From Survival to Scale: Building the Next Great Automotive Franchise, Buy

研报英文原文证据摘录

From Survival to Scale: Building the Next Great Automotive Franchise, Buy

Deutsche Bank

Research

Global Company Date

North America 16 June 2026

Rivian Automotive

High Yield Corporates

Automobiles & Components

From Survival to Scale: Building the

Next Great Automotive Franchise, Buy

Sean-M Wondrack

Financial Summary - LTM Period Ended 3/31/2026 Research Analyst

Rivian reported a mixed Q1-2026. Deliveries increased 20% YoY, while revenue +1-212-250-8980

grew 11% to $1.4 billion. Rivian achieved a positive gross profit figure again and an

adjusted EBITDA loss of ($472) million, better than street estimates of ($500) million

by 6%. Automotive gross profit was lower YoY due to lower regulatory credits and

lower volumes. Software and Services (S&S) continued to grow and contributed

meaningfully to consolidated gross profit. OCF totaled ($703) million. After net

capex of $372 million, Rivian's FCF before capital support totaled ($1.075) billion,

worse than ($526) million YoY. Liquidity of $5.394 billion included cash of $4.830

billion and $564 million of credit lines. Including future expected strategic capital

(conditional), liquidity and future capital increased to $13.6 billion.

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We initiate on RIVHOL 10% secured holdco bonds due 2031 with a Buy rating.

Investment Rationale

Rivian's Holdco bonds offer outsized yield and exposure to an improving credit

profile backed by one of the strongest liquidity runways in the EV sector, with $5.4

billion of liquidity on-hand and an additional $8.2 billion of expected incremental

capital.Rivian has created a path to profitability with its expected capital and the Deutsche Bank, Company Reports

credit story is increasingly shifting from "funding risk" to "execution risk" with no

maturities before 2029 (converts).