Some may argue the complete level of the electric vehicle trade is to make the world a greater place by chopping carbon emissions and preventing climate change. That’s what makes it so hilarious that the EV startup Canoo appears to have spent twice what it generated in income final yr on the CEO’s non-public jet.
Canoo’s latest full-year earnings report for 2023, launched this week, reveals that the corporate spent $1.7 million reimbursing Aquila Household Ventures, an organization owned by Canoo’s CEO, Tony Aquila, as first reported by TechCrunch Monday. The fees to the corporate are associated to “plane reimbursement,” the filings state.
“Mr. Aquila, by means of an entity owned and managed by him (Aquila Household Ventures, LLC (“AFV”)), owns a private plane that was acquired with out our assets, which plane he makes use of for enterprise journey. We reimburse Mr. Aquila for sure prices and third-party funds related to using his private plane for Firm-related enterprise journey, excluding sure incidental charges and bills,” the filings learn.
In the meantime, the corporate solely introduced in $886,000 in income throughout the identical yr. Doing a fast little bit of psychological arithmetic, it will seem that, sure, the corporate did, certainly, spend extra on its govt’s air journey bills than it did promoting electrical autos.
This information is each humorous and unhappy, though it’s common for corporations to function within the crimson for years and years. It took Uber until last year to turn a profit.
There’s, nevertheless, a sure stunning and horrible irony to the truth that the corporate is spending extra money, not promoting world-saving autos. TechCrunch offers extra particulars on Canoo’s giant bills versus its basic lack of income over the previous few years:
The corporate generated $886,000 in income in 2023 in comparison with zero {dollars} in 2022, as the corporate delivered 22 autos to entities like NASA and the state of Oklahoma. And it did cut back its loss from operations by practically half, from $506 million in 2022 to $267 million in 2023. The revenue-to-losses hole continues to be appreciable although: The corporate reported complete web losses of $302.6 million in 2023.
Gizmodo reached out to Canoo for remark and can replace this story if it responds.
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