October 1, 2022

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Lucid Q1 earnings: Provides just 360 EVs in quarter rate hikes loom

2 min read

In 1st-quarter monetary success, Lucid posted a $598 million working decline on income of $57.6 million. Due to the fact of a $523 million improvement in the worth of its popular stock, Lucid’s internet loss was only $81.3 million in contrast with a decline of $2.9 billion through the very same quarter very last 12 months.

CFO Sherry Property reported the automaker’s $5.4 billion funds on hand would allow it to execute its expansion ideas into 2023 as it rolls out far more inexpensive variations of the Air sedans and the planned 2024 launch of the Gravity SUV.

Rate hikes for the Air arrive in anticipation of continuing elevated prices for components and shipping, as properly as some bigger costs for the upcoming period of manufacturing facility design, Dwelling mentioned.

Lucid’s Phoenix-area plant presently has put in capacity of 34,000 automobiles for every yr and is growing to 90,000 by late 2023, the business explained. By mid-decade, Household claimed, potential will increase to 350,000 in Arizona and 150,000 at a new plant planned for Saudi Arabia.

Air price tag hikes are productive June 1, leaving a modest window for new reservations to lock in latest charges. Immediately after this month, new reservations in the U.S. will begin at $154,000 for the Air Grand Touring, not including shipping. Which is an improve from $139,000.

Lucid explained it is on keep track of to create much more affordable trims afterwards in the year. The Air Touring will start off at $107,400, with the rate increasing from $95,000 currently. The foundation Air Pure will start off at $87,400, up from its present-day price tag of $77,400, the firm reported.

“Identical to many firms in our market, we go on to encounter world wide provide chain and logistics problems, including COVID-related manufacturing unit shutdowns in China,” House explained.

Classes from Rivian

By respecting current selling prices for its motor vehicles, Lucid is averting the uproar triggered at one more popular EV startup, Rivian Automotive, which tried to elevate selling prices on its reservation holders in March to significant blowback.

Rivian CEO RJ Scaringe apologized to purchasers of the R1T pickup and R1S SUV for betraying their have confidence in and backtracked on the cost increases for automobiles booked in advance of March 1.

Rivian’s cost hikes of about 20 p.c were increased than Lucid’s, but Rivian also designed additional affordable types at the older value details. Rivian’s base R1T commences at $67,500 prior to shipping expenditures.

Both Lucid and Rivian have been given popular field praise for their large-conclusion EVs, together with get backlogs that will stretch into future calendar year and beyond. Rivian explained it has ongoing to log new orders even at the greater charges.

Reuters contributed to this report.

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