Rivian expects drop in EV deliveries in 2025, sees modest gross profit
Rivian projected a surprise drop in electric vehicle deliveries for the year but said it expected to post a modest gross profit, as it slashed raw material and supply chain costs in its drive for efficiency. The company's annual deliveries are expected to be between 46,000 and 51,000 vehicles, lower than Wall Street expectations of 55,520, according to 15 analysts polled by Visible Alpha. Rivian's cautious approach may be a sign of the broader challenges facing electric vehicle manufacturers in an uncertain economic and political climate.
- The shift towards more affordable gas-powered cars threatens to disrupt the lucrative EV market, which has been reliant on government incentives and tax credits to drive demand.
- As Rivian and other EV makers navigate this challenging landscape, will they be able to adapt their business models to remain competitive, or will they succumb to the pressures of a rapidly changing market?