More bad news for NYSE shares Fisker: Accounting head of Tesla competitor Fisker resigns – after two weeks in office

• Fisker’s accounting chief leaves company after just two weeks
• Fisker is in a deep crisis – weak quarterly reports are piling up
• Fisker shares show a catastrophic chart picture

The EV top dog Tesla is not only facing increasing competition in the USA from established car companies such as General Motors (GM) or Ford, smaller startups such as Rivian, Lucid and Fisker Inc. are also preparing to annoy the Musk Group . However, the success of the young startups has so far been limited. There seems to be a lot going on at Fisker in particular.

Fisker’s accounting boss Beuting resigns after two weeks

This is what the chaos surrounding the head of the accounting department at Fisker suggests. On November 20, the Californian company, founded in 2016 by Dane Henrik Fisker, announced that its head of accounting, Florus Beuting, had resigned. The highlight: Beuting had only worked in this role at Fisker for two weeks. Beuting, who, according to “Reuters” information, had already expressed his intention to resign on November 14th, was appointed head of accounting on November 6th, succeeding John Finnucan, who left the company in October after three years in this position had left.

Finnucan’s departure had led to this Electric carstartup had to delay its quarterly results after citing problems with its internal control over financial reporting. The Wall Street Journal first reported Beuting’s departure on Monday, citing people familiar with the matter. Separately, Fisker said it received a notice from the New York Stock Exchange (NYSE) for late filing of its 10Q. The 10Q is a detailed quarterly report required by the US Securities and Exchange Commission (SEC) for publicly traded companies

Fisker misses sales targets by a long way

So it’s anything but a secret that the car startup is in a deep corporate crisis. As the last report from November 13th showed, the Tesla competitor recorded sales of $71.8 million in the entire third quarter of 2023. This sum was significantly higher than the $14,000 from the same quarter last year and also higher than the $825,000 that Fisker earned between April and June. Nevertheless, Fisker couldn’t even come close to achieving the sales forecast of the strategists surveyed by FactSet, which was $143.1 million.

It is therefore little wonder that Fisker remained deeply in the red. The young automaker had to report a loss of $0.27 per share. This important indicator was also weaker than expected, as analysts had only expected a loss of $0.23 per share. After all, Fisker left its full-year forecast for operating costs ($565 million) and capital expenditures ($640 million) unchanged, but at the same time removed any information about gross margins for the fiscal year from the outlook.

Fisker shares: tragedy continues

The Tesla competitor’s papers have presented a catastrophic picture since their IPO in October 2020. While they briefly rose above the $30 mark in February 2021, a share now only costs $2.12 (as of the closing price on November 22, 2023). The annual performance so far is likely to horrify even the most hardened stock market investors: Since the beginning of January, Fisker shares have lost a good 71 percent, and in the last three months alone they have fallen by around 64 percent.

In the meantime, after repeated disappointments, investors seem to be expecting the worst: There are increasing signs of Tesla’s competitor going bankrupt – Fisker may not be able to cope with the tough competition in the US EV market. Like other car startups – at this point reference should be made to the US companies Rivian and Lucid, which are also in crisis – Fisker is also suffering from slow production and high costs.

CEO Henrik Fisker, after whom the US company is named, remains undeterred in his optimism and sees the delivery of 1,097 Fisker Ocean vehicles to customers on two continents as a great success. In addition: “We are gaining momentum and delivered more vehicles in October than in the entire third quarter,” said Fisker, according to a company statement. The coming quarterly reports will have to prove whether Fiskers is so confident for good reason and whether the Fisker shares actually have a good chance of a turnaround.

Editorial team finanzen.net

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