Electric vehicle maker Lucid (LCID) has reported its first quarter results, revealing a mixture of positive and negative developments. Despite surpassing revenue expectations and confirming that its highly anticipated Gravity SUV remains on track for a 2024 debut, the company also reported a wider-than-expected loss.

For the first quarter, Lucid reported revenue of $172.7 million, exceeding expectations of $150.1 million and showing a nearly 16% increase compared to the same period last year. However, the company's loss per share came in higher than estimated, at $0.30 instead of the projected $0.25. Additionally, Lucid's adjusted EBITDA loss was reported at $598.4 million, exceeding the $505.1 million forecast by analysts according to Bloomberg.

Despite the financial setbacks, Lucid CEO Peter Rawlinson remains optimistic about the company's sales momentum and cost management efforts. Rawlinson stated, "Our focus upon cost remains relentless, and we believe Gravity is on track to become the best SUV in the world."

Lucid also confirmed that its Gravity SUV is set for a "late 2024" production start, while its upcoming midsize vehicle is scheduled for a late 2026 launch. The announcement provided reassurance to investors, particularly considering Lucid's previous statements regarding increased vehicle production and delivery numbers. In the first quarter, Lucid produced 1,728 vehicles and delivered 1,967, showing a positive trend compared to the previous quarter. The company aims to produce 9,000 vehicles in 2024, after producing 8,428 vehicles and delivering 6,001 in the previous year.

The positive delivery numbers, however, were not without their challenges. Lucid's February announcement of price cuts likely contributed to increased sales but negatively impacted the company's margins. Additionally, capital expenses incurred for Gravity SUV production activities also affected the financial results. Lucid reported capital expenditures of $198.2 million for the first quarter, with expectations of $1.5 billion in expenditures for 2024.

In terms of liquidity, Lucid stated that it currently has $4.62 billion in cash and cash equivalents, which is expected to provide enough liquidity to last until the second quarter of 2025. It is worth noting that in late March, Lucid secured a $1 billion investment agreement with its majority shareholder Ayar Third Investment Company, an affiliate of Saudi Arabia's Public Investment Fund (PIF).

Despite the mixed results, Lucid's stock experienced a 5% decline in after-hours trading. Year-to-date, Lucid shares have dropped over 32%.

Lucid's performance in the first quarter reflects a combination of achievements and challenges. While revenue exceeded expectations and the Gravity SUV remains on track for a 2024 debut, the wider-than-expected loss and higher capital expenditures indicate the need for continued financial diligence. Investors will be closely monitoring Lucid's future earnings reports and the progress of its upcoming vehicle releases.