(Reuters) -Nikola Corp on Thursday outlined plans to boost deliveries and reduce costs in 2023, after the electric-truck maker missed quarterly revenue targets by a wide margin due to weak deliveries.
The automaker produced 133 trucks and delivered just 20 vehicles to dealerships in the fourth quarter, as companies dialed back spending to better cope with rising costs and a looming recession.
Nikola expects to deliver between 250 and 350 Tre battery electric trucks this year, compared with 135 deliveries in 2022. It forecast at least 125 fuel-cell electric truck deliveries in the fourth quarter.
The company also plans to start installation of an automated battery pack assembly line, which it expects will deliver about $105,000 in cost savings in battery modules and packs for each Tre BEV truck by the fourth quarter of the year.
Loss-making U.S. startups such as Nikola and Lordstown Motors Corp have been battling costs associated with ramping up production as they seek to grab a share in the commercial vehicles market.
Nikola reported revenue of $6.6 million for the quarter ended Dec. 31, below analysts’ estimates of $32.1 million, according to IBES data from Refinitiv.
Net loss stood at $222.1 million for the quarter ended Dec. 31, compared with a loss of $158.9 million a year earlier.
(Reporting by Akash Sriram in Bengaluru; Editing by Devika Syamnath)