Rivian lost $1.7 billion in the second quarter of 2022 as it is struggling to overcome supply chain problems, the electric vehicle manufacturer said on Thursday.
The company’s losses more than doubled from the same period last year, when it lost $580 million. Despite results, second-quarter revenue was higher than Wall Street expectations as the company is working to ramp up its vehicle production.
“We weren’t even able to run a full single shift because of component supply,” Rivian CEO RJ Scaringe said on a call with investors.
Rivian produced 4,401 vehicles in the second quarter and delivered 4,467 vehicles, increasing 72% of its production from the first quarter. The company plans to produce 25,000 units in 2022 and maintain its full-year guidance for deliveries.
The Amazon backed EV maker had over 98,000 pre orders in the U.S. and Canada at the end of June, with increasing preorders, mostly of its R1T pick-up truck.
Despite expecting supply chain shortages to continue, Rivian is confident of an improved outlook that might add a second shift at its Normal, Illinois, manufacturing plant later this year.
Rivian laid off 6% of its workforce in July, in times when other EV makers are also suffering from supply problems that are pushing them to lower production and increase prices of their models.