Nikola to pause truck production after posting bigger quarterly loss

(Reuters) – Nikola Corp. reported a larger quarterly loss on Tuesday and said it would pause production to streamline an assembly line at its College, Arizona, plant amid slowing demand for its battery-powered trucks.

Investors focused on cash reserves at Nikola and other electric car makers amid concerns that slowing sales could prompt companies to pursue more stock sales to raise cash.

“At the end of May we plan to pause truck production as we convert the line to accommodate both hydrogen fuel cell and battery electric trucks on the same line, and we will resume production in July with our first salable hydrogen fuel cell trucks,” Nikola said. .

Earlier in the day, Fisker Inc cut its production target for the full year as the electric vehicle startup seeks to maintain a restraint on expenses and reported a smaller first-quarter loss.

Nikola’s net loss widened to $169.09 million in the quarter, from $152.94 million a year earlier.

(Reporting by Tanya Jain and Tyachi Datta in Bengaluru; Editing by Sriraj Kaluvella)

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