May 6 (Reuters) - Lucid Group ( LCID ) reported

first-quarter revenue above analysts' estimates on Monday as

price cuts helped the company deliver more luxury electric

sedans in the first three months of the year.

The firm said it was on track to produce 9,000 cars this

year. It made 8,428 vehicles last year and analysts, on average,

expected the company to make 12,677 units in 2024.

Lucid had cut prices of its flagship Air sedans in February

by as much as 10% to spur sales, as customers gravitate to less

expensive gasoline-electric hybrid cars due to still-high

interest rates.

The company reported first-quarter deliveries above market

expectations last month thanks to lower prices, even as Elon

Musk-led market leader Tesla reported its first fall in

quarterly deliveries in nearly four years.

Revenue for the first quarter was $172.7 million, compared

with analysts' estimate of $156.99 million, according to LSEG

data.

Lucid posted a net loss of $684.76 million, narrower than a

$779.5 million loss a year earlier.

Backed by Saudi Arabia's Public Investment Fund, the firm is

also set to start production of a more affordable mid-size car

in late 2026 to attract a larger customer base.

The sovereign wealth fund has invested billions in Lucid's

success as part of a strategy to diversify the kingdom's economy

beyond oil.

Its affiliate added another $1 billion to the EV maker's

balance sheet, giving the company further liquidity,

underscoring a key advantage Lucid has among EV startups in the

race for survival.

It ended the first quarter with cash and cash equivalents of

$2.17 billion, compared with $1.37 billion in the fourth quarter

of last year.

The company said it expects capital expenditure of $1.5

billion this year, compared with $910.6 million in 2023.