Dive Brief:
- Rivian Automotive, the electric automaker, increased its vehicle deliveries 23.1% in the third quarter of 2023, the company said Monday.
- The automaker exceeded analysts' expectations, delivering 15,564 vehicles in Q3, up from 12,640 vehicles in Q2. Rivian produced 16,304 vehicles at its factory in Normal, Illinois, up 16.5% from 13,992 vehicles in Q2.
- The Irvine, California-based company still plans to deliver 52,000 vehicles in 2023.
Dive Insight:
According to CNBC, a FactSet survey found analysts expected Rivian to deliver 14,000 vehicles in Q3. But shares closed down over 2% on Monday.
Rival Tesla continues to dominate the U.S. electric vehicle market, delivering 435,059 vehicles in Q3. According to The Wall Street Journal, Rivian loses about $33,000 per vehicle, even though its average transaction price is around $80,000, making it difficult for the fledgling automaker to turn a profit.
Rivian has tried to right the ship this year, laying off 6% of its workforce, raising $1.3 billion, slashing manufacturing costs and boosting production to reinforce its finances. The electric automaker also brought in experienced automotive executives, including former Porsche Cars North America CEO Kjell Gruner and former Hyundai Motor America CEO John Krafcik, in a bid to boost sales.
Rivian will report its Q3 earnings after the market closes on Nov. 7.
