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Rivian Posts Narrower First-Quarter Loss Ahead of R2 Launch
New Georgia Facility Will Produce 300,000 Vehicles Annually, Up From Originally Planned 200,000
Rivian Automotive posted a narrower first-quarter loss ahead of the sales debut of its new R2 SUV that’s seen as critical to the electric vehicle maker’s future.
The company separately said it would increase initial production at a new factory planned in Georgia to 300,000 vehicles annually, up from 200,000 units under its previous plan. Construction of the facility is scheduled to begin this year with R2 output at the plant starting in late 2028, the company said.
The net loss was 33 cents a share, Rivian said in a statement April 30, an improvement from the 48-cent deficit the company posted in the same period last year. On an adjusted basis, Rivian lost 54 cents a share, better than the 59-cent deficit estimated by Wall Street.
The company also reaffirmed its target of delivering 62,000 to 67,000 EVs this year.
The results suggest Rivian maintained control over costs as it prepared for mass production of R2, which began on schedule earlier this month. The lower-priced electric SUV is key to expanding Rivian’s reach beyond the large, expensive EVs it currently sells to consumers in modest numbers.
Rivian’s shares rose 1.8% at 4:25 p.m. during after-hours trading in New York. The stock had declined more than 18% this year through the April 29 close.
To support the Georgia facility, Rivian on April 30 said it reached an agreement with the Department of Energy for a smaller loan to fund the factory, now worth as much as $4.5 billion compared with up to $6.6 billion previously. Rivian said it now expects to begin drawing from the loan in early 2027.
The R2 is also at the heart of Rivian’s growing self-driving technology ambitions. Uber Technologies recently announced plans to invest as much as $1.25 billion in the EV maker to help launch an R2 robotaxi fleet in the U.S., Canada and Europe over the next five years.
The company expects to build up to 50,000 robotaxis in Georgia beginning in late 2028 for Uber.
Rivian’s autonomy ambitions will come at a cost. The company in March said it no longer expects to meet a previous goal of positing positive adjusted earnings before interest, taxes, depreciation and amortization next year due to research and development spending tied to its autonomy road map.
The latest results came days after Rivian disclosed that CEO RJ Scaringe was awarded nearly $403 million in compensation last year.
The company’s board last fall approved a moonshot compensation package for the CEO that could pay out billions of dollars in the coming years, a plan similar to Tesla Inc. CEO Elon Musk’s.
