Rivian Automotive, Inc. (RIVN) is dealing with a safety headache that's becoming all too familiar in the automotive world. Federal regulators announced Wednesday that the electric vehicle maker will recall 34,824 vehicles after identifying a potential seat belt failure that could put drivers at risk.

The issue centers on damaged seat belt pretensioner cables that might not properly restrain drivers during a crash, potentially increasing injury risk. The National Highway Traffic Safety Administration flagged the problem, which affects tens of thousands of Rivian vehicles across multiple model years.

Here's the fix: Rivian has already started pushing an over-the-air software update to certain 2022–2025 EDV models, according to Reuters. The company will also inspect vehicles and replace the driver's seat belt pretensioner assembly where necessary. It's the kind of repair that blends modern tech solutions with old-fashioned mechanical fixes.

The Stock Keeps Climbing Anyway

Interestingly, this recall hasn't derailed Rivian's momentum. The stock has gained 30% year-to-date, and the company has been beating revenue estimates consistently over the last four quarters. It's also topped EPS expectations in at least three of those quarters, showing operational improvement even as it navigates the usual growing pains of a young automaker.

Strong Q3 Performance

On November 4, Rivian posted third-quarter results that offered more reasons for optimism. The company reported $1.56 billion in consolidated revenue, a 78% year-over-year jump that exceeded Wall Street's $1.50 billion estimate.

Automotive revenue climbed 47% to $1.14 billion, while software and services revenue exploded 324% to $416 million. That software number is particularly interesting because it shows Rivian building out higher-margin revenue streams beyond just selling trucks.

The company did miss on earnings, reporting a loss of 96 cents per share versus expectations for an 85-cent loss. Still, for a company in growth mode, the revenue beat matters more.

Production Ramps Up

Rivian delivered 13,200 vehicles in the third quarter, up 32% year-over-year and above the consensus estimate of 12,700 units. Third-quarter production totaled 10,720 vehicles. The company is maintaining its full-year delivery forecast of 41,500 to 43,500 vehicles, signaling confidence despite the recall.

Looking ahead, the R2 launch remains on schedule, with deliveries expected in the first half of 2026. Rivian said it has completed construction of the R2 body shop and general assembly facility, which are critical milestones for hitting that timeline. The R2 is Rivian's more affordable offering, and many analysts see it as key to unlocking broader market potential.

RIVN Price Action: Rivian Automotive shares were up 0.41% at $17.30 during premarket trading on Wednesday.