Rivian (RIVN) reported third-quarter revenue that fell short of the mark and a wider-than-expected loss as the pure-play adventure electric vehicle maker was weighed down by an issue with supplier parts. Although the company is now forecasting a larger-than-expected loss for the year, it is maintaining its full-year delivery forecast and still expects a “modest gross profit” in the fourth quarter.

For the quarter, Rivian reported revenue of $874 million versus $980 billion expected according to the Bloomberg consensus, down from $1.34 billion a year ago. The company reported an adjusted loss per share of $0.99 versus an expected loss of $0.92 and an adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) loss of $757 million versus expected $657.5 million.

Rivian shares fell in after-hours trading.

Last month, Rivian announced that it was experiencing “a production interruption” due to the lack of a common component on the R1 and RCV (Rivian Commercial Van) platforms. The company said the impact of supply shortages began in the third quarter of this year and “has become more acute in recent weeks and is ongoing.”

Due to the disruption, Rivian announced today that it is adjusting its full-year adjusted EBITDA forecast to a loss of $2.82 billion to $2.87 billion, above the previously forecast loss of $2.7 billion lies.

Rivian maintained its annual production forecast of 47,000 to 49,000 vehicles, below the 57,000 previously expected.

The company reiterated its annual delivery forecast for low single-digit year-over-year growth, expected to be in the range of 50,500 to 52,000 vehicles.

Despite the manufacturing and supply chain issues in the third quarter, Rivian expects to “achieve a modest gross profit” in the fourth quarter of this year.

“This quarter, we made progress on our key objectives and saw significant progress in our Gen 2 R1 cost structure due to new technologies integrated into the vehicle and manufacturing process,” CEO RJ Scaringe said in a statement. “We are excited about the future and our R2 midsize SUV, which we believe will be a fundamental driver of Rivian’s growth.”

As for its cash cushion, Rivian said it ended the second quarter with $7.85 billion in cash and equivalents.

A big boost to Rivian's cash position came in the second quarter with a joint venture deal with Volkswagen (VWAGY), which announced plans to work with Rivian to deliver “next-generation software-defined vehicle (SDV) architectures.” develop electric vehicles that will be used in the future of both companies.

In return, Volkswagen will initially invest $1 billion in Rivian via an unsecured convertible note (which is reflected in the current cash position for the second quarter). Additional investments of up to $4 billion are expected to be made by 2026, for a total injection of $5 billion.

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