Rivian Reports 2022 Q3 Earnings. R2 Vehicle Platform Launching in 2026

[Jac]

Is there any reason to believe this would be done en masse, vs. just on an as needed basis? Seems like it's just a component that might not last as long as it should, which is different than a voluntary recall/customer service campaign. Seems as though the prudent course is to deal with it along the way.

That would probably work unless this becomes a safety issue.

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[NY_Rob]

Is there any reason to believe this would be done en masse, vs. just on an as needed basis? Seems like it's just a component that might not last as long as it should, which is different than a voluntary recall/customer service campaign. Seems as though the prudent course is to deal with it along the way.

It's really a customer satisfaction issue at this point, but there have been complete failures (CV-Joint blowouts) too. Creaking, cracking, tocking, etc... sounds should not be coming from am $80K vehicle with 800mi on it.

It would have been super helpful if someone had asked RJ,etc.. about the CV/half-shaft issue.

 

[Sgt Beavis]

90% are new EV owners? wow that seems really high, and awesome!

Considering less than 10% of all cars are EVs and much less than that are trucks, that seems about right to me.

 

[crashmtb]

Touting “net” preorders and calling that their backlog is a little rich.

 

[MountainBikeDude]

Touting “net” preorders and calling that their backlog is a little rich.

What else would you classify it as? While a preorder lacks conversion into a full fledged order, that's all they have to go off. Net excludes cancellations and completed orders for what it's worth btw.

 

[crashmtb]

What else would you classify it as? While a preorder lacks conversion into a full fledged order, that's all they have to go off. Net excludes cancellations and completed orders for what it's worth btw.

I wouldn’t count completed or canceled orders in a backlog, because you don’t have to worry about fulfilling those.

 

[VSG]

I wouldn’t count completed or canceled orders in a backlog, because you don’t have to worry about fulfilling those.

And they don't count those. I think you misread it.

 

[CUBldr97]

Considering less than 10% of all cars are EVs and much less than that are trucks, that seems about right to me.

I just expected there to be a lot of the early adopters to be folks who already have one ( tesla, etc)

 

[kylealden]

I wouldn’t count completed or canceled orders in a backlog, because you don’t have to worry about fulfilling those.

"net of completions and cancellations" = "minus completions and cancellations"

 

[Yossarian]

Third quarter results from Rivian. No real surprises and they need only a modest increase in production in Q4 to get to the 25k target. They report that orders have grown to over 114,000 but don't provide a breakdown of R1/EDV production.

Rivian seeks to cut costs while boosting EV production to meet 2022 targets

John Rosevear@john__rosevear

Key Points

• Electric vehicle maker Rivian Automotive on Wednesday reaffirmed its 25,000-vehicle production target for 2022.
• It said it plans to spend less to do it as the company reported third-quarter revenue that fell short of Wall Street’s estimate.
• Rivian said it now has “over 114,000” preorders for its R1-series trucks and SUVs.

• RIVN+2.28 (+8.12%)

Rivian electric pickup trucks sit in a parking lot at a Rivian service center on May 09, 2022 in South San Francisco, California.
Justin Sullivan | Getty Images
Electric vehicle maker Rivian Automotive on Wednesday reaffirmed its 25,000-vehicle production target for 2022, but said it plans to spend less to do it as the company reported third-quarter revenue that fell short of Wall Street’s expectations.
Rivian cut its guidance for 2022 capital expenditures: It now expects its full-year capital expenditures to total about $1.75 billion, down from the $2 billion it guided to after the second quarter, as it shifts some planned spending to next year.

The company still expects its full-year adjusted loss before income, taxes, depreciation and amortization to come in at $5.4 billion, in line with the guidance it gave in August.
Shares of the company rose 7% in after-hours trading.
Here are the key numbers from Rivian’s third-quarter earnings report, compared with average Wall Street analyst expectations as complied by Refinitiv:

• Revenue: $536 million, versus $551.6 million expected.
• Adjusted loss per share: $1.57, versus an expected loss of $1.82 per share.

Rivian’s net loss for the third quarter was about $1.72 billion, a wider loss than the $1.23 billion it reported a year earlier.
As of September 30, the company had about $13.8 billion in cash remaining, down from $15.5 billion as of June 30. Rivian said while inflation has been a factor in its supply chain, it’s taking steps to reduce costs and slow spending on future product. It reiterated that it’s “confident” its cash hoard will last through 2025.

As part of its moves to slow spending, the company now expects to launch its upcoming smaller product platform, called R2, in 2026 rather than in 2025 as it had previously said. The R2 will be built in a new factory in Georgia.
Rivian said it now has “over 114,000” preorders for its R1-series trucks and SUVs, up from about 98,000 preorders as of Aug. 11. Those totals don’t include the 100,000 electric delivery vans ordered by Amazon in 2020.
Rivian said it’s added a second shift of workers at its Illinois factory, a key step toward boosting production volumes. It noted that the new workers are still coming online — but said that the second shift is already producing vehicles.
Rivian said on Oct. 3 that it produced 7,363 vehicles in the third quarter and delivered 6,584 vehicles to customers during the period. Year to date, through the third quarter, Rivian produced 14,317 vehicles.
The automaker also said Wednesday that with production volumes increasing, it has moved to shipping its vehicles by rail, rather than by truck. That change has reduced costs, but it also means that new vehicles may take more time to get to customers after being produced. Because of that lag, Rivian said, the gap between its quarterly production and delivery totals may increase going forward.

 

[jollyroger]

I wonder if they got a nice bump in reservations based on real world deliveries of the R1S

 

[Guy]

Did they give any estimate for 2023 production?

 

[bd5400]

Did they give any estimate for 2023 production?

No guidance on anticipated 2023 production yet.

 

[ads75]

No more preorder tally going forward... that kinda sucks for us as "enthusiasts" and investors. It's a great way to gauge popularity

I have 3 preorders/reservations with GM, Debut Edition Cadillac Lyriq, an eSilverado, and a GMC Canyon. I doubt I'll convert any of them. While preorders/reservations may be a way to gauge popularity, it probably isn't a good way to project sales, given how many car manufacturers are doing it now. A lot of people here have had (or still have) multiple reservations with multiple manufacturers. My main reason for keeping the reservations, I wanted to see what came 1st (R1T this last weekend). I probably won't cancel any of them until I absolutely have to (I would hate to cancel them, and then get into an accident with my R1T, and need something).

 

[ads75]

90% are new EV owners? wow that seems really high, and awesome!

R1T is my first EV. To be fair, there haven't been a lot of EVs that drew my attention before the last year or two. Recently I have considered Hyundai Ioniq 5 and the Kia sister model, Ford Mach E, Cadillac Lyriq (still have Debut Edition reservation). Before these models, most EVs didn't do much for me. While I like the benefits of the Tesla supercharging network, I feel like there were other enough other reasons not to consider Tesla. I think there are a lot of Rivian customers like me, that, while not against EVs, just didn't see any that appealed to them, before the last year or two.

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