Written by Cláudio Afonso | LinkedIn | X
EV maker Rivian reported its fourth-quarter earnings on Thursday, posting its first-ever quarterly gross profit of $170 million.
The company cited improvements in variable costs, revenue per unit delivered, and fixed costs and noted that it expects to achieve “a modest gross profit for the full year 2025.”
Updating on the parts shortage which affected production last year and forced the company to cut its annual guidance, Rivian said it “does not expect the component shortage to impact operations” this year.
“We produced more Tri-Motor R1 vehicles and commercial vans as a mitigating factor to the supply constraints,” the company said in the shareholder letter adding that it delivered “additional EDVs to Amazon during the fourth quarter of 2024.”
Currently, Amazon has over 20,000 Rivian Delivery Vans on the road. However, the EV maker said it expects to deliver fewer vans this year than in 2024.
“As a result of the increased deliveries to Amazon in the fourth quarter, we expect to deliver a lower volume of EDVs in 2025 as compared to 2024,” Rivian stated.
The company reduced its automotive cost of revenues by $31,000 per vehicle delivered compared to the fourth quarter of 2023. The company also reported a 15% year-over-year decline in fourth-quarter operating expenses while continuing to expand its sales and service infrastructure.
In the final quarter of 2024, Rivian delivered 14,183 electric vehicles, up 41.6% from the previous quarter (10,018 units). The company has produced a total of 49,476 vehicles in 2024.
Rivian shares closed 2% lower on Thursday at $13.61 reducing year to date gains to 2%.
In January, U.S. sales were of 3,060 units, a 39% fall year over year, according to Motor Intelligence estimates. The EV maker currently sells in the U.S. and Canada, and plans to expand to Europe in 2026 with its upcoming R2 model.
BlackRock, the world’s largest asset manager, disclosed last week that it purchased nearly 3.79 million shares of Rivian in the fourth quarter of 2024, boosting its stake in the company by 8.62%.
Baillie Gifford closed last year with 754,133 fewer shares in EV maker, bringing its stake down to 4.9%.