Lucid Gravity Sales Soar as Tax Credit Ends
▼ Summary
– Lucid Motors achieved record third-quarter deliveries of 4,078 vehicles, likely driven by Gravity SUV rollouts and expiring EV tax credits.
– The company has seen seven consecutive quarters of sales growth but remains far below its 2021 public offering projections.
– Lucid is expanding its market focus, building over 1,000 vehicles for Saudi Arabia where it operates an assembly facility.
– The company secured future demand through a deal with Uber for at least 20,000 Gravity SUVs to be used as robotaxis.
– Lucid has addressed marketing challenges by hiring a global ambassador and previously relied on rental sales and corporate leases.
Lucid Motors achieved a significant milestone in the third quarter, delivering a record 4,078 vehicles as the federal EV tax credit approached its expiration date. This surge appears driven by the introduction of more Gravity SUVs and a last-minute rush from customers eager to secure the financial incentive. While the luxury electric vehicle maker, backed by Saudi ownership, continues to fall short of the ambitious targets set during its 2021 public offering, which raised $4 billion, it has demonstrated consistent growth. The latest figures represent the seventh straight quarter of rising deliveries, underscoring a positive trend for the automaker.
The third quarter proved favorable across the electric vehicle sector. Tesla posted its strongest quarterly performance ever, while established manufacturers like Ford and General Motors also reported substantial gains. Even Rivian, which anticipates lower annual delivery totals compared to previous years, experienced an uptick during this period. For Lucid, the precise effect of the expiring tax credit remains difficult to measure, since only leased vehicles qualified for the benefit. Additionally, the company has not disclosed how many of the deliveries were Gravity SUVs versus its Air sedan model. Investors and industry watchers await Lucid’s full financial report, scheduled for release on November 5.
Since its market debut, Lucid has faced challenges in building consumer awareness for its high-end electric cars. Former CEO Peter Rawlinson publicly acknowledged the need for a stronger marketing push. In response, the company recently signed actor Timothée Chalamet as its inaugural global brand ambassador. Beyond direct consumer sales, Lucid has also relied on rental agreements and corporate leasing programs to bolster its numbers in certain quarters.
Saudi Arabia, which holds approximately 60% of Lucid through its sovereign wealth fund, is becoming an increasingly important market. The automaker announced it produced over 1,000 vehicles tailored specifically for Saudi customers. Lucid currently runs an assembly plant in the Kingdom and has plans to establish a full-scale manufacturing facility there in the future.
Looking ahead, Lucid has secured a major future order from an unexpected partner: Uber. The ride-hailing giant revealed last month its intention to purchase at least 20,000 Gravity SUVs over the next six years, with plans to deploy them as robotaxis. To support this initiative, Lucid will collaborate with autonomous vehicle technology firm Nuro to integrate self-driving capabilities into the Gravity models.
(Source: TechCrunch)
