Rivian (RIVN) no longer expects to produce as many vehicles this year as it did in 2023. Rivian lowered its EV production plans for 2024 after third-quarter deliveries declined. Predict what will happen in the last months of the year.
Rivian lowers 2024 EV production plan
After announcing third-quarter deliveries and production numbers, Rivian updated its guidance for the year. The company currently expects car production in 2024 to be lower than last year.
Rivian delivered 10,018 vehicles in the third quarter, down 27% from the 13,790 vehicles delivered in the second quarter and down 26% (13,588 vehicles) from the first three months of 2024. .
Rivian reduced its production plans for the year after supply shortages began in the third quarter. Production this year is expected to be between 47,000 and 49,000 units, a downward revision from the previous target of 57,000 units.
Another 13,157 units were produced in the third quarter, bringing total Rivian production to 36,749 units through September.
However, Rivian has reaffirmed its shipping guidance for this year. The company plans to deliver between 50,500 and 52,000 EVs in 2024, a slight increase from last year’s delivery of 50,122 EVs.
At its first investor day in July, Rivian said it still expects to achieve its first gross profit in the fourth quarter of 2024. Will Rivian stand by its interests as supply shortages disrupt the “shared components” of the R1 (R1T and R1S) and RCV platforms? guidance?
Rivian’s loss widened from $1.2 billion in the second quarter of 2023 to $1.46 billion in the second quarter. The EV maker lost $32,705 per vehicle manufactured last quarter.
Look for Rivian’s third quarter financial results to be released next month, November 7, 2024.
Rivian stock fell more than 7% in pre-market trading on Friday after the company announced cuts to its EV production plans for 2024. Rivian stock has fallen 50% in the past 12 months.
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