May 11 (Reuters) – Revian Automotive Inc. (RIVN.O) on Wednesday reaffirmed its annual production forecast of 25,000 units, saying disruptions in the ongoing supply chain and material costs prevented electric vehicle manufacturers from reaching their original target of 50,000 vehicles.
Shares of Irvine, a California-based company, rose 5% in extended trading after closing the day down 9.6%.
“We are focused on increasing production throughout 2022. We believe that supply chain constraints will continue to be a limiting factor in our production,” Rivian said in a letter to shareholders, adding that it would be able to double its annual output missing supply. Limitations
Rivian halved its 2022 forecast in March as it struggled to secure the chips needed to build an electric delivery van for its R1T pickup truck, R1S SUV and Amazon.com Inc (AMZN.O).
It delivered 1,227 vehicles in the first quarter, up from 909 units in the previous quarter.
Rivian says it has received more than 90,000 pre-orders in the United States and Canada for its R1S SUV and R1T pickup truck as of May 9.
The company’s first-quarter revenue came in at $ 95 million, well below analysts’ estimates of $ 130.5 million, according to refinitiv data.
Its net loss rose to $ 1.59 billion from $ 414 million a year ago.
Wall Street investors have been frustrated with the company’s progress and car order numbers, and the company’s post-IPO lockup expiration has put Rivian shares under increasing pressure this week. Ford Motor Co. (FN) offloaded eight million Ravenian shares worth 4 124 million, according to filing Tuesday.
At about $ 18.5 billion, Revian’s market valuation has plummeted since it went public in November. The company is now valued at approximately এবং 17 billion in cash and cash equivalents.
Revian, which currently operates a single plant in Illinois, plans to invest 5 billion to build a new manufacturing plant in Georgia. A company spokesman said last week that Rivian aims to open the plant by the end of 2024, but Rivian said Wednesday that it has set a 2025 launch date.