Written by Cláudio Afonso | LinkedIn | X
Irvine-headquartered EV maker Rivian reported on Thursday its third-quarter earnings results missing Wall Street expectations on both revenue and loss per share. However, the company reiterated its target of achieving a positive gross profit in the last quarter of the year.
The company posted a loss of 99 cents adjusted, 7 cents higher than the consensus, according to estimates compiled by LSEG. For the first time since it went public in 2021, Rivian reported the first drop in quarterly revenue — $874 million — well lower than the $990 million expected.
The company said its total revenue was primarily driven by the delivery of 10,018 vehicles with total revenues from the sale of regulatory credits standing at $8 million for the quarter.
“Compared to the third quarter of 2023, a portion of the decrease was driven by timing of higher EDV deliveries in the third quarter of 2023 following the first quarter of 2023 line shutdown. The remaining portion of the decrease was driven in part from our production disruption causing a limited number of R1 variants being available for sale and a more challenging consumer environment,” the company said.
Rivian’s net loss was $1.1 billion, lower than the $1.367 billion from the third quarter of 2023.
Total operating expenses in the third quarter of 2024 decreased to $777 million when compared to $963 million in the same period last year.
Rivian shares jumped 3.3% on Thursday to $10.05 after having reached a new six-month low at $9.50 on Wednesday. Shortly after the results were published, the stock rose another 2.5% to $10.33.
In the third quarter, Rivian produced 13,157 vehicles and delivered 10,018 units, representing a 36% drop compared to Q3 2023 and a 27% decline from the previous quarter. The last time Rivian’s quarterly deliveries fell below 12,500 was in early 2023.
Earlier today, the Edinburgh-based asset manager Baillie Gifford filed a new SEC filing revealing it raised its ownership stake in Rivian to 5% during the end of the third quarter as it added about 17 million shares.
The company’s U.S. sales dropped 34.9% in October, with the electric vehicle maker delivering an estimated 3,380 units, down from 5,195 in September and 5,133 in August, according to estimates released earlier this week by Motor Intelligence.
The company recently adjusted its annual production guidance to between 47,000 and 49,000 vehicles, a decrease from its prior target of 57,000 units, citing supply chain challenges impacting production of both its R1 models and RCV platform.
Rivian’s revised production guidance targets annual deliveries between 50,500 and 52,000 units.
Written by Cláudio Afonso | LinkedIn | X
