Shares of electric vehicle maker Rivian (RIVN) rose close to 7% at the start of trading on Wednesday before paring back some of the gains, extending Monday’s 17% jump after the company beat delivery estimates in the second quarter.
KEY TAKEAWAYS
- Rivian made 13,933 vehicles and delivered 12,640 units in the second quarter of 2023, more than analysts expected.
- The electric vehicle maker said that it is on track to produce 50,000 EVs in 2023 and aims to record a 100% increase in production by the end of 2023.
- Amazon said this week that it started delivering packages using Rivian electric vans in Europe.
Rivian made 13,992 vehicles in the second quarter of 2023 and said it is on track to record a 100% increase in the production of vehicles from 2022 as supply chain pressures ease. The company aims to produce 50,000 vehicles in 2023, compared to 24,377 in 2022.
On Monday, Amazon also announced that more than 300 Rivian electric vans will hit the road in Germany to deliver customer packages. Amazon said it aims to invest more than 1 billion euros ($1.09 billion) to electrify its European transportation network and reduce carbon emissions.
Amazon (AMZN) began delivering its packages using Rivian electric vans in July 2022 after making a $700 million equity investment in Rivian in 2019. According to the agreement, the electric car maker will provide 100,000 vehicles to the ecommerce giant by 2030. Amazon said it aims to reduce its carbon footprint through the partnership and reach net zero carbon by 2040.
In the first quarter, Rivian produced 9,395 vehicles and sold 7,946 units. The company recorded a net loss of $1.3 billion, compared to a $1.5 billion loss in the same period a year ago. Rivian will release its second-quarter results on Aug. 8.
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Source: https://www.investopedia.com/rivian-beats-ev-deliveries-estimate-shares-jump-7556842?utm_campaign=quote-yahoo&utm_source=yahoo&utm_medium=referral&yptr=yahoo