The 2023 earnings report from Canoo reveals details about CEO Tony Aquila’s private jet expenses, highlighting the gap between spending and revenue at the EV startup.
Canoo released its fourth-quarter and full-year earnings for 2023 on Monday in a regulatory filing that shows the company struggling with cash burn as it works to increase production of its commercial electric vehicles and avoid the fate of other EV startups like the recently bankrupt Arrival. The filing once again included a “going concern” warning — a concern that has been present since 2022 — as well as some progress on the financial fronts.
The company reported $886,000 in revenue in 2023, compared to zero revenue in 2022, delivering 22 vehicles to customers such as NASA and the state of Oklahoma. While the loss from operations decreased from $506 million in 2022 to $267 million in 2023, the revenue-to-losses gap remains significant, with total net losses reaching $302.6 million in 2023.
However, the expenses incurred for renting the CEO’s private jet sheds light on the situation. Canoo reimbursed Aquila Family Ventures, owned by the CEO, $1.7 million in 2023 for aircraft use, double the amount of revenue generated. The company also paid for shared services support at its Justin, Texas, corporate office facility.
These expenses may seem trivial if Canoo meets its revenue forecast of $50 million to $100 million in 2024.
We have reached out to Canoo for comment and will update this post accordingly.
