Rivian (NASDAQ:RIVN) stock is in focus after the company announced that Chief Accounting Officer (CAO) Jeff Baker will resign on July 27. Baker has been with Rivian since May 2021.
Rivian added that Baker would leave the company in order to pursue other opportunities. “His resignation is not the result of any disagreement with the Company on any matters related to its financial reporting, operations, policies or practices,” the electric vehicle (EV) maker said.
It’s also notable that Baker reported an insider sale earlier this year. On March 11, he sold 31,425 shares at an average per share price of $13.18. In total, the sale was worth $414,219 and left Baker with 52,415 shares. RIVN stock insiders have sold a total of $2.5 million of shares during the past year with zero buys.
RIVN Stock: CAO Jeff Baker Steps Down
In the meantime, Chief Financial Officer Claire McDonough will step up as the interim CAO while Rivian searches for a permanent replacement. McDonough has been with Rivian since January 2021 and was a Managing Director at JPMorgan Chase (NYSE:JPM) before that.
Rivian’s management shakeup comes just a few days after the company reported its second-quarter delivery and production figures. Rivian’s deliveries grew by 9.1% to 13,790 vehicles, ahead of the analyst estimate for 12,000 deliveries by 14.9%. That marked Rivian’s largest delivery beat so far.
However, its production declined by a significant 31.3% to 9,612 vehicles. That’s because the EV company’s facility in Normal, Illinois was closed for the majority of April due to production upgrades.
“The changes we plan to make in our R1 manufacturing line during the mid-year shutdown [sic] are designed to deliver greater plant efficiency, with [the] production rate expected to improve by approximately 30%,” said Rivian.
Meanwhile, Rivian reiterated its 2024 production guidance for 57,000 vehicles. It produced 23,952 vehicles as of June 30, meaning that it must produce at least 33,048 vehicles for the remainder of the year in order to meet its guidance.
The company also has a major catalyst on the way, as it will report its second-quarter earnings on Aug. 6.
On the date of publication, Eddie Pan did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
On the date of publication, the responsible editor did not have (either directly or indirectly) any positions in the securities mentioned in this article.
