From Yahoo Finance: 2025-05-11 08:30:00

Rivian Automotive reached a milestone by turning a gross profit for the second consecutive quarter. This achievement unlocked an additional $1 billion in funding from Volkswagen, part of a potential $5.8 billion investment. The company’s gross margin of 16.6% surpassed Tesla’s 16.3% in the first quarter, a significant turnaround from negative gross margins previously.

Rivian’s revenue in the first quarter rose by 3% to $1.24 billion, with 14,611 vehicles produced and 8,640 delivered. The company reduced its loss from $1.5 billion to $541 million and free cash outflows to $526 million. Despite a decline in vehicle deliveries, software revenue tripled to $318 million.

Looking ahead, Rivian lowered its delivery forecast to 40,000-46,000 units and maintained guidance for a modest gross profit. Tariffs will increase costs per vehicle, but the company has plans for U.S.-based battery production and enhancing its supply chain. Rivian is expanding production capacity and aims to capture market share with the upcoming R2 SUV launch.



Read more at Yahoo Finance: Should You Buy the Stock Before Its Next Big Milestone?