Electric vehicle sales continue breaking records as automakers ramp production. Compared to other EV startups like Lucid (LCID) and VinFast (VFS), Rivian (RIVN) is outpacing the pack as registrations continue rising.
Rivian’s EV registrations rise through July
Rivian placed eighth in terms of US registrations from January through July, with 2.8% of the overall EV market, according to recent Experian data (via Automotive News).
The EV maker recorded 2,750 registrations in July for its R1T and R1S electric SUV, a slight improvement over its monthly average of 2,596 through the first half of the year.
From January to July, Rivian’s new registrations reached 18,359 (not including EDVs). Rivian’s R1T electric truck had 7,611 of those registrations, while the R1S had 10,748. The company is transitioning to produce more R1S models to meet the higher backlog. R1S models represented 70% of units of R1 series models built in Q2.
After crushing second-quarter estimates with production rising 50% from Q1 (13,992 units), Rivian raised its guidance for the year to 52,000. According to CEO RJ Scaringe, ramping up its in-house Eduro drive units is a “key enabler” to near-term production performance.
Speaking at Morgan Stanley’s 11th annual Laguna Conference Thursday, Scaringe says the company has “rounded the corner.”
As the EV maker utilizes its Normal, Ill production facility more efficiently, Rivian’s margins are improving. Gross profit per vehicle delivered improved by $35,000 in the most recent quarter.
Despite the progress, the R1T was beat out by Ford’s F-150 Lightning with 11,883 registrations through July. Ford slashed prices in July by up to $10,000, which the automaker says is helping to drive up demand.
Ford’s lowest-priced F-150 Lightning Pro model now starts at $51,990 (with shipping) with 240 miles EPA range. Meanwhile, the Rivian R1T starts at $74,800 (including shipping) with an estimated 270 miles of range.
Outpacing other startups
Despite the strong growth in EV sales in the US, many startups like Lucid, VinFast, and Fisker are struggling to find their market.
Lucid had 348 registrations for its luxury Air EV in July, bringing its yearly total to 3,789 through July. The luxury EV maker dropped prices by up to $12,400 last month, with the 2023 Air electric sedan starting at $82,400.
Production has slipped after peaking in the fourth quarter of 2022, with 4,487 EVs built through the first half of the year. Lucid fell behind Porsche, Cadillac, and Subaru in July’s EV rankings, placing 18th.
Porsche’s sole electric vehicle, the Taycan, recorded 3,935 registrations from January through July, surpassing the Lucid Air.
Analysts point to Lucid’s competition with Tesla, which has slashed prices all year, as the reason for the struggles. Tesla’s Model S now starts at $74,990 with a 405-mile estimated range.
Meanwhile, Vietnamese newcomer VinFast had 19 new VF 8 electric SUV registrations in July, bringing the seven-month total to 170.
VinFast debuted on the Nasdaq stock exchange last month, with its value quickly surpassing that of Ford and GM. However, the EV maker’s value has fallen significantly over the past month, with share prices down over 80% from their peak.
After delivering its first EV in the US in June, Fisker’s Ocean had 30 new registrations in July, bringing the total to 37 for the year. Due to its recent launch, Fisker ranked last among the 26 brands in July.
With Rivian outpacing the group, Wedbush analyst Dan Ives said he sees the company as “one of the core EV players over the next decade” last month. He added, “Demand looks strong” and “visibility is improving into 2024.”
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