Rivian (RIVN, Financial) experienced a 6.3% decline in pre-market trading, approaching its lowest point in over four months. This drop follows the electric vehicle manufacturer's announcement of production disruptions, leading to a reduced delivery forecast for the year.
For the third quarter ending September 30, Rivian reported deliveries of 10,018 vehicles, marking a 35.6% decrease compared to the previous year. Production fell by 19.3% to 13,157 vehicles. The company attributed these disruptions to a shortage of a shared component used in their R1 and RCV model platforms. They noted that the supply shortfall began impacting production in the third quarter and has intensified in recent weeks.
As a result, Rivian has lowered its annual production forecast from 57,000 electric vehicles to a range of 47,000 to 49,000 vehicles. Despite these challenges, the company remains optimistic about seeing a low single-digit percentage growth in deliveries.
Year-to-date, Rivian's stock has plummeted by 54.1%. In comparison, the Global X Autonomous & Electric Vehicles ETF (DRIV) has decreased by 7.1%, while the S&P 500 Index has risen by 19.5%.
