Workhorse integrates third production line, secures 100-unit orders but posts $19.9M loss
Workhorse integrated its third production line in Union City, Indiana and secured Q1 orders for 100 units from Gateway Fleets and Purolator. It reported Q1 revenue of $4.3 million and a net loss of $19.9 million, driven by a $1.5 million warranty charge and $9.5 million in SG&A expenses.
1. Production Expansion and Major Orders
Workhorse integrated the Motive production line at its Union City, Indiana plant, bringing total operational lines to three. In Q1 the company received two significant purchase orders, including 100 units from Gateway Fleets and another order from Purolator, demonstrating rising customer demand.
2. Modular Chassis Development and Legal Resolutions
The company unveiled plans for a proprietary modular chassis design aimed at reducing manufacturing costs and enhancing competitiveness against internal combustion vehicles. Workhorse also resolved two previously disclosed legal matters, eliminating potential litigation overhangs that had weighed on management's focus.
3. Q1 Financial Results
Workhorse reported Q1 2026 revenue of $4.3 million, a gross loss of $7.5 million and a net loss of $19.9 million versus $12.7 million a year earlier. A $1.5 million warranty charge and SG&A expenses rising to $9.5 million—up from $4.3 million—contributed to the wider loss.
4. Liquidity Measures and Pricing Strategy
To support existing production orders, management secured incremental borrowing to strengthen liquidity. CEO Scott Griffith confirmed continued use of promotional pricing to drive volume among price-sensitive customers, leveraging expected cost reductions from the chassis redesign.