Workhorse Group Inc. reported its first set of financial results as a combined company after closing its merger with Motiv Electric Trucks on December 15 2025. Revenue for the fourth quarter of 2025 rose to $9.7 million, up 64% from $6.0 million in the same period a year earlier, while the company delivered 65 vehicles during the quarter, bringing full‑year 2025 deliveries to 112 units. The fourth‑quarter operating loss widened to $20.1 million from $16.5 million a year earlier, and the net loss for the quarter was $23.7 million. A $4.9 million merger‑related expense—primarily legal and banking costs—was recorded, and cost of sales for the quarter totaled $15.5 million.
The company posted a negative gross margin of $5.7 million for the quarter, and earnings per share were $-8.88, falling short of the analyst estimate of $-8.88. The net loss of $23.7 million compares to a $19.6 million net loss in the prior year, underscoring the continued financial pressure despite revenue growth. The widening losses are largely attributable to the merger‑related expense and the negative gross margin, which reflects higher cost of sales relative to revenue as the company scales production and integrates new manufacturing processes.
Post‑merger, Workhorse is pursuing a $20 million annualized cost‑synergy target by the end of 2026 and is integrating Motiv’s technology platforms and product lines. The Union City, Indiana plant has a capacity of over 5,000 vehicles per year, and management has introduced a lower‑cost W5‑6 configuration to accelerate volume. The company has a $40 million customer‑order lending facility and access to up to $50 million in new debt financing from Motiv’s legacy controlling investor, but cash on hand was $12.9 million at year‑end, prompting ongoing efforts to secure additional financing.
Management has not issued new guidance for the next quarter, but it has reiterated its long‑term outlook: reaching approximately 2,500 units per year is expected to support cash‑flow breakeven by the end of 2028. The company’s focus on scaling production, achieving cost synergies, and expanding its product portfolio is intended to improve profitability over the next few years, though the current losses and negative gross margin signal short‑term challenges.
Workhorse operates in the medium‑duty electric truck market, targeting a $23 billion opportunity in Class 4‑6 vehicles. The merger has positioned the combined entity as a more competitive player, but the company must navigate supply‑chain constraints, high production costs, and the need for additional capital to reach breakeven. The results demonstrate revenue momentum but also highlight the financial hurdles that must be overcome to achieve sustainable profitability.
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