Nikola Corporation (NKLA): History, Ownership, Mission, How It Works & Makes Money

When you look at Nikola Corporation (NKLA), the real question isn't just about their zero-emission trucks, but how a company that filed for federal bankruptcy in February 2025 is still trying to redefine commercial transport.

This enterprise, which reported a Q4 2024 loss per share of -$2.66 just before its delisting, is betting its entire future on an integrated model: manufacturing hydrogen fuel cell electric vehicles (FCEVs) and building out the proprietary HYLA refueling infrastructure to support them.

As a seasoned financial analyst, I can defintely tell you that understanding this complex narrative-from its ambitious founding to its current fight for survival-is crucial for mapping the near-term risks and opportunities in the volatile green energy sector, so let's break down the full picture.

Nikola Corporation (NKLA) History

You are looking for the definitive history of Nikola Corporation, and honestly, it's a textbook case of a visionary idea running headlong into execution failure, regulatory scrutiny, and a brutal capital market. The direct takeaway is this: Nikola began as a hydrogen-electric disruptor but, as of November 2025, it is operating under a court-approved Chapter 11 liquidation plan, trading as a penny stock on the OTC Markets under the ticker NKLAQ.

Given Company's Founding Timeline

Year established

The company was established in 2014 as Nikola Motor Company, named to honor the inventor Nikola Tesla, though it has no direct connection to his work.

Original location

The original headquarters was in Salt Lake City, Utah, before the company later moved its main operations to Phoenix, Arizona.

Founding team members

The company's sole founder was Trevor Milton, who served as CEO and later Executive Chairman until his departure in 2020.

Initial capital/funding

Initial capital came from Milton's personal funds and early investors, including a key $2 million investment from metals manufacturer Worthington Industries in 2014.

Given Company's Evolution Milestones

Given Company's Transformative Moments

The company's trajectory wasn't a slow burn; it was a series of sharp, transformative breaks. The biggest shift was the move from pure hype to a real product, but the financial structure couldn't sustain the transition.

• The SPAC Capital Injection (2020): Going public through a Special Purpose Acquisition Company (SPAC) merger with VectoIQ was the single most important financial event, providing a war chest of capital but also subjecting the company to intense, and ultimately fatal, public scrutiny.
• The Fraud Allegations and SEC Settlement: The indictment and subsequent conviction of founder Trevor Milton, followed by the company agreeing to an $83 million settlement with the SEC, shattered investor trust and forced the board to bring in a new, seasoned automotive management team. This was a necessary, painful cleanup.
• The Hydrogen Pivot (2023): After the BEV recall of all 209 trucks due to battery fire risks, the company made a hard pivot to its Hydrogen Fuel Cell Electric Vehicle (FCEV) and the HYLA energy brand. This focus was a last-ditch effort to create a viable business, resulting in the delivery of a record 88 FCEVs in Q3 2024.
• The Chapter 11 Liquidation (2025): The filing on February 19, 2025, with only about $47 million in cash, was the final transformative moment. It signaled that despite the operational progress with the FCEV, the company's debt burden and cash burn-with a negative free cash flow of $573 million in the twelve months leading up to the filing-were too great to overcome. The sale of assets is now the focus.

This history is a clear warning that product viability alone isn't defintely enough; the balance sheet and executive integrity matter more. If you want to dive deeper into the current shareholder situation, you should read Exploring Nikola Corporation (NKLA) Investor Profile: Who's Buying and Why?

Nikola Corporation (NKLA) Ownership Structure

Nikola Corporation's ownership structure is currently defined by its status as a publicly-traded company operating under Chapter 11 bankruptcy protection, with a court-approved plan for liquidation. This means the company is primarily controlled by its creditors and the bankruptcy court, though shareholders still hold the equity, which trades over-the-counter (OTC) under the symbol NKLAQ.

Nikola Corporation's Current Status

The company is no longer listed on the Nasdaq Stock Market; trading was suspended in February 2025, and the stock now trades on the OTC markets as NKLAQ. Nikola Corporation filed for voluntary petitions under Chapter 11 of the U.S. Bankruptcy Code on February 19, 2025, in the U.S. Bankruptcy Court for the District of Delaware. The Chapter 11 plan was approved as a liquidation plan on September 12, 2025, which is a critical signal that the company is winding down its operations and selling assets. This shift from a growth-focused entity to a liquidation vehicle fundamentally changes the value and influence of its shareholders.

Nikola Corporation's Ownership Breakdown

As of the 2025 fiscal year data, the ownership is highly fragmented, with the majority held by public retail investors. The substantial institutional stake suggests a high degree of professional interest, even in a distressed asset, but the equity's value is now tied to the outcome of the Chapter 11 liquidation process.

Here's the quick math: $100\% - 37.38\% - 0.74\% = 61.88\%$ for the public float. This is a highly public company, but its stock is defintely a high-risk, distressed asset now. To understand the deeper financial distress that led to this, you should read Breaking Down Nikola Corporation (NKLA) Financial Health: Key Insights for Investors.

Nikola Corporation's Leadership

The leadership team, as of the Chapter 11 filing in early 2025, was focused on managing the bankruptcy and the subsequent asset sale process to maximize stakeholder value. The key executives steering the company through this complex legal and financial wind-down include:

• Stephen J. Girsky: President and Chief Executive Officer (CEO). Girsky, who previously served as an executive at General Motors, was instrumental in leading the company through the Chapter 11 filing and the subsequent asset sale process.
• Thomas B. Okray: Chief Financial Officer (CFO). Okray, who had previously warned about the company's cash runway, was responsible for managing the financial aspects of the bankruptcy proceedings.
• Mary Chan: Chief Operating Officer (COO). Chan's role was centered on maintaining limited operations, service, and support for the trucks already in the field during the Chapter 11 process.

The core focus of this team shifted entirely in 2025 from commercializing zero-emissions trucks to executing a court-supervised auction and sale of the company's remaining assets.

Nikola Corporation (NKLA) Mission and Values

Nikola Corporation's core purpose is to pioneer a zero-emission future for transportation, moving beyond internal combustion engines to redefine commercial trucking. This mission is grounded in core values emphasizing safety, innovation, and integrity, which collectively form the company's cultural DNA.

Nikola Corporation's Core Purpose

The company's existence is tied directly to decarbonizing the heavy-duty commercial sector, focusing on both the vehicles and the necessary energy infrastructure. This integrated approach, combining vehicle manufacturing with energy solutions under the HYLA brand, is the key to their long-term strategy.

Official mission statement

The formal mission statement is: Exploring Nikola Corporation (NKLA) Investor Profile: Who's Buying and Why? Pioneering a zero-emission future for transportation and energy, with integrated solutions that drive global change. This isn't just about selling trucks; it's about creating a complete, sustainable ecosystem.

• Pioneer solutions for a zero-emissions world.
• Develop integrated systems for environmental sustainability.
• Lead the transition in commercial trucking and energy.

Vision statement

Nikola's vision is to become a global leader in zero-emissions transportation and energy solutions, driving economic and environmental sustainability for a better world. To be fair, this is a massive goal, especially given the company's current financial challenges, but it sets the aspirational bar for all operations.

• Become a global leader in zero-emissions transport and energy.
• Drive economic and environmental sustainability.
• Innovate technology for the truck transportation industry.

Nikola Corporation slogan/tagline

The company's tagline, 'Driving the Difference,' is a clean one-liner that encapsulates their commitment to industry change. It speaks directly to the dual focus on vehicle production and the broader impact on the environment and the transportation industry. It's simple, and it works.

Here's the quick math on the near-term goal: Nikola aims to break even on a gross margin basis by selling roughly 250 to 300 hydrogen fuel cell electric trucks (FCEVs) per quarter, with an average selling price target of $400,000 per fuel cell truck. To support this, they are targeting a Bill of Materials (BOM) cost of $275,000 for FCEVs by the end of the 2025 fiscal year. What this estimate hides is the significant capital required to build out the HYLA hydrogen fueling network, which is essential for FCEV adoption.

The core values of Safety, Quality, Integrity, and Innovation defintely guide how they try to execute on this vision. For instance, the focus on safety became critically important following the 2023 battery-electric vehicle (BEV) recall, which impacted nearly all of their delivered BEVs at the time. Still, the company is pushing forward, reporting a trailing 12-month revenue of $68.9 million as of December 31, 2024, though this came with a net loss of $958.229 million for the same period.

Nikola Corporation (NKLA) How It Works

Nikola Corporation, now operating under the ticker NKLAQ, was an integrated truck and energy company focused on zero-emission Class 8 vehicles and hydrogen infrastructure. As of November 2025, the company is not actively manufacturing new vehicles; its operations are focused on the court-supervised auction and sale of its assets following a voluntary Chapter 11 bankruptcy filing on February 19, 2025.

Nikola Corporation's Product/Service Portfolio (Assets for Sale)

The company's remaining value resides in its intellectual property and physical assets, which are being marketed to strategic and financial buyers under a Section 363 sale process.

Nikola Corporation's Operational Framework

The operational framework transitioned from vehicle production to an asset maximization and wind-down strategy after the Chapter 11 filing. The goal is to sell all or part of the assets to maximize recovery for stakeholders.

• Manufacturing Status: Production at the Coolidge, Arizona, facility is largely suspended, with the focus shifting to maintenance and preparation for a potential sale of the facility or its equipment.
• Service Continuity: The company sought court approval to continue limited, directly provided (non-dealer) service and support for existing trucks and certain HYLA fueling operations only through the end of March 2025. After that, service continuity depends on external partners or the asset purchaser.
• Financial Position: Nikola entered Chapter 11 with approximately $47 million in cash on hand to fund the sale process and limited operations, against a significant debt burden of around $352.8 million. Here's the quick math: the cash-to-debt ratio was unfavorable.
• Delisting: The company's common stock was suspended from trading on Nasdaq on February 26, 2025, and the company filed to delist entirely, with the stock now trading over-the-counter as NKLAQ.

The company is essentially a holding entity for assets now, not a going concern. Exploring Nikola Corporation (NKLA) Investor Profile: Who's Buying and Why?

Nikola Corporation's Strategic Advantages (Value Drivers in Sale)

The strategic advantages are now the core value propositions being sold off to interested parties, primarily focusing on the head start Nikola had in the zero-emission Class 8 market. The company was defintely an early mover.

• FCEV First-Mover Status: Nikola was the first to bring a commercially available Class 8 hydrogen fuel cell electric truck to the North American market, validating the technology with over 3.3 million fleet miles accumulated.
• Government Incentive Eligibility: The company's technology and products were highly competitive in securing state and federal clean-energy incentives, which is a key selling point for any buyer looking to enter the US zero-emission truck market.
• Integrated Ecosystem IP: The intellectual property and engineering behind the HYLA hydrogen refueling network-which includes production, distribution, and dispensing-represent a complete, though nascent, energy solution for heavy-duty transport.

Nikola Corporation (NKLA) How It Makes Money

Nikola Corporation's business model, prior to its 2025 bankruptcy, was designed to generate revenue through a dual-pronged approach: selling and leasing zero-emission Class 8 semi-trucks, and building a hydrogen fueling network to support those vehicles, which would eventually generate energy sales. The core financial engine was the sale of its hydrogen fuel cell electric vehicles (FCEVs), which provided the bulk of the company's top-line revenue, but the entire structure was undermined by a deeply negative gross margin and unsustainable operating costs, ultimately leading to a Chapter 11 filing in February 2025.

Nikola Corporation's Revenue Breakdown

The company's last full-year operating financials, from 2024, show a clear dependence on truck sales, a trend that was expected to continue but failed to reach the necessary scale before the company's collapse. The following breakdown reflects the final operational structure before the 2025 liquidation process began.

Here's the quick math: In the 2024 fiscal year, Nikola reported total revenue of approximately $68.9 million. Of that, truck sales, primarily the Tre FCEV, accounted for roughly $62.2 million, while the Energy business unit (HYLA) and other services contributed the remaining $6.7 million.

Business Economics

The fundamental problem with Nikola's business economics was a crippling negative gross margin, meaning the cost to build a truck and deliver a unit of hydrogen far exceeded the price they could charge. The model was predicated on achieving massive scale to drive down the bill of materials (BOM), but the company ran out of capital first. This is a classic early-stage manufacturing dilemma, but amplified by the capital-intensive nature of hydrogen infrastructure.

• Negative Gross Margin: The gross loss for 2024 was a staggering $230.4 million, reflecting a gross margin of approximately -334.6%. You can't make money selling something for less than it costs to make.
• Truck Pricing: The average selling price (ASP) for a hydrogen fuel cell electric truck (FCEV) was around $361,000 in Q3 2024, but this was heavily offset by state subsidies. For example, California offered up to $288,000 per truck in incentives, which was essential for fleet adoption.
• Energy Infrastructure (HYLA): The plan required building a costly hydrogen production and dispensing network. The company was essentially subsidizing the fuel and infrastructure to drive truck sales, a necessary but immensely expensive strategy that exacerbated cash burn.
• Bankruptcy and Asset Value: The final, brutal economic reality hit in 2025. In August 2025, Hyroad Energy acquired 113 FCEVs and all of Nikola's intellectual property for only $3.85 million, a fraction of the assets' book value, which was valued at over $114 million. That's a defintely painful haircut.

For a deeper look into the capital structure that supported this high-risk model, you should be Exploring Nikola Corporation (NKLA) Investor Profile: Who's Buying and Why?

Nikola Corporation's Financial Performance

The 2025 financial picture is one of liquidation, but the 2024 results clearly foretold the end. The key metrics show a company that was structurally unprofitable and rapidly depleting its capital base.

• Total Revenue (FY 2024): $68.9 million. This was an increase of 92% from 2023, but still nowhere near the scale needed for viability.
• Net Loss (FY 2024): The company reported a net loss of approximately $958.2 million from continuing operations. This is almost 14 times the total revenue.
• Cash Position (Pre-Bankruptcy): Cash and cash equivalents had dwindled to $198 million by the end of Q3 2024, which was projected to sustain operations only through Q1 2025-right before the February bankruptcy filing.
• Liquidation Event: The filing for Chapter 11 bankruptcy in February 2025 marked the definitive end of the operating business. The subsequent sale of assets, including 103 new FCEVs and 10 demonstration units, for a combined value of $51.74 million in August 2025, crystallized the loss for creditors and shareholders.

The lesson here is simple: revenue growth means nothing if your gross margin is deeply negative and your cash reserves are not sufficient to outlast the time it takes to reach volume production.

Nikola Corporation (NKLA) Market Position & Future Outlook

Nikola Corporation's market position is defined by a critical paradox: it was the dominant player in a nascent technology niche-heavy-duty hydrogen fuel cell electric vehicles (FCEVs)-but this success was overshadowed by severe financial distress, culminating in a Chapter 11 bankruptcy filing in February 2025. The future outlook is not about scaling up production as an independent entity, but rather maximizing the value of its core assets-the Tre FCEV truck and the HYLA refueling network-through a court-supervised sale process.

The company, which had an accumulated deficit of over $3.6 billion as of late 2024, entered Chapter 11 with approximately $47 million in cash on hand, forcing an immediate pivot from execution to asset disposition. For a deeper dive into the numbers that led to this point, you can review Breaking Down Nikola Corporation (NKLA) Financial Health: Key Insights for Investors.

Competitive Landscape

In the zero-emission Class 8 truck market, Nikola's primary competitive advantage was its focus on hydrogen for long-haul routes, a strategy that differentiated it from the battery-electric vehicle (BEV) focus of most rivals. While Nikola held over 90% of the North American FCEV segment based on Q3 2024 data, this segment represents a small fraction of the overall zero-emission market, which is largely dominated by BEVs (estimated at 70-80% share in 2025).

Here's the quick math: the overall U.S. Class 8 Electric Truck Market is estimated to be worth $2.52 billion in 2025, but the BEV side is where the bulk of the action is. The real competition comes from established manufacturers and a well-capitalized tech giant.

Opportunities & Challenges

The company's future is tied to its ability to sell its assets to a strategic buyer who can inject the necessary capital and operational discipline. The table below maps the remaining value drivers (Opportunities) against the harsh realities (Risks) of the current situation.

Industry Position

Nikola Corporation is no longer a growth stock; it is a distressed asset sale in the middle of a massive industry transition. Its position is unique because it holds the key intellectual property (IP) and early market traction for hydrogen-powered heavy-duty trucking, which is the long-range solution for the zero-emission Class 8 market.

The value proposition for any acquiring entity, like a large industrial or automotive player, rests on these three pillars:

• Acquire the FCEV technology stack, bypassing years of R&D.
• Absorb the existing dealer network and customer base (32 distinct end fleets as of late 2024).
• Control the HYLA hydrogen refueling infrastructure, a massive barrier to entry for other FCEV rivals.

Still, the company's inability to achieve positive gross margin or cash generation in 2025, despite projections of $406.5 million in revenue, means the technology itself was not enough to overcome operational and capital challenges. The market is defintely waiting to see which major player buys the FCEV assets and restarts the engine.