Rivian Automotive vs Tesla: Revenue, Profit and Business Model
Rivian Automotive reported $5.4B of revenue in FY2025 and a net loss of $3.6B. Tesla reported $94.8B of revenue in FY2025 and $3.8B of net income.
Latest financial snapshot
Rivian Automotive
- Latest revenue
- $5.4B (FY2025)
- Net income
- -$3.6B
- Net margin
- -67.7%
- Revenue growth
- +214.6% a year, FY2021–FY2025
Tesla
- Latest revenue
- $94.8B (FY2025)
- Net income
- $3.8B
- Net margin
- 4.0%
- Revenue growth
- +33.6% a year, FY2016–FY2025
Financial summary
Rivian Automotive
Rivian went public in November 2021, raising about $11.9B at $78 per share, then lost $6.75B in 2022 as production ramped slowly. Losses have narrowed each year since: $5.43B in 2023, $4.75B in 2024 and $3.65B in 2025, when the company posted positive full-year gross profit. Q2 2026 gross margin reached 11%, but automotive gross profit was still negative $36M and free cash flow was negative $849M as R2 inventory built up. Cash and short-term investments were $5.31B at June 30, 2026, before a roughly $1.3B follow-on share sale in July.
Tesla
Tesla's revenue peaked at $97.69 billion in 2024 and slipped 2.9% to $94.83 billion in FY2025, while net income fell from $7.09 billion to $3.79 billion as vehicle prices and regulatory-credit income declined. The second quarter of 2026 reversed the top-line trend: revenue rose 26% to a record $28.24 billion, with automotive up 23% to $20.52 billion, services and other up 50% to $4.58 billion, and energy up 13% to $3.14 billion. Profit did not follow. GAAP net income fell 5% to $1.11 billion and adjusted EPS of $0.33 missed estimates because of higher R&D and AI infrastructure spending.
Revenue and profit by year
Rivian Automotive
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | $5.4B | -$3.6B | -67.7% | +8.4% | Source |
| FY2024 | $5B | -$4.7B | -95.5% | +12.1% | Source |
| FY2023 | $4.4B | -$5.4B | -122.5% | +167.4% | Source |
| FY2022 | $1.7B | -$6.8B | -407.2% | +2914.5% | Source |
| FY2021 | $55M | -$4.7B | -8523.6% | — | Source |
Tesla
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | $94.8B | $3.8B | 4.0% | -2.9% | Source |
| FY2024 | $97.7B | $7.1B | 7.3% | +0.9% | Source |
| FY2023 | $96.8B | $15B | 15.5% | +18.8% | Source |
| FY2022 | $81.5B | $12.6B | 15.4% | +51.4% | Source |
| FY2021 | $53.8B | $5.5B | 10.3% | +70.7% | Source |
| FY2020 | $31.5B | $721M | 2.3% | +28.3% | Source |
| FY2019 | $24.6B | -$862M | -3.5% | +14.5% | Source |
| FY2018 | $21.5B | -$976M | -4.5% | +82.5% | Source |
| FY2017 | $11.8B | -$2B | -16.7% | +68.0% | Source |
| FY2016 | $7B | -$674.9M | -9.6% | — | Source |
Where the revenue comes from
Rivian Automotive
- vehicle sales
- commercial vans
- software and services
- charging
- regulatory credits
- technology collaboration
Tesla
- Automotive sales and leasing~73%
Model 3, Model Y, Cybertruck and remaining other models, plus regulatory credits. $20.52B in Q2 2026.
- Services and other~16%
Supercharging, FSD and connectivity software, service, used cars, insurance and parts. $4.58B in Q2 2026, up 50%.
- Energy generation and storage~11%
Megapack, Powerwall and solar. $3.14B in Q2 2026, up 13%.
Business model and strategy
Rivian Automotive
How it makes money
Rivian makes money in two reported segments. Automotive (vehicle sales, regulatory credits and used vehicles) produced $1.143B of Q2 2026 revenue: R1T, R1S and R2 are sold direct to consumers without franchised dealers, and electric delivery vans go to Amazon and other commercial fleets.
Growth strategy
Rivian's growth plan centers on the R2, a mid-size SUV with roughly half the bill of materials of an R1, built first at an expanded Normal, Illinois plant to save more than $2.25B versus waiting for Georgia.
Competitive advantage
Rivian's edge is a purpose-built EV platform with in-house zonal electrical architecture, software and drive units, which Volkswagen Group validated by agreeing to invest up to $5.8B in a joint venture built on that stack. Amazon's van program gives it a steady commercial customer, and the R1 brand has strong owner loyalty in premium electric trucks and SUVs.
Tesla
How it makes money
Tesla operates a vertically integrated electric vehicle, clean energy generation, and software ecosystem model. The company generates revenue across four primary pillars: First, Automotive Sales and Leasing, selling mass-market electric vehicles (Model Y, Model 3) and premium models (Model S, Model X, Cybertruck) directly to consumers without franchised dealers.
Growth strategy
Tesla's growth plan rests on four bets. First, regain vehicle volume: deliveries fell 8.6% to 1.64 million in 2025, then rebounded to a record 480,126 in Q2 2026, up 25% year over year. Second, autonomy: Tesla runs a paid robotaxi service in several U.S. cities and is building the steering-wheel-free Cybercab, though the Q2 2026 shareholder letter dropped the target of volume production in 2026.
Competitive advantage
Tesla's advantage comes from brand strength, direct sales, software updates, charging infrastructure, battery and powertrain know-how, manufacturing scale, data, and energy-storage growth.
Questions about Rivian Automotive vs Tesla
Which company has higher revenue — Rivian Automotive or Tesla, Inc.?
Rivian Automotive reported $5.4B (FY2025), while Tesla, Inc. reported $94.8B (FY2025). By last reported revenue, Tesla, Inc. is the larger business, with Rivian Automotive reporting a smaller revenue base.
What is the market cap of Rivian Automotive vs Tesla, Inc.?
Rivian Automotive's market capitalisation stands at $22.0B, while Tesla, Inc.'s is $1.49T. Tesla, Inc. carries the higher market valuation, reflecting investors' expectations of its future earnings power relative to Rivian Automotive.
Which is more financially efficient — Rivian Automotive or Tesla, Inc.?
Rivian Automotive generates $354k / employee in revenue per employee, while Tesla, Inc. generates $704k / employee. Tesla, Inc. shows higher revenue efficiency per headcount, though this reflects business model differences — capital-light software companies routinely outperform labour-intensive manufacturers on this metric.
How do Rivian Automotive and Tesla, Inc. make money?
Rivian Automotive and Tesla, Inc. generate revenue in fundamentally different ways. Rivian Automotive: Rivian makes money in two reported segments. Tesla, Inc.: Tesla operates a vertically integrated electric vehicle, clean energy generation, and software ecosystem model.
Which company is valued higher relative to revenue — Rivian Automotive or Tesla, Inc.?
On a price-to-sales (P/S) basis, Rivian Automotive trades at 4.1x P/S and Tesla, Inc. at 15.7x P/S. Tesla, Inc. commands a higher revenue multiple, typically indicating that investors expect faster growth or higher future margins compared to Rivian Automotive. A higher multiple is not inherently better — it may also signal that the stock is priced for perfection.
Is Rivian Automotive bigger than Tesla, Inc.?
By last reported revenue, Tesla, Inc. ($94.8B (FY2025)) is the larger company compared to Rivian Automotive ($5.4B (FY2025)). Revenue scale is one dimension of size — market capitalisation, employee count, and geographic reach are also relevant depending on the context.
Figures come from each company's filings and the sources linked beside them. Amounts reported in another currency are shown in US dollars at an approximate rate and marked with ~. Back to the Rivian Automotive vs Tesla overview