DETROIT, Aug. 13, 2026 (GLOBE NEWSWIRE) -- Workhorse Group Inc. (NASDAQ: WKHS) ("Workhorse" or the "Company"), an American Industrial Technology company today reported financial results for the second quarter ended June 30, 2026 and provided an update on its recent announcement about a new product line.
"As we complete the final stages of merger integration, Workhorse is transforming from a pure-play manufacturer of electric commercial vehicles into a new, American industrial technology company built to serve critical commercial, government, defense, and infrastructure markets," said Scott Griffith, CEO of Workhorse. "At the heart of this transformation is our foundational expertise in the design, engineering, testing, validation and manufacturing of industrial products. While traditionally this expertise has been applied to the commercial vehicle market, we believe we are positioned to leverage it for broader industrial applications, opening up access to additional large, high-growth markets."
The Company has spent the first half of 2026 reducing costs to manufacture its flagship commercial electric vehicles through smart engineering, strategic supply chain use and the elimination of redundant operations and facilities. In addition, it has continued work on its lower-cost and more flexible next-generation platforms which the Company believes will enable the production of a wider variety of models that can meet the needs of a larger share of the medium-duty commercial truck segment.
"We believe the combination of our new enterprise sales strategy, the 2026 promotional pricing, and the strong TCO and on-road performance of our W56 step van product line is continuing to drive product enthusiasm and market interest," said Griffith. "We have a growing backlog of firm orders and our sales pipeline has more than doubled since the start of 2026."
In addition to the strategic efforts designed to grow market share in the commercial trucking market, the Company has announced its intent to leverage its expertise and manufacturing capabilities to enter a new market. In July, Workhorse announced its intent to manufacture a turnkey, compute-ready, mobile AI data center designed for the localized infrastructure needs of distributed AI deployments. The Company believes that this new line of business can leverage current capabilities and assets to offer a compelling value proposition to a high-growth market.
Second Quarter and Recent Strategic Highlights
-- Merger Integration on Track: The Company continued integrating enterprise
technology systems and reducing redundancies across facilities and
personnel during the quarter. The Company continues to expect to exit
2026 at a $20 million annualized cost synergy run rate.
-- Bill of Materials Cost Reduction Advancing: Engineering and design work
on the Company's modular chassis program is progressing on schedule.
Workhorse has begun discussions with new suppliers for key components
expected to reduce vehicle costs and continues to work with existing
suppliers on further cost reductions. These efforts, together with the
Company's planned entry into the Class 5/6 cab-chassis segment, are
designed to expand Workhorse's addressable market beyond its step van
business and into a broader range of Class 5-6 truck types, including box
trucks, representing a larger share of the $23 billion medium-duty truck
market1. The modular chassis is the first step in a broader strategy to
commonize hardware and software across all product lines, with production
for the new chassis platform expected to begin in late 2027.
-- Optimizing for Rapid Production Ramp: Workhorse increased production in
the second quarter and continued building efficiencies across its supply
chain and manufacturing processes. The Company expects to produce more
fully electrified Class 5/6 chassis over the next five months than in any
prior five-month period in its history. Driven by a new strategic
enterprise sales approach, the total cost of ownership and performance
advantages of with W56, and the Company's promotional pricing on the W56
step van, demand is building from both existing and new customers for
deliveries in late 2026 and early 2027.
-- Leadership Team Strengthened: In July, Workhorse announced the
appointment of Jody Davis as Chief Financial Officer. Davis brings
approximately 15 years of finance leadership across manufacturing, energy
storage, aerospace, and technology companies, with a track record of
closing large capital rounds and guiding development-stage businesses
into full production. He has built the financial infrastructure that
capital-intensive companies require as they move from development into
commercialization -- precisely where Workhorse is in its journey.
-- Entry into Mobile AI Data Center Market: In July, Workhorse announced its
planned entry into the containerized mobile AI data center category,
targeting an estimated $41 billion market by 20312. The Company believes
its engineering competencies in power electronics, thermal management,
ruggedized enclosures, mobile connectivity, vibration isolation, and
embedded systems can translate directly to containerized platforms that
must meet the operating demands of AI hardware in the field. The
Company's go-to-market approach for this new product line is
partnership-based, with Workhorse intending to serve as the design,
engineering and manufacturing partner while strategic partners lead
end-market development and manage customer relationships, an approach
intended to reduce execution risk. The Company is targeting 2027 for
commencement of initial production and commercial deliveries.
____________________(1) Represents annual forecast of vehicle registrations as of Q1 2026 Forecast per S&P Global Mobility for NTEA US Commercial Vehicle Market Report, multiplied by an assumed $100,000 value per ICE truck and $250,000 for electric truck.
(2) Grand View Research, "Global Containerized Data Center Market Size & Outlook" https://www.grandviewresearch.com/horizon/outlook/containerized-data-center-market-size/global
Second Quarter 2026 Financial Highlights
-- Revenue: Sales, net of returns and allowances, for the second quarter of
2026 were $3.6 million, compared to $0.8 million in the second quarter of
2025 on a GAAP basis. On a pro forma combined basis, revenue for the
second quarter of 2025 was $6.4 million. For the first half of 2026,
revenue was $7.9 million, roughly in line with pro forma combined revenue
of $8.2 million in the first half of 2025.
-- Vehicles Delivered: The Company delivered 26 vehicles during the second
quarter of 2026, compared to 4 vehicles in the second quarter of 2025.
-- Cost of Sales: Cost of sales for the second quarter of 2026 was $11.0
million, resulting in a gross loss of $7.5 million, consistent with the
first quarter. The Company continues to expect gross margin to improve as
production volumes at Union City scale and the cost benefits of the
combined platform are realized.
-- Operating Expenses: Total operating expenses for the second quarter of
2026 were $11.9 million. Selling, general and administrative expenses
were $7.8 million, reflecting the costs of running the combined company,
partly offset by merger-related synergies, including reductions in
redundant headcount and other operating costs. Research and development
expenses were $4.1 million, reflecting continued strategic investment in
the Company's bill of materials cost reduction program and early-stage
engineering work supporting the mobile AI data center product line.
-- Operating Loss: Operating loss was $19.4 million in the second quarter of
2026, compared to $9.0 million in the second quarter of 2025.
-- Net Loss: Net loss for the second quarter of 2026 was $20.2 million, or
$1.86 per basic and diluted share, compared to a net loss of $12.8
million, or $1.38 per share, in the same period last year.
-- Capital Position: As of June 30, 2026, the Company had $9.6 million in
cash and cash equivalents, plus $0.7 million of restricted cash. During
the first half of 2026, the Company drew $20.0 million under its Cash
Flow Credit Agreement, bringing the outstanding balance to $30.0 million,
and drew $18.3 million under its Customer Order Credit Agreement.
Subsequent to quarter end, the Company amended its Cash Flow Credit
Agreement to increase capacity and borrowed an additional $10 million to
fund its operations.
Conference Call
Workhorse management will hold a conference call on Thursday, August 13, 2026, at 4:30 p.m. Eastern time to discuss these results and answer related questions.
A link to listen to the conference call webcast will be available on the Investor Relations section of Workhorse's website.
The phone numbers to listen via telephone are (877)-407-0789 (U.S.) or (201)-689-8562 (international). A telephonic replay of the conference call will be available after 7 p.m. Eastern time on the same day through August 27, 2026.
Toll-free replay number: (844)-512-2921
International replay number: (412)-317-6671
Replay ID: 13761353
About Workhorse Group Inc.
Headquartered in the Detroit area with a commercial-scale manufacturing plant in Union City, Indiana, Workhorse (Nasdaq: WKHS) is an American engineering and manufacturing company specializing in electrification, high-voltage systems integration, mobility platforms, ruggedized mobile platform manufacturing, distributed energy systems, and deployable industrial infrastructure. We manufacture durable, reliable and high-performing vehicles and infrastructure for mission-critical applications deployed in the world's most demanding operating environments. More information is available at www.workhorse.com.
Media Relations Contacts:
Workhorse
John Williams, Communications
+1-206-660-5503, john.williams@workhorse.com
ICR, Inc.
workhorse@icrinc.com
Investor Relations Contact:
ir@workhorse.com
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. All statements contained in this press release that are not historical facts, including statements regarding future events, plans and anticipated results of operations, business strategies, the anticipated benefits of the Motiv/Workhorse merger, the anticipated impact of the Workhorse/Motiv merger on the combined company's business and future financial and operating results, the expected amount and timing of synergies from the Workhorse/Motiv merger, Workhorse's ability to achieve profitability, Workhorse's sales integration and pipeline, Workhorse's access to capital to fund operations and fulfill orders, Workhorse's expected delivery of contracted vehicle orders, Workhorse's product development plans, including chassis development, access to capital or operating results; Workhorse's new product line, the market for containerized data centers and edge computing, the Company's go-to-market approach, the expected date for initial production and delivery of the new mobile AI data center product line, the Company's ability to leverage existing capabilities in developing the new product line, the potential for revenue from the new product line to enable the Company to continue its cost reduction efforts for its electric trucks and other statements regarding the Company's achievement of its priorities and its other plans, objectives, expectations, business strategies, future operations, financial performance, prospects, and other future events or developments and other statements regarding the company's anticipated or planned operations, are forward-looking statements. Some of these statements may be identified by the use of the words "plans", "expects" or "does not expect", "estimated", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", "targets", "projects", "contemplates", "predicts", "potential", "continue", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "should", "might", "will" or "will be taken", "occur" or "be achieved".
Forward-looking statements are based on management's current expectations, assumptions, and estimates as of the date of this press release and are subject to numerous known and unknown risks, uncertainties, and other factors that could cause actual results, performance or achievements to differ materially from those expressed or implied by such statements. Factors that could cause actual results to differ include, among others, Workhorse's ability to design and develop the new product line; additional costs that may be incurred in connection with the development of the product line; Workhorse's ability to reach a commercial partnership for the development and sale of the new product line; the potential for distraction resulting from Workhorse's efforts to develop the new product line; risks related to the development of the mobile AI computing market; our ability to raise capital to fund our operations and to maintain access to our current debt facilities; our ability to achieve the expected synergies and/or efficiencies from our operations and as a result of the Motiv/Workhorse merger; our ability to reduce the cost to build our vehicles; our ability to deliver vehicles as contracted; our ability to further develop and bring to market new products as planned, including the mobile AI data center platform, chassis and cab development; the risk that the price of our securities may be volatile due to a variety of factors; changes in laws, regulations, technologies, the global supply chain, and macro-economic and social environments affecting our business, including demand for electric trucks and our cost of production; our status as a controlled company; and our ability to maintain compliance with Nasdaq rules and otherwise maintain our listing of securities on Nasdaq.
Additional information on these and other factors that may cause actual results and Workhorse's performance to differ materially is included in Workhorse's periodic reports filed with the SEC, including, but not limited to, Workhorse's Annual Report on Form 10-K for the year ended December 31, 2025, including those factors described under the heading "Risk Factors" therein, and Workhorse's subsequent periodic reports. Copies of Workhorse's filings with the SEC are available publicly on the SEC's website at www.sec.gov or may be obtained by contacting Workhorse. Should one or more of these risks or uncertainties materialize, or should any of our assumptions prove incorrect, actual results may vary in material respects from those projected in these forward-looking statements. Readers are cautioned not to place undue reliance upon any forward-looking statements, which speak only as of the date made. These forward-looking statements are made only as of the date hereof, and Workhorse undertakes no obligations to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
* Note on Financial Statement Presentation
On December 15, 2025, we completed our merger with Motiv. While the legal acquirer in the merger was Workhorse, for financial accounting and reporting purposes under U.S. GAAP, Motiv was the accounting acquirer, and the Merger was accounted for as a reverse acquisition. Accordingly, the consolidated assets, liabilities and results of operations of Motiv became the historical consolidated financial statements of the consolidated company, and Workhorse's assets, liabilities and results of operations were consolidated with those of Motiv beginning on December 15, 2025. As a result, comparative second quarter 2025 financial information reflects only Motiv and is not directly comparable to the combined company results for the second quarter of 2026.
Workhorse Group Inc.
Condensed Consolidated Balance Sheets
(Unaudited) December 31,
(in thousands, except share amounts) June 30, 2026 2025
---------------- ----------------
Assets
Current assets:
Cash and cash equivalents $ 9,629 $ 12,240
Restricted cash 680 680
Accounts receivable, less allowance
for credit losses of $168 and $435
as of June 30, 2026 and December
31, 2025, respectively 2,280 3,889
Inventory, net 38,175 39,065
Prepaid expenses and other current
assets 5,724 3,948
----------- ---------
Total current assets 56,488 59,822
----------- ---------
Property, plant and equipment, net 19,547 22,470
Goodwill 3,226 3,130
Intangible assets, net 9,904 10,182
Operating lease right-of-use assets,
net 20,373 21,872
Other assets 604 416
----------- ---------
Total Assets $ 110,142 $ 117,892
=========== =========
Liabilities
Current liabilities:
Accounts payable $ 13,928 $ 16,301
Accrued liabilities and other
current liabilities 7,027 8,063
Deferred revenue 1,003 1,615
Warranty liability - current
portion 2,768 3,183
Operating lease liability - current
portion 1,312 3,616
Stock rights liability -- 6,074
Customer order credit agreement -
related party 18,250 --
----------- ---------
Total current liabilities 44,288 38,852
Operating lease liability - long-term 20,652 18,777
Cash flow credit agreement - related
party 30,000 10,000
Convertible notes at fair value -
related party 5,915 5,429
Warranty liability - long-term 2,109 1,792
----------- ---------
Total Liabilities 102,964 74,850
----------- ---------
Commitments and contingencies
Stockholders' Equity:
Series A preferred stock, par value
of $0.001 per share, 75,000,000
shares authorized, 0 shares issued
and outstanding at June 30, 2026 and
December 31, 2025, respectively -- --
Common stock, par value $0.001 per
share, 36,000,000 shares
authorized, 10,893,417 and
9,699,858 shares issued and
outstanding as of June 30, 2026 and
December 31, 2025, respectively 11 10
Additional paid-in capital 366,243 362,055
Accumulated deficit (359,076) (319,023)
----------- ---------
Total stockholders' equity 7,178 43,042
----------- ---------
Total Liabilities and
Stockholders' Equity $ 110,142 $ 117,892
=========== =========
Workhorse Group Inc.
Condensed Consolidated Statements of Operations
(Unaudited)
Three Months Ended Six Months Ended
June 30, June 30,
-------------------- ----------------------
(in thousands,
except per share
amounts) 2026 2025 2026 2025
------- -------
Sales, net of
returns and
allowances $ 3,562 $ 750 $ 7,891 $ 1,896
Cost of sales 11,034 2,109 22,845 4,334
------- ------- ------- -------
Gross loss (7,472) (1,359) (14,954) (2,438)
------- ------- ------- -------
Operating
expenses:
Selling,
general and
administrative 7,840 4,469 17,385 8,809
Research and
development 4,108 3,197 8,177 6,857
------- ------- ------- -------
Total
operating
expenses 11,948 7,666 25,562 15,666
------- ------- ------- -------
Loss from
operations (19,420) (9,025) (40,516) (18,104)
Interest expense,
net (800) (3,819) (1,154) (7,395)
Change in fair
value of
convertible
note (132) -- (277) --
Change in fair
value of stock
rights 182 -- 1,885 --
Other expense (1) (3) $ (25) (4)
------- ------- ------- -------
Loss before
benefit for
income taxes (20,171) (12,847) (40,087) (25,503)
Benefit for
income taxes -- -- 34 --
------- ------- ------- -------
Net loss $(20,171) $(12,847) $(40,053) $(25,503)
======= ======= ======= =======
Net loss per
share of common
stock
Basic and
Diluted $ (1.86) $ (1.38) $ (3.84) $ (2.73)
======= ======= ======= =======
Weighted-average
shares used in
computing net
loss per share of
common stock
Basic and
Diluted 10,854 9,332 10,436 9,331
======= ======= ======= =======
Workhorse Group Inc.
Condensed Consolidated Statements of Cash Flows
(Unaudited)
Six Months Ended
June 30,
----------------------
(in thousands) 2026 2025
-------
Cash flows from operating activities:
Net loss $(40,053) $(25,503)
Adjustments to reconcile net loss to net
cash used in operating activities:
Depreciation and amortization 3,649 395
Provision for allowance for credit
losses (70) --
Provision for excess and obsolete
inventory (348) --
Non-cash lease expense 1,498 431
Warranty provision 3,134 778
Stock-based compensation -- 212
Non-cash interest expense and change in
fair value of convertible notes 486 --
Non-cash change in fair value of stock
rights (6,074) --
Non-cash conversion of stock rights 4,189 --
Loss on disposal of assets 23 --
Effects of changes in operating assets and
liabilities:
Accounts receivable 1,489 (1,750)
Inventory, net 1,238 (4,389)
Prepaid expenses and other current
assets (1,775) 44
Accounts payable (2,317) 169
Accrued liabilities and other current
liabilities (5,231) 8,323
Operating lease liability (429) (424)
------- -------
Net cash used in operating activities (40,591) (21,714)
------- -------
Cash flows from investing activities:
Capital expenditures (270) (270)
------- -------
Net cash used in investing activities (270) (270)
------- -------
Cash flows from financing activities:
Proceeds from secured promissory note -
related party -- 18,000
Proceeds from Cash Flow Credit Agreement -
related party 20,000 --
Proceeds from Customer Order Credit
Agreement - related party 18,250 --
------- -------
Net cash provided by financing activities 38,250 18,000
------- -------
Change in cash and cash equivalents and
restricted cash (2,611) (3,984)
Cash and cash equivalents and restricted cash,
beginning of the period 12,920 6,629
------- -------
Cash and cash equivalents and restricted cash,
end of the period $ 10,309 $ 2,645
======= =======
Unaudited Pro Forma Revenue
The table below reflects the combined revenue of Workhorse and Motiv for the three months and six months ended June 30, 2025 as if the merger had occurred at the beginning of the period presented. The unaudited pro forma revenue presented is for informational purposes only and is not necessarily indicative of the results of operations that would have been achieved if the merger was completed at the beginning of the period presented or of the future operating results of the combined company. A reconciliation of pro forma revenue is provided below.
For the Three Months For the Six Months
(in thousands) Ended June 30, 2025 Ended June 30, 2025
---------------------- ------------------------
Sales, net of returns
and allowances, as
reported $ 750 $ 1,896
Pre-Merger Workhorse
sales, net of returns
and allowances 5,670 6,310
---------------------- ---- ----------------
Pro forma combined
revenue $ 6,420 $ 8,206
==== ================ ==== ================