Fisker reportedly temporarily misplaced millions of dollars in payments for its EVs
Fisker briefly misplaced millions of dollars worth of payments from customers, according to a recent report from TechCrunch.
FREDERIC J. BROWN
- Fisker reportedly temporarily misplaced millions of dollars worth of customer payments.
- The issue made it difficult for Fisker to accurately report its revenue, TechCrunch reported.
- Fisker dropped prices for its EV on Wednesday and has warned it could run out of funds.
Fisker briefly misplaced millions of dollars worth of payments from customers last year, according to a recent report from TechCrunch.
The electric-car maker faced difficulty keeping track of down payments on its cars, as well as full payments from some customers, and in "a few cases" Fisker even delivered some of its EVs without receiving any form of payment, the publication said.
Three sources from the company, who chose to remain anonymous because they were not permitted to speak on behalf of the company, told TechCrunch the issue made it difficult for Fisker to report its revenue for 2023, and the company launched an internal audit in December on the issue that "took months to complete." The company still has not filed its annual report for last year, but it was eventually able to find most of the customer's payments or ask for fresh ones, TechCrunch reported.
A spokesperson for Fisker did not immediately respond to a request for comment from Business Insider or TechCrunch. The company has said in its past two quarterly reports it had identified "material weakness" in its financial reporting.
The report comes after Fisker dropped prices for its flagship Fisker Ocean EV by 39% on Wednesday. The company has also paused production of the Fisker Ocean and warned during its earnings call earlier this year that it might not have enough funds to survive 2024. The Wall Street Journal reported in March that the automaker had hired advisers that could help with a potential bankruptcy filing.
The company is Henrik Fisker's second automotive startup. His previous startup, Fisker Automotive, filed for bankruptcy protection in 2013. Fisker launched his second automotive company in 2016.
Do you work for Fisker or own one of their EVs? Reach out to the reporter via a non-work email and device at gkay@businessinsider.com or via Signal at 248-894-6012.