PHOENIX, May 7, 2021 /PRNewswire/ -- Nikola
Corporation (Nasdaq: NKLA), a global leader in zero-emissions
transportation solutions, today reported financial results for the
quarter ended March 31, 2021.
"During the first quarter Nikola continued to deliver on our
previously communicated milestones and execute on our business
plan," said Mark Russell, Nikola's
Chief Executive Officer. "We have had continued success in
commissioning and validating the Nikola Tre BEVs, and are nearing
completion of both our Ulm, Germany and Coolidge, Arizona manufacturing
facilities."
Progress on the Commissioning and Validation of the First
Batch of Nikola Tre BEVs
Commissioning and validation activities continue on the Nikola
Tre battery-electric vehicle (BEV). As expected in a new program
development cycle, we have had to overcome some component level
delays which we have worked through with our suppliers to minimize
the impact on the scheduled timeline. Q1 activities included
commissioning the first batch of five Tre BEVs and validation
testing at the proving grounds. As of today, powertrain performance
and durability testing have started at the proving grounds.
We are nearing completion of the second batch of nine beta
Nikola Tre BEVs in Ulm, Germany.
As of today, we have completed eight of the nine trucks, with the
ninth scheduled to be completed by May 10. Three trucks from
the second batch of nine are at Nikola's headquarters (HQ) in
Arizona, one is in Indiana for crash testing, and four are in
transit to the HQ in Arizona. We
anticipate that the four trucks in transit, in addition to the
ninth truck being completed, will arrive at our HQ by the end of
May.
Progress Made at our Joint Venture Manufacturing Facility on
IVECO's Industrial Complex in Ulm, Germany
As of May 7, Nikola and IVECO have
nearly completed the building modifications of the joint venture
manufacturing facility. The dismantling and building restructuring
have been completed. The automatic guided vehicle (AGV) system
installation is ongoing and is expected to be completed over the
next few weeks. The tool and equipment installation of the 14
separate workstations should be completed by the end of the month.
Nikola is on track to begin the start of trial production in
June 2021.
Progress Made at Nikola's Coolidge,
Arizona Manufacturing Facility
During the first quarter of 2021, Nikola continued to make
progress at the greenfield manufacturing facility in Coolidge, Arizona. The building has been
substantially enclosed with the floor slab, roofing, and walls
complete. The electrical and mechanical construction and
installation is nearing completion and the manufacturing equipment
is beginning to be installed. The road paving is ongoing and
utilities have been installed. As we begin vehicle trial builds at
the facility in July, Nikola will concurrently be building out the
Phase 1 assembly expansion area at Coolidge.
Nikola's technicians are in Ulm building second batch Nikola Tre
BEV betas and Nikola Tre fuel-cell electric vehicle (FCEV) alphas,
and by the end of Q2 2021 will come to Arizona to build trucks at the Coolidge facility. Nikola has also begun the
assembly of the first Tre FCEV alpha in Coolidge.
Recent Developments
On April 8, 2021, Nikola and
RIG360 Service Network (RIG360) announced an expansive sales
and service dealer network spanning more than 65 service center
locations. RIG360 service centers are located in key metropolitan
areas and at major intersections of the interstate highway system
throughout the southeast, northeast, and midwestern regions. The
agreement, once finalized, is expected to provide a service and
maintenance network and a reputable sales channel for Nikola's
customers.
On April 14, 2021, Nikola, IVECO,
and OGE announced their intent to accelerate the deployment of
hydrogen infrastructure and fueling solutions throughout
Germany. Nikola will lead the
installation of hydrogen fueling locations for all OEM FCEVs at key
locations supported by OGE's hydrogen pipeline network. The
collaboration, once finalized, between Nikola, IVECO, and OGE is
expected to enable cost-effective distribution of hydrogen from
production to storage and fueling locations in Germany.
On April 22, 2021, Nikola and
TravelCenters of America agreed to collaborate on the
installation of hydrogen fueling stations for heavy-duty trucks at
two existing TA-Petro sites. The first two stations will be
constructed at existing TA-Petro locations in California. They are targeted to be
commercially operational by Q1 2023. The agreement with
TravelCenters of America, once finalized, sets the foundation for
the buildout of hydrogen refueling infrastructure across the
country.
On May 6, 2021, Nikola announced a
collaboration with Total Transportation Services Inc., one of
Southern California's prominent
port trucking companies, to expedite zero-emission
transportation at the Port of Los
Angeles/Long Beach. The collaboration, once finalized,
includes vehicle trials and a letter of intent to order 100 Nikola
Class 8 BEV and FCEV semi-trucks.
First Quarter Financial Highlights
(In thousands, except
share and per share data)
|
Q1
2021
|
|
Q1
2020
|
Loss from
operations
|
$
|
(120,590)
|
|
|
$
|
(31,997)
|
|
Net loss
|
$
|
(120,224)
|
|
|
$
|
(33,146)
|
|
Adjusted EBITDA
(1)
|
$
|
(53,434)
|
|
|
$
|
(29,162)
|
|
Net loss per share,
basic
|
$
|
(0.31)
|
|
|
$
|
(0.12)
|
|
Net loss per share,
diluted
|
$
|
(0.31)
|
|
|
$
|
(0.12)
|
|
Non-GAAP net loss per
share, basic(1)
|
$
|
(0.14)
|
|
|
$
|
(0.12)
|
|
Non-GAAP net loss per
share, diluted(1)
|
$
|
(0.14)
|
|
|
$
|
(0.12)
|
|
Weighted-average
shares outstanding, basic
|
392,189,851
|
|
|
271,896,258
|
|
Weighted-average
shares outstanding, diluted
|
392,489,761
|
|
|
271,896,258
|
|
|
(1) A reconciliation of the non-GAAP information provided
here to the most directly comparable GAAP metric has been provided
in the financial statement tables included in this press
release.
|
Business Outlook
Nikola looks forward to achieving the following milestones in
2021:
- Start of vehicle trial production at the JV manufacturing
facility at IVECO's industrial complex in Ulm, Germany in June
2021;
- Start of vehicle trial production at the greenfield
manufacturing facility in Coolidge,
Arizona in July 2021;
- Break ground on our first commercial hydrogen station;
- Announce additional hydrogen infrastructure/ecosystem
partners;
- Announce additional fleet testing customers; and
- Deliver the first Nikola Tre BEVs to customers during the
fourth quarter of 2021.
Webcast and Conference Call Information
Nikola will host a webcast to discuss its first quarter results
at 6:30 a.m. Pacific Time
(9:30 a.m. Eastern Time) on
May 7, 2021. To access the webcast,
parties in the United States
should follow this link:
https://www.webcast-eqs.com/register/nikola20210504/en.
The live audio webcast, along with supplemental information,
will be accessible on the Company's Investor Relations website at
https://nikolamotor.com/investors/news?active=events. A recording
of the webcast will also be available following the earnings
call.
About Nikola Corporation
Nikola Corporation is globally transforming the transportation
industry. As a designer and manufacturer of zero-emission
battery-electric and hydrogen-electric vehicles, electric vehicle
drivetrains, vehicle components, energy storage systems, and
hydrogen station infrastructure, Nikola is driven to revolutionize
the economic and environmental impact of commerce as we know it
today. Founded in 2015, Nikola Corporation is headquartered in
Phoenix, Arizona. For more
information, visit www.nikolamotor.com or Twitter @nikolamotor.
Forward-Looking Statements
This press release contains certain forward-looking statements
within the meaning of federal securities laws with respect to
Nikola Corporation (the "Company"), including statements relating
to the Company's future performance; expected timing of
manufacturing facility buildout in Coolidge, AZ and Ulm, Germany and production capacity at such
facilities; expectations regarding the Company's hydrogen fuel
station rollout plan; timing of completion of prototypes,
validation testing, volume production, buildouts as well as other
2021 milestones; terms and potential benefits of the planned
collaborations with Rig360, IVECO, OGE, TravelCenters of America,
and Total Transportation Services Inc; and the Company's beliefs
with respect to component level challenges and any potential impact
on the Company's business. These forward-looking statements
generally are identified by words such as "believe," "project,"
"expect," "anticipate," "estimate," "intend," "strategy," "future,"
"opportunity," "plan," "may," "should," "will," "would," and
similar expressions. Forward-looking statements are predictions,
projections and other statements about future events that are based
on current expectations and assumptions and, as a result, are
subject to risks and uncertainties. Many factors could cause actual
future events to differ materially from the forward-looking
statements in this press release, including but not limited to the
ability of the parties to enter into definitive documentation for
the collaborations and the terms of any such agreements; the
failure to realize the anticipated benefits of planned
collaborations or any definitive agreements related thereto;
design and manufacturing changes and delays; general economic,
financial, legal, regulatory, political and business conditions and
changes in domestic and foreign markets; the potential effects of
COVID-19; the outcome of legal, regulatory and judicial proceedings
to which the Company is, or may become a party; demand for and
customer acceptance of the Company's trucks; risks associated with
development and testing of fuel-cell power modules and hydrogen
storage systems; risks related to the rollout of the Company's
business and the timing of expected business milestones; the
effects of competition on the Company's future business; the
availability of capital; and the factors, risks and uncertainties
regarding the Company's business described in the "Risk Factors"
section of the Company's annual report on Form 10-K for the year
ended December 31, 2020 filed with
the Securities and Exchange Commission (the "SEC"), as amended, in
addition to the Company's subsequent filings with the SEC. These
filings identify and address other important risks and
uncertainties that could cause the Company's actual events and
results to differ materially from those contained in the
forward-looking statements. Forward-looking statements speak only
as of the date they are made. Readers are cautioned not to put
undue reliance on forward-looking statements, and, except as
required by law, the Company assumes no obligation and does not
intend to update or revise these forward-looking statements,
whether as a result of new information, future events, or
otherwise.
Use of Non-GAAP Financial Measures
This press release references Adjusted EBITDA, non-GAAP net loss
and non-GAAP net loss per share basic and diluted, all of which are
non-GAAP financial measures and are presented as supplemental
measures of the Company's performance. The Company defines Adjusted
EBITDA as earnings before interest expense, taxes, depreciation and
amortization, stock-based compensation expense, and certain other
items the Company believes are not indicative of its core operating
performance. Non-GAAP net loss is defined as net loss adjusted for
stock-based compensation expense and certain other items the
Company believes are not indicative of its core operating
performance. Non-GAAP net loss per share basic and diluted is
defined as Non-GAAP net loss divided by weighted average basic and
diluted shares outstanding. These non-GAAP measures are not
substitutes for or superior to measures of financial performance
prepared in accordance with generally accepted accounting
principles in the United States
(GAAP) and should not be considered as an alternative to any other
performance measures derived in accordance with GAAP.
The Company believes that presenting these non-GAAP measures
provides useful supplemental information to investors about the
Company in understanding and evaluating its operating results,
enhancing the overall understanding of its past performance and
future prospects, and allowing for greater transparency with
respect to key financial metrics used by its management in
financial and operational-decision making. However, there are a
number of limitations related to the use of non-GAAP measures and
their nearest GAAP equivalents. For example, other companies may
calculate non-GAAP measures differently, or may use other measures
to calculate their financial performance, and therefore any
non-GAAP measures the Company uses may not be directly comparable
to similarly titled measures of other companies.
CONSOLIDATED
STATEMENTS OF OPERATIONS
(In thousands, except
share and per share data)
(Unaudited)
|
|
|
Three Months
Ended
March 31,
|
|
2021
|
|
2020
|
Solar
revenues
|
$
|
—
|
|
|
$
|
58
|
|
Cost of solar
revenues
|
—
|
|
|
43
|
|
Gross
profit
|
—
|
|
|
15
|
|
Operating
expenses:
|
|
|
|
Research and
development(1)
|
55,163
|
|
|
24,077
|
|
Selling, general, and
administrative(1)
|
65,427
|
|
|
7,935
|
|
Total operating
expenses
|
120,590
|
|
|
32,012
|
|
Loss from
operations
|
(120,590)
|
|
|
(31,997)
|
|
Other income
(expense):
|
|
|
|
Interest income
(expense), net
|
(9)
|
|
|
62
|
|
Loss on forward
contract liability
|
—
|
|
|
(1,324)
|
|
Revaluation of warrant
liability
|
951
|
|
|
—
|
|
Other income,
net
|
219
|
|
|
114
|
|
Loss before income
taxes and equity in net loss of affiliate
|
(119,429)
|
|
|
(33,145)
|
|
Income tax
expense
|
1
|
|
|
1
|
|
Loss before equity in
net loss of affiliate
|
(119,430)
|
|
|
(33,146)
|
|
Equity in net loss of
affiliate
|
(794)
|
|
|
—
|
|
Net loss
|
$
|
(120,224)
|
|
|
$
|
(33,146)
|
|
Net loss per
share:
|
|
|
|
Basic
|
$
|
(0.31)
|
|
|
$
|
(0.12)
|
|
Diluted
|
$
|
(0.31)
|
|
|
$
|
(0.12)
|
|
Weighted average
shares outstanding:
|
|
|
|
Basic
|
392,189,851
|
|
|
271,896,258
|
|
Diluted
|
392,489,761
|
|
|
271,896,258
|
|
|
(1) Includes stock-based
compensation as follows:
|
|
|
Three Months Ended
March 31,
|
|
2021
|
|
2020
|
Research and
development
|
$
|
10,322
|
|
|
$
|
359
|
|
Selling, general, and
administrative
|
39,944
|
|
|
954
|
|
Total stock-based
compensation expense
|
$
|
50,266
|
|
|
$
|
1,313
|
|
CONSOLIDATED
BALANCE SHEETS
(In thousands, except
share and per share data)
|
|
|
March
31,
|
|
December
31,
|
|
2021
|
|
2020
|
|
(Unaudited)
|
|
|
Assets
|
|
|
|
Current
assets
|
|
|
|
Cash and cash
equivalents
|
$
|
763,750
|
|
|
$
|
840,913
|
|
Restricted cash and
cash equivalents
|
—
|
|
|
4,365
|
|
Prepaid in-kind
services
|
33,375
|
|
|
46,271
|
|
Prepaid expenses and
other current assets
|
7,270
|
|
|
5,368
|
|
Total current
assets
|
804,395
|
|
|
896,917
|
|
Restricted cash and
cash equivalents
|
—
|
|
|
4,000
|
|
Long-term
deposits
|
12,951
|
|
|
17,687
|
|
Property, plant and
equipment, net
|
123,422
|
|
|
71,401
|
|
Intangible assets,
net
|
50,000
|
|
|
50,050
|
|
Investment in
affiliate
|
7,312
|
|
|
8,420
|
|
Goodwill
|
5,238
|
|
|
5,238
|
|
Total
assets
|
$
|
1,003,318
|
|
|
$
|
1,053,713
|
|
Liabilities and
stockholders' equity
|
|
|
|
Current
liabilities
|
|
|
|
Accounts
payable
|
40,827
|
|
|
29,364
|
|
Accrued expenses and
other current liabilities
|
30,144
|
|
|
18,809
|
|
Term note,
current
|
—
|
|
|
4,100
|
|
Total current
liabilities
|
70,971
|
|
|
52,273
|
|
Finance lease
liabilities
|
13,671
|
|
|
13,956
|
|
Warrant
liability
|
6,384
|
|
|
7,335
|
|
Deferred tax
liabilities, net
|
9
|
|
|
8
|
|
Total
liabilities
|
91,035
|
|
|
73,572
|
|
Commitments and
contingencies (Note 12)
|
|
|
|
Stockholders'
equity
|
|
|
|
Preferred stock,
$0.0001 par value, 150,000,000 shares authorized, no shares issued
and outstanding as of March 31, 2021 and December 31,
2020
|
—
|
|
|
—
|
|
Common stock, $0.0001
par value, 600,000,000 shares authorized, 393,745,157 and
391,041,347 shares issued and outstanding as of March 31, 2021
and December 31, 2020, respectively
|
39
|
|
|
39
|
|
Additional paid-in
capital
|
1,592,716
|
|
|
1,540,037
|
|
Other comprehensive
income (loss)
|
(74)
|
|
|
239
|
|
Accumulated
deficit
|
(680,398)
|
|
|
(560,174)
|
|
Total stockholders'
equity
|
912,283
|
|
|
980,141
|
|
Total liabilities
and stockholders' equity
|
$
|
1,003,318
|
|
|
$
|
1,053,713
|
|
CONSOLIDATED
STATEMENTS OF CASH FLOWS
(In thousands)
(Unaudited)
|
|
|
Three Months Ended
March 31,
|
|
2021
|
|
2020
|
Cash flows from
operating activities
|
|
|
|
Net loss
|
$
|
(120,224)
|
|
|
$
|
(33,146)
|
|
Adjustments to
reconcile net loss to net cash used in operating
activities:
|
|
|
|
Depreciation and
amortization
|
1,805
|
|
|
1,408
|
|
Stock-based
compensation
|
50,266
|
|
|
1,313
|
|
Deferred income
taxes
|
1
|
|
|
1
|
|
Non-cash in-kind
services
|
12,896
|
|
|
6,731
|
|
Loss on forward
contract liability
|
—
|
|
|
1,324
|
|
Equity in net loss of
affiliate
|
794
|
|
|
—
|
|
Revaluation of warrant
liability
|
(951)
|
|
|
—
|
|
Changes in operating
assets and liabilities:
|
|
|
|
Accounts receivable,
net
|
—
|
|
|
323
|
|
Prepaid expenses and
other current assets
|
(1,758)
|
|
|
314
|
|
Accounts payable,
accrued expenses and other current liabilities
|
2,083
|
|
|
(156)
|
|
Long-term
deposits
|
(4,161)
|
|
|
—
|
|
Other long-term
liabilities
|
—
|
|
|
(9)
|
|
Net cash used in
operating activities
|
(59,249)
|
|
|
(21,897)
|
|
Cash flows from
investing activities
|
|
|
|
Purchases and
deposits of property, plant and equipment
|
(24,521)
|
|
|
(1,439)
|
|
Net cash used in
investing activities
|
(24,521)
|
|
|
(1,439)
|
|
Cash flows from
financing activities
|
|
|
|
Proceeds from
issuance of Series D redeemable convertible preferred stock, net of
issuance costs paid
|
—
|
|
|
12,963
|
|
Business Combination
and PIPE financing, net of issuance costs paid
|
—
|
|
|
(394)
|
|
Proceeds from the
exercise of stock options
|
2,626
|
|
|
2
|
|
Proceeds from
landlord of finance lease
|
—
|
|
|
889
|
|
Payments on finance
lease liability
|
(258)
|
|
|
(309)
|
|
Payment of note
payable
|
(4,100)
|
|
|
—
|
|
Payments for issuance
costs
|
(26)
|
|
|
—
|
|
Net cash provided by
(used in) financing activities
|
(1,758)
|
|
|
13,151
|
|
Net decrease in cash
and cash equivalents, including restricted cash
|
(85,528)
|
|
|
(10,185)
|
|
Cash and cash
equivalents, including restricted cash, beginning of
period
|
849,278
|
|
|
89,832
|
|
Cash and cash
equivalents, including restricted cash, end of period
|
$
|
763,750
|
|
|
$
|
79,647
|
|
Reconciliation of
GAAP Financial Metrics to Non-GAAP
(In thousands, except
share and per share data)
(Unaudited)
|
|
Reconciliation
of Net Loss to EBITDA and Adjusted EBITDA
|
|
|
|
Three Months Ended
March 31,
|
|
|
2021
|
|
2020
|
|
|
(in
thousands)
|
Net loss
|
|
$
|
(120,224)
|
|
|
$
|
(33,146)
|
|
Interest (income)
expense, net
|
|
9
|
|
|
(62)
|
|
Income tax
expense
|
|
1
|
|
|
1
|
|
Depreciation and
amortization
|
|
1,805
|
|
|
1,408
|
|
EBITDA
|
|
(118,409)
|
|
|
(31,799)
|
|
Stock-based
compensation
|
|
50,266
|
|
|
1,313
|
|
Loss on forward
contract liability
|
|
—
|
|
|
1,324
|
|
Revaluation of
warrant liability
|
|
(951)
|
|
|
—
|
|
Equity in net loss of
affiliate
|
|
794
|
|
|
—
|
|
Regulatory and legal
matters (1)
|
|
14,866
|
|
|
—
|
|
Adjusted
EBITDA
|
|
$
|
(53,434)
|
|
|
$
|
(29,162)
|
|
|
(1)Regulatory and legal matters include
legal, advisory, and other professional service fees incurred in
connection with the short-seller analyst article from September
2020, and investigations and litigation related
thereto.
|
Reconciliation
of GAAP to Non-GAAP Net Loss, and GAAP to Non-GAAP Net Loss per
Share, basic and diluted
|
|
|
|
Three Months Ended
March 31,
|
|
|
2021
|
|
2020
|
|
|
(in thousands, except
share and per share data)
|
Net loss
|
|
$
|
(120,224)
|
|
|
$
|
(33,146)
|
|
Stock-based
compensation
|
|
50,266
|
|
|
1,313
|
|
Revaluation of
warrant liability
|
|
(951)
|
|
|
—
|
|
Regulatory and legal
matters(1)
|
|
14,866
|
|
|
—
|
|
Non-GAAP net
loss
|
|
$
|
(56,043)
|
|
|
$
|
(31,833)
|
|
Non-GAAP net loss per
share:
|
|
|
|
|
Basic
|
|
$
|
(0.14)
|
|
|
$
|
(0.12)
|
|
Diluted
|
|
$
|
(0.14)
|
|
|
$
|
(0.12)
|
|
Weighted average
shares outstanding:
|
|
|
|
|
Basic
|
|
392,189,851
|
|
|
271,896,258
|
|
Diluted
|
|
392,489,761
|
|
|
271,896,258
|
|
|
(1)Regulatory and legal matters include
legal, advisory, and other professional service fees incurred in
connection with the short-seller analyst article from September
2020, and investigations and litigation related
thereto.
|
EDITOR'S NOTE RE: PHOTOS:
To see images not included in this press release, please
click here or visit Nikola's Investor Relations
Website.
View original content to download
multimedia:http://www.prnewswire.com/news-releases/nikola-corporation-reports-first-quarter-2021-results-301286392.html
SOURCE Nikola Corporation