Rivian Q4 Results: Strong Gross Profit, Future Guidance
Key Metrics
* Revenue: $1.73 billion (vs. $1.38 billion expected)
* Gross profit margin: 9.8%
* Adjusted loss per share: $0.46 (vs. $0.65 expected)
* Adjusted EBITDA loss: $277 million (vs. $399.8 million expected)
Financial Performance
Rivian reported a positive gross profit of $170 million in Q4, driven by improvements in variable costs, revenue per unit, and fixed costs. This marks a significant milestone for the company.
2025 Guidance
Rivian expects its 2025 full-year adjusted EBITDA loss to range from $1.7 billion to $1.9 billion, with vehicle deliveries between 46,000 and 51,000. The company forecasts a smaller loss in 2025 compared to previous estimates.
Operational Highlights
* Produced 12,727 vehicles and delivered 14,183 vehicles in Q4
* Announced plans to open up orders for its EDV commercial delivery van
* Received a "conditional commitment" from the Department of Energy for a $6.6 billion loan
Challenges and Opportunities
* Conservative FY25 guidance amid macro headwinds
* Uncertainty surrounding the federal EV tax credit
* Growing competition in the electric vehicle market
Analyst Commentary
Wedbush analyst Dan Ives noted Rivian's conservative guidance, highlighting the challenges the company faces in balancing production ramp-up with cost control. CFRA analyst Garrett Nelson downgraded the stock to Sell due to the weaker-than-expected 2025 guidance and risks related to the potential clawback of the DOE loan.
Overall
Rivian's Q4 results indicate progress towards profitability, while the 2025 guidance highlights the company's ongoing challenges. The EV market remains competitive, and Rivian will need to navigate regulatory headwinds and optimize its cost structure to maintain its competitiveness.