Rivian has received 10,000 more bookings, with an average of $93,000, since the March bull run
Electric truck maker Rivian on Wednesday confirmed that the line of people waiting for its trucks is getting longer and faster than it is building them.
Since the controversial Rivian raise the price up to 12,000 dollars in March — one met with collective resistance from early adopters — the company received 10,000 new reservations for R1T and R1S in the US and Canada.
This is double the roughly 5,000 electric trucks that Rivian has built cumulatively from starting production for customer trucks in September 2021 until May 9.
Well, that’s at the new price point, with the pre-order price that Rivian predicts is an average price above $93,000. Surprisingly, RJ CEO Scaringe confirmed, a high percentage of those who have booked since Rivian raised prices have opted for the more expensive quad-engined version.
Rivian R1T
“What we see is that customers have a very high willingness to spend and there’s a lot of pricing power these cars have and what we’ve built as a brand have,” Scaringe replied. question from Charles Coldicott, about Red Fire. “And that gives us a lot of confidence as we head into the next 6 to 12 months when it comes to understanding the inflationary environment we are in — that potentially substantial pricing on these cars. ”
As Scaringe suggests, that leaves Rivian essentially streamlining the number of variants of the R1 family that are being produced, as it considers “the incredible level of demand we have for these products.” R1″.
Rivian is still in the early stages of the ramp. In Q1, Rivian delivered 1,227 vehicles, while it produced 2,553 vehicles.
Rivian points out that ongoing problems in the supply chain are what causes output to drop at times. “As of March 31, 2022, we were forced to shut down production for longer than expected, resulting in approximately a quarter of expected production time lost due to supplier constraints. ,” it summarizes. But it used supply constraints and the resulting line shutdown to “refine processes and equipment for the R1S,” as it ramped up production of the SUV, along with the R1T pickup.
First customer Rivian R1T (from Rivian CEO RJ Scaringe via Twitter)
The company maintained its goal of 25,000 vehicle production for 2022, while aiming for a final planned total annual capacity of about 600,000 between plants in Illinois and Georgia. Rivian says it plans to build its more affordable R2 SUV line in future factory Georgia starting in 2025.
Rivian also emphasized that their lessons from both the R1 family and its truck, known as the RCV, are being used to develop a second platform, for R2, which Scaringe says will represent a high standards of affordability, economy and efficiency.
For R2, it is looking at new foundry uses and the opportunity to look at more fused parts. It’s working towards using an internally designed “Enduro” single engine — a first for its trucks later this year. And in March, it confirmed a plan for LFP cell, heat pump and 800V . upgrade.
The company boasts that its vertical integration strategy for the software and all related controls gives it an edge, as it can continue to roll out features and improvements. new. “The collection of diagnostic data has allowed us to monitor vehicle health parameters and verify that vehicle performance is meeting our expectations,” it said.
Rivian R1T and R1S dual motor specs vs four
Rivian Dual Engine Components
Rivian dual engine components
Meanwhile, Rivian says it’s working on building out its network of services, including third-party crash centers. As of May 9, it has 19 physical service centers plus a fleet of mobile service vehicles, with East Coast and West Coast parts distribution centers.
Rivian maintained $17 billion in cash on hand, while its Q1 operating loss was $1.77 a share, larger than analysts’ expectations. Ford chose to sell 8 million shares of Rivian on Monday, at a share price of $26.80 – much lower than at the end of last year – while it still holds many times that number: about 94 million share.
