Lucid Says on Track to Meet Reduced Production Target

Electric-vehicle maker Lucid said Wednesday that it’s on track to meet its revised 2022 sales guidance after it delivered just under 1,400 cars in the third quarter.

Lucid (US:LCID) said the 1,398 vehicles it sold in the quarter was about double the second quarter’s 679. It added that it manufactured 2,282 cars in the third quarter, which it said was three times second quarter production.

“These figures remain in line with the company’s expectations,” Lucid’s news release said. “Lucid believes it is on track to deliver on its previously provided 6,000 to 7,000 vehicle-production guidance for full-year 2022.”

That means the company expects to make about 3,000 cars in the fourth quarter to meet its previously reduced forecast.

Lucid’ slashed its 2022 production outlook in August, halving it to the current estimates. The stock’s off about 38% since the production revision and off 67% year to date.

Lucid shares rose on Wednesday.

Look for further details on Lucid’s plans for the rest of the year when it reports full third quarter results on Nov. 8. Investors will surely have questions on the call about production and supply chain issues, two key industry flashpoints.

“To enhance engagement with the company’s shareholder base and facilitate connections with its investors, Lucid is partnering with Say Technologies to allow retail and institutional shareholders to submit and upvote questions, a selection of which will be answered by Lucid management during the earnings call,” the company said.

Lucid shares those issues with other EV makers like Rivian (US:RIVN), which spooked investors recently as inflation and production issues drive them off the radar.

Analysts don’t project positive operating profit or free cash flow until 2026 for Lucid at the earliest.

In related news this week, Rivian shares fell on Monday after the electric truck recalled almost its entire vehicle production to address steering issues.

The stock fell as investors fretted that the problem could prevent the company from hitting its 2023 production target.

According to Visible Alpha, Wall Street expects Rivian to make 23,590 vehicles this year.

Rivian’s shares fell 67.3% this year.

This article originally appeared on Fintel

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