Rivian CEO RJ Scaringe Tells Reuters Going To See Meaningful Reductions In The Depreciation Costs On A Per Unit Basis; Assembly Line Shutdown Had A Number Of Costs Associated Which Increased Our Cost Of Goods Sold
Portfolio Pulse from Benzinga Newsdesk
Rivian CEO RJ Scaringe informed Reuters about expected meaningful reductions in depreciation costs per unit. He also mentioned that a recent assembly line shutdown led to increased costs of goods sold due to associated expenses.
May 07, 2024 | 8:35 pm
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Rivian is expected to see a decrease in depreciation costs per unit, which could improve profitability. However, a recent assembly line shutdown has increased the cost of goods sold, potentially impacting short-term financials.
The reduction in depreciation costs per unit suggests Rivian is finding ways to improve efficiency and reduce expenses, which is positive for profitability. However, the increased costs from the assembly line shutdown could offset some of these gains in the short term, making the overall impact on the stock price neutral until further details emerge on the financial implications of these developments.
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