Rivian Beats EV Production Estimates
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Inc. built and delivered more electric vehicles last quarter than Wall Street expected, giving the automaker a needed boost as it grapples with production hurdles and heavy costs.
and handed over 13,588 to customers, according to a statement April 2. The production figures compared with analysts’ average estimates of 13,817. Deliveries also came in significantly above expectations.
The Irvine, Calif.-based EV maker has had a rocky start to the year, marked by job cuts, plans to keep output flat and a sharp decline in its market value. Rivian said last month that it would halt work on its planned factory near Atlanta in order to accelerate the introduction of a new lower-priced model targeting the mass market.
One of the few pure-play EV makers chasing market leader Tesla Inc., Rivian has stumbled in its efforts to scale up manufacturing since going public in 2021. The company makes three battery-powered models: a pickup and sport utility vehicle for consumers, and a commercial van for shareholder Amazon.com Inc.
Rivian warned in February that deliveries would be down 10% to 15% in the first quarter from the prior three months. It also said production would be around 13,500 due to supply chain changes and the introduction of new materials.
Despite a better-than-expected quarter, investors were disappointed that Rivian on April 2 stood by its 2024 output target of about 57,000 units, roughly flat with the prior year. Analysts expected about 57,440 on average.
Its shares reversed an initial gain, falling 1.2% as of 8:56 a.m. before regular trading in New York. The stock tumbled 53% this year through April 1.
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