Lucid Cuts Workforce
EV startup trims costs in restructuring plan
Lucid delivered significantly fewer units than it produced in the fourth quarter.
IMAGE: Lucid
Electric-vehicle startup Lucid is laying off 1,300 employees, or 18%, of its workforce.
The luxury sedan maker and other EV startups have been challenged by the increasingly competitive EV market, where legacy brands are gaining share and market leader Tesla started a price war by cutting its model prices after the new year.
Lucid’s orders fell steeply in the fourth quarter, when it delivered significantly fewer units than it produced: 3,493 compared to 1,932 delivered. It 2023 production guidance tops out at 14,000 vehicles, far short of analyst expectations.
"As we look ahead to 2023, we'll continue to focus on strong capital discipline, leaving no stone unturned for every cost optimization,” said Chief Financial Officer Sherry House in a statement on fourth-quarter and 2022 results and its 2023 forecast.
“We are proud of our technology and product achievements. We're gearing for growth, while simultaneously taking a comprehensive look at reducing costs, and I'm very excited about the opportunities that lie ahead of us."
Originally posted on Auto Dealer Today
More Showroom
Inventory Holds Steady
September new-vehicle inventory rose slightly month-over-month, but dealer lots are laden with MY2026 vehicles as the typical model year changeover trudges along.
Read More →
October Auto Sales Fall With the Leaves
A forecast anticipates retail deliveries are down this month as consumers continue to face cost challenges, though more are tapping long loans in order to buy.
Read More →
California Sees Quarterly Gains
California’s new-vehicle market saw a boost in hybrids in the third quarter and its first overall quarterly market gain of the year.
Read More →
New-Vehicle Prices Stay Put
Affordability pressures and model availability shaped new-vehicle sales in September, according to an analysis by Kelley Blue Book.
Read More →
EV Buyer Consideration Shifts
What drives American consumers to purchase an electric vehicle is shifting as the question moves away from Should I?' to 'Which features and experience do I want to have?'
Read More →
Year-to-Date Auto Sales Holding Their Own
A forecast through August shows that automakers have shifted strategies to keep deliveries and revenues up despite tariffs and other economic challenges.
Read More →
Slow to Robo
Ten years of polling consumers shows autonomous vehicles’ profiles have risen considerably, but even more people now want at least some level of control if they go that route.
Read More →
Dealers a Little Down
A third-quarter Cox Automotive survey finds them in a mixed mood, bummed by fallen customer traffic but encouraged by better profits, costs and EV interest.
Read More →
European EV Sales Skyrocket
The EV market on the continent held strong in July with almost 25% of new-car sales being fully electric units, a stark contrast to the U.S., where EV sales declined about 42%.
Read More →
Mitsubishi Unveils U.S. Plan
The automaker announced a strategy that includes an expanded lineup and dealership presence, along with more ‘rugged’ and electric models.
Read More →