Hyliion Holdings (HYLN 4.83%) reported its first-quarter update yesterday, and the stock reacted sharply this morning. Shares of the maker of hybrid and fully electric solutions for Class 8 heavy trucks popped 15% in early trading today.
But just as the overall market gave back its early gains, so did Hyliion stock. As of 1:55 p.m. ET, Hyliion shares were still up 6.2%.
In its first-quarter report, the company reiterated its 2022 revenue projection and said its backlog of deposit-backed orders for its fully electric drivetrain soared 70% sequentially over the fourth quarter of 2021. Revenue from sales of its hybrid platform also jumped 70%, compared to the prior quarter.
Today's stock bounce should be put in perspective. Hyliion shares are down 50% so far in 2022. That brought its market cap to about $527 million, nearly exactly matching the amount Hyliion had on its balance sheet at the end of the first quarter.
Even as sales of its hybrid solution continue to grow, the company is focusing on commercializing a fully electric drivetrain. Management says it remains on schedule for commercialization after reaching critical development milestones during the first quarter.
Orders, including deposits, for its Hypertruck ERX drivetrain now number 170, up from 100 in the prior quarter. The company said it also has another 2,000 reservations for future orders that still require agreements on commercial terms. Hyliion expects to begin shipping the fully electric drivetrain beginning in late 2023 or early 2024.
Investors seemed to like the progress made on its hybrid-solution sales and electric-drivetrain development. The company said it has enough cash and equivalents on its balance sheet to realize its full commercialization plans, which helped the stock move higher today.