Lucid Group Inc (NASDAQ:LCID), setting new standards with the longest range, fastest charging electric car on the market, stock plunges 16.32% (As on Mar 1, 12:01:12 AM UTC-4, Source: Google Finance) after the company reported a wider-than-expected loss. As of Feb 28, 2022, Lucid said it produced over 400 vehicles, with 125 delivered to customers before the end of 2021 and roughly 175 more since the beginning of the new year.

Lucid also said its has over 25,000 reservations for the luxury-electric Air sedan representing potential sales of $2.4 billion. Lucid is targeting the premium electric market with its first model, the Air sedan. The Air is competing with the Porsche Taycan, Audi e-tron GT, Tesla Model S and other high-end battery-powered models. Lucid prides itself on developing all of its electric powertrain technology, including motors and inverters, entirely in-house.

LCID in the fourth quarter of FY 21 has reported the adjusted loss per share of 64 cents, beating the analysts’ estimates for the adjusted loss per share of 25 cents, according to Refinitiv. The company had reported the adjusted revenue of $26.4 million in the fourth quarter of FY 21.

Meanwhile, the company has signed agreements with the Ministry of Investment of Saudi Arabia (“MISA”), the Saudi Industrial Development Fund (“SIDF”), and the Economic City at King Abdullah Economic City (“KAEC”), as it lays the groundwork for a full production factory in Saudi Arabia. Lucid estimates that the location of Lucid’s first international manufacturing plant in the Kingdom of Saudi Arabia may result in up to $3.4 billion of value to Lucid over 15 years, and the facility will enable Lucid to address growing demand for Lucid’s products.

Further, Lucid plans to establish operations at KAEC for re-assembly of Lucid Air vehicle “kits” that are pre-manufactured at the company’s U.S. AMP-1 Manufacturing Facility in Casa Grande, Arizona, and, over time, for production of complete vehicles. At its peak, the company expects to manufacture up to 150,000 vehicles per year at the KAEC facility. Construction of the plant is expected to start in the first half of 2022. Lucid has already commenced the second phase of construction at AMP-1 to add 2.85 million square feet of space, with plans to further expand to an annual production capacity of 365,000 vehicles in Arizona. The company expects that its production capacity in Arizona and Saudi Arabia will exceed 500,000 vehicles per year in aggregate when each facility reaches its target capacity.