Lucid Motors‘ Chief Financial Officer Taoufiq Boussaid stated on Tuesday that the company’s backer — Saudi Arabia’s Public Investment Fund (PIF) — sees the EV maker as both a financial and domestic priority.
PIF has invested more than $9 billion in the California-headquartered brand since 2018.
The executive highlighted that “it’s great to have someone who, beyond the financial aspect, has also shared [a] common vision and has the same ambition in terms of technology and so forth.”
“We are a financial priority for them, but we are also [a] domestic priority for them,” Boussaid added. “I mean, we have a manufacturing facility in the kingdom, which is strategic.”
As the company upgrades its AMP-2 plant, located in the King Abdullah Economic City (KAEC), the CFO noted that upcoming production of the mid-size platform “will create jobs” and “bring new technology to the kingdom.”
“And obviously, with the PIF being behind it,” he concluded.
The executive was present at Cantor Fitzgerald’s Global Technology & Industrial Growth Conference, alongside interim CEO Marc Winterhoff.
In April 2022, the Saudi Government signed an agreement with Lucid to purchase up to 100,000 vehicles over ten years.
The deal includes an initial commitment of 50,000 units, with an option to acquire an additional 50,000 over the same period.
Lucid plans to begin ramping up deliveries on the government order from next year, once production for its third model begins ramping up.
Mid-Size Platform
Last December, the company’s CFO said that producing its upcoming mid-size SUV at its Saudi plant — set to begin later this year — will help avoid US tariffs on China-made parts.
The Saudi facility previously only assembled semi-knockdown kits (SKD).
Earlier this year, the interim CEO said the project is “on schedule,” a claim the President of Middle East Faisal Sultan echoed a few days later.
Despite the advancements, the interim CEO clarified in February’s earnings call that the number of units produced in 2026 will not be meaningful.
On Tuesday, Winterhoff said during the conference that Lucid expects the “vast majority” of its 2026 output to be the Gravity SUV, with Air sedan deliveries remaining “flat.”
Latest Earnings
Lucid reported last month its largest quarterly operating loss on record, despite its revenue beating Wall Street expectations with a 123% jump year over year.
The company’s cash and cash equivalents decreased both sequentially and year over year to $1.6 billion.
Boussaid stated during the call that the 12% workforce cut announced in the prior week would allow the EV maker to save $500 million in the next three years.
Additionally, the CFO told investors that the company has $4.6 billion in liquidity, which he said is sufficient to fund operations into the first half of 2027.
Financing
Late last year, Winterhoff similarly said Lucid was “funded well into 2027.”
In January, Bloomberg reported that the interim CEO said in Riyadh he saw no reason to expect additional funding from the PIF.
According to the report, Lucid was seeking additional international financing, without naming any company.
Hours later, however, a spokesperson for the company told EV that Bloomberg‘s report of Winterhoff’s remarks “was taken out of context or misinterpreted.”
Saudi Arabia’s Public Investment Fund (PIF), Lucid’s main backer, holds a stake of over 50%. It has invested over $9 billion in the company since 2018.
A day after reporting the earnings, Winterhoff confirmed “there will be another fundraise,” when asked whether Lucid would require further capital before turning profitable.
Stock Performance
Last week, Lucid‘s VP of Communications Nick Twork pushed back against bankruptcy speculation, saying the Saudi-backed EV maker has ample liquidity and continued backing from its majority shareholder.
Lucid‘s shares have crashed by roughly 98.4% from their 2021 peak.
The stock hit a new record low at $8.90 immediately after the earnings release on February 24 — equivalent to $0.89 pre-reverse split.
The stock jumped 6.45% on Monday’s market session, closing at $10.40.
Upcoming Investor Day
Lucid‘s participation in the conference came two days ahead of its first Investor Day.
The highly anticipated event will be broadcast live on March 12, as first reported by EV on January 20.
The company will offer an update to its “strategic priorities, operational execution, long-term growth roadmap, and financial outlook.”
Additionally, Lucid has invited analysts and journalists to receive “an early, in-depth preview” of its upcoming midsize vehicle programme.
Lucid released a detailed agenda for the upcoming event on Monday.
With the company’s financial outlook as the main theme of the event, Lucid revealed that Uber’s president will attend, as part of their partnership to co-develop a robotaxi service.
