Lucid Group Inc (NASDAQ: LCID) saw its shares plummet 5.79% in after-hours trading on Tuesday following the release of its second-quarter financial results, which fell short of analyst expectations and included a reduction in the company's annual production forecast.

The electric vehicle maker reported second-quarter revenue of $259.4 million, missing analyst estimates of $296.24 million. Lucid also posted a wider-than-expected loss, with an adjusted loss of 24 cents per share compared to the anticipated loss of 21 cents per share. These disappointing figures contributed to the stock's decline in extended trading.

Adding to investor concerns, Lucid lowered its total production forecast for 2025. The company now expects to produce between 18,000 and 20,000 vehicles this year, down from its previous target of approximately 20,000 vehicles. This reduction comes at a challenging time for the EV industry, as global trade tensions and shifting consumer spending patterns create headwinds for automakers.

Despite the setbacks, Lucid reported some positive developments. The company delivered 3,309 vehicles in the second quarter, marking its sixth consecutive quarter of record deliveries. Lucid's interim CEO, Marc Winterhoff, expressed optimism about continuing this trend as the company ramps up production of its Lucid Gravity SUV in the second half of the year. Additionally, Lucid maintained a strong liquidity position, ending the quarter with approximately $4.86 billion in total liquidity.

As Lucid navigates these challenges, investors will be closely watching the company's ability to execute its production plans and expand its market share in the competitive electric vehicle landscape. The success of its newly launched Gravity SUV and upcoming mid-size car will be crucial for Lucid's future growth and profitability.