Rivian Beats Quarterly Revenue Estimates on Higher-Priced EV Sales

Rivian Automotive Inc on Tuesday beat Wall Street estimates for quarterly income because it offered extra higher-priced electrical automobiles, and stood by its annual manufacturing forecast of fifty,000 automobiles.

Shares in Rivian, which additionally minimize prices throughout the January-March interval, rose about 6% in prolonged buying and selling as buyers cheered its outcomes that adopted Lucid Group Inc and Fisker Inc trimming their manufacturing targets.

Tesla Inc has minimize costs globally this yr as a part of its recession playbook to extend gross sales volumes, pressuring smaller EV gamers that began deliveries nearly a yr in the past.

Rivian expects manufacturing ramp up of its in-house Enduro powertrains to assist offset elements provide points within the second half of the yr, enabling it to fulfill its annual manufacturing goal.

The firm didn’t present particulars of its pre-orders on the finish of the quarter amid demand issues aggravated by greater borrowing prices and business chief Tesla’s aggressive value cuts.

Rivian’s R1T pickup vehicles begin at $73,000, whereas the R1S SUV is priced at $78,000.

Amazon-backed Rivian stated in March it will promote $1.3 billion in convertible inexperienced bonds due in 2029 to shore up its money stability. Analysts view it as a short lived repair.

Revenue for the quarter ended March 31 stood at $661 million, in contrast with Wall Street estimates of $652.1 million, in response to Refinitiv knowledge.

Cash and money equivalents on the finish of the primary quarter had been $11.24 billion, in contrast with $11.57 billion, within the previous three-month interval.

Rivian’s quarterly internet loss narrowed to $1.35 billion from $1.59 billion a yr earlier.

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