TL;DR
Get business pricing on garage and car supplies
- Business-only prices and quantity discounts
- Tax-exempt purchasing
- Multiple users, one account, clear invoices
Rivian raised the baseline of its 2026 delivery guidance from 65,000 to 67,000 vehicles after the R2 outsold its other models in the third quarter. The company said it expects most of its remaining deliveries this year to be R2s, while its production ramp and path to profitability remain key issues.
Rivian raised the baseline of its annual delivery outlook to 67,000 vehicles from 65,000 after its R2 midsize SUV became the company’s top-selling model by volume in the third quarter. The California automaker reported 19,751 deliveries for the quarter and said the R2 outsold the R1T pickup, R1S SUV and electric delivery van combined as individual models.
The updated outlook keeps Rivian’s upper-end target at 70,000 deliveries. It is the second upward revision described in the earnings report: after previously setting a 62,000-unit baseline, the company raised it to 65,000 before making the latest adjustment. To reach the low end of the revised range, Rivian would need at least 25,193 deliveries in the fourth quarter, according to the report’s calculation.
On Rivian’s earnings call, interim CFO Derek Mulvey said the company expects most fourth-quarter deliveries to be R2s. Rivian also said it had started a second production shift for the vehicle and expects its production run rate to rise over the coming quarters. The company did not provide a detailed production schedule in the source report.
Chief Executive RJ Scaringe said the R2 had become Rivian’s best-selling vehicle by volume in the quarter. He also said customer and media feedback had been exceptional. Those are company statements; the report did not provide independent customer survey results or a breakdown of R2 deliveries.
R2 Sales Set the Pace for Rivian
The R2’s early sales lead matters because Rivian is relying on the model to expand beyond its more expensive R1 vehicles and reach a larger market. The company positioned the midsize SUV to compete with the Tesla Model Y, and a stronger delivery run could help improve factory utilization and support Rivian’s finances. The report describes the R2 as central to the automaker’s effort to turn around its business.
Rivian is still reporting substantial losses. Third-quarter revenue increased 38% year over year to $2.1 billion, supported by higher deliveries, regulatory-credit revenue and growth in software and services. That segment’s revenue rose 45% to $605 million, with the Volkswagen Group partnership among the factors cited. Rivian nevertheless recorded a $913 million net loss, down from $1.17 billion in the same quarter a year earlier.
The company said it expects the R2 production ramp to help it finish the year with a positive automotive gross margin. That is a forecast, not a reported result. Whether higher R2 volume can improve vehicle-level economics while the company continues to invest in production and future technology remains an important test for Rivian.
Products Worth Considering
Innova SD35 OBD2 Scanner for All-System Vehicle Diagnostics
DEWALT 20V MAX 1/4-Inch Impact Driver Kit with Battery and Charger (DCF787D1)
DEWALT 20V MAX XR Hammer Drill and Impact Driver Combo Kit with Two 4Ah Batteries and Charger
As an affiliate, we earn on qualifying purchases.
R2 Pricing and Production Plans
Rivian launched the R2 in June with a Performance Launch Edition priced just under $60,000. The company said a Premium trim priced at $53,990 is due to reach the market this year, while a Standard version priced at $44,990 is planned for 2027. The source report does not specify how many vehicles have been delivered by trim or how the mix affects Rivian’s margins.
Rivian’s plans extend beyond the R2. The company expects the vehicle to help fund future models, including the R3 and R4, as well as work on driver-assistance technology. Its Autonomy+ offering currently includes hands-free highway driving and lane changes on command, according to the report. Rivian expects a limited rollout of a more advanced system for point-to-point driving on city streets to begin by year-end.
The company also plans to deliver up to 50,000 robotaxis to Uber starting in 2028, according to the source. Rivian’s autonomous-driving projects and future vehicle plans are separate from the delivery-guidance revision; the report does not say they have changed because of the R2’s third-quarter sales.
“We had great results with R2 becoming our best selling vehicle by volume in the third quarter.”
— Rivian CEO RJ Scaringe, in a company statement
Fourth-Quarter Targets Still Ahead
Rivian has not yet reported its fourth-quarter deliveries, so it remains unclear whether the company will reach the revised 67,000-to-70,000 range. Reaching the lower end requires at least 25,193 deliveries in the quarter, based on the figures in the source report; the report does not give a fourth-quarter production forecast or a delivery breakdown by model.
The company’s expected positive automotive gross margin by year-end is also a projection. The earnings details provided do not establish whether that outcome will be reached, how much the R2 contributes to it, or when Rivian could become profitable overall. The source report does not specify the calendar year in its headline, so the timing of its references to year-end should be understood as the period covered by that earnings report.
Production Ramp and Delivery Results
The next clear measure will be Rivian’s fourth-quarter delivery report, which will show whether its R2-led production ramp was enough to meet the revised annual guidance. Investors and customers will also be watching whether the company can increase output from the second shift and bring the planned Premium trim to market on the stated schedule.
Rivian has said it expects production to rise over the coming quarters and aims to end the year with positive automotive gross margin. The company’s reported results will determine whether those targets are being met; the source provides no specific date for its next delivery update.
Key Questions
What changed in Rivian’s delivery forecast?
Rivian raised the baseline of its annual delivery target from 65,000 to 67,000. The upper end remains 70,000 vehicles.
Why did Rivian raise its guidance?
The company said the R2 became its best-selling vehicle by volume in the third quarter and reported 19,751 total deliveries. It also said it had begun a second R2 production shift.
How many vehicles must Rivian deliver in the fourth quarter to meet the low end?
According to the source report’s calculation, Rivian needs at least 25,193 fourth-quarter deliveries to reach 67,000 for the year.
Is Rivian profitable?
No. Rivian reported a $913 million net loss for the third quarter, although that was smaller than its $1.17 billion loss in the same period a year earlier.
What R2 versions are planned?
The Performance Launch Edition started at just under $60,000. Rivian said a $53,990 Premium model is due this year and a $44,990 Standard version is planned for 2027; the report does not provide updated schedules beyond those statements.
Source: insideevs.com
