In the third quarter of 2023 Lucid Motors faced some financial challenges as it looks like they are losing 6-figures for every vehicle they sold during such a time. According to their latest financial report, the company incurred a staggering loss of over $430,000 for each vehicle it sold during that period.
During Q3, Lucid reported a total revenue of $137.8 million, a notable decline from the $195.5 million they generated in the same period the previous year. However, what made the situation more complex was the fact that their net losses surged to almost $630.9 million, which marked a $100 million increase from the previous year. These losses were incurred despite the delivery of 1,456 vehicles, resulting in an alarming loss of approximately $433,000 per car sold. While this figure represented an improvement from the $544,000 loss per vehicle reported in Q2, it remained a substantial financial setback, especially considering that the most expensive vehicle in Lucid’s lineup costs around $250,000.
In the third quarter of 2023, Lucid managed to produce 1,550 electric vehicles, which is significantly lower than the peak production of 3,493 units achieved in the fourth quarter of the previous year. In response to these challenges, the company decided to revise its production guidance for the year, reducing its target from the initial goal of 10,000 to 14,000 cars to a more conservative range of 8,000 to 8,500 units.
The financial woes extended beyond the third quarter, as the first nine months of the year saw Lucid accumulate losses amounting to a substantial $2.17 billion, an increase from the $1.83 billion recorded during the same period in 2022. Despite these financial setbacks, the company maintained a liquidity position of $5.45 billion at the end of the quarter, a significant resource that is expected to support the launch of its second model, the Gravity SUV, according to the company’s chief financial officer, Sherry House.
Lucid also made several noteworthy strides in its product portfolio and expansion during this challenging period. The company introduced new variants of its zero-emissions sedan, including the Air Sapphire flagship and the Air Pure RWD. Additionally, Lucid inaugurated a production facility in Saudi Arabia and established a significant partnership with Aston Martin to supply the British automaker with its electric powertrain components.
Peter Rawlinson, Lucid’s CEO & CTO, acknowledged the company’s commitment to delivering on its promises. He emphasized the completion of the Lucid Air lineup, the transition to their Phase 2 factory in Arizona, and the opening of the Saudi Arabian plant. Rawlinson also hinted at the upcoming world premiere of the Lucid Gravity SUV at the LA Auto Show, scheduled for the following week, which is expected to redefine the electric SUV segment. The Gravity SUV is projected to share many drivetrain components with the Air sedan, potentially offering configurations with one, two, or three electric motors and power outputs ranging from 430 to 1,234 horsepower, mirroring the capabilities of the Air sedan. Despite the financial challenges, Lucid remains focused on its mission to shape the future of electric mobility with innovative products and solutions.
Sources: InsideEVs via Lucid Motors
