Lordstown Motors to launch limited production of trucks at the end of September

Electric truck maker Lordstown Motors said on Wednesday it will begin limited production of its Endurance pickup truck in late September and is evaluating its collaboration with other companies.

Stocks rose 4.7% in after-hours trading.

The Ohio startup, which also reported a second-quarter loss on Wednesday, said its plant in the northeastern state was ready and that retooling of stamping, assembly, body shops and painting was finished. He also said the electric battery line was fully commissioned.

“We are launching Endurance with a cautious production ramp given a challenging industry and supply chain landscape,” President Angela Strand said in a statement.

Lordstown will begin deployments with some first customers in the first quarter of next year, followed by larger commercial deliveries in the second quarter, she said. Endurance production will increase sharply in the second half of 2022.

Lordstown, who had previously warned that he had to raise additional funds, added that he was “assessing potential strategic partners”. Strand said the size of its Ohio plant could “easily accommodate additional manufacturing partners.”

Lordstown said on Wednesday it lost just over $ 108 million, or 61 cents per share, in the second quarter, compared to a loss of nearly $ 8 million, or 11 cents per share, a year earlier.

Lordstown had $ 366 million in cash and cash equivalents at the end of the quarter and said it expects to end the third quarter with cash between $ 225 million and $ 275 million, excluding funds from a increase in capital.

Lordstown has also increased its planned capital spending for 2021 to a range of $ 375 million to $ 400 million, down from $ 250 million to $ 275 million compared to its previous forecast. He said the costs are largely related to prepayments for hard tool purchases.