Rivian

Rivian began delivering the R2 on June 9 and built 12,613 vehicles in the quarter, its highest production ever, while delivering 12,194. Revenue hit 1.658 billion dollars, up 27% from a year ago. Management raised its full year delivery target to between 65,000 and 70,000 vehicles and cut planned factory spending by 250 million dollars.

A year ago Rivian lost 206 million dollars on gross profit. This quarter it earned 179 million dollars, a swing of 385 million in twelve months. The quarterly cash burn measure improved to negative 379 million dollars from negative 667 million, and the software arm alone pulled in 515 million dollars at a 42% margin. The company is getting less unprofitable fast.

Rivian lost 837 million dollars in the quarter and burned 849 million dollars of free cash. Its guidance calls for a full year adjusted loss of 1.8 to 2 billion dollars. With about 5.3 billion dollars in the bank, every quarter of losses tightens the timeline before it needs more money.

To keep funding the ramp, Rivian keeps selling stock. In July it issued 86.25 million new shares to raise about 1.3 billion dollars. Each raise makes every existing share a slightly smaller piece of the company. The vehicle business also still loses money on the cars themselves, with an automotive gross loss of 36 million dollars this quarter.