U.S. electric vehicle maker Rivian reported higher revenue for 2025 despite a sharp fall in vehicle deliveries, with growth largely driven by software and technology development for partner Volkswagen.
Rivian said total revenue rose 8% year on year to about $5.39 billion, even as deliveries fell 18% to 42,247 vehicles from a record 51,579 units in 2024. Automotive revenue declined 15% to $3.83 billion, reflecting lower sales volumes despite a modest increase in revenue per vehicle.
The company’s Software and Services segment expanded sharply, generating $1.56 billion in revenue—up 222% from the previous year. Rivian attributed the surge primarily to work on electrical and electronic architecture and software within a joint venture established with Volkswagen in 2024.
Volkswagen plans to deploy the technology in future models, starting with the Volkswagen ID.1 expected in 2027 and later across vehicles built on its next-generation SSP platform. As part of the partnership, Volkswagen acquired a 12.3% stake in Rivian in 2025 and could eventually surpass Amazon as the company’s largest shareholder. Amazon currently operates more than 30,000 Rivian electric delivery vans.
Despite the revenue growth, Rivian remained deeply loss-making. The company reported a net loss of $3.6 billion for 2025, an improvement from $4.75 billion in 2024 but still substantial.
Fourth-quarter results showed further pressure on the core vehicle business. Revenue fell to $1.29 billion from $1.73 billion a year earlier, while automotive revenue dropped to $839 million. Rivian cited lower regulatory credit sales, reduced deliveries following the expiration of certain U.S. EV incentives, and a lower average selling price due to a higher share of delivery vans in its mix.
Software and services revenue continued to expand in the quarter, rising 109% to $447 million. The quarterly net loss widened slightly to $804 million from $743 million.
Looking ahead, Rivian is counting on the launch of its next model, the Rivian R2 compact electric SUV, to boost deliveries. Customer shipments are expected to begin in the second quarter of 2026, with early validation units already produced at the company’s plant in Normal, Illinois.
The company forecasts deliveries of between 62,000 and 67,000 vehicles in 2026—up to 59% higher than in 2025—and expects losses to narrow to between $1.8 billion and $2.1 billion.