Rivian finally made a gross profit, but the company is still a cash incinerator

Yesterday, electric vehicle manufacturer Rivian reported a major milestone: $170 million of gross profit in Q4, the company’s first-ever quarter with that metric out of the red. Investors liked that, but had less sympathy for Rivian’s new delivery guidance of 46,000 to 51,000 vehicles, which at its midpoint implies that the company is expecting to deliver roughly 6% fewer vehicles than the ~51,600 it managed in 2024.

Since Rivian’s public markets debut in 2021, when it raised ~$13.5 billion — America’s seventh largest IPO at the time — the company has been steadily burning its cash reserves.

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