Fisker Provides December 2023 Business Update as Deliveries Grow Over 300% From Q3 to Q4

Rhea-AI Summary

Fisker Inc. (NYSE: FSR) provided a business update for December 2023, reporting the production of 10,142 Fisker Oceans and the delivery of approximately 4,700 vehicles. The company also highlighted two key software updates, six awards won by the Fisker Ocean SUV, and the commencement of deliveries in the UK and Canada. Henrik Fisker, Chairman and CEO, expressed optimism about the company's revenue growth and solid business performance, despite facing supply chain challenges.

Insights

Market Research Analyst

The production and delivery figures for Fisker Oceans are significant indicators of the company's operational capabilities and market reach. A production count of over 10,000 units, coupled with approximately 4,700 deliveries, suggests an efficient scaling of manufacturing processes. This is a vital factor for investors, as it demonstrates Fisker's ability to meet market demand and manage supply chain complexities post-COVID-19. The company's expansion into 12 markets, including the strategic entry into the UK with right-hand drive vehicles, reflects a targeted approach to global market penetration which can impact international sales positively.

Moreover, the over 300% growth in deliveries from Q3 to Q4 indicates a strong upward trajectory in consumer interest and operational execution. Fisker's emphasis on customer experience, as evidenced by the software updates and the opening of flagship Lounges and service centers, is aimed at enhancing brand loyalty and customer satisfaction. These efforts can lead to increased customer retention and positive word-of-mouth, which are crucial for long-term success in the competitive electric vehicle (EV) industry.

Financial Analyst

The reported production and delivery figures translate into substantial revenue for Fisker, which is a critical aspect for current and potential investors. The delivery of the majority of vehicles as the Fisker Ocean One launch edition, priced at a premium, indicates a profitable revenue mix. This pricing strategy, if sustained with high customer satisfaction, can lead to healthy margins. However, investors should be aware of the capital expenditure associated with expanding the delivery and service infrastructure, as well as the costs related to the development and deployment of software updates.

Furthermore, the company's intention to announce a plan for accelerated sales and deliveries in January 2024 will be a pivotal moment for assessing Fisker's growth strategy and financial outlook. The effectiveness of initiatives such as increased test-drive events and enhanced loyalty programs in driving sales will be critical in evaluating the company's ability to capitalize on the strong demand for the Fisker Ocean SUV.

Automotive Industry Analyst

Fisker's strategic focus on creating an 'emotional and sustainable' vehicle has been recognized through multiple European awards. These accolades serve as third-party validation of the vehicle's design, performance and sustainability features which can be leveraged in marketing campaigns to bolster brand image and consumer confidence. The introduction of unique features like California Mode and Hollywood Mode differentiates the Fisker Ocean in a crowded EV market, potentially influencing consumer purchase decisions.

The company's approach to software updates via OTA technology represents a commitment to continuous improvement and customer satisfaction. This is becoming an industry standard in the EV sector, as it allows manufacturers to swiftly address any issues and roll out new features, enhancing the overall user experience and potentially increasing the vehicle's lifecycle value. Fisker's planned release of Version 2.0 software update signals ongoing innovation, which is crucial for maintaining competitive advantage.

10,142 Fisker Oceans produced in 2023 and approximately 4,700 vehicles delivered.

Two key software updates since November.

The Fisker Ocean SUV won six awards in 2023.

• First Fisker Ocean Sport delivered in UK.
• Fisker Ocean deliveries commenced in Canada.
• Plan to further accelerate deliveries and increase sales expected to be announced in January 2024.
• Loyalty Program enhanced and sales, delivery, and service call center opened.

LOS ANGELES--(BUSINESS WIRE)-- Fisker Inc. (NYSE: FSR) (“Fisker”), driven by a mission to create the world’s most emotional and sustainable electric vehicles, today provided a business update for the month of December.

Fisker Inc., driven by a mission to create the world’s most emotional and sustainable electric vehicles, today provided a business update for the month of December. Henrik Fisker, Chairman and CEO, said: “We became a revenue-generating company in 2023, but we also faced numerous challenges. Emerging from COVID-19 created several issues for our supply chains, but we have largely overcome them, and we have delivered approximately 4,700 Fisker Oceans. This accomplishment represents substantial revenue, and as we accelerate our delivery pace in 2024, I am excited to see faster growth. We have a solid business with relatively low overhead and an award-winning vehicle that customers enjoy. I am looking forward to a year of new milestones and opportunities for the Fisker brand and everyone on our team.” (Image credit: Fisker Inc.)

Henrik Fisker, Chairman and CEO, said:

“We became a revenue-generating company in 2023, but we also faced numerous challenges. Emerging from COVID-19 created several issues for our supply chains, but we have largely overcome them, and we have delivered approximately 4,700 Fisker Oceans. This accomplishment represents substantial revenue, and as we accelerate our delivery pace in 2024, I am excited to see faster growth. We have a solid business with relatively low overhead and an award-winning vehicle that customers enjoy. I am looking forward to a year of new milestones and opportunities for the Fisker brand and everyone on our team.”

Increasing deliveries and revenue

After homologation delays in both Europe and the US, and as we navigated supplier issues, Fisker ultimately produced 10,142 in 2023. Customer deliveries began in June, with significant deliveries commencing in September and October. The company grew deliveries by over 300% from Q3 to Q4, and total deliveries are approximately 4,700, with the majority being Fisker Ocean One launch edition vehicles priced at $68,999 USD (comparably priced in other markets).

Fisker began deliveries in Canada in December and is now operating in 12 markets worldwide. Right-hand drive vehicles have been delivered in the United Kingdom, and in December the UK saw the delivery of the first Fisker Ocean Sport, the company’s entry-level trim.

In 2023, the Fisker Ocean also won six different European awards in Germany, France, Denmark, and the United Kingdom.

Software updates

Fisker has undertaken two key over-the-air (OTA) software updates in Q4. Version 1.10 was rolled out in November, and Version 1.11 commenced in mid-December. The company expects to complete the Version 1.11 update process for all customers by end of January 2024. Feature upgrades and bug fixes have greatly improved customers satisfaction. In February of 2024 Fisker expects to release Version 2.0 with additional exciting features.

Expanded physical footprint and enhanced customer engagement

The company has opened four flagship Lounges (Los Angeles, New York City, London, Munich) and has multiple delivery and services locations in both the US and Europe to bolster the company’s delivery infrastructure. Fisker is now working with partners to achieve higher delivery throughput and to address an initial lack of real estate to achieve delivery objectives.

Fisker has also opened a sales, delivery, and service call center (1-844-FISKER1 in the US and in European locations) to provide better customer service. We recently enhanced our Loyalty Program in all markets to award our most enthusiastic customers.

Looking forward to 2024

In January, the company intends to announce a plan to further accelerate sales and deliveries. This plan will align with our production capabilities and strong demand for the Fisker Ocean SUV.

Fisker will increase the number of test-drive events it conducts in the US and Europe, as the company has witnessed higher sales rates after customers experience the Ocean firsthand. Following a test drive, customers have reported that they are impressed with the Ocean’s ride and handling relative to competitive EVs and that they appreciate the vehicles unique features, such as California Mode, Hollywood Mode, Taco Trays, and the Ocean’s exceptionally comfortable seats.

About Fisker Inc.

California-based Fisker Inc. is revolutionizing the automotive industry by designing and developing individual mobility in alignment with nature. Passionately driven by a vision of a clean future for all, the company is on a mission to create the world’s most sustainable and emotional electric vehicles. To learn more, visit Fiskerinc.com and enjoy exclusive content across Fisker's social media channels: Facebook, Instagram, Twitter, YouTube, and LinkedIn.

Download the revolutionary new Fisker mobile app from the App Store or Google Play .

Forward-Looking Statements

This press release includes forward-looking statements, which are subject to the “safe harbor” provisions of the US Private Securities Litigation Reform Act of 1995. These statements may be identified by words such as “feel,” “believes,” “expects,” “estimates,” “projects,” “intends,” “should,” “is to be,” or the negative of such terms, or other comparable terminology and include, among other things, the quotation of our CEO, the statements regarding the planned launch timing, pricing, delivery, production, and estimated range of the Fisker Ocean, the planned timing of the opening of Fisker facilities, the Company's future performance, expansion of operations, software updates, and other future events that involve risks and uncertainties. Such forward-looking statements are not guarantees of future performance and are subject to risks and uncertainties, which could cause actual results to differ materially from the forward-looking statements contained herein due to many factors, including, but not limited to: Fisker's limited operating history; Fisker's ability to enter into additional manufacturing and other contracts with Magna or tier-one suppliers in order to execute on its business plan; the risk that OEM and supply partners do not meet agreed-upon timelines or experience capacity constraints; Fisker may experience significant delays in the design, manufacture, regulatory approval, launch and financing of its vehicles; Fisker's ability to execute its business model, including market acceptance of its planned products and services; Fisker's inability to retain key personnel and to hire additional personnel; competition in the electric vehicle market; Fisker's inability to develop a sales distribution network; and the ability to protect its intellectual property rights; and those factors discussed in Fisker's Annual Report on Form 10-K, under the heading “Risk Factors”, filed with the Securities and Exchange Commission (the “SEC”), as supplemented by Quarterly Reports on Form 10-Q, and other reports and documents Fisker files from time to time with the SEC. Any forward-looking statements speak only as of the date on which they are made, and Fisker undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date of this press release.

View source version on businesswire.com: https://www.businesswire.com/news/home/20231229211725/en/

European Media:

Press.europe@fiskerinc.com

US Media

Fisker@GODRIVEN360.com

Customer service: Support@fiskerinc.com

Fisker Inc. Communications:

Matthew DeBord

VP, Communications

mdebord@fiskerinc.com

Franziska Queling

Regional Head of Public Relations Europe

fqueling@fiskerinc.com

Investor Relations:

Frank Boroch, VP of Investor Relations

fboroch@fiskerinc.com

Source: Fisker Inc.

FAQ

How many Fisker Oceans were produced in 2023?

Fisker Inc. (NYSE: FSR) produced 10,142 Fisker Oceans in 2023.

How many Fisker Oceans were delivered in 2023?

Approximately 4,700 Fisker Oceans were delivered in 2023.

What software updates were rolled out by Fisker in Q4?

Fisker rolled out two key over-the-air (OTA) software updates in Q4 - Version 1.10 in November and Version 1.11 in mid-December.

Where did Fisker commence deliveries in December?

Fisker commenced deliveries in Canada in December and delivered the first Fisker Ocean Sport in the UK.

What is Fisker's plan for 2024?

In January 2024, Fisker intends to announce a plan to further accelerate sales and deliveries, aligned with production capabilities and strong demand for the Fisker Ocean SUV.