Key facts
- Lucid said the $1.75 billion increase came from Saudi Arabia's Public Investment Fund, its largest investor.
- Lucid said pro forma liquidity reached $3.75 billion after the larger delayed-draw term loan.
- Lucid expects the liquidity to fund operations until midsize vehicle production begins in the second half of 2027.
- Lucid cut third-quarter cash outflow to $1.04 billion from $1.48 billion in the prior quarter.
- CFO Alexander De Bock said free cash flow consumption was 30% lower sequentially in the third quarter.
- Lucid said it would provide 2027 guidance and a mid-term plan with its year-end results.
Lucid Group said on November 9 that Saudi Arabia's Public Investment Fund, its largest investor, increased a delayed-draw term loan facility by $1.75 billion. The company said the larger facility lifted its pro forma liquidity to $3.75 billion and would help fund the electric-vehicle maker into the fourth quarter of 2027.
Lucid said it expects its liquidity to fund operations until production of its midsize vehicle begins in the second half of 2027. The company's shares were down about 5% in extended trading.
Lucid cut its third-quarter cash outflow to $1.04 billion from $1.48 billion in the previous quarter by cutting production, including eliminating a second shift at its Arizona factory, and reducing inventory and operating costs. "These actions are already showing through in Q3, with free cash flow consumption 30% lower sequentially," CFO Alexander De Bock said.
Lucid said it would provide 2027 guidance and a mid-term plan with its year-end results. It had withdrawn its annual production forecast earlier this year amid an operational review by its newly appointed CEO.
The company said headcount fell about 28% between the first and third quarters and that it had achieved $800 million of a targeted $1.4 billion cash flow improvement this year through lower inventory, operating costs and capital spending. Lucid said new chief technology, finance, customer and transformation officers joined early in the third quarter, and that it is cutting management layers and tying incentives to four priority projects.