Written by Cláudio Afonso | [email protected] | LinkedIn | X
The electric vehicle (EV) startup Fisker published on Monday its annual report disclosing the delivery of over 6,400 Ocean SUVs since May 2023, when deliveries kicked off in Denmark. The company added that it has reduced its headcount by 425 persons since the beginning of the year.
“Our first model, the all-electric Fisker Ocean, has already garnered numerous awards for its design. As of April 16, 2024, the company has delivered over 6,400 Oceans,” the EV maker stated.
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In late February, Fisker had reported the production of 10,193 units and the delivery of 4,929 vehicles which results in more than 1,471 vehicles delivered from January 1st until April 16. Fisker delivered its first vehicle to a customer on May 5, 2023, in the Danish capital Copenhagen.
On March 18, the EV startup reported having approximately 4,700 SUVs in inventory as demand didn’t meet the management expectations in 2023.
Headcount
“We employed approximately 1,560 full-time employees as of December 31, 2023, 760 as of December 31, 2022 and 327 as of December 31, 2021,” Fisker said in the annual report.
As of the end of last week, Fisker had employed “approximately 1,135” employees. The company stated that the decrease “primarily reflects actions taken to reduce the headcount”.
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Cash Balance
Fisker spent $904.9 million in cash in operating and investing activities during 2023 and saw its cash balance decreasing by 411 million. The company disclosed its cash balance reduced from $736.5 million by the end of 2022 to $325.5 million at December 31, 2023.
“Our cash and cash equivalents balance further reduced to $53.9 million of unrestricted and $11.2 million of restricted at April 16, 2024, reflecting significant payments to certain suppliers”.
Dealerships
Fisker said that is “selecting its dealers based upon multiple criteria, including a dealer’s ability to deliver a high level of customer satisfaction”. The company has recently announced new dealer partners in the U.S. and Europe having now six dealer partner locations in the U.S. (Miami and Jacksonville) and 12 in Europe.
Raising Additional Cash
The company said it “expects to require additional cash in 2024 for debt service and investment needs” adding that its “ability to generate cash from operating activities will depend on our ability to transition to a dealer model and sell vehicles”.
Fisker concludes by saying that “there is substantial doubt as to our ability to continue as a going concern”.
The company announced on Monday Michael Healy, senior managing director at FTI Consulting, as its new chief restructuring officer. This decision follows Fisker’s recent agreement with an investor, set to expire on April 26.
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Fisker has recently withdrawn all financial and operational guidance for 2024 and appointed both Deutsche Bank and PJT Partners as financial advisors to explore strategic alternatives.
Fisker received the delisting notice of its stock from the New York stock exchange on March 25 and started trading on the OTC market, where securities trade via a broker-dealer network.
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During the weekend, Fisker organized 15 in-person events for owners throughout the United States and Canada, amid Earth Day celebrations. These gatherings occurred in various locations, including San Diego, Manhattan Beach, Nashville, Denver, Atlanta, and Ontario.
Earlier this month, in a private Facebook group with over three thousand owners, investors, and enthusiasts of the brand, a long message enhanced its goal of providing a smooth experience to all the customers who bought Fisker’s Ocean SUV.
In late March, Fisker started considerable discounts on the 2023 inventory with the Extreme variant now starting at $37,499 (down from $61,499), the Ultra variant starting at $34,999 (from $52,999), and the Sport’s one at $24,999 (from $38,999).
Fisker shares in the OTC market surged 17.94 percent on Monday closing at $0.0526 per share.
Written by Cláudio Afonso | [email protected] | LinkedIn | X
