Investor's Corner

Rivian will report Q1 Earnings today: Here’s What to Expect

Rivian Automotive (NASDAQ: RIVN) will report its earnings for the first quarter of 2022 later today. Here’s what to expect, according to Wall Street consensus estimates provided by Refinitiv.

Wall Street analysts expect Rivian to report a loss of $1.44 per share, with revenue estimates landing at $130.5 million.

However, the numbers are just a small portion of what investors and electric vehicle enthusiasts are interested in hearing about. Rivian has had a tumultuous few quarters, ranging from challenging to rewarding as the automaker started initial deliveries late last year, and its initial public offering sent the automaker’s stock skyrocketing to prices near $180 per share. However, 2022 has proven to be challenging as Rivian continues to navigate harsh market conditions due to supply chain bottlenecks and parts shortages. Additionally, one of the company’s largest investors, Ford, revealed it sold millions in Rivian stock this week after reporting a net loss of $3.1 billion on its investment. It was a huge blow for Rivian under already challenging circumstances.

After Rivian’s Q4 2021 and Full Year 2021 earnings call earlier this year revealed the company would be scaling back some of its production forecasts for the year, the issues began to pile on. Rivian trimmed 2022 production projections from 40,000 units to just 25,000. “Looking ahead to 2022 and beyond, we are focused on continuing to help drive the transformation of transportation,” Rivian said in its Shareholder Deck for Q4 2021. “Our path to EV leadership won’t be easy. In the immediate term, we are not immune to the supply chain issues that have challenged the entire industry. Those issues, which we believe will continue through at least 2022, have added a layer of complexity to our production ramp-up.”

The electric automaker, which operates a production facility in Normal, Illinois, said it did not “expect to be profitable for the foreseeable future as we invest in our business, build capacity, and ramp up operations, and we cannot assure you that we will ever achieve or be able to maintain profitability in the future.”

CEO RJ Scaringe said he believes some suppliers are holding back from Rivian because of its relatively unproven name, calling the behavior “frustrating.”

Rivian delivered 1,227 vehicles in Q1 and produced over 2,500.

Disclosure: Joey Klender is not a RIVN Shareholder.

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Rivian will report Q1 Earnings today: Here’s What to Expect
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