HomeIndustriesNikola Corp. Stock Plunges 26% Amid CEO Change, Underwhelming Q2 Earnings

Nikola Corp. Stock Plunges 26% Amid CEO Change, Underwhelming Q2 Earnings

EV truck manufacturer Nikola Corp. saw its stock plunge 26% on Friday after the company announced a CEO change for the fourth time in four years. The underwhelming second-quarter earnings, which the company reported on Thursday, also played a part in the slide.

According to the company’s announcement, CEO Michael Lohscheller decided to step down from his position due to family issues. Lohscheller, who has CEO positions at Opel and VinFast on his resume, took over the position in January following the retirement of Mark Russell.

Lohscheller is expected to remain involved in Nikola in an advisory capacity, with Chairman Stephen Girsky stepping in as CEO.

“The Board respects Michael’s decision to be with his family during this time and thanks him for his hard work, dedication, and contributions to Nikola,” Girsky said in a statement issued by the company. “I am grateful for all that Michael was able to accomplish to move our company forward during his tenure.”

Nikola also shared its Q2 earnings, reporting $15.4 million in revenue, which represents a 15% drop from the same period last year. The company is also expecting revenue of $18 million to $28 million for the third quarter, which is well below the estimated $34.5 million.

The shares of Nikola dropped to $2.50 on Friday compared to the $3.41 per share close on Thursday after the announcement. The company’s stock is currently 12% up year to date.

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