IRVINE, Calif. - Electric vehicle manufacturer Rivian (NASDAQ:RIVN) Automotive, Inc. (NASDAQ: RIVN) has appointed Javier Varela as its new Chief Operations Officer, the company announced today. Varela, who previously held the position of COO and Deputy CEO at Volvo (OTC:VLVLY) Cars, is set to take the reins in August, reporting directly to Rivian CEO RJ Scaringe.
The move comes as Rivian aims to enhance operational efficiencies and gears up for the production of the R2, its upcoming midsized SUV. Varela will be succeeding Frank Klein, who has been with Rivian since June 2022 and has played a significant role in expanding Rivian’s operations and scaling up production for its EDV (LON:EDV) and R1 vehicle programs.
Varela brings to Rivian over 30 years of experience in the automotive industry, with his most recent eight-year tenure at Volvo Cars involving leadership across engineering, program management, manufacturing, supply chain, and procurement. His career began at PSA Group, now part of Stellantis (NYSE:STLA), in 1990.
In his new role at Rivian, Varela will oversee various aspects of operations including procurement, manufacturing, logistics, and quality. Scaringe expressed enthusiasm for Varela's expertise, highlighting his track record in engineering, program management, and innovation.
Varela's appointment aligns with Rivian's preparation for the production of the R2. The midsize SUV, which was unveiled in March, is designed to balance performance, capability, and utility for both adventures and everyday use. It is part of Rivian's strategy to expand its product line, which also includes the R3 series.
Varela expressed admiration for Rivian's commitment to advancing the automotive industry with innovative electric vehicles and stated his eagerness to contribute to the company's growth and the rollout of the R2 and future vehicle generations.
Rivian is known for developing electric vehicles to advance zero-emission transportation and energy. The company operates in the United States and sells directly to both consumer and commercial markets, providing a range of services throughout the vehicle lifecycle.
This announcement is based on a press release statement from Rivian Automotive , Inc.
InvestingPro Insights
As Rivian Automotive, Inc. (NASDAQ: RIVN) welcomes Javier Varela to its executive team, the company's financial health and market performance remain a focal point for investors. According to the latest data from InvestingPro, Rivian holds a market capitalization of approximately $9.34 billion USD. Despite the challenges in the EV market, Rivian has demonstrated a significant revenue growth of 167.43% over the last twelve months as of Q4 2023, showcasing the company's expanding footprint in the electric vehicle space.
However, it's not all smooth driving for Rivian. The company's gross profit margin stands at a concerning -45.78%, indicating that it is currently spending more to produce its vehicles than it earns from sales. This is echoed by one of the InvestingPro Tips which points out that Rivian is quickly burning through its cash. Moreover, the company's stock price has shown high volatility, with a notable return of 8.74% over the last week, yet a steep decline of 36.99% over the last three months.
Investors and prospective shareholders should note that Rivian's stock price is currently at 35.03% of its 52-week high, with a previous close at $9.83 USD. For those looking to delve deeper into Rivian's financials and stock performance, InvestingPro offers additional tips and metrics. There are 15 more InvestingPro Tips available, which can provide a more comprehensive understanding of the company's outlook. Interested readers can use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, which includes access to these valuable insights.
As Rivian continues to navigate the competitive EV market and prepares for the production of the R2, these financial metrics and expert tips will be crucial for stakeholders to monitor the company's operational and financial trajectory.
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