Lucid misses revenue expectations after EV deliveries disappoint

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In an aerial view, a sign is posted on the exterior of Lucid headquarters on March 29, 2023 in Newark, California.
Justin Sullivan | Getty Images

Luxury electric vehicle maker Lucid Group reported its second-quarter earnings on Monday.

Here are the key numbers:

  • Loss per share: 40 cents. It was not immediately clear if that was comparable to Wall Street expectations of a loss of 33 cents, according to analysts surveyed by Refinitiv.
  • Revenue: $150.9 million vs. $175 million expected.

Lucid’s net loss for the quarter was $764.2 million, or 40 cents per share. A year ago, Lucid reported a net loss of $555.3 million, or 33 cents per share. Revenue in the second quarter rose to $150.9 million from $97.3 million in the second quarter of 2022.

Lucid said on July 12 that it delivered 1,404 Air sedans in the second quarter. That was about 600 fewer than Wall Street had expected. The company delivered 1,406 vehicles in the first quarter of 2023, and 679 vehicles in the second quarter of 2022.  

Lucid ended the second quarter with a total of $6.25 billion in available liquidity, including $5.5 billion in cash and the remainder in available credit lines, enough to last into 2025, CFO Sherry House said. Lucid had $3.4 billion in cash and an additional $700 million in available credit lines as of March 31; it raised about $3 billion in a stock offering at the end of May.

Lucid confirmed the production guidance it provided in May, when it said that it expected to produce “over 10,000” vehicles in 2023. It had originally guided to 2023 production of between 10,000 and 14,000 vehicles in February, despite a claimed “more than 28,000 reservations” for the Air as of that time.

Lucid hasn’t provided an update on Air reservations since, but there have been signs for months that the company is facing a lack of demand for the well-reviewed but pricy sedan.

In a bid to spur demand following price cuts from Tesla and other EV rivals, Lucid on Saturday said that it will trim Air prices by as much as $12,400. The company reduced the price of the base-model Air Pure by $5,000, to $82,400, and of the higher-end Touring and Grand Touring by $12,400 to $95,000 and $125,600, respectively.

The lower prices apply both to vehicles in Lucid’s inventory and those being built to order now. The lower prices on vehicles in inventory will be valid while supplies last, Lucid said.

A Lucid spokesperson declined to say how many vehicles are currently in its inventory.

Lucid said on April 25 that its next model, a large Air-based electric SUV called Gravity, is on track to begin production in 2024. It plans to fully reveal the Gravity later this year.

Lucid said on June 26 that it struck a deal to supply Aston Martin Lagonda with electric-vehicle powertrains, battery systems and related technology. In return, it said at the time, Lucid will receive a total of about $232 million in phased payments and a 3.7% stake in the British supercar maker.

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