Rivian experiences a substantial $1.1 billion loss in Q2, persists with their manufacturing plans for the R2 SUV model.
Rivian's Q2 2025 Results Show Mixed Outcomes Amidst Supply Chain Challenges
Rivian, the electric vehicle (EV) manufacturer, has released its Q2 2025 financial results, revealing a mixed bag of outcomes as the company prepares for its upcoming 2026 model year vehicles.
The company's revenue for Q2 2025 came in at approximately $1.3 billion, exceeding expectations, but the company swung back to a negative gross profit after two positive quarters. Vehicle production and deliveries fell year-over-year due to supply chain and trade policy challenges. Production was 5,979 vehicles and deliveries were 10,661 vehicles in Q2 2025.
Rivian reaffirmed its full-year 2025 delivery guidance of 40,000 to 46,000 vehicles. Capital expenditures for the year are expected to be between $1.8 and $1.9 billion. Adjusted EBITDA losses were projected to widen to between $2.0 billion and $2.25 billion largely due to increased spending ahead of the upcoming R2 launch and regulatory credit impacts.
Regarding the R2 SUV, significant progress was reported during Q2 2025. Rivian substantially completed the expansion of its Normal, Illinois manufacturing facility and began installing equipment in preparation for R2 production. The R2 production line is scheduled to be commissioned in Q3.
Rivian views the R2 as critical to its future profitability, as it is designed to deliver faster positive gross margins compared to Rivian's R1 lineup. Validation prototypes of the R2 are already being tested.
In addition to the R2, Rivian reported a $1 billion equity investment from Volkswagen Group in Q2, part of a larger joint venture worth up to $5.8 billion, which supports technology development and production scaling, including R2. Rivian also expanded its charging network and retail footprint during the quarter.
Notably, Rivian plans to pause operations for three weeks in September to accommodate the transition to its next phase of production.
In summary, Rivian's Q2 2025 financial results show a company navigating broader supply chain challenges while making steady progress on its upcoming R2 SUV and other initiatives. The company's focus remains on delivering on its 2025 delivery targets and positioning itself for future profitability with the R2 model.
| Category | Q2 2025 Figures / Updates | |-------------------------------|-----------------------------------------------| | Revenue (GAAP) | ~$1.3 billion (beat expectations) | | Gross Profit | Negative (reverted from positive last 2 quarters) | | Vehicle Production | 5,979 vehicles | | Vehicle Deliveries | 10,661 vehicles | | 2025 Delivery Guidance | 40,000 to 46,000 vehicles | | Adjusted EBITDA Loss Guidance | ($2.0) billion to ($2.25) billion | | Capital Expenditures | $1.8 to $1.9 billion | | R2 SUV | Substantial development and testing progress; manufacturing expansion completed with equipment installation started; production expected in 2026 | | Volkswagen Investment | $1 billion equity injected in Q2 under JV agreement |
- Despite the negative gross profit and decrease in vehicle production and deliveries due to supply chain and trade policy challenges, Rivian's Q2 2025 revenue rose significantly, reaching approximately $1.3 billion.
- As Rivian's focus turns towards its 2026 model year vehicles, the company is investing heavily in the development of the R2 SUV, with the R2 production line scheduled to be commissioned in Q3 2025, and substantial progress reported during Q2 2025, including the completion of the expansion of its Normal, Illinois manufacturing facility and the beginning of equipment installation.
