusted operating loss is estimated between $12 million and $13 million. In Q3, Lightning eMotors expects vehicle and powertrain sales to range between 28 and 40 units. The company confirmed its order backlog stands at 1,600 units which will bring in over $168 million in sales. In the June quarter, Lightning eMotors delivered 36 commercial EVs compared to nine in the year-ago period. Lightning eMotors also withdrew its full-year guidance for 2021. As legacy automobile manufacturers including Ford ( F ) and General Motors ( GM ) had to lower production in Q2, the number of powertrains installed by Lightning eMotors also declined significantly. Lightning eMotors explained the company’s revenue was lower than expected due to supply chain disruptions.
These developments have shattered investor confidence exacerbating the sell-off in the stock this year. Last month, Workhorse also recalled 41 of its C-1000 vehicles as well as suspended upcoming deliveries. Further, Workhorse’s net loss stood at $0.35 per share, higher than the loss of $0.29 per share estimated by Wall Street. In Q2 of 2021, it reported revenue of $1.4 million, significantly lower than sales of $6.4 million forecast by analysts. In July 2021, Workhorse disclosed the departure of CEO Duane Hughes and also withdrew its guidance of an expected vehicle production of 1,000 units for 2021. Due to the steep decline in the shares of Lordstown Motors, Workhorse has booked several millions in non-cash charges in the last two quarters. In 2019, Workhorse and Lordstown collaborated to form a technology licensing agreement. Department of Justice for misleading investors.
Workhorse Group had a 10% stake in Lordstown Motors, a company that is under investigation by the U.S. On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.Shares of Workhorse Group have declined by 66% year to date and are currently trading 84% below its 52-week high. WKHS stock was up 11% as of Monday afternoon. With Hitachi’s innovation and invaluable expertise in EV technology, smart factory automation and digital technologies, Workhorse is primed to build on our early leadership position as the only last-mile EV distributor selling vehicles for commercial use across the country.”įinancial details of the deal between Workhorse Group and Hitachi weren’t revealed. “This alliance with Hitachi comes at an ideal time for Workhorse as we value their best in class innovation and experience in ramping up production and enabling us in providing a complete solution to our customers. to help it better deliver its EVs to dealers and customers.ĭuane Hughes, CEO of Workhorse Group, said the following about the news. This will have it helping with the creation of a dealership network across the U.S. To go along with this Workhorse Group news, Hitachi Capital America will also be working with the EV company. This is Hitachi’s rapid-solution-delivery platform used in combination with its Smart Manufacturing plans.
#Workhorse group news update#
Hitachi’s advice will benefit WKHS in scaling up its creation of electric vehicles (EV).Īccording to the Workhorse Group news release, Hitachi will also make use of its Lumada platform to help accelerate the company’s production expansion efforts. ( WKHS) plunged to a yearly low of 7.05 after the company provided an update on its operating and commercialization plans to transition from an advanced technology start-up to an efficient manufacturing company. The deal between Workhorse Group and Hitachi will have the former receiving help from the latter with its production facilities.
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