Overview

• Rivian achieved a record $206 million gross profit in Q1 2025, its second consecutive quarter of profitability, driven largely by $157 million in automotive regulatory credit sales.
• This milestone unlocked $1 billion in funding from Volkswagen as part of a $5.8 billion joint venture focused on next-generation EV architecture and software.
• Rivian's Q1 gross margin of 16.6% surpassed Tesla's 16.3%, reflecting significant operational improvements and cost reductions.
• The company raised its 2025 capital expenditures guidance to $1.8–1.9 billion, citing preparations for the R2 SUV, which is expected to launch in early 2026 after a planned factory retool later this year.
• Analysts from D.A. Davidson and Stifel raised their price targets for Rivian, citing optimism around its financial trajectory, the upcoming R2 SUV, and substantial government and partner funding.