Manufacturing of electrical Rivian R1T pickup vans on April 11, 2022 on the firm’s plant in Regular, Unwell.
Michael Wayland / CNBC
Electrical automobile maker Rivian Automotive on Tuesday reported a loss for the second quarter that was narrower than anticipated and raised its manufacturing steering for the total yr.
It now expects to construct about 52,000 autos in 2023, greater than twice the quantity it made in 2022 and up from its earlier manufacturing steering of 50,000 autos.
Rivian delivered 12,640 autos through the second quarter, up 59% from its first-quarter complete and properly above the 4,467 EVs it delivered within the second quarter of 2022. It produced 13,992 autos within the quarter, up from 9,395 within the first quarter of 2023 and 4,401 within the second quarter of 2022.
Listed below are the important thing numbers from Rivian’s report, with consensus analyst estimates as reported by Refinitiv:
- Adjusted loss per share: $1.08 vs. $1.41 anticipated.
- Income: $1.12 billion vs. $1 billion anticipated.
Rivian’s internet loss for the quarter was $1.2 billion, or $1.27 per share. A yr in the past, Rivian reported a internet lack of $1.71 billion, or $1.89 per share. On an adjusted foundation, Rivian reported a lack of $1.02 billion, or $1.08 per share.
Income within the second quarter rose to $1.12 billion from $364 million within the similar interval in 2022. Rivian’s second-quarter income included $34 million from the sale of regulatory credit.
“Our second quarter outcomes replicate our continued concentrate on value effectivity as we speed up the drive in direction of profitability,” CEO RJ Scaringe mentioned in an announcement to CNBC. “We’ve achieved significant reductions in each R1 and EDV automobile unit value throughout the important thing elements, together with materials prices, overhead and logistics. It was a robust quarter, and we stay targeted on ramping manufacturing, driving value efficiencies, growing future applied sciences, and enhancing the shopper expertise.”
Rivian’s gross loss, or unfavorable gross revenue, was $412 million within the quarter, down from $704 million a yr in the past and a roughly $35,000 per automobile enchancment from the primary quarter of 2023. Elevated manufacturing, with the associated economies of scale, and “our continued efforts to drive materials value reductions by means of business negotiations and engineering design change” drove the development, it mentioned.
Rivian reiterated that it expects to succeed in a optimistic gross revenue someday in 2024.
The EV maker had $10.2 billion in money remaining as of June 30, down from $11.78 billion as of March 31. It additionally had about $1.1 billion in credit score traces accessible as of quarter finish, for complete liquidity of $11.3 billion. Capital expenditures within the second quarter had been $255 million, versus $359 million in the identical interval final yr.
For the total yr, Rivian now expects about $1.7 billion in capex, down from $2 billion in its prior steering.
Rivian took plenty of steps earlier this yr to gradual spending and bolster its stability sheet, together with a 6% employees discount in February and a $1.3 billion sale of convertible notes in March. The corporate additionally delayed the launch of its upcoming smaller R2 automobile platform to 2026, from 2025.
Rivian produced roughly 23,400 autos within the first half of 2023. The corporate is at present constructing the R1T pickup, the R1S SUV and a collection of electrical supply vans for Amazon at its manufacturing facility in Regular, Illinois.
