Key TakeawaysRivian shares traded sharply lower in premarket trading Thursday after the company posted a larger-than-expected quarterly loss and issued 2024 production guidance that fell significantly below Wall Street's expectations.The EV maker cited economic and geopolitical uncertainties, along with persistently high interest rates, for the weaker outlook.Rivian also announced that it plans to reduce its workforce by 10% in a bid to reduce costs amid plateauing demand for electric cars.Amid an earnings- ...

Financial Data and Key Metrics Changes - In Q4 2023, Rivian produced 17,541 vehicles and delivered 13,972 vehicles, generating $1.3 billion in revenue, which included $39 million from regulatory credits [14] - For the full year 2023, production reached 57,232 vehicles, exceeding initial guidance of 50,000 and more than doubling 2022 production [14] - Total gross profit for Q4 was negative $606 million, with gross profit per vehicle delivered at approximately negative $43,000 [14][15] - Adjusted EBITDA for Q4 was negative $1.1 billion, with full-year EBITDA just under negative $4 billion [20] Business Line Data and Key Metrics Changes - The proportion of revenue from Amazon decreased to 8% in Q4 2023 from 30% in Q3 2023, as a higher proportion of consumer vehicles were delivered [16] - Gross profit per vehicle improved by approximately $81,000 comparing Q4 2023 to Q4 2022 [9] Market Data and Key Metrics Changes - The order bank has notably reduced over time as deliveries have more than doubled in 2023 compared to 2022, with cancellations impacting the order bank due to macroeconomic factors [10] - Rivian's go-to-market strategy includes expanding brand awareness and providing more opportunities for consumers to experience vehicles firsthand, with 11 Rivian Spaces and over 50 service centers [11][12] Company Strategy and Development Direction - Rivian aims to harness brand strength with the upcoming launch of the R2 platform, targeting the mid-sized SUV segment with a focus on cost efficiency and production optimization [6][7] - The company plans to reduce salaried employees by approximately 10% to drive cost efficiency [5] - Rivian is focused on achieving a gross margin target of approximately 25% and a high-teens adjusted EBITDA margin target in the long term [23] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the impact of high interest rates on demand and emphasized the need to increase demand to meet 2024 delivery targets [10] - The company expects to produce 57,000 vehicles in 2024, with consumer and commercial vehicle deliveries anticipated to grow by low-single digits [20] - Rivian plans to shut down production lines for several weeks in Q2 2024 to implement cost-saving measures and introduce new technologies [21] Other Important Information - Rivian's capital expenditures for 2024 are expected to be $1.75 billion, focusing on production facilities and next-generation technologies [23] - The company has over 70,000 vehicles on the road, providing valuable data for product performance and future developments [66] Q&A Session Summary Question: Regarding the downtime and R1 versus R2 launch - RJ Scaringe emphasized the interlink between R1 updates and R2 development, stating that changes in R1 will benefit R2's launch [27][29] Question: On product cadence and lifecycle - RJ Scaringe discussed the importance of continuous updates and a simplified product portfolio for R2, aiming for operational efficiency [31][32] Question: Volume forecast for 2024 - RJ Scaringe explained that the backlog includes customers who may not be ready to take delivery, and new orders will also contribute to deliveries [36] Question: Commitment to the Georgia facility strategy - RJ Scaringe confirmed the phased approach to the Georgia facility, focusing on the demand for compelling EV products in the market [39][41] Question: On workforce reduction and OpEx - RJ Scaringe detailed the focus on efficiency in R&D and SG&A, aiming to maintain a lean structure while scaling operations [44][49] Question: CapEx guidance for 2024 - Claire McDonough noted that the reduction in CapEx reflects a broader focus on efficiency across the company [51] Question: Q1 delivery cadence and reasons for decline - RJ Scaringe attributed the expected decline in Q1 deliveries to supplier changeovers and the impact of ongoing adjustments [64] Question: Data collection from vehicles on the road - RJ Scaringe highlighted insights gained from customer interactions with the digital ecosystem, informing future product developments [66]

Rivian announced plans to lay off 10% of its salaried staff.Affected employees won't know their status until the following day.This is the electric-car maker's third layoff in two years amid high interest rates and slowing demand. NEW LOOK Sign up to get the inside scoop on today’s biggest stories in markets, tech, and business — delivered daily. Read preview Thanks for signing up! Access your favorite topics in a personalized feed while you're on the go. Email address By clicking “Sign U ...

ToplineShares of electric vehicle manufacturer Rivian fell more than 15% in after-hours trading Wednesday after the company announced it would be laying off 10% of its salaried workforce in response to an increasingly difficult market.Rivian’s CEO said they “firmly believe in the full electrification of the automotive industry,” but ... [+] recognize the short-term “challenging macro-economic conditions.”Getty Images Key FactsRivian cited “economic and geopolitical uncertainties and pressures” when announci ...

Electric carmaker Rivian plans to cut 10% of its salaried workforce.Despite doubling its EV deliveries in 2023, Rivian reported a $5.4 billion profit loss for the year.Rivian's 2024 production falls short of analysts' expectations. NEW LOOK Sign up to get the inside scoop on today’s biggest stories in markets, tech, and business — delivered daily. Read preview Thanks for signing up! Access your favorite topics in a personalized feed while you're on the go. Email address By clicking “Sign ...

Rivian Automotive, Inc RIVN was trading about 3% lower Wednesday as the company heads into its first-quarter earnings print after the market close.Analysts expect the company to report EPS of negative $1.32 on revenues of $1.262 billion for the quarter ending Dec. 31.Last week, Barclays analyst Dan Levy downgraded Rivian from Overweight to Equal-Weight and lowered a price target from $25 to $16. Read More Here...When Rivian printed its third-quarter earnings report on Nov. 7, the stock was highly volatile t ...

SOUTH SAN FRANCISCO, CALIFORNIA - MAY 09: A Rivian electric pickup truck sits in a parking lot at a ... [+] Rivian service center on May 09, 2022 in South San Francisco, California. Shares of Rivian stock fell 13 percent after Ford, which currently owns as 11.4 percent stake in the electric car maker, is planning to sell 8 million of its 102 million shares. (Photo by Justin Sullivan/Getty Images)Getty Images Rivian Automotive, Inc. is scheduled to report earnings after Wednesday’s close. The stock hit a rec ...

With one of Rivian’s (NASDAQ:RIVN) largest competitors reportedly suffering a major setback and another cutting the production of its electric vehicle that competes directly with Rivian’s offerings, the EV startup’s outlook has certainly improved in recent weeks. This is a central part of this RIVN stock analysis.Moreover, the automaker is developing a new EV that should tremendously boost its top and bottom lines. Also noteworthy is that a recent data point suggests that the demise of the U.S. EV market ha ...

Some news that came out over the weekend is hitting electric vehicle (EV) stocks like Rivian Automotive (RIVN -2.39%) hard on Tuesday -- a down day for the broader market. Rivian shares plunged by as much as 5.2% to open the holiday-shortened trading week. As of 2 p.m. ET, the stock was still lower by 2.3%, while the S&P 500 was off by about 0.7%.Rivian reports on WednesdayDuring a week when it will report its fourth-quarter and full-year financial results, Rivian is enduring some bad news from the governme ...

Key Highlights 167% increase in revenue in 2023 as compared to 2022 ~$81k gross profit per vehicle improvement Q4'23 compared to Q4'22 Launched leasing on R1 Exceeded all aspects of 2023 guidance Top selling electric vehicle over $70k in the United States for 2023 1 Launched Standard Range R1 variants starting at $69,900 in early 2024 ¹Source: https://electrek.co/2024/01/10/best-selling-evs-2023/ Q4 2023 Shareholder Letter © 2024 Rivian. All rights reserved. 2 We hold the deep conviction that the entire aut ...