Rivian Aims To Churn Out 215K EVs From Illinois Factory, With R2 Leading Charge, And Save Over $2B
Portfolio Pulse from Anan Ashraf
Rivian Automotive Inc (NASDAQ:RIVN) plans to increase its Normal, Illinois factory's annual production capacity to 215,000 vehicles, focusing on the R2 SUV, expected to start at $45,000. The company halted its Georgia plant construction, moving R2 production to Illinois by the first half of 2026. This shift is projected to save Rivian over $2.25 billion in costs. Rivian reported a Q1 revenue of $1.20 billion, surpassing estimates, but its loss per share was wider than expected. The company has adjusted its capital expenditure outlook for 2024 and 2025.
May 08, 2024 | 10:30 am
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Rivian plans to increase production capacity in Illinois, focusing on the R2 SUV, with significant cost savings and a strategic shift in production location. The company reported higher than expected Q1 revenue but also a wider loss per share.
Rivian's strategic shift to increase production capacity and focus on the R2 SUV, along with significant cost savings, indicates a strong future growth trajectory. However, the wider than expected loss per share in Q1 introduces some caution. The overall impact is likely positive due to the long-term growth potential and cost savings.
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IMPORTANCE 90
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