Nikola to Begin Delivering Hydrogen-Electric Trucks

Shares of Nikola, the Phoenix-based zero-emissions truck maker, experienced a notable increase on Thursday following the company's announcement that it would commence delivering its highly-anticipated hydrogen-electric trucks at the end of the month. Currently priced at $1.10, the stock soared by 26% in mid-day trading, marking its most significant percentage rise since July. However, despite this recent boost, Nikola shares have still suffered a 49% decline this year.

Late on Wednesday, Nikola reported receiving 210 non-binding orders for its new line of trucks, with prominent fleet operators like J.B. Hunt and Biagi Bros among the customers. CEO Steve Girsky revealed plans to deliver these vehicles during the late September to early October timeframe.

Nikola had initiated the production of its hydrogen fuel-cell trucks in July, and just two weeks ago, the first truck rolled off the assembly line. Interestingly, the company also mentioned that they were currently replacing coolant lines in their battery-electric trucks due to a battery defect, which led to a voluntary recall. However, Nikola made it clear that this recall would not impact the rollout of their hydrogen fuel-cell trucks. At present, a timeline or cost estimate for the recall has not been determined, but no new battery issues have been observed in their operational trucks.

By Ben Glickman