CEO Henrik Fisker advised analysts on a convention name that Magna was prepared to provide 20 vehicles a day, with a “sturdy” ramp-up within the second quarter.
The corporate had restricted manufacturing “on function,” he mentioned, because it expects testing for homologation — the certification for roadworthiness — to be full by March. That will likely be adopted by regulatory approvals and deliveries.
Serving to Fisker maintain demand is its enticing pricing. Its Ocean SUV begins at $37,499 in contrast with the Mannequin Y from Tesla that retails for no less than $54,990 after latest value cuts. Rivian Automotive Inc’s SUV is priced round $78,000.
Lucid Group Inc., which sells its Air Pure sedans for $87,400, forecast lower-than-expected 2023 manufacturing final week and reported a significant drop in orders in the course of the December quarter.
Fisker mentioned reservations for the primary mannequin of Ocean rose to greater than 65,000 as of Feb. 24, from over 62,000 on the finish of October.
“We have been well-priced from the start,” Fisker advised Reuters. “That is one thing that, I believe, now’s bearing fruit.”
The corporate additionally forecast a gross margin vary of 8-12 % and constructive earnings earlier than curiosity, tax, depreciation and amortization this yr, pushed partly by decrease upfront prices as Fisker, not like its friends who make their very own vehicles, depends upon contract manufacturing.
Fisker, which expects bills of as much as $610 million this yr, mentioned it had money and money equivalents of $736.5 million on the finish of December, down from $824.7 million 1 / 4 earlier.
The corporate, nonetheless, reported a wider-than-expected quarterly loss. Its web loss stood at 54 cents per share, in contrast with analysts’ common estimate of a 42-cent loss, in line with IBES information from Refinitiv.