The company said it is dealing with the serious supply chain problems that have disrupted other automakers' production as well. It stopped production at times during the quarter, as well as scale back its production target to 6,000 to 7,000 vehicles this year, down from its previously stated goal of 12,000 to 14,000 vehicles.
The company said it was able to ship 1,400 cars during the first half of the year. During the quarter it held back shipments of a large number of cars to ensure that these cars met the highest standard of quality. According to Lucid CEO Peter Rawlinson, quality must be a priority over volume as a luxury brand.
Some automakers have temporarily shut down production lines due to chip shortages, but they have also kept factories humming by removing certain features like heated seats.
Lucid reported an adjusted net loss of $555.3 million, better than the forecast of $619 million from analysts surveyed by Refinitiv, and better than its $604.6 million loss in the first quarter. Revenue was $97.3 million. The number of orders it has for its cars has risen to 37,000 from the 30,000 orders it had at the end of last year. Lucid Air won the MotorTrend Car of the Year award last year, and the cars of the company have gotten some top awards. The dream edition of the car can go an industry-best 520 miles on a single charge, but it has already declined 46% this year, with Thursday's drop only adding to the decline. Through Wednesday's close, butshares had already fallen 46% this year, with Thursday's drop adding to the decline.