Revenue stagnation remains a primary concern, with quarterly figures falling to $92,000 while gross margins have deteriorated to -77.8% due to the inability to amortize fixed costs.
REE Automotive Ltd. (REE) annual income statement — 6-year revenue, gross profit & net income history
| Metric | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 |
|---|
| Sales/Revenue | 1.3M | 183K | 1.61M | 0 | 6K | 388K |
| Revenue Growth % | 608.74% | -88.62% | - | -100% | -98.45% | - |
| Cost of Goods Sold | 21.73M | 3.68M | 9.07M | 547K | 995K | 647K |
| COGS % of Revenue | 1675.1% | 2011.48% | 564.12% | - | 16583.33% | 166.75% |
| Gross Profit | -20.43M | -3.5M | -7.46M | -547K | -989K | -259K |
| Gross Margin % | -1575.1% | -1911.48% | -464.12% | - | -16483.33% | -66.75% |
| Gross Profit Growth % | -484.02% | 53.13% | -1264.35% | 44.69% | -281.85% | - |
| Operating Expenses | 61.27M | 75.63M | 112.43M | 127.42M | 514.51M | 67.84M |
| OpEx % of Revenue | 4723.59% | 41328.42% | 6991.85% | - | 8575116.67% | 17484.28% |
| Selling, General & Admin | 15.83M | 26.17M | 29.77M | 49.2M | 262.08M | 38.25M |
| SG&A % of Revenue | 1220.74% | 14301.09% | 1851.18% | - | 4368050% | 9858.25% |
| Research & Development | 45.43M | 49.46M | 82.66M | 78.22M | 252.42M | 29.59M |
| R&D % of Revenue | 3502.85% | 27027.32% | 5140.67% | - | 4207066.67% | 7626.03% |
| Other Operating Expenses | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating Income | -81.69M | -79.13M | -119.89M | -127.97M | -515.5M | -68.1M |
| Operating Margin % | -6298.69% | -43239.89% | -7455.97% | - | -8591600% | -17551.03% |
| Operating Income Growth % | -3.24% | 34% | 6.31% | 75.17% | -656.99% | - |
| EBITDA | -77.54M | -75.95M | -114.09M | -123.06M | -515.01M | -67.93M |
| EBITDA Margin % | -5978.33% | -41501.09% | -7095.21% | - | -8583533.33% | -17508.25% |
| EBITDA Growth % | -2.1% | 33.43% | 7.29% | 76.1% | -658.13% | - |
| D&A (Non-Cash Add-back) | 4.16M | 3.18M | 5.8M | 4.91M | 484K | 166K |
| EBIT | -56.84M | -108.77M | -115.57M | -105.67M | -504.05M | -68.1M |
| Net Interest Income | 564K | 1.95M | 4.35M | 44.6M | 423K | 412K |
| Interest Income | 1.52M | 2.87M | 4.35M | 2.79M | 423K | 409K |
| Interest Expense | 959K | 924K | 0 | -41.81M | 0 | -3K |
| Other Income/Expense | 23.89M | -30.56M | 4.32M | 22.3M | 11.45M | 385K |
| Pretax Income | -57.8M | -109.69M | -115.57M | -105.67M | -504.05M | -67.71M |
| Pretax Margin % | -4456.36% | -59940.44% | -7187.06% | - | -8400816.67% | -17451.8% |
| Income Tax | -1.99M | 2.06M | -1.36M | 1.75M | 1.28M | 0 |
| Effective Tax Rate % | 3.45% | -1.88% | 1.18% | -1.65% | -0.25% | 0% |
| Net Income | -55.81M | -111.75M | -114.21M | -107.42M | -505.33M | -67.33M |
| Net Margin % | -4302.78% | -61067.76% | -7102.49% | - | -8422166.67% | -17352.58% |
| Net Income Growth % | 50.06% | 2.15% | -6.32% | 78.74% | -650.55% | - |
| Net Income (Continuing) | -55.81M | -111.75M | -114.21M | -107.42M | -505.33M | -67.71M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -1.74 | -7.01 | -11.32 | -10.98 | -64.34 | -8.83 |
| EPS Growth % | 75.18% | 38.07% | -3.1% | 82.93% | -628.65% | - |
| EPS (Basic) | -1.74 | -7.01 | -11.32 | -10.98 | -64.34 | -8.83 |
| Diluted Shares Outstanding | 32.14M | 15.93M | 10.09M | 9.78M | 7.85M | 7.66M |
| Basic Shares Outstanding | 32.14M | 15.93M | 10.09M | 9.78M | 7.85M | 7.66M |
| Dividend Payout Ratio | - | - | - | - | - | - |
Quick answers to the most common questions about buying REE stock.
For fiscal year 2025, REE Automotive Ltd. (REE) reported total revenue of $1.3M. This represents a 234.3% increase compared to $0.4M in 2020.
REE Automotive Ltd. (REE) reported a net loss of $55.8M for the fiscal year ending 2025.
REE Automotive Ltd. (REE) reported an operating income of $-81.7M, resulting in an operating profit margin of -6298.7%. This margin reflects the operational efficiency of the business before interest and taxes.
REE Automotive Ltd. (REE) generated $-20.4M in gross profit for the year, representing a gross profit margin of -1575.1%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Imminent liquidity and dilution risk
Revenue Stagnation Amid Pre-Scale Phase
As reported in recent financial filings, REE's quarterly revenue has dwindled to a nominal $92,000, reflecting a significant contraction from historical peaks and underscoring the company's struggle to transition from prototype development to meaningful commercial volume in the competitive North American electric vehicle market.
The current revenue trajectory suggests that the company remains trapped in a pre-commercial phase where project-based deliveries fail to provide a consistent top-line foundation. Investors should monitor whether the recent FMVSS and EPA certifications can catalyze a shift toward sustained revenue growth or if the current stagnation persists due to limited market adoption.
Structural Margin Deficits Persist
According to the company's income statement data, gross margins have plummeted to -77.8% in the most recent quarter, illustrating the extreme difficulty of amortizing fixed assembly costs over a negligible volume of units produced during this early-stage commercialization period.
The deep negative gross margins indicate that the cost of goods sold is currently untethered from revenue, likely driven by the high overhead of the 'Integration Center' model. This structural imbalance suggests that achieving positive unit economics will require a massive, non-linear increase in production volume that has yet to materialize.
R&D Intensity Outpacing Operational Scale
Based on the provided figures, R&D expenditures remain the dominant cost driver at $15 million per quarter, consistently dwarfing revenue and highlighting a capital-intensive business model that relies heavily on continuous innovation to maintain its 'by-wire' technological differentiation.
Management's expense discipline appears constrained by the necessity of funding ongoing certification and platform development, leaving little room for operational efficiency gains. The persistent reliance on high R&D spending suggests that the company's path to profitability is heavily dependent on future licensing success rather than current manufacturing output.
Liquidity Constraints Threaten Operational Viability
As indicated by the latest quarterly data, the company's cash burn rate relative to its $14.2 million cash position suggests a precarious financial runway that may necessitate immediate, highly dilutive capital raises to sustain ongoing operations and meet regulatory-driven production milestones.
The disparity between the current operating loss of $38 million and the available cash reserves warrants significant caution regarding the company's ability to survive without external intervention. Short-term investors should be wary of the potential for equity dilution, which could further erode shareholder value if the company fails to secure a strategic partner.