Rivian Automotive exceeded fourth-quarter expectations and projects a notable increase in vehicle deliveries this year, but anticipates continued losses with the launch of the R2 SUV. 2026 guidance includes a 47%-59% jump in deliveries, reaching 62,000-67,000 units. The R2 is expected to drive volume by the end of 2027. Adjusted pre-tax losses for 2026 are estimated between $1.8-$2.1 billion.

In 2025, Rivian’s revenue rose by 8% to $4.97 billion, with a first annual gross profit of $144 million, supported by a software venture with Volkswagen. The company projects 2026 to be an “inflection point.” The R2, priced at around $45,000, aims to boost demand and sales, cutting costs and production complexity.

Rivian ended 2025 with $6.59 billion in total liquidity, including $6.1 billion in cash and equivalents. The company faced a net loss of $3.6 billion last year, a decrease from $4.75 billion in 2024. Rivian considers 2026 a “transition year” due to R2 production ramp-up and a decrease in earnings from regulatory credits sales.

Investors consider gross profit a crucial metric for evaluating profitability, with Rivian achieving its first annual gross profit of $144 million in 2025, driven by a partnership with Volkswagen. Rivian expects 2026 to be a pivotal year as it focuses on the R2’s technological advancements and profitability improvements.

Read more at CNBC: Rivian (RIVN) earnings Q4 2025