Lucid beats quarterly deliveries estimate as price discounts boost demand
2024.10.07 09:24
(Reuters) – Lucid Group (NASDAQ:) beat market expectations for third-quarter deliveries on Monday, as discounts and cheaper financing options for its luxury electric vehicles boosted demand in an uncertain economy.
The company handed over 2,781 vehicles in the quarter ended Sept. 30, compared with estimates of 2,242 according to 8 analysts polled by Visible Alpha.
Consumer appetite for electric vehicles in the United States has been weakening due to high interest rates and the availability of cheaper hybrid alternatives.
EV firms such as Tesla (NASDAQ:), Rivian (NASDAQ:) and Lucid have slashed prices and have been offering incentives like cheaper financing options to woo customers.
Lucid is also betting on its Gravity SUV, which is expected to go into production later this year, to drive growth but will compete with Tesla’s Model X and Rivian’s flagship R1 models.
Rivian cut its annual production forecast last week and missed estimates for quarterly deliveries while market giant Tesla also reported disappointing delivery data.
Lucid produced 1,805 vehicles in the third quarter, compared with 2,110 vehicles in the previous three months.
The company said in August it received up to $1.5 billion in cash from its largest shareholder, Saudi Arabia’s Public Investment Fund, as it looks to ramp up production and introduce a mid-size car expected to roll out in late 2026.
