Electric vehicle automaker Rivian announced on Tuesday a first-quarter loss that was less than anticipated. After the announcement, Rivian’s stock is now up 5.7% in after-hours trading.
As per consensus estimates by Refinitiv, Rivian’s adjusted loss per share for this quarter was $1.25, better than the expected $1.59. The company also surpassed projected revenue, with reported earnings of $661 million compared to the anticipated $652.1 million.
Rivian’s first-quarter net loss was $1.35 billion or $1.45 per share, a significant reduction from the previous year’s $1.59 billion or $1.77 per share. On an adjusted basis, the loss per share for this period was $1.25, down from $1.43 in the previous year. The company’s total revenue saw a year-over-year increase from $95 million.
As of March 31, Rivian reported $11.8 billion in remaining cash, a slight decrease from $12.1 billion at the end of 2022. First-quarter capital expenditures were reported at $283 million, compared to $418 million in the previous year.
In a bid to streamline operations and conserve cash, Rivian made the decision to reduce its workforce by 6%, affecting approximately 900 employees.
RJ Scaringe, Rivian’s CEO, affirmed in Tuesday’s earnings release that the company’s primary objectives for 2023 remain the same. The focus continues to be on enhancing production, cutting costs, developing the forthcoming R2 platform and future technologies, and providing a superior customer experience from start to finish.
Rivian manufactured 9,395 electric vehicles in the first quarter and delivered 7,946 vehicles to its customers. Despite these numbers being lower than the fourth quarter, Rivian remains on target to meet its full-year production aim of 50,000 vehicles, a significant increase from its 2022 production.
Currently, Rivian is producing the R1T pickup, the R1S SUV, and a series of electric delivery vans for Amazon at its facility in Normal, Illinois. The company’s upcoming R2 platform, which will support a range of smaller, more affordable vehicles, is set to launch in 2026.
To date, Rivian has made 35,000 vehicles total and over 200 million miles have been driven by owners as of the end of March 2023. The company’s electric delivery vehicles are now operating in over 500 U.S. cities.
Rivian’s vehicles, R1S and R1T, have earned the highest safety rating from the Insurance Institute for Highway Safety. Rivian has approximately $12 billion in cash and equivalents.
Looks like this was a quarter by Rivian that surprised Wall Street. What a difference compared to the Lucid Motors Q1 from yesterday, that spelled doom and gloom for the company.
