Rivian stated in its earnings report Tuesday it is going to possible ship fewer automobiles this yr than beforehand forecasted attributable to President Trump’s tariffs and different regulatory modifications, making it the most recent automaker to be affected by the brand new administration’s chaotic financial insurance policies.
The firm stated Tuesday it expects to ship between 40,000 and 46,000 EVs by the tip of 2025. That’s regardless of Rivian saying one month in the past that it was nonetheless holding to its estimate of delivering 46,000 to 51,000 automobiles throughout this yr. Rivian raised its capital expenditure steerage to between $1.8 billion and $1.9 billion as a result of anticipated affect from tariffs. The firm’s earlier capex steerage was between $1.6 billion to $1.7 billion, in response to its 2024 shareholder letter.
Rivian’s earnings announcement comes days after each Ford and General Motors pulled their steerage for the yr, citing financial uncertainty associated to Trump’s tariffs. Ford stated it expects the tariffs so as to add $2.5 billion in prices throughout 2025, whereas GM advised buyers it expects the affect to be round $5 billion.
Rivian warned buyers in February that “modifications to authorities insurance policies and laws, and a difficult demand surroundings” might threaten demand for its automobiles. Things might solely get more difficult if the Trump administration, Congress, or each resolve to kill the $7,500 federal tax credit score for EVs.
Delivering fewer than 46,000 EVs could be a step again for the electrical automaker, as the corporate was already monitoring for its third straight yr with no quantity development earlier than the steerage reduce. Rivian delivered 51,579 automobiles in 2024 and 50,122 in 2023. The firm’s extra reasonably priced R2 SUV, which it expects to ship in larger numbers, received’t come till 2026.
The firm stated Tuesday that it was in a position to generate $206 million of gross revenue within the first quarter of 2025 on 8,640 deliveries. It was the second straight quarter the corporate was in a position to generate gross revenue. This first-quarter gross revenue was significantly vital as a result of it met a contractual milestone that unlocked about $1 billion in funding from Volkswagen Group as a part of a three way partnership with the German automaker.
While gross revenue might look good on the steadiness sheet, internet earnings gives a extra sensible view of prices. The firm reported a internet earnings lack of $541 million within the quarter, a substantial enchancment from the $1.4 billion in losses in the identical year-ago interval.
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Automotive income shrank to $922 million from $1.12 billion within the first quarter of 2024, though complete revenues had been up barely year-over-year due to a lift from gross sales of the corporate’s software program and providers. Rivian introduced in $318 million from software program and providers within the first quarter,
Total software program and providers revenues for the primary quarter of 2025 had been $318 million practically a fourfold enhance from the $88 million in the identical interval final yr. Rivian credited the rise to its new automobile electrical structure and software program growth providers, elevated remarketing gross sales, and a rise in restore and upkeep providers.
This article was first revealed at 4:06 pm ET. It has since been up to date with info from Rivian’s earnings name.
