Rivian’s Shares Jump 27% as 2025 Gross Profit Reaches $144 Million
Rivian posted a 2025 gross profit of $144 million, swinging from a $1.2 billion 2024 loss, and saw its shares surge 27% after reporting fourth-quarter gross profit of $120 million on $1.3 billion in sales. Deliveries rose to 42,247 vehicles even as the company carried a $432 million automotive net loss and cut 600 jobs.
1. Earnings Highlights
Rivian delivered stronger-than-expected results with fourth-quarter gross profit of $120 million on $1.3 billion in revenue, reversing years of losses and contributing to a full-year 2025 gross profit of $144 million versus a $1.2 billion net loss in 2024. Shares rallied 27% on the earnings beat.
2. Production and Deliveries
The company produced 42,284 vehicles and delivered 42,247 across 2025, reflecting improving manufacturing efficiency and demand for its premium electric SUVs and trucks. Higher average selling prices also supported revenue growth despite broader EV market challenges.
3. Cost Reductions and Workforce Cuts
Rivian cited lower cost per vehicle and strong software and services margins as key drivers of profitability gains. The firm reduced its workforce by about 600 employees (over 4% of staff) in October to streamline operations and cut expenses.
4. R2 Model Outlook
Rivian is banking on its upcoming lower-priced R2 SUV, expected to start around $45,000 with deliveries beginning next quarter, to broaden its customer base. Early feedback on pre-production builds has been positive, signaling potential volume growth and margin improvement.