Lucid Group (LCID) Financials

Lucid Group (NASDAQ: LCID) continues to face significant financial challenges demonstrated over the past several quarters and years. The latest quarterly data from Q1 2025 shows a continuation of losses and high operating expenses while maintaining a strong cash balance. Here are the key insights from the recent financial statements and trends observed over the past four years:

• Lucid ended Q1 2025 with a strong cash and equivalents balance of $1.85 billion, slightly down from $2.16 billion in Q1 2024, indicating solid liquidity to support operations and growth initiatives.
• The company generated net cash of $248 million in Q1 2025, an improvement from negative cash flow in previous quarters, supported by $614 million net inflows from investing activities including investment securities sales.
• Weighted average shares outstanding increased to over 3 billion in Q1 2025, which may support future capital raises.
• Revenue is primarily derived from investment securities interest income ($52 million in Q1 2025) rather than core automotive sales, which remain limited or not reported directly in these statements.
• Preferred stock dividends declared remain very high, recently $365 million in Q1 2025, which significantly impact earnings available to common shareholders.
• Continued operating losses are severe, with Q1 2025 net loss attributable to common shareholders at $731 million, consistent with substantial losses over previous quarters (e.g., $397 million loss in Q4 2024 and larger losses in 2023).
• Operating expenses remain very high — marketing expenses rose to $251 million in Q1 2025 and other operating expenses at $675 million, reflecting ongoing cash burn and aggressive spending.
• Net income has remained negative for all reported quarters dating back to 2022, with no sign of profitability yet, underscoring the high risk of the investment.
• Total non-interest expenses dramatically exceed total revenue, with Q1 2025 expenses of $692 million compared to revenue of only $52 million, deepening losses.
• Debt has been fairly stable but remains substantial, totaling approximately $2.0 billion in long-term debt as of Q1 2025, along with $121 million in short-term debt, adding to financial obligations.

Summary: Lucid Group's financials from the past four years show the company in heavy investment and loss mode, burning substantial cash to fund operations and growth. While liquidity remains relatively strong with over $1.8 billion in cash and equivalents, profitability remains elusive with large net losses continuing quarter after quarter. Operating expenses have consistently outpaced revenue by a wide margin, reflecting the high cost of marketing and other operating activities. Investors should weigh the firm's solid cash position against ongoing cash burn and lack of earnings in assessing the stock's risk profile.