Starting in February, the company reduced its production range from 12,000 vehicles to 14,000 for the year 2022. Then, in August, it halved the target to just 6,000-7,000 vehicles.
For Lucid free cash flow is a big problem. The company closed the year 2022 with a negative FCF of $3.3 billion.
Since Saudi PIF has a majority of stake in Lucid, it is highly doubtful that Lucid would go private.
Lucid has been seeing a constant plummet in its stock prices, which tells the company is in great trouble.
Sherry House, the CFO of Lucid, stated during the Q2 2023 earnings call that their company, Lucid motors, has enough cash to survive till 2025, which will give them enough time to revive the company
Since the Saudi PIF has a majority stake in Lucid, it’s highly doubtful that the Saudi government will lose its entire investment just like that.