Why Rivian (RIVN) Stock Jumped 15% After Thursday’s Earnings Report

TLDR

• Rivian beat Q4 expectations with $1.29 billion revenue and 54-cent loss per share versus 68 cents expected
• Stock surged 15% after hours on 2026 delivery guidance of 62,000-67,000 vehicles, up 47-59% year-over-year
• Company posted first annual gross profit of $144 million in 2025, supported by Volkswagen software partnership
• R2 SUV priced at $45,000 remains on track for Q2 2026 deliveries and will cut build costs in half
• Rivian expects $1.8-$2.1 billion in adjusted pre-tax losses for 2026 during R2 production ramp-up

Rivian Automotive delivered a solid fourth-quarter performance Thursday that exceeded Wall Street forecasts. The electric vehicle maker reported $1.29 billion in revenue, topping the $1.26 billion consensus estimate.

The company posted an adjusted loss of 54 cents per share. Analysts had projected a loss of 68 cents per share.

Shares jumped over 15% in extended trading following the announcement. The stock closed regular trading at $14, down about 5%.

Rivian Automotive, Inc., RIVN

Full-year 2025 revenue climbed 8% to $5.39 billion from $4.97 billion in 2024. Rivian achieved a key milestone by recording its first annual gross profit of $144 million.

The fourth quarter contributed $120 million to that total. The Volkswagen software joint venture helped offset $432 million in automotive segment losses for the year.

Net losses for 2025 totaled $3.6 billion. That marked an improvement from the $4.75 billion loss in 2024.

Rivian closed Q4 with $6.59 billion in total liquidity. Cash, cash equivalents, and short-term investments accounted for nearly $6.1 billion of that figure.

2026 Guidance Drives Investor Enthusiasm

The real story emerged from Rivian’s 2026 outlook. The company projects deliveries between 62,000 and 67,000 vehicles this year.

That represents growth of 47% to 59% versus 2025 levels. The R2 SUV launch in Q2 will fuel most of that expansion.

CEO RJ Scaringe told investors the R2 should become the “majority of the volume” by late 2027. Production will scale at the company’s Illinois manufacturing facility.

The midsize vehicle carries a $45,000 price tag. It’s engineered to slash build material costs by 50% while simplifying production processes.

Initial R2 output will run on one factory shift. A second shift gets added before year-end 2026.

Financial Projections and Manufacturing Strategy

Rivian forecasts adjusted pre-tax losses of $1.8 billion to $2.1 billion for 2026. Last year’s adjusted pre-tax losses came in near $2.1 billion.

Planned capital spending ranges from $1.95 billion to $2.05 billion. The company invested $1.7 billion in capex during 2025.

The Q4 loss of $804 million reflected lower regulatory credit sales. Trump administration changes to federal emissions standards impacted credit revenue as expected.

Rivian continues manufacturing its R1 truck and SUV models, both starting above $70,000. The company also produces electric delivery vans for Amazon, its largest shareholder.

More R2 specifications including trim pricing and available options arrive March 12. Analysts maintain a Hold rating on the stock with a $17.75 average price target, suggesting 26.8% upside from current levels.

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