Rivian Automotive reported its fourth quarter and full year 2025 financial results on February 12. The company achieved $144 million in consolidated gross profit for the year. That marks a $1.3 billion improvement over 2024’s gross loss of $1.2 billion. However, full-year net losses remained substantial at $3.6 billion.
Highlights
- Rivian delivered 42,247 vehicles in 2025 and produced 42,284 units at its Normal, Illinois facility.
- Full-year consolidated revenue rose 8% year-over-year to $5.39 billion, driven by a 222% surge in software and services income.
- The Volkswagen Group joint venture fueled software and services gross profit of $576 million, up from $7 million in 2024.
- First R2 customer deliveries remain on track for Q2 2026, with manufacturing validation builds completed in January.
Q4 2025 Revenue and Gross Profit
Rivian’s fourth quarter revenue totaled $1.29 billion. That represents a decline from $1.73 billion in Q4 2024. Automotive revenue fell 45% year-over-year to $839 million. The company attributed the drop to three factors:
- A $270 million decrease in regulatory credit sales
- Lower vehicle deliveries tied to the expiration of tax credits
- A lower average sales price from a higher mix of EDV deliveries
Software and services revenue partially offset that decline. It reached $447 million in Q4, a 109% increase over the prior year. Revenue growth in this segment came primarily from vehicle electrical architecture and software development services through the Volkswagen Group joint venture. Increases in vehicle remarketing and repair services also contributed.
Consolidated gross profit for Q4 was $120 million. Automotive operations posted a $59 million gross loss, compared to a $110 million profit in Q4 2024. The swing was largely due to the regulatory credit shortfall. Meanwhile, software and services gross profit tripled to $179 million.
Full-Year 2025 Financial Performance
For the full year, consolidated revenue reached $5.39 billion. That was up from $4.97 billion in 2024. Automotive revenue declined 15% to $3.83 billion. The company cited $134 million in lower regulatory credit sales and reduced deliveries. Higher average selling prices and a greater mix of R1 deliveries partially offset the decline.
Software and services revenue surged 222% to $1.56 billion. The Volkswagen Group partnership was the primary driver. Increased remarketing sales and vehicle repair services also played a role.
The full-year gross profit of $144 million reflected gains across several areas:
- Software and services gross profit of $576 million, up from $7 million in 2024
- Higher average selling prices across the vehicle lineup
- Reductions in per-vehicle manufacturing costs
Automotive operations still posted a $432 million gross loss for the year. However, that was a significant improvement from 2024’s $1.21 billion automotive gross loss.
R2 Launch Progress and Autonomy Developments
R2 manufacturing progress remains on schedule. Rivian completed its first R2 manufacturing validation builds in mid-January using production tools and processes. The launch variant will be a Dual-Motor AWD configuration. The company plans to share additional product details on March 12. Customer deliveries are expected in Q2 2026.
At its inaugural Autonomy & AI Day in December 2025, Rivian unveiled several technology initiatives:
- RAP1 Autonomy Processor — The company’s first in-house custom chip, designed to support multi-modal AI in physical-world applications.
- Third-generation autonomy platform — Expected to combine sensors and inference compute for R2 in late 2026.
- Universal Hands-Free (UHF) — An assisted driving feature now available across 3.5 million miles of roads in the U.S. and Canada for second-generation R1 vehicles. Customer usage doubled in the weeks following launch.
- Rivian Assistant — A next-generation voice interface using an in-house agentic AI framework, expected to launch on all consumer vehicles in early 2026.
Commercial Infrastructure and 2026 Outlook
Rivian continues to expand its retail and service network ahead of R2 deliveries. The company now operates 36 retail spaces and 97 service locations. Additionally, nearly 700 mobile service vehicles handle the majority of customer appointments.
For 2026, Rivian issued the following guidance:
- Vehicle deliveries: 62,000 to 67,000 units
- Adjusted EBITDA: $(2.10) billion to $(1.80) billion
- Capital expenditures: $1.95 billion to $2.05 billion
The company ended 2025 with $6.08 billion in cash, cash equivalents, short-term investments, and restricted cash. That was down from $7.70 billion at the end of 2024. Free cash flow was negative $1.14 billion in Q4 and negative $1.49 billion for the full year.
CEO RJ Scaringe noted that 2025 was a year of execution and foundation-building. Additional information is available at rivian.com/investors.
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