STORY: Shares of Rivian Automotive jumped on Friday, a day after the electric-vehicle maker reported better-than-expected second quarter revenue.
Still, the young company also forecast a wider operating loss for the year and said many of its current models will not qualify for new federal tax incentives, after the U.S Senate passed an energy and climate bill that provides billions in funding for EV production.
But CEO R.J. Scaringe told analysts on a conference call after the release of quarterly earnings that Rivian could qualify for subsidies of up to $40,000 per vehicle for large electric commercial vans similar to the ones it is building for Amazon, which has a roughly 18% stake in the company.
Scaringe also said Rivian's smaller, less expensive R2 line of consumer vehicles, due out in 2025, should also qualify for tax credits.
Rivian built fewer than 7,000 vehicles in the first half of the year, but reaffirmed its full-year target of 25,000 vehicles.
In the second quarter, Rivian delivered nearly 4,500 vehicles, up from about 1,200 in the previous three months.