Rivian Automotive, Inc. stock research
FY2023 Q4
Rivian Automotive (RIVN) Gross Margin — Quarter Ended Dec 31, 2023
The quarter's gross margin was negative, reflecting cost of revenue exceeding revenue. Compared to the immediately preceding quarter, revenue was stable while cost of revenue was higher, resulting in a larger gross loss and a more negative margin. Compared to the same quarter one year earlier, revenue was higher, cost of revenue was higher, but the margin was less negative.
Gross margin takeaway
Quarter ended Dec 31, 2023 · FY2023 Q4
The quarter's gross margin was negative, reflecting cost of revenue exceeding revenue. Compared to the immediately preceding quarter, revenue was stable while cost of revenue was higher, resulting in a larger gross loss and a more negative margin. Compared to the same quarter one year earlier, revenue was higher, cost of revenue was higher, but the margin was less negative.
- The strongest observable margin driver is the year-over-year change in revenue relative to cost of revenue, with revenue increasing more than cost of revenue, leading to a narrower gross loss.
- Sequentially, gross margin weakened; year over year, gross margin improved.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
-46.1%
Gross profit
-$606.0M
Revenue
$1.3B
Cost of revenue
$1.9B
Quarter-over-quarter change
-10.4 pts
Year-over-year change
+104.7 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Mar 31, 2023 | $661.0M | -$535.0M | $1.2B | -80.9% |
| Jun 30, 2023 | $1.1B | -$412.0M | $1.5B | -36.8% |
| Sep 30, 2023 | $1.3B | -$477.0M | $1.8B | -35.7% |
| Dec 31, 2023 | $1.3B | -$606.0M | $1.9B | -46.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2023
-10.4 pts
Year-over-year change
Dec 31, 2022
+104.7 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the year-over-year change in revenue relative to cost of revenue, with revenue increasing more than cost of revenue, leading to a narrower gross loss.
Sequentially, gross margin weakened; year over year, gross margin improved.
Monitor the trend in cost of revenue, as it increased sequentially while revenue held steady.