Nikola Corporation, a prominent player in zero-emissions transportation and energy infrastructure, under its HYLA brand, has released its financial results and business developments for the quarter that ended on June 30, 2024.
“Over the past three quarters of serial production, we have demonstrated that Nikola is the driving force. We are the catalyst turning Class 8 trucking into a zero-emission reality,” stated Steve Girsky, President and CEO of Nikola. “We are the only original equipment manufacturer (OEM) offering Class 8 fuel cell electric vehicles (FCEVs) commercially in North America today. Our trucks undergo daily testing by fleet owners, transporting goods and fulfilling customer deliveries. The second quarter serves as a prime example of how we are merging our mission with practicality, positioning Nikola at the forefront of this transformation.”
Hydrogen Fuel Cell Electric Truck
In the second quarter, we surpassed our delivery expectations by providing 72 hydrogen fuel cell electric vehicles (FCEVs) to our dealer network. This brings our total to 147 wholesaled FCEVs during the initial three quarters of serial production. Last quarter, we discussed the necessity of broadening our reach to cater to the needs of fleet users across North America. Notably, Walmart Canada has become the first major retailer in Canada to incorporate a hydrogen fuel cell electric semi-truck into its fleet. Additionally, we received repeat orders from two national accounts. Nikola’s Profitability Flywheel is starting to gain traction with these national accounts, as they expand their zero-emission operations to meet decarbonization targets.
We are consistently providing fleet users with quality and performance driven by data. To date, our FCEV fleets have logged over 550,000 miles with an average fuel efficiency of 7.2 mi/kg, substantiating our performance benchmarks. We gather data from the field daily, and the results confirm our findings. When analyzed, our FCEVs significantly outperform the average Class 8 truck in fuel efficiency and reduced tailpipe emissions. We estimate our FCEV achieves an average of 8.0 miles per gallon (mpg) in diesel equivalent, which is 23% better than the Class 8 fuel economy average of 6.5 gallons (DGE) according to the Department of Energy. Furthermore, our FCEVs in service have utilized more than 77 metric tons of hydrogen from various Nikola fueling stations. Altogether, we estimate that our FCEV fleet operations have prevented around 867 metric tons of CO2 tailpipe emissions.*
HYLA Energy
We are introducing HYLA fueling solutions to facilitate a volume increase. Our strategy includes launching stations and deploying resources in anticipation of demand. We aim to stay ahead of FCEV deployments to ensure that fueling options are accessible to fleets. Following our Q1 earnings call, we opened a HYLA station in Toronto, Ontario, Canada, and completed the commissioning of a modular station in Santa Fe Springs, Southern California. We also enhanced our Ontario, California station by adding another modular refueler, doubling our capacity. Recently, we experienced a record day in Ontario, with 28 FCEVs refueled and over 850 kg of hydrogen dispensed in a single day. Additionally, through our partnership with Shell, fleet customers have had the opportunity to fuel at Shell’s heavy-duty station in Ontario, CA, where demand has been on the rise. Our fueling stations operate 24/7 to support the continuous needs of our fleet users.
Supportive Green Policies
We have maintained a significant share of HVIP vouchers in California. By the end of the quarter, we had achieved 99% of FCEV and 23% of battery-electric vehicle (BEV) HVIP vouchers. We also developed alternative revenue streams through the sale of regulatory credits and completed our initial sale agreement for NOx and PM credits during the quarter. We anticipate this revenue source will expand alongside increasing volumes in each model year.
Battery Electric Truck
We continue to advance the return of BEVs to our dealer network and fleet users. We are on schedule to finish the recall program by the end of 2024. The feedback on returned units has been overwhelmingly positive, and over-the-air updates are actively reaching our customers.
SOURCE: Nikola
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