"Rivian's fourth-quarter and full-year earnings did precisely that. My takeaway: Software, and specifically its technology joint venture with Volkswagen Group, was the company's savior in 2025. It will also buoy the company into 2026 (another $2 billion is expected from VW Group) as Rivian launches its most important product to date: the lower-cost R2 SUV. The company's earnings also provided a progress report on its bid to lower the cost of goods sold per unit."
"The TL;DR is that the cogs per unit for its current portfolio is still high but dropping, meaning it's losing less on each vehicle it sells. According to Rivian, the company's automotive cogs per unit delivered was $100,900 in 2025, down from $110,400 in 2024. The upcoming R2, which is supposed to be considerably cheaper (both in production cost and price tag) than its flagship R1T truck and R1S SUV, will be the next big test."
Software revenue from a technology joint venture with Volkswagen Group provided critical financial support in 2025 and is expected to deliver another $2 billion in 2026. Automotive cost of goods sold per unit declined from $110,400 in 2024 to $100,900 in 2025, indicating smaller losses per vehicle. The lower-cost R2 SUV is slated for first-half 2026 production and represents a major product milestone. Rivian projects 62,000–67,000 vehicle deliveries in 2026, up to a 59% increase over 2025's 42,247 deliveries. Market reaction lifted the stock 27% after the guidance.
Read at TechCrunch
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