(Boursier.com) – Rivian fell another 10.2% on Wall Street on Friday to $ 97.70, having already dropped 5.3% on Thursday. The electric vehicle start-up supported by Amazon on Thursday announced plans to build a $ 5 billion plant in Georgia, its second largest assembly plant in the United States, to boost production, but in the near term, its forecasts have been disappointing.
For its first quarterly results released since its IPO last month, Rivian, which still capitalizes more than $ 90 billion, posted a net loss of $ 1.2 billion in the third quarter. Rivian also expects production is a few hundred vehicles lower than its target of 1,200 for 2021. Finally, the pre-order figures were somewhat disappointing.
“Getting started and increasing the production of three different vehicles in a few months is an incredibly difficult challenge,” said the manufacturer’s general manager, RJ Scaringe. The issues cited include constraints in the global supply chain, the pandemic, a tight labor market, and short-term concerns about building electric battery modules. Scaringe added that Rivian is focused on advancing the schedule to increase production of its vehicles. The pickup launched in September and the SUV this week, and Rivian delivered 386 of the 652 vehicles it has built. The group plans to ship the first vans to Amazon this month.
Rivian debuted on the Nasdaq last month as part of the world’s largest IPO of 2021. The group raised nearly $ 14 billion in the IPO to fund its growth future, in addition to the $ 10.5 billion he had raised privately from investors such as Amazon or Ford. Amazon owns 20% of Rivian and Ford 12%. The Irvine, Calif.-Based company has suffered with the launches of its R1T pickup, R1S SUV and delivery van for Amazon, as chip shortages hit manufacturers around the world.
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