Nikola Corporation (NASDAQ: NKLA) impressed the market with recent earnings results. The company announced its Q2 earnings on August 4th 2022, reporting both revenue and net loss better than what was expected. Nikola stock jumped 8% to $8.10 – its three-month high after the release.
Q2 revenue came at $18.1 million compared to $16.5 million forecasted and an adjusted loss per share – 25 cents versus the anticipated 27 cents per share. The hydrogen and EV truck maker also managed to deliver 48 of its electric heavy trucks, even though it had previously forecasted to deliver between 50 and 60 for the quarter.
According to Chief Financial Officer Kim Brady, the reason for that was related to battery pack delivery delays from its supplier Romeo Power. Nikola also announced on Monday it struck a $144 million deal for the acquisition of Romeo Power.
With this strategic move, Nikola will gain control over a key part of Romeo’s supply chain and will increase its vertical integration which should result in significant savings over the next few years.
The company also had a busy week. It announced on August 3rd that shareholders have voted and approved Proposal 2 during their 2022 annual meeting, to increase the number of authorized shares from 600 million to 800 million.
The proceeds from the Nikola stock dilution will help the company move forward with production, truck delivery and building energy infrastructure.
Regarding delivery guidance for 2022, Nikola confirmed its earlier projections for 2022 and still expects to deliver between 300 and 500 of its battery-electric Tre trucks by year-end. It also plans to complete testing of prototypes of its upcoming hydrogen fuel-cell trucks with two fleet clients including Anheuser-Busch.