Electric vehicle maker Rivian beat Wall Street’s fourth-quarter earnings expectations, achieving its first gross quarterly profit of $170 million. The company forecasts lower sales in 2025 and narrower adjusted losses between $1.7 billion to $1.9 billion.
Rivian’s deliveries for 2025 are expected to be between 46,000 units to 51,000 units, down from 51,579 vehicles delivered last year. Despite this, Rivian remains confident in its long-term growth prospects.
The company attributed its improved performance to regulatory credits and software services revenue. However, it warned of potential hits to its earnings due to changes in government policies and regulations, including the removal of federal incentives for electric vehicles.
Shares rose 7% during after-hours trading before leveling off, closing at $13.61 a share. CEO RJ Scaringe expressed caution about the automotive industry’s uncertain future, citing tariff policies and potential changes to government regulations.
Rivian expects capital expenditures of $1.6 billion to $1.7 billion this year, as it prepares for the launch of its new “R2” midsize vehicles in 2026. The company plans to idle its auto plant in Illinois during the second half of the year to retool for the new vehicles.
Source: https://www.cnbc.com/2025/02/20/rivian-rivn-earnings-q4-2024.html