Key Takeaways
- Rivian Automotive’s second-quarter loss increased as it continued to lose money on each electric vehicle it sells.
- Deliveries outpaced production as the company retooled its manufacturing plant.
- Rivian affirmed its full-year production, adjusted EBITDA, and capital expenditure outlooks.
Shares of Rivian Automotive (RIVN) fell Wednesday, a day after the electric vehicle (EV) manufacturer’s second-quarter net loss widened as it continued to lose money on each unit it sells.
The maker of the R1T pickup and R1S SUV posted a net loss of $1.46 billion, up from $1.2 billion last year and $100 million more than the average estimate of analysts surveyed by Visible Alpha. Its loss per share of $1.46 also was greater than expected. Revenue rose 3.3% year-over-year to $1.16 billion, in line with estimates, but the company lost $4,278 for each vehicle it delivered.
Rivian Sees ‘Modest Gross Profit’ in Q4
The company explained that it believes the impact of the changes to its manufacturing platform will begin to be seen in the second half of the year, and it anticipates reaching “a modest gross profit” in the fourth quarter.
It added that the joint venture with Volkswagen announced in June “will fundamentally improve Rivian’s long-term profit trajectory and growth profile.”
The company affirmed its full-year guidance of 57,000 units of total production, a $2.70 billion negative adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA), and $1.20 billion in capital expenditures.
Rivian Automotive shares fell 3.6% to $14.26 as of 11:15 a.m. ET Wednesday. They have lost more than a third of their value this year.