Jan 3 (Reuters) - Rivian surpassed analysts'

expectations for fourth-quarter deliveries on Friday and said

its production was no longer constrained by a component

shortage, a positive sign for the electric vehicle maker aiming

to turn its first profit.

The shortage of the part used in its R1 SUV and R1T pickups,

as well as its delivery vans, started in the third quarter and

forced the company to slash its annual production target in

October.

"The previously discussed shortage of a shared component on

the R1 and RCV platforms is no longer a constraint on Rivian's

production," the company said on Friday.

Rivian handed over 14,183 vehicles in the three months ended

Dec. 31, compared with estimates of 13,472, according to 15

analysts polled by Visible Alpha.

That was a 42% jump from the previous quarter and marked

Rivian's highest deliveries in more than a year, even though

Amazon.com ( AMZN ), its biggest backer, takes fewer deliveries

in the fourth quarter due to its focus on holiday season sales.

Rivian produced 12,727 vehicles in the quarter, compared

with estimates of 11,398 units.

For 2024, production came in at 49,476 vehicles, down about

13% from a year earlier but above the company's lowered target

of between 47,000 and 49,000 units.

Rivian has cut costs sharply by renegotiating supplier

contracts and revamping its manufacturing processes to turn a

gross profit for the fourth quarter. It also entered a

technology joint venture with German automaker Volkswagen last

year that will provide a $5 billion lifeline.

EV makers are grappling with slowing demand as higher

borrowing costs push buyers toward cheaper gasoline-powered

hybrid vehicles and legacy automakers focus on rolling out

electric vehicles.

Bigger rival Tesla reported its first fall in

yearly deliveries on Thursday, also weighed down by the EV

pioneer's aging lineup.