Workhorse Group Inc ( WKHS ) shares are trading lower after the company reported fourth-quarter FY23 results.

Sales, net of returns and allowances, stood at $4.4 million, up from $3.4 million a year ago, beating the consensus of $3.24 million.

The increase was primarily led by higher vehicle sales and Stables by Workhorse and DaaS revenue contributions.

Selling, general, and administrative (SG&A) expenses rose to $15.1 million from $13.5 million a year ago, owing to increased legal and professional fees.

EPS loss of $(0.19) missed the analyst consensus loss of $(0.09). 

As of December 31, 2023, the company had cash and cash equivalents of $25.8 million and a restricted cash balance of $10.0 million.

Workhorse CFO Bob Ginnan said, “Workhorse is entering 2024 with strong production and delivery capabilities as well as a keen focus on financial discipline and cost control.” 

“As we speak, we are working hard to resolve our short-term liquidity issues described in our 10-K. Over the year, we will maintain our focus on operational excellence and cost reduction as we increase production and expand delivery of our commercial vehicles to meet our financial targets for 2024.” 

“Given the number of key customer demonstrations underway in Q1 2024, we will report on our progress when it occurs, and, as a result, will not be providing specific annual revenue or unit guidance at this time.”

Price Action: WKHS shares are down 10.68% at $0.2826 on the last check Tuesday.