Rivian projected a surprise drop in electric vehicle deliveries for the year but said it expected to post a modest gross profit, as it slashed raw material and supply chain costs in its drive for efficiency.

The company expects to sell between 46,000 and 51,000 EVs this year, below the roughly 54,800 average of analyst estimates compiled by Bloomberg.

The electric automaker Rivian said Thursday it’s recorded its first quarterly gross profit even as the company braces for potential U.S. policy changes on incentives, tariffs and regulations that could bring “hundreds of million of dollars” in financial impact.