Rivian CEO RJ Scaringe mentioned on a decision with buyers that all through “a lot” of the second one quarter they weren’t in a position to totally make the most of their manufacturing line.
“We weren’t even able to run a full single shift because of component supply,” Scaringe mentioned.
Rivian expects provide chain shortages to proceed to restrict its enlargement, however it is assured sufficient in an progressed outlook that it mentioned it expects so as to add a 2d shift at its Normal, Illinois, production plant later this yr. Scaringe expressed self assurance the manufacturing charge will keep growing, as expanding the choice of automobiles making it out of the manufacturing facility doorways is important to attaining profitability.
Rivian, which has heavy backing from Amazon (AMZN), had 98,000 preorders in america and Canada on the finish of June, and it mentioned its charge of preorders has greater this yr. The majority of latest patrons for its pick-up truck, the R1T, have by no means owned a pick-up truck sooner than, the automaker mentioned.
The hefty losses are in step with Rivian’s expectancies for the yr. It mentioned the losses stemmed from its funding in other folks, generation and car techniques.
Rivian had laid off 6% of its group of workers in July, mentioning inflation and greater rates of interest.
Rivian produced 4,401 automobiles in the second one quarter and delivered 4,467 automobiles, and its manufacturing greater 72% from the primary quarter of the yr, when it produced 2,553 automobiles. The automaker plans to supply 25,000 gadgets this yr. Rivian’s inventory fell 2% in after-hours buying and selling.
The automaker nonetheless has greater than $15 billion in money to finance its operations, which it says can be sufficient to finance its upcoming Georgia production plant and a brand new car platform, dubbed R2.
The corporate additionally mentioned that its supply automobiles have carried greater than 430,000 programs for Amazon since early 2021.
Rivian’s leader monetary officer, Claire McDonough, mentioned that the automaker will introduce a lithium iron phosphate battery pack in its supply automobiles. The battery chemistry has change into increasingly more well liked by automakers as they face shortages of battery metals.
