Rivian, the buzzy electric car firm funded by Ford and Amazon, posted a net loss of $1.71 billion on $364 million in sales in the second quarter of 2022. It’s a hint that Rivian’s fledgling EV business is gaining traction, although slowly, compared to the previous quarter when the company recorded a net loss of $1.59 billion on sales of $95 million. Nonetheless, the business exceeded Wall Street sales projections by around $26 million.
The financial report also showed that Rivian has a long way to go before it can deliver on its promise to disrupt the auto industry with attractively designed, emissions-free, adventure-themed trucks and SUVs. The manufacturer said that it intends to spend an extra $700 million by the end of the year.
The financial announcement follows a favorable production update in which Rivian said that it manufactured 4,401 automobiles over the three-month period, a 72 percent rise over the previous quarter, and delivered 4,467 vehicles, a 267 percent gain. The firm did not disclose a split of R1T vehicles and its Amazon-built electric delivery van (EDV).
If the corporation wants to fulfill its objective of 25,000 cars constructed this year, it will still need to produce 18,046 vehicles over the following eight months, or around 9,023 vehicles per quarter. That will be no easy undertaking, but it is not out of the question. Rivian said during its most recent earnings conference that it has received over 90,000 bookings for the R1T and R1S automobiles. The company now says that it has climbed to around 98,000 bookings.
Nonetheless, the organization has had to navigate some tough seas to get here. Rivian fired off around 6% of its 14,000 workers, or approximately 800 individuals, last month, claiming a need to decrease expenses in order to accelerate the development of future generations of its electric trucks and SUVs.
