Lucid, the electric vehicle (EV) maker, announced its financial results for the first quarter, revealing a mixed performance. While the company reported revenue of $172.7 million, surpassing expectations and marking a nearly 16% increase from the previous year, it also posted a wider-than-expected loss per share of $0.30.
Despite the loss, Lucid CEO Peter Rawlinson expressed optimism about the company’s sales momentum and cost-saving efforts. He confirmed that Lucid’s Gravity SUV remains on track for a debut in late 2024, with a midsize vehicle slated for launch in late 2026.
In the first quarter, Lucid produced 1,728 vehicles and delivered 1,967, showing an increase in deliveries compared to the previous quarter. The company aims to produce 9,000 vehicles in 2024, building upon its previous year’s production of 8,428 vehicles.
The announcement of EV price cuts in February likely contributed to increased sales, although concerns were raised about their impact on margins. However, Lucid’s interim CFO, Gagan Dhingra, emphasized that the company’s gross margin improved sequentially in the first quarter due to cost optimization initiatives and reductions in battery and logistics costs.
Investors are also keeping an eye on Lucid’s capital expenditures, particularly related to its Gravity production activities. The company reported capital expenditures of $198.2 million for the quarter, with projections of $1.5 billion for 2024. Despite these expenses, Rawlinson remains optimistic about the long-term benefits, believing that the scale achieved through Gravity production will offset fixed costs and drive profitability.
