Rivian posts $2.16 billion Q3 revenue and record deliveries, but free cash flow falls to -$1.12 billion

Revenue climbs, cash burn climbs faster

Rivian reported Q3 2026 revenue of $2.16 billion, up 38.3% year on year, but free cash flow came in at -$1.12 billion, compared with -$421 million in the same quarter last year ^[1]. If you own the stock or follow the R2 launch, the quarter shows growth and heavy spending together.

Adjusted EBITDA was -$435 million, a -20.2% margin, and the net loss was -$913 million ^[1][2]. Shares rose 4.8% to $12.05 immediately after the release ^[1].

Records on the factory floor

Rivian built 19,751 vehicles and delivered 19,248 in the quarter, both records ^[2]. Sales volumes rose 45.8% year on year ^[1]. The deliveries figure beat the roughly 18,000 that Wall Street expected ^[3].

The R2 was the best-selling vehicle by volume, ahead of the R1 and the Amazon van, in its first full quarter of deliveries ^[2]. Rivian added a second R2 production shift in Normal, Illinois, and demo drives rose to over 103,000 in Q3 from 57,000 in Q2 ^[2]. CEO RJ Scaringe said customer and media feedback on R2 has been exceptional ^[1].

Why the automotive segment still loses money

The automotive segment posted an $80 million gross loss, a -5% margin ^[2]. Rivian attributes about $120 million of extra cost of revenue to the R2 ramp, compared with production at more normalized levels ^[2].

Results also included $81 million in regulatory credit revenue and an IEEPA tariff refund receivable ^[2].

Software and services lean on Volkswagen

The software and services segment generated $605 million in revenue and $256 million in gross profit, a 42% margin ^[2]. Of that revenue, $354 million (59%) came from the joint venture with Volkswagen Group ^[2].

Rivian expects to recognize the Volkswagen-related revenue through about mid-2028 ^[2]. The venture was formed in November 2024 at $5.8 billion and diluted shareholders ^[1].

Guidance, liquidity and the Georgia plant

Rivian's 2026 adjusted EBITDA guidance is -$1.85 billion to -$1.75 billion, improved by $100 million at the midpoint ^[2]. The -$1.8 billion midpoint is above analysts' consensus of -$1.89 billion ^[1]. Capital expenditure guidance is $1.40 billion to $1.50 billion, down $300 million at the midpoint ^[2].

Rivian ended Q3 with $5.502 billion in cash, or $7.095 billion in total liquidity including its credit facility and a $1 billion term loan Volkswagen funded in October ^[2]. Phase 1 of the Georgia plant is supposed to add 300,000 units of annual capacity for R2 and R3 and is still under construction ^[2].

Autonomy plans and the Uber milestone

Rivian plans a limited invitation-only early access rollout of Point to Point driving later in 2026, with general release to Autonomy+ subscribers in 2027 ^[2]. An Uber milestone expected by year-end would unlock another $250 million equity investment ^[2].