- 📉 Lucid Group (NASDAQ: LCID) fell short of Wall Street delivery estimates for Q3 2023, resulting in a more than 3% drop in its stock price.
- 🚗 Lucid reported delivering 1,457 units of its Air sedan in the third quarter, while Wall Street had expected 2,000 deliveries, as per FactSet analyst polls.
- 🏭 The company also produced 1,550 vehicles during the quarter, with over 700 more in transit to Saudi Arabia for final assembly.
- 🎯 Lucid had set a goal to produce more than 10,000 units of the Air electric vehicle in 2023, but production estimates until August were around 4,267 units.
- 💰 It was reported that Lucid incurred losses of approximately $338,000 for each vehicle produced in 2023, highlighting the challenges in scaling up production to reach profitability.
- 📈 Lucid plans to provide further insight into its production and demand situation during its Q3 Earnings Call on November 7, 2023, at 2:30 P.M. PT.
Lucid Group (NASDAQ: LCID) missed Wall Street estimates on deliveries for the third quarter of 2023, and shares responded on Tuesday morning by dropping over 3 percent by 10:20 AM on the East Coast.
Lucid said in a press release on Tuesday morning that it delivered 1,457 units of its Air sedan, its first all-electric vehicle, to customers in the third quarter. Wall Street expected 2,000 vehicles, according to FactSet, which polls analysts on their expectations.
Lucid also said it produced 1,550 vehicles during the quarter, and over 700 additional vehicles were in transit to Saudi Arabia for final assembly.
The company said this year that its goal was to produce more than 10,000 units of the Air electric vehicle this year, but through the first eight months of the year, Automotive News estimates had placed production figures at roughly 4,267 units through August.
This is the exact number of deliveries the company has reported through the first three quarters. It has produced 6,037 units through Q3.
It did not provide an update on this goal in its production and delivery release. It provided the 10,000 unit goal in May and reiterated it in August.
Bloomberg reported earlier this year that Lucid was losing roughly $338,000 for every vehicle it produces in 2023. The company is a long way from scaling its production to a point where it can turn a profit.
Lucid said during its Q2 earnings call that order volumes increased toward the end of July, and production at the AMP-2 facility is expected to produce 155,000 units per year.
If demand is there, production certainly is not, and Lucid is still working through the early growing pains of producing electric vehicles.
Lucid will shed more light on the production and demand situation during its Q3 Earnings Call on November 7, 2023, at 2:30 P.M. PT.