Lucid Group missed Wall Street's second-quarter expectations and announced its upcoming midsize electric vehicle will not arrive until the second half of 2027, roughly a year later than originally planned.
According to CNBC, CEO Silvio Napoli told the network Tuesday that the delay was deliberate. "We're not going to make the mistake of the past where products, great cars, were in fact tainted by launching before things were ready," he said. "I think it's going to be '27. ... Most likely the second half of '27."
Shares of Lucid fell roughly 8% during after-hours trading following the earnings release.
The company posted a loss per share of $3.30 against an expected loss of $2.46, and revenue came in at $405 million versus the $416 million analysts had forecast. Lucid did not release updated full-year guidance for 2026. Napoli, who took over as CEO in June, previously suspended production expectations while the company reevaluated its operations.
Napoli said the company is not yet ready to provide guidance to investors. "I want it to be anchored in solid data, and most of all, I want a guidance that I'm confident Lucid will be able to deliver on and possibly even do better than that. This takes time," he said. "I wanted to make sure that we align the reality with consensus, which is today based on outdated business model."
The company described its restructuring as an "operational reset" or "transformation program" built around three broad areas: cash and cost, customer and quality, and culture and team. Lucid said it has identified $1.4 billion in cash flow improvement opportunities this year. Those include approximately $600 million to $800 million tied to vehicle inventory, $500 million in capital expenditures, and $200 million in operating expenses.
In June, Lucid reduced production at its Arizona plant from two shifts to one. Napoli said second-half production is expected to come in below Wall Street's current consensus and below the first half of the year. Deliveries, however, are expected to run higher than the first half.
Beyond cost-cutting, the company's reset will focus on three specific initiatives: its robotaxi program with Uber and Nuro, a factory under construction in Saudi Arabia, and the delayed midsize vehicle. Lucid called the robotaxi program a top priority. Napoli said the company plans to deliver about 100 preproduction vehicles to its partners by the end of the year, with prototype vehicles based on the Lucid Gravity SUV rather than the midsize vehicle. Non-prototype robotaxi production is expected to begin early next year.
Napoli said the incoming leadership team is still taking shape and that guidance will come only when the company is confident in the numbers behind it.
