SAN FRANCISCO, Aug. 4 (Reuters) - Lucid plans to launch its more affordable EVs in the second half of 2027, delaying the planned rollout from late this year, its CEO said on Tuesday, as the company carries out a major business review and cuts costs.
The EV maker's shares were down about 8% after the bell.
As part of what the company called an "operational reset," Lucid is aiming to save $1.4 billion in cash this year, primarily by cutting production and inventory after posting mounting losses in the second quarter.
U.S. electric vehicle manufacturers have been grappling with lower demand since the removal of key tax credits late last year, pushing companies to pause or cut production and cancel new EV plans, and instead focus on delivering more affordable models.
Lucid too is counting on a smaller and cheaper mid-size vehicle platform it is developing to fuel future growth, while pursuing a robotaxi rollout through partnerships with Uber and self-driving startup Nuro, but until those efforts start raking in revenue, the company is prioritizing tighter cost controls.
CEO Silvio Napoli told Reuters the company's luxury Air sedans and Gravity SUVs were launched "a bit in haste" and that he did not want to "repeat the mistakes of the past."
"My objective is that we launch mid-size when it is ready to be on quality," Napoli said in an interview. "Precipitating the launch before everything is aligned would just be, I think at this stage, really a terrible mistake."
Lucid's factory in Saudi Arabia, where it will start production of the mid-size platform, will be ready by the end of this year, Napoli said. But getting the supply chain in order will take longer, he added.
The company has been navigating supplier-related issues that have disrupted production, especially since the launch of its Gravity SUV.
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