He spoke about choosing between various chassis options, and 'finalizing a three-year product portfolio roadmap that we plan to execute between 20.' 30, the company will run out of liquidity in 14 to 19 months, all other factors remaining equal.ĭuring the earnings conference call, Dauch said the C1000 would be thoroughly reviewed during first-quarter 2022. With $230 million in cash and cash equivalents on Sept. The company also says it is burning cash at a rate of $12 million to $16 million per month. In its Q3 earnings presentation, Workhorse says the revenue plunge resulted from 'customer refunds related to the recall of our C-1000 vehicles.' Cost of sales soared almost 311% year over year, driven by inventory write-downs and expenses related to the C1000.Īt the bottom line, it generated approximately the same net loss as last year, a $0.77 loss per share versus 2020's $0.78 loss per share. Revenue turned negative as a result of the suspension and recall, dropping from a positive $0.56 million in Q3 2020 to a negative $0.58 million in Q3 2021. At that time, Dauch said the company intended to 'revise the design,' noting what was 'clear from the initial customer feedback is that we need to further increase the payload capacity of our vehicles.' A month later, in late September, Workhorse suspended deliveries while it tested the EV's highway safety standard compliance. In its August Q2 report, Workhorse already knew the C1000 needed an overhaul. As such, he is taking action to correct a problem dating back before he began acting as chief executive. 1, and the C1000 was not developed or, for the most part, produced on his watch. During the Q3 earnings conference call, CEO Rick Dauch stated outright that ' current C1000 vehicle design is not robust, nor is it profitable.' Dauch is a newcomer to the role, having started his duties on Aug. The C1000 is Workhorse's main in-production model, meaning that it currently has no manufacturing or sales until the C1000 is relaunched or it develops an alternative. Q3 results: Looking the gift Workhorse in the mouthĭominating Workhorse's Q3 report and outlook is the recall of the 41 C1000 electric delivery vans it had already delivered to customers, the 'grounding' of the entire fleet, and suspension of the model's production. There are several reasons why Wall Street might have reacted this way, but at this point, the stock looks like one to avoid nevertheless.

Yet investors responded by boosting its share price nearly 6% in morning trading the following day, a surprisingly bullish response. 9 was downbeat, ranging from negative revenue to stopping sales of its main product. Nearly all the news offered by electric vehicle (EV) maker Workhorse Group ( WKHS 1.41%) during its third-quarter (Q3) earnings report on Nov.

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