Rivian’s pre-market declines due to delivery failure in the fourth quarter By Investing.com

© Reuters Rivian (RIVN) suffered a pre-market price drop following fourth-quarter delivery failures.

rivian cars (NASDAQ:) shares fell nearly 6% in pre-market trading after the company released its latest quarterly production and delivery figures.

Rivian reportedly delivered 13,972 vehicles during the quarter, 10% fewer than the previous three months and short of the 14,430 expected. This decline is partly due to rising interest rates, which will increase the monthly cost of electric vehicles, impacting their affordability.

Moreover, Rivian’s R1T pickup truck, which starts at $73,000, faces stiff competition from Tesla’s Cybertruck, which was unveiled in late November.

Despite these challenges, Rivian produced 17,541 vehicles in the final quarter of the year, up 7.5% from the previous quarter. Remarkably, throughout 2023, the company manufactured 57,232 vehicles and delivered 50,122, surpassing its 2023 annual production target of 54,000 vehicles.

The company is scheduled to release its fourth quarter 2023 financial results after markets close on February 21. Rivian will also host an audio webcast the same day at 5 p.m. to discuss its performance and future business outlook.

Shares of RIVN fell 5.8% in premarket trading Tuesday morning.