Rivian Cash Burn

About Rivian Cash Burn

Rivian Automotive burned over 6 billion in cash in 2022 alone. The company had raised approximately 13.5 billion in its November 2021 IPO, the largest IPO of 2021. Rivian produced approximately 20,000 vehicles in 2022, below targets. Amazon, a major investor, ordered 100,000 electric delivery vans. Ford, an early investor, sold most of its stake. The stock fell from 179 at IPO to under 20. CEO RJ Scaringe faced questions about whether Rivian could achieve profitability. Rivian paused plans for a new Georgia factory. The company raised additional funding from Volkswagen, which invested 5 billion in a joint venture. Despite the challenges, Rivian survived unlike many EV peers. The case illustrates the massive capital requirements of automotive manufacturing.