Lucid experienced a substantial surge in vehicle production and deliveries during the second quarter of 2023, compared to the same period last year. However, when compared to the previous quarter, the company did not witness any growth.
In Q2 2023, Lucid Air production reached an impressive 2,173 cars, representing a remarkable 204 percent increase from the previous year. Moreover, customer deliveries soared to 1,404 vehicles, marking a noteworthy 107 percent surge compared to the same period last year.
Although these figures appear impressive at first glance, a closer examination reveals a concerning trend. Both production and deliveries in Q2 2023 were lower than those achieved in Q1 2023 and Q4 2022. This decline persisted for two consecutive quarters, raising questions about whether this is a seasonal phenomenon or a more worrisome development. Interestingly, Rivian, a fellow startup that launched its first products around the same time as Lucid, has demonstrated a more consistent growth rate.
Lucid’s Q2 2023 performance is as follows:
- Production: 2,173 vehicles (up 204% year-over-year)
- Deliveries: 1,404 vehicles (up 107% year-over-year)
Another notable observation is the ongoing disparity between production and deliveries. In Q2 2023, this discrepancy amounted to approximately 769 units, adding to a total of nearly 4,500 units over the past six quarters. This raises the question of whether these vehicles are in transit to customers or awaiting orders.
Looking at the overall picture for the year, Lucid produced a significant 4,487 vehicles and delivered 2,810 cars thus far in 2023, representing a substantial increase compared to the previous year.
Lucid’s year-to-date (YTD) 2023 performance is as follows:
- Production: 4,487 vehicles (up 219% year-over-year)
- Deliveries: 2,810 vehicles (up 170% year-over-year)
For reference, in 2022, Lucid delivered 4,369 electric cars while producing 7,180. Consequently, the cumulative number of Lucid vehicles delivered reached 7,304, which falls short of the more than 11,700 vehicles produced.
In its Q4 2022 financial report, Lucid disclosed a production volume guidance for 2023, ranging from 10,000 to 14,000 vehicles (an average of 2,500 to 3,500 per quarter).
Earlier in March, Lucid made headlines when it announced a workforce reduction of 1,300 employees, accounting for 18 percent of its total workforce. By May 8, 2023, the company updated its production volume guidance, stating that they aimed to produce “more than 10,000 vehicles.” Lucid has been implementing company-wide initiatives to adapt to higher production volumes, contingent on favorable market conditions.
The next update on Lucid’s production volume is expected on August 7, 2023, during the company’s discussion of its second-quarter financial results.
However, Lucid’s progress has not unfolded as initially anticipated. The company had set its sights on achieving a production level of 20,000 units in 2022, which was later adjusted to a range of 12,000 to 14,000 vehicles, and eventually to 6,000 to 7,000 units.
Furthermore, it is worth noting that while Lucid endeavors to enhance its results, luxury segment competitors such as Mercedes-Benz and BMW are rapidly expanding their all-electric car sales, surpassing 10,000 units per quarter in Q2.
