By Roshan Fernandez

Rivian Automotive cut its outlook for vehicle deliveries and upped expectations for capital expenditures for the full year, as evolving tariff policies rattle guidance for the electric vehicle maker.

Rivian on Tuesday said that the changing landscape of trade policies will impact both consumer sentiment and demand. It now expects vehicle deliveries between 40,000 and 46,000 this year, down from a prior range between 46,000 and 51,000.

The expected impact from tariffs, meanwhile, will cause its capital expenditures to come in between $1.8 billion and $1.9 billion for the year, up $200 million on either end of its prior range.

Rivian said that even though all of its vehicle manufacturing is in the U.S., and a majority of materials, excluding cells, comes from the U.S., they are not immune to the economic environment.

The new outlook came as Rivian reported a narrower first quarter loss of $545 million, or 48 cents a share, compared with a loss of $1.45 billion, or $1.48 a share, a year earlier.

Analysts polled by FactSet were expecting a loss of 94 cents a share.

Revenue rose to $1.24 billion compared with $1.2 billion a year ago. Analysts expected $997.7 million.

During the quarter, the Irvine, Calif.-based company produced 14,611 vehicles and delivered 8,640 vehicles.

Chief Executive RJ Scaringe said Rivian has begun design validation builds on its prototype line for the R2, an all-electric, midsize SUV. Production remains on track for the first half of 2026.

The company notched its second straight quarter of gross profit, which it said unlocks an expected $1 billion investment from Volkswagen. The investment is expected to be funded on June 30.

Write to Roshan Fernandez at roshan.fernandez@wsj.com

(END) Dow Jones Newswires

May 06, 2025 16:19 ET (20:19 GMT)

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