Nikola posts smaller-than-expected loss thanks to strong demand for hydrogen-powered trucks

Nikola beat Wall Street expectations for second-quarter revenue and posted a smaller-than-expected adjusted loss on Friday, signaling a surge in deliveries. hydrogen big rigs as customers boost spending. Shares of electric truck The manufacturer rose 17% in early trading.

Nikola’s results show the company’s efforts to move away from battery-powered vehicles. truck is profitable as it adds new customers and receives increased orders for its hydrogen fuel cell vehicle.

The company reported revenue of $31.3 million for the quarter, beating estimates of $27.1 million, according to LSEG data.

The company’s hydrogen truck deliveries in the second quarter increased 80% to 72 trucks, showing strong demand for the company’s trucks amid an industry-wide downturn.

Nikola also said the company is on track to complete the deployment of all of its upgraded battery-electric trucks by the end of this year.

After a period of high investment in tram During the pandemic, industry growth has slowed as consumers worried about range, higher prices and an uncertain economic outlook shy away from big-ticket purchases.

Weak demand for electric vehicles has hit the company’s stock, sending it down more than 70% this year.

The company reported an adjusted loss per share of $2.67, narrower than analysts’ average loss estimate of $2.85.

Nikola signed Walmart Canada as a major customer in June, delivering a hydrogen-powered tractor-trailer to the retailer.

The company’s cash and cash equivalents stood at $256.3 million in the quarter, compared with $345.6 million in the previous three months.