Rivian ups EV production

Rivian Automotive aims to build about 52,000 EVs this year – nearly double that of last year and about 2000 more than initially forecast.

That follows a less than expected quarterly loss.

Rivian’s net loss for the quarter was US$1.2 billion, whereas a year ago Rivian reported a net loss of US$1.71 billion. On an adjusted basis, Rivian reported a loss of US$1.02 billion, says CNBC.

It adds that revenue in the second quarter rose to US$1.12 billion from US$364 million in the same period in 2022.

Rivian’s second-quarter revenue included US$34 million from the sale of regulatory credits.

“Our second quarter results reflect our continued focus on cost efficiency as we accelerate the drive towards profitability,” Rivian chief executive RJ Scaringe told CNBC.

“We have achieved meaningful reductions in both R1 and EDV vehicle unit cost across the key components, including material costs, overhead and logistics. It was a strong quarter, and we remain focused on ramping production, driving cost efficiencies, developing future technologies, and enhancing the customer experience.”

Rivian’s gross loss, or negative gross profit, was US$412 million in the quarter, down from US$704 million a year ago and a roughly US$35,000 per vehicle improvement from the first quarter of 2023, CNBC adds.

The EV manufacturer expects to reach a positive gross profit in 2024.

It had US$10.2 billion in cash remaining as of June 30, down from US$11.78 billion as of March 31, and also had about US$1.1 billion in credit lines available as of quarter end, for total liquidity of $11.3 billion, says CNBC.

“Capital expenditures in the second quarter were US$255 million, versus US$359 million in the same period last year.

“For the full year, Rivian now expects about US$1.7 billion in capex, down from US$2 billion in its prior guidance.”

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