Nikola says it may run out of money in next 12 months

Nikola Corp. said in a government filing Thursday that it may run out of money in the next 12 months and have to “modify or terminate” its business.

The startup booked $6.5 million in revenue in the fourth quarter. But the cost of those sales was more than seven times the revenue generated. Such is the life of a startup trying to launch battery-electric vehicles (BEVs) and fuel cell-electric Class 8 trucks and simultaneously start a hydrogen production, distribution and sales business.

While the numbers looked pretty ugly, Nikola still has nearly $1 billion in cash and borrowing ability to keep the business going into 2024, Chief Financial Officer Kim Brady said on a call with analysts Thursday.

However, in its Securities and Exchange Commission 10-K filing for 2022, Nikola said it may not have enough money to stay in business a year from now.