LiveWire, Harley-Davidson's EV Spinoff, Warns of Substantial Doubt Over Survival as Shares Plunge 35%

LiveWire, the electric motorcycle unit majority-owned by Harley-Davidson, issued a "going concern" notice on Thursday, acknowledging that "conditions and events raise substantial doubt" about its ability to survive as a standalone company over the next year. Shares fell more than 35% after the opening bell to $1.02. In its filing, the company cited "recurring operating losses, negative cash flows from operations, limited liquidity resources, and anticipated future funding requirements" as the basis for the determination. LiveWire posted an $18.6 million net loss in the third quarter on revenue of $7.9 million, selling only 241 electric motorcycles — up 31% year-over-year. Its children's electric balance bike business generated more revenue than its motorcycle division in the period. LiveWire went public in 2022 through a $1.8 billion SPAC deal. It said it "continues to evaluate and pursue comprehensive financing and other strategic alternatives," including capital raises, partnerships, investments or sales. Harley-Davidson did not immediately respond to a request for comment.