By Claudia Assis
Lucid plans to make between 6,000 and 7,000 vehicles this year; reservations drop
This update corrects Lucid's Q3 2022 and Q3 2021 losses.
Lucid Group Inc. stock fell about 9% in the after-hours session Tuesday after the electric-car maker reported a wider quarterly loss and sales that fell short of Wall Street estimates.
Lucid (LCID) lost $530 million, or 40 cents a share, in the third quarter, compared with a loss of $524 million, or 43 cents a share, in the year-ago period.
Revenue fell to $195.5 million, from $232 million a year ago. That revenue was mostly driven by the sale of 1,398 vehicles in the quarter, the company said.
Analysts polled by FactSet expected a loss of 31 cents a share on sales of $209 million for Lucid.
The company said it was seeing "strong demand" for its Lucid Air, with more than 34,000 reservations for the all-electric luxury sedan, which Lucid said represented sales of more than $3.2 billion. That compares from 37,000 reservations reported in August, however.
"In our view, the combination of widening losses, a declining reservation count and its ongoing cash burn will do little to alleviate investor concerns surrounding the company," CFRA analyst Garrett Nelson said in a note after the results. Nelson kept the equivalent of a neutral rating on the stock.
Tuesday's reservation numbers do not include the up to 100,000 vehicles under Lucid's agreement with the government of Saudi Arabia, it said.
Related: Tesla and Ford attract new investments from George Soros's fund
Lucid said it is "on track" to meet its annual production guidance of 6,000 to 7,000 vehicles.
It ended the quarter with about $3.85 billion in cash and equivalents as well as investments, "which is expected to fund the company at least into the fourth quarter of 2023," it said.
Reservations for its second vehicle, an SUV, will open in "early 2023," Lucid said.
That "will unlock a very large and incremental addressable market for us," Chief Financial Officer Sherry House said in a statement. "We remain intently focused on scaling the business and continue to expect to see significant growth in revenue as delivery volumes ramp."
Shares of Lucid have lost more than 64% so far this year, compared with losses of around 20% for the S&P 500 index .
(END) Dow Jones Newswires
November 09, 2022 08:08 ET (13:08 GMT)
Copyright (c) 2022 Dow Jones & Company, Inc.