Shares of Rivian Automotive (NASDAQ: RIVN) fell nearly 2% intraday on Friday after the electric vehicle maker reported fourth-quarter delivery figures that came in below Wall Street expectations.

The weaker delivery performance came as automakers across the U.S. grappled with slowing demand for electric vehicles. The expiration of a $7,500 federal EV tax credit at the end of September had effectively raised purchase prices for consumers, pressuring sales across the sector.

Rivian said it delivered 9,745 vehicles during the quarter, short of analyst expectations for approximately 10,050 units. Production totaled 10,974 vehicles at the company's manufacturing facility in Normal, Illinois.

For the full year 2025, Rivian delivered 42,247 vehicles after producing 42,284 units. Analysts had expected roughly 42,500 deliveries for the year, according to Visible Alpha data, which implied an approximate 17.6% decline from the prior year. The company said both its quarterly and full-year results were in line with internal expectations.

Rivian continued to focus on cost discipline amid the softer demand environment, implementing efficiency initiatives at its Illinois plant. These efforts included simplifying vehicle components and reducing material and manufacturing costs, as the company sought to narrow losses without relying solely on higher production volumes.

Analysts remained broadly constructive on Rivian's longer-term outlook, with optimism largely centered on the planned launch of the R2 model in 2026. The R2 is expected to be produced at the Normal facility and priced around $45,000, positioning it in a more affordable segment of the EV market. The model was viewed as a potential catalyst for expanding Rivian's customer base and supporting higher deliveries over time, even as near-term volumes faced pressure from challenging pricing and demand conditions.