Luxury electric vehicle maker Lucid Group missed estimates for quarterly revenue on Monday as it took a hit on sales from a price war sparked by market leader Tesla.
Lucid's deliveries in the second quarter were unchanged from the prior three months at 1,404 units, while its production fell 6% from the first quarter as it struggled to ramp up.
Competition from Tesla's Model S, whose prices were cut earlier this year, and rising borrowing costs have posed a threat to the EV firm's growth. In response, Lucid slashed prices for its Air luxury sedan as part of an offer on Saturday.
Lucid has also been struggling with rapid cash burn, prompting it to raise $3 billion through a stock offering, nearly two-thirds of which came from majority-owner Saudi Arabia's Public Investment Fund.
Lucid reported revenue in the April-June period of $150.9 million, compared with estimates of $175 million, according to IBES data from Refinitiv.
Lucid's loss in the second quarter stood at $764.2 million, compared with $555.3 million a year earlier.
The company's cash balance at the end of the second quarter stood at $2.78 billion, compared with $900 million, at the end of the year's first three months.
(Reporting by Akash Sriram in Bengaluru; Editing by Anil D'Silva)
