Toronto, Ontario — Toyota and Subaru make a pact in the name of battery-powered vehicles, while Rivian beats out analyst estimates despite wider-than-anticipated losses-per-share in this weekly Tuesday Ticker.
Partners in power
Toyota will aid Subaru in manufacturing three new electric vehicles for the latter OE over the next two years, the companies announced Monday morning.
“It is quite difficult to predict how things will go from here with EVs. There is a huge risk for us to go it alone in this field,” said Subaru CEO Atsushi Osaki. “We have had talks with Toyota and have agreed it is better to reduce risks through joint development.”
According to the companies ‘ announcement, the three new vehicles will be crossovers.
Toyota and Subaru are not strangers to collaborations together. The two OEMs have worked together since 2005 and have produced two sportscar models—the Toyota GT86 and the Subaru BWZ, both launched in 2012. They announced a deeper partnership exploring battery electric vehicles in 2019.
Subaru also revealed its 2023 fiscal performance while discussing the partnership. The OEM saw annual net income nearly double last year, reaching US2.5 billion.
Rivian’s revenues
Electric automaker Rivian revealed its Q1 2024 results last week. The OEM beat out analyst estimates on revenue, but fell short on earnings with wider-than-expected losses.
Rivian said 13,588 units were delivered between Q4 2023 through the end of Q1 2024; the OEM said the “flat” numbers due to plant shutdowns at its Normal, Ill. factory, amid other headwinds. Even still, Rivian delivered 71 percent more vehicles in the period, compared to the same quarter last year.
Analysts had predicted revenues of US$1.175 billion with a loss of US$1.15 per share. In actuality, Rivian reported revenues of US$1.204 billion and a US$1.48 loss per share. Revenue improved 82 percent year-over-year.
As of Monday at 2:30 p.m., shares of Rivian traded at US$11.06 per share, down 47.57 percent year-to-date.
