Lucid Group’s vehicle production and deliveries, during the second quarter of 2023, significantly increased year-over-year, but compared to the previous quarter, there is no growth.
Lucid Air production in Q2 2023 amounted to 2,173 cars, which is 204 percent more than a year ago. Meanwhile, customer deliveries amounted to 1,404 (up 107 percent year-over-year).
Those results look outstanding, as long as we don’t realize that in both cases they are lower than in Q1 and in Q4 2022. Actually, we are talking about two consecutive quarters of decline in production and deliveries.
The question is whether it’s still a seasonal thing (there was a strong push in late 2022) or if there is something worrying going on. One thing that we know for sure is that Rivian’s growth rate in the same time frame is much more consistent (both start-ups launched their first products at about the same time).
Lucid Q2 2023 results:
- Production: 2,173 (up 204% year-over-year)
- Deliveries: 1,404 (up 107% year-over-year)
Another thing is the ongoing disproportion between production and deliveries, which amounted to some 769 units in Q2 and almost 4,500 in the past six quarters. One might ask, are those cars in transit to customers or waiting for orders?
So far this year, Lucid produced 4,487 and delivered 2,810 cars, which is significantly more than a year ago.
Lucid YTD 2023 results:
- Production: 4,487 (up 219% year-over-year)
- Deliveries: 2,810 (up 170% year-over-year)
For reference, in 2022, Lucid delivered 4,369 electric cars and produced 7,180. Cumulatively, Lucid delivered 7,304 electric cars, compared to more than 11,700 produced.
In its Q4 2022 financial report, Lucid announced a production volume guidance for 2023 of 10,000-14,000 vehicles (2,500-3,500 per quarter on average).
In March, we heard that Lucid will lay off 1,300 people, or 18 percent of the total number. On May 8, 2023, the updated production volume guidance was “more than 10,000 vehicles:”
“Production of more than 10,000 vehicles, with company-wide initiatives ongoing that will enable Lucid to pivot to higher volumes as market conditions allow”
The next update related to the production volume is expected on August 7, 2023, when the company will discuss its second quarter financial results.
However, things are not going as well as initially anticipated. Lucid hoped to reach a level of 20,000 units in 2022 (later reduced to 12,000-14,000 and 6,000-7,000).
One thing that can’t be neglected is that while Lucid is working to improve its results, its competitors in the luxury segment, like Mercedes-Benz and BMW, are quickly increasing all-electric car sales (both above 10,000 units per quarter in Q2).
