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Rivian Shares Jump on Q3 Beat as Company Unveils $4.6 Billion CEO Plan and Job Cuts

The turnaround now hinges on executing the lower-cost R2 SUV slated for the first half of 2026.

Overview

  • Rivian posted third-quarter revenue of $1.56 billion, up 78% year over year, and reported a positive gross profit of $24 million.
  • The stock rose about 25% after the results, though shares remain roughly 90% below their post-IPO peak.
  • An SEC filing detailed a new, fully at-risk CEO compensation plan worth up to $4.6 billion over 10 years, tied to stock-price milestones of $40 to $140 plus operating income and cash flow targets, replacing a 2021 award deemed unattainable.
  • The company plans to eliminate more than 600 jobs, or about 4% of its workforce, as part of ongoing cost reductions.
  • Management reaffirmed full-year guidance for an adjusted EBITDA loss of $2.0 billion to $2.25 billion and up to $1.9 billion in capital spending, while keeping the R2 SUV on track for H1 2026 at roughly $45,000 and about half the production cost of current R1 models.