Lucid Group today announced its financial results for the second quarter of 2022 ended June 30.
The electric vehicle (EV) maker reported a total of 679 customer deliveries for Q2, with total revenue of $97.3 million USD. That’s less than Peter Rawlinson, the company’s CEO and CTO, bagged as his performance bonus for 2021.
While Lucid’s second-quarter revenue was almost double the $57.7 million it reported during Q1, the company fell significantly short of Wall Street estimates of $147.05 million in quarterly revenue. Lucid’s stock has taken a hit as a result, plunging as much as 12% in after hours trading.
The electric automaker also slashed its 2022 production forecast for the second time this year, from 12,000-14,000 units to just 6,000-7,000. At the start of this year, Lucid was expecting to produce 20,000 EVs.
Lucid reiterated “strong demand” for its EVs, only one of which — the Lucid Air — is currently in production. The company claimed it currently has 37,000 reservations for the Air EV, representing potential sales of approximately $3.5 billion.
“Our revised production guidance reflects the extraordinary supply chain and logistics challenges we encountered,” said Peter Rawlinson, Lucid’s CEO and CTO.
“We’ve identified the primary bottlenecks, and we are taking appropriate measures – bringing our logistics operations in-house, adding key hires to the executive team, and restructuring our logistics and manufacturing organization. We continue to see strong demand for our vehicles, with over 37,000 customer reservations, and I remain confident that we shall overcome these near-term challenges.”
Lucid has produced 1,405 vehicles so far this year. The 37,000 customer reservations being touted by Lucid do not include orders for 100,000 Air EVs from the Saudi Arabian government. Those vehicles are to be delivered over the next 10 years.
“Our Q2 revenue was $97.3 million, primarily driven by higher customer deliveries of Lucid Air vehicles. We continue to have a strong balance sheet, closing the quarter with $4.6 billion cash, cash equivalents and investments, which we believe is sufficient to fund the Company well into 2023,” said Sherry House, Lucid’s CFO.
“Despite our immediate challenges, we believe that bringing our logistics center on-site at our Arizona factory will help reduce complexity, cut down lead times, and reduce various costs.”
Lucid reported $220 million in net loss for Q2, with an adjusted loss of $0.33 per share.
EV market leader Tesla’s CEO, Elon Musk, last month said in June that Lucid might be looking at bankruptcy. Lucid appears to be slipping, and downward pressure from rising costs, supply chain headwinds, and a global economic slowdown probably isn’t helping.
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