Lucid (LCID) expects EV output to double in 2025 as the Gravity SUV rolls out

EV startup Lucid Motors (LCID) released its fourth-quarter earnings on Tuesday, beating estimates with big expectations for 2025. Lucid said it expects to produce about 20,000 EVs this year with the output of its first electric SUV, the Gravity, ramping up.

Q4 2024 earnings preview

After four straight record quarters, Lucid delivered 10,241 vehicles last year. That’s up 70% from the roughly 6,000 EVs Lucid delivered in 2023.

In the final three months of 2024, the company delivered 3,099 vehicles alone, nearly 80% more than the year prior. Lucid also hit its production target for the year with 9,029 EVs built at its Casa Grande, Arizona manufacturing plant.

After launching its first electric SUV, the Gravity, in December, the EV maker expects output to pick up this year.

Advertisement – scroll for more content

The higher volume helped Lucid generate $200 million in revenue in the third quarter, but its net loss also widened to $992.5 million compared to $630.9 million in Q3 2023.

Like most, Lucid has introduced significant discounts and incentives with up to $15,000 in savings on select Air models.

Wall St is estimating Lucid will post Q4 revenue of $214 million, up from $157.2 million in Q4 2023, with an eps loss of 0.25.

Lucid aims to double EV production in 2025

Lucid reported Q4 revenue of $234.5 million, up nearly 50% from the prior year and beating Wall St estimates. For the full year, the company generated $807.8 million, up from $595.2 million in 2023.

• Lucid Q4 2024 revenue: $234.5 million vs $214 million expected
• Lucid Q4 2024 EPS: (-$0.22) vs (-$0.25) expected

The company also improved gross margins by 72pts to (-89%). Despite the higher output, Lucid’s operating loss narrowed to $732.95 million in Q4, down from $736.87 million a year prior.

Lucid ended the quarter with about $6.13 billion in liquidity, which the EV maker said will be sufficient into the second half of 2026 when it plans to launch its midsize platform.

CEO Peter Rawlinson said earlier this month that the midsize platform is “finally when we compete directly with Tesla.” The first two models are expected to be an electric SUV and sedan starting at around $50,000, aimed at Tesla’s Model 3 and Model Y.

Interim CFO Gagan Dhingra said, “We made substantial progress in improving our gross margins, managing our operating expenses while balancing strategic growth investments, and strengthening our balance sheet with the support of the Public Investment Fund (PIF).”

Lucid expects to produce around 20,000 vehicles in 2025, more than double the just over 9,000 EVs it built last year.

The company said it will “continue to prudently manage and adjust production to meet sales and delivery needs” this year.

Lucid’s upbeat guidance comes after Rivian (RIVN) announced during its Q4 earnings last week that it expected slightly fewer deliveries this year. Rivian said the lower guidance was due to “external factors,” including changes in government policies and regulations.

The company also announced several management changes. COO Mark Winterhoff will serve as interim CEO, while Peter Rawlinson will become a Strategic Technical Advisor on the board. Meanwhile, Taoufiq Boussaid has been appointed CFO.

Lucid’s stock climbed over 8% after beating fourth quarter estimates and raising EV output guidance for 2025. Check back for updates from Lucid’s earnings call. We will post updates from the call below.