Lucid misses Wall Street’s earnings expectations, expands loan from Saudi Arabia fund

Summary

• Lucid Group missed Wall Street's third-quarter expectations for revenue & loss per share while continuing an operational reset to cut costs & narrow losses.
• The company announced a $1.75 billion increase in a delayed draw term loan from Saudi Arabia's Public Investment Fund.
• Third-quarter loss per share was $2.74 compared to an expected loss of $2.28.
• Third-quarter revenue was $350 million compared to an expected $407 million.
• Adjusted EBITDA loss was $726 million, which exceeded the expected loss of $611 million.
• Net loss for the quarter was $830.9 million, down from $978.4 million in the same period last year.
• CEO Silvio Napoli announced a restructuring plan in June that includes cost-cutting efforts & delays the midsize vehicle launch to the second half of next year.
• The turnaround plan targets $1.4 billion in cash flow improvements this year & focuses on a robotaxi program with Uber & Nuro, a Saudi factory, & the midsize vehicle.
• The new funding boosts total liquidity to $3.75 billion, up from $2 billion at the end of the third quarter.
• The capital is expected to assist in funding operations & key investments through the fourth quarter of 2027, including midsize vehicle production.
• Lucid expects to communicate its midterm plan & targets early next year after suspending guidance in May.