Category: Lucid

May 16

Are EV Startups in Trouble? 1 Company Is Unlikely to Survive the Year

Last year, EV automakers couldn’t get anything wrong, but that success hasn’t transitioned to 2024. Automakers focused solely on electric vehicles had a rough first quarter, meaning four top names, Tesla, Lucid, Fisker, and Rivian, have to address challenges to turn things around. How are these EV startups addressing serious challenges? Let’s find out.

Let’s start with Tesla

It seems that Tesla sets the tone for the electric vehicle world, which makes this brand a good place to start. Tesla is the oldest of these EV startups and chose to lay off workers to address the first quarter losses. Unfortunately, firing the entire charging team wasn’t the smartest move, and Tesla has since begun rehiring them. The layoffs impacted other areas of Tesla, including engineering, service, and software groups. Cutting staff can be a double-edged sword, but it’s the direction Tesla CEO Elon Musk chose.

Blue Lucid Air Sapphire parked
Lucid Air Sapphire | Lucid

How is Lucid addressing its losses?

Lucid is a boutique-style EV startup, producing vehicles in small numbers. Lucid’s goal to build 9,000 cars this year might be in jeopardy after losing $685 million during the first quarter. This figure is better than the Q1 2023 losses of $780 million, and revenue is up to $173 million. Lucid intends to throw money at the problem and has $2.2 billion in cash to offset losses and continue forward.

Fisker Ocean parked in front of a home
Fisker Ocean | Fisker

Is Fisker done?

Fisker needs the EV market to be strong to survive. Currently, they only build the Ocean SUV, which might mean Fisker’s end. As one of the newest EV startups, this company was only just getting started when things slammed shut. The company could suffer $75 million in losses, which might be enough to cancel the contract with Magna International of Australia, which currently produces the Fisker Ocean. No more Ocean SUVs will be built, and Fisker doesn’t have another location to build them. Without a fiscal shot in the arm, Fisker may need to declare bankruptcy.

The 2024 Rivian R1T climbing over rocks
2024 Rivian R1T | Rivian

Rivian throws money at the problem

Rivian faced challenges last year and could be in a good position this year. Revenue is up $661 million, and deliveries are up 71% during the first quarter to 13,588 vehicles. With the new Rivian R2 on the horizon and potential partnerships with commercial companies, Rivian might be in a good position if its cash reserves remain. This company lost $5.4 billion in 2023 and another $1.45 billion during Q1 2024. The cash burn continues but might turn around for Rivian soon.

Will all four of these EV startups survive into the future? It doesn’t look like it, but three of them should remain for at least another year.

Apr 22

Citi Resumes Coverage on Lucid Shares, Praises Upcoming Gravity SUV

Citi resumed coverage of Lucid Motors‘ shares on Monday with a neutral rating and $2.90 price target. The firm emphasises Lucid’s “strong” electric vehicle (EV) technology although it raises concern on the execution risk for the upcoming model planned for late 2024 Gravity.

In a recent research note, the firm assesses the risk-reward balance regarding Lucid’s “strong” EV technology stance and “adequate” near-term liquidity.

This evaluation takes into account previous demand and branding obstacles, as well as the company’s dependency on the successful rollout of its inaugural SUV model, the Lucid Gravity, later this year.

Citi added that feels away encouraged by upcoming model and sees good prospects for success. Still, a fair amount of execution risk exists to launch Gravity on time, it adds.

Last week, Lucid Motors signed a partnership with the electric vehicle (EV) charging company Wallbox to provide chargers to its European customers.

The company reported recently the delivery of 1,967 vehicles in the first quarter of the year while producing 1,728 units. In late February, Lucid provided a production guidance of “approximately 9,000” vehicles, up from the 8,428 units in 2023.

Lucid will host its conference call to discuss the first quarter financial results on May 6 at 5:30 pm Eastern time immediately after releasing its financial results.

Nov 20

Lucid’s New Electric SUV Outperforms Tesla Model X with Extended Range

An Impressive Leap in Electric Vehicle Range

Lucid Motors has unveiled its new Gravity SUV, designed to impress with its remarkable capabilities. This all-electric SUV not only accommodates up to seven passengers but also boasts an impressive range of 440 miles on a single charge. This performance significantly surpasses the Tesla Model X, which has a range of approximately 340 miles, setting a new standard in electric vehicle efficiency.

Pushing the Boundaries of EV Technology

The Gravity SUV’s enhanced range is a game-changer for electric vehicles, addressing one of the key concerns for potential EV buyers: range anxiety. By extending the driving range, Lucid offers a compelling alternative for those seeking longer journeys without frequent recharging stops. This advancement reflects ongoing progress in EV technology, aiming to make electric driving more practical and appealing to a wider audience.

Nov 20

2025 Lucid Gravity: A New Contender with Impressive Cargo Space

Rising Demand for Versatile SUVs

As American drivers increasingly demand a diverse selection of SUVs, Lucid is stepping up with the 2025 Gravity, a luxury electric SUV designed to meet those expectations. Starting at approximately $80,000, this new model promises to capture both hearts and wallets with its blend of elegance and functionality. Despite the competition, including established names like the Chevy Tahoe, the Lucid Gravity stands out with its innovative features and design.

Exceptional Cargo Capacity and Versatility

The 2025 Lucid Gravity offers a notable 112 cubic feet of cargo space, making it a top contender in the electric SUV category. Its flexible interior features folding second-row seats with built-in tables and a spacious third row designed for adult comfort. This thoughtful design aims to provide ample storage and comfort, setting it apart from rivals such as the Chevy Tahoe, which offers up to 122.9 cubic feet of cargo space. The Gravity’s advanced 900V architecture also promises fast charging and a projected range of over 440 miles, making it a compelling choice for those seeking a luxurious, eco-friendly vehicle.

The post 2025 Lucid Gravity: A New Contender with Impressive Cargo Space appeared first on MotorBiscuit.

Jul 12

Lucid’s Q2 2023 Performance: Growth with a Cautionary Note

Strong Year-Over-Year Growth, But Recent Trends Raise Concerns

In the second quarter of 2023, Lucid Group demonstrated impressive year-over-year growth in vehicle production and deliveries. Production soared to 2,173 units, marking a 204% increase compared to the previous year, while deliveries rose by 107% to 1,404 vehicles. Despite these significant improvements, these figures fell short of the production and delivery numbers achieved in the previous two quarters, highlighting a troubling trend of consecutive declines.

Evaluating Production and Delivery Discrepancies

Lucid’s ongoing struggle with balancing production and deliveries is evident in the second quarter, where approximately 769 units remained unsold. This disparity prompts questions about whether these vehicles are in transit or awaiting customer orders. Cumulatively, Lucid produced 4,487 vehicles and delivered 2,810 in 2023, reflecting substantial growth from last year, but the gap between production and deliveries remains concerning.

Comparing Lucid to Rivian and Industry Trends

While Lucid’s production and delivery numbers are impressive compared to the previous year, Rivian’s growth has shown a steadier upward trend during the same period. Additionally, luxury competitors like Mercedes-Benz and BMW are rapidly expanding their all-electric vehicle sales, which could intensify market pressures on Lucid. The next update on Lucid’s production guidance, expected in August 2023, will be crucial in assessing whether the company can adjust its strategy to meet its ambitious targets and improve its market position.