The shares of two electric vehicle manufacturers have been experiencing rough roads as of late.
Fisker Inc., which is based in Manhattan Beach, closed at 73 cents on Feb. 29, then fell to 48 cents on March 1. The company had released its preliminary fourth-quarter and full year earnings after the market closed on Feb. 29.
Meanwhile, Gardena-based Faraday Future Intelligent Electric Inc. experienced a 10% drop in its share price on March 1 after it filed a recall notice with the National Highway Traffic Safety Administration.
The companies’ shares have not since recovered.
In its preliminary earnings release Fisker reported a net loss of -$762 million (-$2.22 a share) for the full year ending Dec. 31, compared with a net loss of -$547 million (-$1.80) in the previous year.
Revenue increased by 80,000% from the prior year to $273 million.
For the fourth quarter, Fisker reported a net loss of $464 million (-$1.23 a share) on revenue of $200 million, or an increase of 178% from the previous quarter of $72 million in revenue.
Its shares closed at 15 cents on March 14.
In February, Fisker received a notice from the New York Stock Exchange that it was out of compliance with the exchange’s rules because the average closing price of the company’s common stock was less than $1 per share over a consecutive 30 trading-day period.
The company can regain compliance at any time within a six-month cure period following its receipt of the NYSE notice.
The preliminary report also included comments from Henrik Fisker, the chief executive of the company.
Fisker said that the just-completed year was a challenging one for the company as it had supply chain and other issues to deal with that resulted in it not producing and delivering the number of Ocean SUVs it had originally projected.
“We also encountered unexpected headwinds in our efforts to establish a direct-to-consumer sales model in both North America and Europe at the-same time,” Fisker said, adding…
Read the full article here
