Benzinga | Aug 9, 2021 12:24PM EDT

Workhorse Group Q2 Sales Surge On Higher Truck Volume; Unloads Majority Stake In Lordstown

* Workhorse Group Inc (NASDAQ:WKHS) reported second-quarter FY21 sales of $1.2 million, missing the analyst consensus of $6.41 million. It reported sales of $0.092 million last year.

* It delivered a total of 14 trucks in Q2 versus one truck last year.

* Gross loss widened to $(13.6) million, versus $(1.42) million last year.

* Operating expenses rose 64% Y/Y to $9.1 million.

* Operation loss was $(34.4) million versus $(6.98) million the previous year.

* Loss per share was $(0.35), versus the consensus estimate of $(0.29).

* Net loss for the quarter narrowed to $(43.6) million.

* Net interest expense decreased to $10.5 million from $124.3 million last year.

* Also, Workhorse reported other losses during the six months ended June 30, 2021, of $148.3 million, related to the decrease in fair value of its investment in Lordstown Motor Corp. (NASDAQ:RIDE).

* As of June 30, 2021, Workhorse owned approximately 16.5 million shares of Lordstown Motors. During July 1-August 6, 2021, Workhorse has sold 11.9 million shares of Lordstown Class A Common Stock at an average price of $6.67 per share for expected net proceeds of $78.8 million. As a result of the sales, the company recorded a loss of approximately $52.1 million.

* Price action: WKHS shares traded higher by 2.08% at $10.31, while RIDE traded higher at 0.42% at $5.96 on the last check Monday.