versions. This would be a sign of just how much Rivian might use the $5 billion from the newly reported deal with Volkswagen Group.
In Rivian news from Tuesday, the company declared that it lost $1.46 billion in Q2 2024, following a first-quarter loss of $1.45 billion. Overall, the loss was almost $300 million worse than the second quarter of 2023.
As a consequence, Rivian Car Company's balance of cash and cash counterparts was $5.76 billion at the end of Q2. That would also include the first $1 billion from Volkswagen.
This comes after Rivian started the shipment of the R1 revamped version, which is less complicated and cheaper to manufacture. Rivian Car Company’s CEO, RJ Scaringe declared these cars, delivered as planned, should help Rivian stock achieve a positive total gain by the end of the current year.
However, Rivian Car Company’s officials anticipate manufacturing and selling approximately the same number of EVs in 2024 as it did last year, everybody’s attention is drawn to Rivian second model, the R2 SUV, expected in 2026, to help determine it as a sustainable company.
Before that, Rivian stock will be helped by the extra $4 billion that Volkswagen will invest in the company - if the two companies manage to complete the deal. The agreement is expected to happen in the fourth quarter of 2024.
Once finalized, the deal will allow Rivian and Volkswagen to produce a common enterprise that will level up Rivian stock and power up its advanced electrical design and software. This technology will pour into Rivian car R2 and the majority of Volkswagen Group’s EVS, and perhaps other ones manufactured by different automakers.
In other Rivian news, RJ Scaringe was prudent and didn’t deliver much new information about the Volkswagen deal during the call discussion on Tuesday. On the other hand, Wassym Bensaid, the chief software officer of the company, declared that Rivian has a drivable prototype vehicle provided with Rivian electronic elements and its software stack.
Bensaid said: “We’re actually extremely excited with the progress that we’re making in the electrical architecture integration analysis. Our engineers have been working very closely with the Volkswagen Group. We’re moving forward really, really well in understanding how our technology will scale up and down the entire Volkswagen Group portfolio.”
Until the Volkswagen deal is completed, Rivian Car Company will try other ways to fill up its business. As an example, the company declared that it sold $17 million in regulatory credits from Rivian stock to other companies during Q2.
Other Rivian news claims that the company is building an EV-loading network to sustain its vehicles which could attract some extra income, particularly as Rivian will permit other EV companies to access it starting later in 2024.
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