As it shifts into revenue-generation mode, commercial electric vehicle manufacturer Canoo Inc. now counts the U.S. Postal Service as a customer.

The Postal Service announced in January that it would purchase six of Canoo’s LDV 190 vans as part of the agency’s $40 million effort to enhance its delivery networks. The vans will be configured to right-hand drive for the order.

“The multipurpose platform with steer-by-wire technology and a unique low-profile suspension system allows for a readily configurable right-hand drive system while maintaining desired roll and ride stability,” Canoo’s chief executive, Tony Aquila, said in a statement.

The announcement comes on the heels of the first of what will be at least 9,300 deliveries to Utah-based van rental company Kingbee Vans. Kingbee announced the purchase of the battery-electric LDV 130 vans in January and has the option to double the order with Canoo.

“We are excited for the opportunity to help fleets transition to electric vehicles,” Kingbee Chief Executive Scott Haslam said in a statement. 

Canoo in November also secured an order for up to 550 vehicles from Hawthorne-based Prime Time Shuttle, which plans to initially use the luxury and airport transportation rentals in the Los Angeles area before expanding elsewhere in California. And in July, NASA took delivery of crew-transportation vehicles from Canoo, which will transport fully suited astronauts to the Kennedy Space Center in Florida for Artemis program missions.

Canoo, which is based in Torrance, reported its first-ever revenues in the third quarter, bringing in $519,000.

Although this did not offset a $112 million net loss for the quarter, it nevertheless represented an achievement for the company, especially in light of a major recalibration in strategy beginning nearly three years ago. 

Making changes

In 2021, Canoo ended a design agreement with Hyundai Motor Group, brought in Aquila as chief executive and announced plans to build a manufacturing plant in Oklahoma. In 2022, the company also announced plans for a separate manufacturing facility in Arkansas and said that it would also add a battery production facility alongside its Oklahoma assembly plant. Walmart ordered 4,500 of Canoo’s vans that year, providing testing opportunities for the company, and there have been other agreements with the state of Oklahoma and the Army.

Along the way, Canoo adopted a minimalist design for its vans and worked with likely commercial customers to improve modularity.

Firmly in penny stock territory for nearly a year, Canoo shares have climbed from 17 to 21 cents since the Jan. 24 Postal Service announcement. Still, a January report from downtown-based wealth management firm Wedbush Securities was bullish on the company and set a 12-month price target of $4. Canoo raised about $250 million last year, has more than 67,000 vehicle reservations and plans to invest $200 million to double its manufacturing run rate to 40,000 vehicles a year.