Rivian reported a 38 per cent year-on-year increase in revenue to $2.155 billion in the third quarter of 2026, supported by higher electric vehicle deliveries and continued growth in its software and services business. The US automaker also recorded new quarterly production and delivery records, driven partly by the ramp-up of its R2 SUV.
According to the company’s quarterly results, Rivian produced 19,751 electric vehicles and delivered 19,248 units to customers during the three-month period. Production increased 84 per cent compared with the same quarter in 2025, while deliveries rose 46 per cent.
The R2 became Rivian’s best-selling model during the quarter, outperforming both its larger R1 vehicles and electric delivery vans. Production of the more compact and affordable SUV continued to increase at the company’s Normal plant in Illinois, where a second production shift for the model also began operating.
Automotive Revenue Increases as R2 Production Expands
Rivian’s automotive business generated $1.55 billion in third-quarter revenue, representing a 36 per cent increase from the previous year.
Despite higher sales, the segment continued to report a gross loss, although the figure improved to $80 million from $130 million in the third quarter of 2025.
The improvement reflected increased vehicle deliveries, stronger margins per vehicle and additional revenue from regulatory credits. However, the production ramp-up of the R2 continued to create additional costs. Rivian recorded approximately $120 million in additional manufacturing expenses for the model during the quarter compared with a normalised production level.
Software and Services Delivers Higher Gross Profit
Rivian’s Software and Services division continued to grow faster than its automotive operations. The segment generated $605 million in revenue, up 45 per cent year-on-year.
Gross profit reached $256 million, equivalent to a gross margin of 42 per cent. This exceeded Rivian’s total company-wide gross profit of $176 million for the quarter.
Revenue sources include vehicle architecture and software development, repair and maintenance services, and the Autonomy+ paid software package, which became available in April 2026. Lower revenue from used vehicle resale partially offset these contributions.
The results highlight the growing financial importance of Rivian’s software and services operations as the company expands its vehicle production.
Volkswagen Partnership Contributes $354 Million
The collaboration with Volkswagen remained a major contributor to Rivian’s software and services revenue.
The joint venture generated $354 million for Rivian during the third quarter, accounting for 59 per cent of the division’s total revenue. This was an increase from the $308 million recorded in the second quarter.
The partnership focuses on developing a zonal electronic architecture and software for future Volkswagen Group vehicles. Rivian expects to continue receiving revenue from the collaboration until approximately mid-2028 for further development, adaptation and improvement of the technology.
The cooperation also expanded during the third quarter, with Rivian licensing components of its artificial intelligence voice assistant to the joint venture. This adds another area of technology integration beyond the original electronic architecture and software development programme.
Volkswagen Provides Further Financial Support
Volkswagen’s involvement also extends to financing. On 7 October 2026, Rivian drew down the full amount of a previously agreed $1 billion credit facility.
The ten-year loan is provided through the joint venture and can be used by Rivian for general corporate purposes.
Volkswagen also plans to make an additional equity investment of $460 million. The investment is expected by January 2028 at the latest, or earlier if the first Volkswagen vehicle equipped with Rivian’s hardware and software enters service.
The investment is linked to the planned ID. EVERY1, Volkswagen’s forthcoming entry-level electric car, although the payment remains subject to certain conditions.
The combination of development revenue, credit financing and the planned equity investment makes Volkswagen a significant financial and technology partner for Rivian.
Net Loss Narrows and Full-Year Forecast Improves
Rivian reduced its net loss attributable to common shareholders to $913 million in the third quarter, compared with $1.173 billion in the same period of 2025.
Adjusted EBITDA also improved, with the loss narrowing from $602 million to $435 million.
Following the quarterly performance, the company raised its full-year delivery forecast. Rivian now expects to deliver between 67,000 and 70,000 vehicles in 2026, compared with its previous projection of 65,000 to 70,000 units.
The company also improved its adjusted EBITDA forecast by $100 million, with the expected loss now ranging from $1.75 billion to $1.85 billion.
Rivian attributed the revised outlook to higher anticipated revenue from regulatory credits, a claim recorded during the quarter for a refund of US import tariffs, and expectations of increased vehicle deliveries.
Planned capital expenditure has also been reduced by $300 million. Rivian now expects investment spending of between $1.4 billion and $1.5 billion for the full year.
Although the company continues to report substantial losses, higher vehicle volumes, improving automotive margins and the contribution from its software and services business are supporting its financial performance as production of the R2 expands.