Workhorse Group, Inc.

What they do

Workhorse designs and manufactures all-electric commercial vehicles, including the W56 step van, targeting last-mile delivery, medium-duty operations and specialized applications. The company also designs the technology that optimizes how those vehicles operate. Following the December 15, 2025 merger with Motiv Power Systems, Workhorse operates as the public parent with Motiv treated as the accounting acquirer and now a wholly owned subsidiary.

Revenue drivers

• Electric commercial vehicles (W56 step van) — Vehicle sales to commercial fleet customers are the primary revenue source; the company uses promotional pricing on the W56 and cites its total cost of ownership versus gas/diesel vehicles. Quarterly revenue has been volatile, ranging from $2.4 million to $16.9 million over the last four reported quarters.
• Medium-duty truck market expansion (Class 5-6 cab chassis) — Workhorse is developing a modular chassis program to expand beyond step vans into Class 5-6 box trucks, which it describes as representing a larger share of a $23 billion medium-duty truck market. Production of the new chassis platform is expected to begin in late 2027, so this is not yet a revenue contributor.
• Mobile AI data centers (announced) — In July 2026 the company announced intent to manufacture a turnkey, compute-ready mobile AI data center for distributed AI deployments, leveraging existing engineering and manufacturing capabilities. No revenue has been reported from this line.

Recent performance

Second quarter 2026 revenue was $3.6 million, down from $16.9 million in the fourth quarter of 2025 (the quarter that included the Motiv closing) and below the $4.3 million reported in the first quarter of 2026. Full-year 2025 revenue was $21.2 million with a net loss of $64.1 million, compared with 2024 revenue of $7.0 million and a net loss of $51.6 million. As of June 30, 2026, Workhorse reported total assets of $110.1 million, total liabilities of $103.0 million, shareholders' equity of $7.2 million and cash and equivalents of $9.6 million. Operating cash flow improved to negative $35.6 million in 2025 from negative $38.2 million in 2024.

Strategy

Management is completing merger integration and targeting a $20 million annualized cost synergy run rate exiting 2026, while reducing bill-of-materials costs through engineering, supply chain changes and elimination of redundant facilities. The company is developing a modular chassis platform it expects to commonize hardware and software across product lines, with production targeted for late 2027, and plans to enter the Class 5-6 cab-chassis segment. It has adopted a new enterprise sales approach and 2026 promotional pricing on the W56, and it has announced a planned entry into mobile AI data centers. Jody Davis was appointed Chief Financial Officer in July 2026.

Risks

• Going-concern and liquidity risk — At June 30, 2026 the company had $9.6 million of cash against $103.0 million of total liabilities and only $7.2 million of shareholders' equity, requiring continued external funding.
• Persistent losses and cash burn — Workhorse has reported net losses every year from 2021 through 2025, including a $64.1 million loss in 2025, and operating cash flow has been negative each year.
• Merger integration and control concentration — The December 2025 reverse merger with Motiv left MGMH owning 68.3% of the then-outstanding common stock, and integration of systems, facilities and personnel remains in progress.
• Revenue concentration in an early-stage product — Revenue depends heavily on W56 step van sales, which are supported by promotional pricing, while the modular chassis and mobile AI data center lines have no production or revenue yet.

Outlook

Management expects to exit 2026 at a $20 million annualized cost synergy run rate and says it 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. It cites a growing backlog of firm orders and a sales pipeline that has more than doubled since the start of 2026, with demand building for deliveries in late 2026 and early 2027. Production of the new modular chassis platform is expected to begin in late 2027.