Rivian beats third-quarter expectations as software revenue and R2 deliveries rise
Rivian Automotive beat Wall Street expectations for the third quarter.
The short version
- The electric vehicle maker reported record deliveries of 19,248 units.
- Its software segment generated $605 million in revenue during the period.
- The company also narrowed its net loss to $913 million.
Rivian Automotive, the electric vehicle maker, beat Wall Street's third-quarter earnings expectations after ramping up production of its new R2 entry-level SUV. Shares of Rivian were up roughly 7% during after-hours trading on Thursday, after hitting a new 52-week low of $11.38 earlier in the day.
The stock closed at $11.45 a share, down 1.9%, according to CNBC. The company reported a net loss attributable to common stockholders of $913 million, compared with a loss of $1.17 billion during the third quarter of 2025. Rivian delivered a record 19,248 units from July through September.
The R2 has become Rivian's best-selling model and was responsible for much of the gain quarter-over-quarter. Rivian's gross profit was $176 million during the third quarter, up from $24 million a year earlier. The software and services segment generated $605 million in revenue and a gross profit of $256 million, a 42% margin.
That compares to its automotive operations, which recorded nearly $1.55 billion in revenue and a gross loss of $80 million. The company also revised its 2026 guidance to mark expected improvements in vehicle deliveries, pre-tax adjusted earnings, and capital expenditures. CEO RJ Scaringe reiterated that the company expects the R2 to have a positive gross margin by the end of the year.
Rivian said its cash, cash equivalents, and short-term investments balance was $5.5 billion, up from $5.3 billion to end the second quarter. For anyone watching the electric vehicle market, Rivian is inching closer to the profitability it promised investors.
