Rivian Automotive reported a narrower loss of 48 cents per share for the third quarter, better than the expected loss of 62 cents, with revenues reaching $2.16 billion, surpassing estimates of $1.99 billion. Following this announcement, Rivian's shares rose approximately 5% in after-hours trading, despite closing down 1.9% at $11.45 after hitting a 52-week low earlier in the day.
The company revised its 2026 guidance, projecting a pre-tax adjusted loss of $1.75 billion to $1.85 billion, which is an improvement from previous estimates, alongside an increase in expected vehicle deliveries to between 67,000 and 70,000 units.
Rivian's R2 SUV, which began deliveries in June, has become its best-selling model, contributing significantly to the company's performance with record deliveries of 19,248 units in the quarter. While Rivian remains unprofitable overall, it reported a gross profit of $176 million, a substantial increase from $24 million a year earlier.
CEO RJ Scaringe emphasized the importance of scaling R2 production to achieve profitability, stating that the ramp-up is critical for reaching positive gross margins. The company also confirmed a cash balance of $5.5 billion, indicating a stable financial position as it continues to navigate its growth strategy