Skip to content

Upstart electric vehicle maker Rivian posts $1.23B Q3 loss

Revenue was $1 million from deliveries of 11 pickups.

Chicago Journal
Chicago Journal
| 2 min read
Upstart electric vehicle maker Rivian posts $1.23B Q3 loss

Embed from Getty Images

DETROIT (AP) — Electric vehicle upstart Rivian Automotive posted a $1.23 billion net loss in the third quarter due to costs from starting production of its pickup truck.

The company said in its first public earnings report since its initial stock offering that it lost $12.21 per share for the quarter. Revenue was $1 million from deliveries of 11 pickups.



The loss came about one month after the company's $13.7 billion initial public stock offering in November.[1]

Rivian said Thursday that net orders of its R1T electric pickup increased to 71,000 as of Wednesday.

Shares of the company tumbled more than 10% to $97.94 in after-hours trading after dropping 5.3% during business hours.

The company also said it lost $2.23 billion for the first nine months of the year.

Rivian blamed losses mainly on labor and overhead costs as it ramps up large-scale production at its factory in Normal, Illinois.

“In the near term, we expect this dynamic - of vehicle production being significantly less than our manufacturing capacity - will continue to have a negative drag on gross profit as we ramp production of the R1T, R1S (SUV) and EDV (commercial van)," Rivian said in a statement.

The company also confirmed that it would build a second U.S. factory east of Atlanta that can build up to 400,000 vehicles per year.[2] Production is expected to start in 2024, and the plant could eventually employ more than 7,500 employees.

After the public stock offering, Rivian was valued at more than either General Motors or Ford.



Notes & References


  1. Press, The Associated. “Rivian Rockets Past GM to Become 2nd Most Valuable Carmaker.” AP NEWS. Associated Press, November 11, 2021. https://apnews.com/article/technology-business-initial-public-offerings-8ed5c1ddb00e66e7c8cf1c460fcedcd1. ↩︎

  2. Brumback, Kate. “Rivian Praises Georgia's Education System, Resources, Talent.” AP NEWS. Associated Press, December 16, 2021. https://apnews.com/article/technology-business-california-georgia-atlanta-b140a384f622637eaa78c1941edaf542. ↩︎

BusinessIllinois Business

Chicago Journal Twitter

The Chicago Journal is a general interest, digital publication focused on the political, cultural, and economic issues relevant to the city of Chicago and the surrounding metro area.


Related Posts

States settle with Google, iHeartMedia over misleading ads

The settlement bars Google from making misrepresentations in endorsements of its products for 20 years. Arizona, Georgia, Illinois, Massachusetts, New York, and Texas and the Federal Trade Commission were part of the settlements.

States settle with Google, iHeartMedia over misleading ads

FAA: Construction can start on new O'Hare terminals

Construction can begin on new passenger terminals at Chicago's O'Hare International Airport following the completion of an environmental review, the Federal Aviation Administration said.

FAA: Construction can start on new O'Hare terminals

Illinois voters approve collective bargaining amendment

With its passage, Illinois is prohibited from becoming a right-to-work state. All employees under union contracts can be required to pay union dues, regardless of political or religious affiliation.

Illinois voters approve collective bargaining amendment