Electric carmaker Lucid to sell Saudi EVs next year

[californiaboy935]

Electric carmaker Lucid to sell Saudi EVs next year — Semafor

The announcement marks a shift from assembling imported kits to selling fully Saudi-made cars

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Exciting news, Lucid ramping production for world export and Saudi is going to really increase sales. Hoping the stock responds well to this news!

 

[californiaboy935]

I find it really interesting that the market is pricing in Lucid’s need to raise capital as a “may or may not happen” kind of thing when Saudi is obviously heavily invested. And in a position to provide that liquidity (through loans or investment). News like the above and the many Saudi members of this form show me that Saudi is heavily invested in Lucid and has the brand as a source of pride for Saudi.

I can think of few things barring global calamity that could cause them to not invest the capital Lucid will need to spin up midsize. Which is the road to profitability for any vehicle manufacturer.

Also, Marc Winterhoff stating “it tells you something… 20,000 is the starting point. The Sky’s the limit” in regards to the Uber Neuro deal shows you that they have different avenues to profitability. It is “Lucid Group, Inc.” after all. Not ‘Lucid Automobile Manufacturers’

 

[illopp00]

Yeah I mean contrary to just about every other EV startup or EV maker out there; Lucid has business contracts to deliver 100K vehicles to the Saudi Govt AND 20K vehicles to Uber. This is basically a hard floor. And yes, the Saudi factory has been developing to deliver full production vehicles which will hopefully make the cars cost and price more competitive overseas, rather than US export...

 

[californiaboy935]

Yeah I mean contrary to just about every other EV startup or EV maker out there; Lucid has business contracts to deliver 100K vehicles to the Saudi Govt AND 20K vehicles to Uber. This is basically a hard floor. And yes, the Saudi factory has been developing to deliver full production vehicles which will hopefully make the cars cost and price more competitive overseas, rather than US export...

And even as a US Export the EU sales have been increasing. Munich Lucid event looked fire hearing buzz from my overseas friends that the Gravity fits the needs of a lot of normally SUV averse EU customers.

 

[illopp00]

That being said, Saudi will pressure Lucid to get much more capital efficient going forward, revenue from Oil is down quite drastically this year due to the prices. So, they may have to use a combination of dilution and debt...

 

[californiaboy935]

That being said, Saudi will pressure Lucid to get much more capital efficient going forward, revenue from Oil is down quite drastically this year due to the prices. So, they may have to use a combination of dilution and debt...

Eh, Saudi reserves can stomach price fluctuations. I wouldn’t worry about that. Capital efficiency is always at the forefront of Lucid’s mind. In some ways I want them to spend more.

If the R&D burn rate is cut I’d be very disappointed. Lucid needs to remain on the cutting edge.

“Age of Electric Vehicles”

 

[gaskiller]

I find it really interesting that the market is pricing in Lucid’s need to raise capital as a “may or may not happen” kind of thing when Saudi is obviously heavily invested. And in a position to provide that liquidity (through loans or investment). News like the above and the many Saudi members of this form show me that Saudi is heavily invested in Lucid and has the brand as a source of pride for Saudi.

I can think of few things barring global calamity that could cause them to not invest the capital Lucid will need to spin up midsize. Which is the road to profitability for any vehicle manufacturer.

Also, Marc Winterhoff stating “it tells you something… 20,000 is the starting point. The Sky’s the limit” in regards to the Uber Neuro deal shows you that they have different avenues to profitability. It is “Lucid Group, Inc.” after all. Not ‘Lucid Automobile Manufacturers’

If the initial 20k Uber Gravity robotaxis work out, I expect at least another 100k order from Uber. I'm sure Uber doesn't want to be at the mercy of Waymo and Tesla. One big advantage for Lucid is the cost to equip vs Waymo ( I disregard Tesla due to lack of redundancy, they will never achieve proper safe Level 4). The Waymo model uses proprietary body panels all around the vehicle. The Gravity needs only minor roof adjustments. The engineered the Gravity to include easy fitment of robotaxi sensors. Very well done indeed! Kudos to Lucid engineers and management.

 

[californiaboy935]

That’s an interesting take — do you think the market is just underestimating how committed Saudi really is to Lucid? Also, with deals like the Uber Neuro one, do you see them diversifying enough to hit profitability without solely relying on car sales?

IMO, there is some underlying manipulation. The market isn’t pricing in the commitment and underestimates the resolve of Saudi capital to maintain these ventures as succession to oil prospects.

Deals like Neuro are good but sales would drive the market to look again at LCID.

I think Lucid could diversify enough to become more profitable, but I don’t see them shifting focus until Mid Size is fully baked and in the public’s hand. It could be the combination of that that pushes them into the black.

 

[socktucker]

IMO, there is some underlying manipulation. The market isn’t pricing in the commitment and underestimates the resolve of Saudi capital to maintain these ventures as succession to oil prospects.

Deals like Neuro are good but sales would drive the market to look again at LCID.

I think Lucid could diversify enough to become more profitable, but I don’t see them shifting focus until Mid Size is fully baked and in the public’s hand. It could be the combination of that that pushes them into the black.

They also need leadership. Their interim CEO bafflingly said they want to become an 80/20 split of licensing tech vs making cars. Wat.

 

[LucidfanAZ]

They also need leadership. Their interim CEO bafflingly said they want to become an 80/20 split of licensing tech vs making cars. Wat.

Peter Rawlinson said this not Marc Winterhoff, then a few months later he gets axed… may have had something to do with it.

 

[socktucker]

Peter Rawlinson said this not Marc Winterhoff, then a few months later he gets axed… may have had something to do with it.

Well that’s good then!