Lucid LCID Q2 2023 earnings steerage

Luxurious electrical automobile maker Lucid Group reported that its second-quarter income fell wanting Wall Avenue’s expectations after it delivered fewer of its Air luxurious sedans than anticipated through the interval.

However a current capital increase has prolonged the EV maker’s runway by a yr, into 2025. The corporate additionally stated it has begun to ship automobiles to Saudi Arabia. That nation’s Ministry of Finance agreed final yr to buy at least 50,000, and as much as 100,000, EVs from Lucid over the subsequent decade.

Listed here are the important thing numbers from Lucid’s second-quarter report, along with Wall Avenue consensus estimates as reported by Refinitiv:

• Loss per share: 40 cents. It was not instantly clear if that was akin to Wall Avenue expectations of a lack of 33 cents, in accordance with analysts surveyed by Refinitiv.
• Income: $150.9 million vs. $175 million anticipated.

Lucid shares rose greater than 3% in prolonged buying and selling.

Lucid’s internet loss for the quarter was $764.2 million, or 40 cents per share. A yr in the past, Lucid reported a internet lack of $555.3 million, or 33 cents per share. Income within the second quarter rose to $150.9 million from $97.3 million within the same period in 2022.

Lucid stated on in July that it delivered 1,404 Air sedans in the second quarter. That was about 600 fewer than Wall Avenue had anticipated. The corporate delivered 1,406 automobiles within the first quarter of 2023, and 679 automobiles within the second quarter of 2022.  

Lucid ended the second quarter with $6.25 billion in obtainable liquidity, together with $5.5 billion in money and the rest in obtainable credit score traces, sufficient to final into 2025, CFO Sherry Home stated.

Lucid had $3.4 billion in money and an extra $700 million in obtainable credit score traces as of March 31, which it stated on the time was enough to fund its operations into the second quarter of 2024. It raised about $3 billion in a inventory providing on the finish of Might.

Lucid reaffirmed the manufacturing steerage it offered in Might, when it stated that it anticipated to provide “over 10,000” automobiles in 2023. It had initially estimated 2023 manufacturing of between 10,000 and 14,000 vehicles in February, regardless of a claimed “greater than 28,000 reservations” for the Air at the moment.

Lucid hasn’t offered an replace on Air reservations since, however there have been indicators for months that the corporate faces a lack of demand for the well-reviewed however pricy sedan.

In a bid to spur demand following price cuts from Tesla and different EV rivals, Lucid on Saturday stated that it’ll trim Air costs by as a lot as $12,400. The corporate lowered the value of the base-model Air Pure by $5,000, to $82,400.

It minimize the value of the higher-end Touring and Grand Touring by $12,400 to $95,000 and $125,600, respectively.

The decrease costs apply each to automobiles in Lucid’s stock and people being constructed to order now. The decrease costs on current automobiles will likely be legitimate whereas provides final, Lucid stated.

A Lucid spokesperson declined to say what number of automobiles are at present in its stock.

Lucid confirmed on Monday that it nonetheless expects to launch new variations of the Air later this yr, and a second mannequin — a luxury SUV called Gravity — in 2024.

Lucid stated in June that it struck a deal to provide Aston Martin Lagonda with electric-vehicle powertrains, battery programs and associated expertise. In return, it stated on the time, Lucid will obtain about $232 million in phased funds and a 3.7% stake within the British supercar maker.

Correction: Lucid’s Might capital increase totaled $3 billion. A key level on this story beforehand misstated that quantity.