Lucid (LCID) CEO Peter Rawlinson is passing the baton simply because the EV maker enters a vital progress part. After over a decade on the helm, Rawlinson stated it’s the proper time to step apart. Following the sudden announcement, Lucid’s inventory fell over 12% on Wednesday. Regardless of this, Lucid expects 2025 will nonetheless be certainly one of its largest to this point.
Rawlinson will turn out to be a strategic technical advisor to the chairman of the board with Marc Winteroff, Lucid’s chief working officer, serving as interim CEO.
“Now that we have now efficiently launched the Lucid Gravity, I’ve determined it’s lastly the proper time for me to step apart from my roles at Lucid,” Rawlinson, who led the corporate for the previous 12 years, stated in an announcement on Tuesday.
The sudden departure comes after Lucid started delivering its first electrical SUV, the Gravity, in December. With the Gravity efficiently launched, Rawlinson stated it’s “lastly the proper time for me to step apart.”
Is it the proper time? Lucid is getting into an inflection level because it ramps up Gravity output this yr. Like different EV startups together with Rivian (RIVN), and actually any automotive maker proper now, Lucid is aggressively slicing prices to spice up earnings.
Lucid nonetheless has large plans for 2025. The corporate expects to produce 20,000 autos this yr, greater than double the roughly 9,000 it inbuilt 2024.
Accelerating progress in 2025
Though no supply or gross sales steering was provided, the corporate stated it’s going to “proceed to prudently handle and alter manufacturing to satisfy gross sales and supply wants” in 2025.
After 4 consecutive document quarters, Lucid delivered 10,241 autos final yr, up 70% (6,001) from the yr prior. Within the remaining three months of 2024, Lucid delivered practically 3,100 alone.
| This fall 2022 | Q1 2023 | Q2 2023 | Q3 2023 | Full-year 2023 | This fall 2023 | Q1 2024 | Q2 2024 | Q3 2024 | This fall 2024 | Full-year 2024 | |
| Lucid EV deliveries by quarter | 1,932 | 1,406 | 1,404 | 1,457 | 6,001 | 1,734 | 1,967 | 2,394 | 2,781 | 3,099 | 10,241 |
With its electrical SUV hitting the market, Lucid has excessive hopes for 2025. Within the coming weeks, Winterhoff defined on the corporate’s earnings name that Lucid expects “nearly all of our studios to have showroom and take a look at drive” Gravity fashions.
After opening in November, orders for the Gravity Grand Touring in November have “exceeded expectations.” Though no particular numbers had been talked about, Winteroff stated Gravity orders “are exceeding the Air Grand Touring by far” within the US. The electrical SUV is now accessible in Canada and Saudi Arabia.
In accordance with Lucid, 75% of Gravity orders are new to the model. And that is with “very restricted advertising” which Lucid will ramp up all year long.
Though others, like Ford, cancelled plans for a three-row electrical SUV, Lucid believes its know-how provides it a bonus.
Winteroff defined on the decision that “others are transferring away from bigger 3-row SUVs as a result of it’s difficult to create an SUV with a number of house with out sacrificing vary or having a big battery pack,” making it much less worthwhile and, due to this fact, much less engaging to construct.
Lucid inventory slips following CEO departure, This fall earnings
Lucid reported This fall income of $234.5 million, up 50% from the yr prior. The corporate additionally narrowed working losses to $732.95 million regardless of the upper output within the quarter.
The corporate ended 2024 with round $6.13 billion in liquidity, which Lucid stated is sufficient to fund it by the second half of 2026, when it plans to launch its first midsize EV.
Lucid confirmed plans to launch three midsize autos, with the primary set to start out manufacturing in late 2026. Rawlinson stated earlier this month that when the midsize EVs arrive, it is going to be “lastly after we compete straight with Tesla.”
The corporate confirmed it has signed off on the superior engineering part of two of the midsize fashions, that are anticipated to be a Tesla-rivalling electrical sedan and SUV.
Final yr, Rawlinson boasted that the new midsize fashions are aimed “proper within the coronary heart of Tesla Mannequin 3, Mannequin Y territory” with beginning costs round $50,000.
With a few of the most superior EV powertrain tech, Lucid has one other important alternative over the subsequent few years.
Lucid is increasing its tech license enterprise. After securing a tech partnership with Aston Martin in 2023 to provide its proprietary “Wunderbox” powertrain tech, Rawlinson just lately hinted the corporate was in talks with a number of automakers over comparable offers.
Winterhoff confirmed on the decision that Lucid is “anticipating offers to shut quickly,” however didn’t provide any further particulars.
The 2025 Lucid Air is already thought of the “world’s best automotive” with a document 5 miles/kWh. Nevertheless, the brand new midsize fashions can be powered by Lucid’s Atlas powertrain, which Rawlinson claimed is “an absolute breakthrough” when it comes to effectivity and price discount.
Regardless of the upbeat outlook, Lucid’s inventory fell over 12% on Wednesday following the CEO transition. Lucid shares are down 25% over the previous yr and round 65% since 2023.
Even with the CEO transition, Lucid has large ambitions over the subsequent few years. What are your ideas on the shakeup? Tell us within the feedback.
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