10-Q · April 30, 2026
Rivian's Q1 2026 financial results showed a revenue of $1.381 billion, surpassing estimates of $1.368 billion, while EPS of -$0.33 was an improvement over the anticipated -$0.72. Segment growth was highlighted by…
Earnings analysis · 10-Q
RIVN earnings analysis
Filed October 29, 2026 · Our reading of the company's report
The latest report
Rivian delivered strong top-line growth, with Q3 revenue up 38% year over year to $2,155 million and Software and Services gross profit reaching $256 million. Automotive losses narrowed and reported EPS improved to…
Read full summary
Rivian delivered strong top-line growth, with Q3 revenue up 38% year over year to $2,155 million and Software and Services gross profit reaching $256 million. Automotive losses narrowed and reported EPS improved to $(0.63), but consolidated gross margin declined sequentially to 8.2% and the company remained deeply loss-making. Liquidity was $6,095 million, supported by substantial equity financing, while nine-month operating cash flow of $(1,948) million and $1,100 million of capex highlight continued funding needs.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
Reported figures
- Earnings per share
- $-0.63
What stood out
-
Revenue growth accelerated
Revenue increased to $2,155 million from $1,558 million in the prior-year quarter, a 38% increase, and rose from $1,660 million in Q2 2026. Gross profit increased to $176 million from $24 million year over year, although gross margin was 8.2% versus 10.8% in Q2.
-
Automotive losses narrowed
Automotive revenue rose 36% year over year to $1,550 million, supported by deliveries of 19,248 vehicles, up 46% from 13,201. Automotive gross loss narrowed to $(80) million from $(130) million, despite $120 million of incremental R2 ramp costs in the quarter.
-
Software drives gross profit
Software and Services revenue increased 45% to $605 million, while gross profit rose 66% to $256 million from $154 million. Management attributed growth to Volkswagen-related software development services, vehicle repair and maintenance, and the Autonomy+ offering launched in April 2026.
-
Operating leverage improved
Operating loss improved to $(881) million from $(983) million year over year, with operating margin improving to negative 40.9% from negative 63.1%. Reported diluted EPS improved to $(0.63) from $(0.96).
-
Liquidity remains substantial
The company ended September with $3,509 million of cash and cash equivalents and $1,993 million of short-term investments, or $5,502 million combined. Including $593 million of ABL availability, management reported total liquidity of $6,095 million and stated it expects liquidity to cover at least the next 12 months.
-
Capital access offset cash burn
Nine-month operating cash flow was $(1,948) million and capital expenditures were $1,100 million, implying approximately $(3,048) million of nine-month cash flow after capex. Financing provided $2,646 million, including $1,317 million from the July equity offering, $1,000 million from Volkswagen equity issuance, and $300 million from Uber.
What to watch
-
R2 ramp continues to pressure margins
Automotive gross loss remained $(80) million in Q3, and management recorded $120 million of incremental cost of revenues from the R2 ramp. The company also expects short-term higher conversion costs, depreciation, lower overhead absorption, and warranty expenses as R2 production scales.
-
Large losses and cash consumption
Nine-month net loss was $(2,160) million and operating cash flow was $(1,948) million. Cash and short-term investments declined to $5,502 million from $6,082 million at December 31, 2025, while inventory increased to $1,779 million from $1,594 million to support the R2 launch.
-
AI and autonomy costs may rise
The filing adds or expands risks from AI and autonomy investment: R&D expense increased to $485 million in Q3 and management expects continued increased R&D spending for the autonomy roadmap. The company also warns that AI compute, memory, hardware, and power capacity may require premium pricing and may be delayed.
-
New JV debt adds obligations
The company received $1,000 million of JV loan proceeds on October 7, 2026, bearing fixed interest of 6.03% on the loan to the Joint Venture Equityholder. The filing states that the JV loan contains restrictive covenants and is secured by Rivian's equity interests in the Joint Venture.
-
Incentive and credit revenue uncertainty
Government incentive risk increased as certain EV tax credits were modified, challenged, or phased out, while regulatory-credit revenue rose to $81 million in Q3 from $1 million. Management states that the ability to continue earning and selling such credits is uncertain.
-
Amazon concentration persists
Customer concentration remains material: Amazon generated $596 million of Q3 revenue, equal to approximately 28% of total revenue, and its uncollected receivable was $146 million at September 30, 2026. The EDV agreement has no minimum purchase requirement and Amazon may purchase fewer vehicles or delay deliveries.
Management's outlook
The 10-Q does not provide explicit numeric revenue or EPS guidance. Management expects automotive gross-profit losses to improve on a per-vehicle basis over the next several quarters and expects to recognize Volkswagen-related software and services revenue through approximately mid-2028. Liquidity is expected to be sufficient for at least the next 12 months based on $6,095 million of total liquidity.
Earlier filings 1
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.