The indicators are in red at snowmobile and electric watercraft manufacturer Taiga. Nearly a third of its employees have been laid off since the start of the year, its coffers remain empty and production is temporarily neutral after a disappointing winter for snowmobile sales.
The Quebec company announced this bad news on Tuesday while publishing its fourth-quarter and fiscal year-end results. The Quebec startup was initially supposed to evaluate its financial performance last Thursday, but delayed the event at the last minute.
In addition, Taiga canceled the conference call with financial analysts. On Tuesday, its president and CEO, Samuel Bruno, was not available for interviews.
“Taiga is currently taking several steps to adjust its activities to better align with the seasonal production schedule adapted to the dealer sales model,” she explained in a press release.
This decision again has repercussions for its workforce. After laying off about thirty employees last February, Taiga is laying off 70 new employees. Last fall, the Quebec company had more than 300 employees.
As of December 31, only 5.3 million remained in the company's coffers. It has since received $5.25 million from Export Development Canada to get some oxygen.
Taiga ended fiscal year 2023 with a net loss of $76 million, compared to $60 million last year. Its annual revenues have more than quintupled, to 16 million.
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