Luxury electric vehicle (EV) manufacturer Lucid Motors has revealed its first-quarter earnings, demonstrating notable improvement compared to the same period last year despite still grappling with significant net losses.
In its financial report, Lucid disclosed a net loss of $684.7 million, marking a reduction from the $779.5 million loss reported in Q1 of the previous year. The company’s revenue saw a positive uptick, reaching $173 million, up from $149 million in Q1 2023. Additionally, Lucid ended the quarter with $2.2 billion in cash equivalents, a significant increase from the $1.4 billion reported in Q4.
The EV maker recently shared its Q1 delivery and production figures, indicating that it delivered 1,967 units of its Air sedan, reflecting a 39.9% increase year-over-year, while producing 1,728 vehicles during the quarter. Lucid reiterated its projection of producing approximately 9,000 vehicles in 2024, highlighting the impact of recent investments from the Saudi Arabia Public Investment Fund (PIF).
Lucid’s CEO and CTO, Peter Rawlinson, underscored the company’s distinguishing factors, stating, “I believe there are two factors that set Lucid apart – our superior, in-house technology and the partnership with the PIF.” He further expressed optimism about the company’s sales momentum, emphasizing their relentless focus on cost and the potential of the upcoming Gravity SUV to be the best in the world.
Despite the continued cash burn, Lucid’s production ramp has contributed to its improved performance compared to Q1 2023. The company ended Q1 with approximately $5.03 billion in liquidity, partly due to a $1 billion private placement arranged with an affiliate of the PIF.
Gagan Dhingra, Lucid’s Interim Chief Financial Officer and Principal Accounting Officer, commented on their progress in cost optimization programs, stating, “We continue to make significant progress on our cost optimization programs… We’re focused on significant growth as we enter the next transformational phase of Lucid’s end markets while simultaneously driving cost discipline.”
Lucid also highlighted its future EV lineup, including the Gravity SUV and a more affordable Model Y competitor, set to begin production in late 2026. The company is gearing up for the production launch of the Gravity SUV this year, with plans to expand its factory in Arizona to accommodate the new vehicle.
