From Yahoo Finance.: 2025-05-06 18:02:00

Rivian reported strong first-quarter results with a gross profit of $206 million, attracting a $1 billion investment from Volkswagen. However, Trump’s auto part tariffs will increase capital expenditures, leading Rivian to lower its 2025 delivery outlook. The company maintains its 2025 EBITDA loss projection but faces challenges from trade regulations and tariffs.

Rivian CFO Claire McDonough stated the company has enough battery cells until early 2026 and plans to shift some battery production to Arizona. Despite revenue beating estimates, Rivian faces potential impacts from Trump’s auto tariffs, affecting its manufacturing costs. The company produced 14,611 vehicles and delivered 8,640 in line with expectations.

The production ramp-up for Rivian’s upcoming R2 is progressing, aiming for a 2026 launch. Rivian has a $6.6 billion commitment from the DOE for an assembly plant in Atlanta, but the White House and DOGE are reviewing the deal. Last quarter, Rivian highlighted the potential creation of 7,500 new manufacturing jobs from the Atlanta project.

Read more: EV maker achieves Q1 gross profit, but sees at least $150M capex rise fueled by tariffs