Nio’s Q3 net loss widens to 5.1 billion yuan on lower vehicle sales

CHINESE electric vehicle (EV) maker Nio’s net loss widened to 5.1 billion yuan (S$945.5 million) for its third quarter ended Sep 30, 2024, from 4.6 billion yuan in the corresponding period a year ago.

Nio is listed in the United States, Hong Kong and Singapore.

The company’s loss per share stood at 2.50 yuan for the quarter, down from 2.67 yuan the previous year.

Revenue for Q3 fell 2.1 per cent to 18.7 billion yuan, from 19.1 billion yuan a year earlier. This was as vehicle sales fell 4.1 per cent to 16.7 billion yuan, from 17.4 billion yuan in the previous corresponding period.

Nio attributed the poorer vehicle sales to the lower average selling price as a result of “changes in (the) product mix”, which was partially offset by an increase in delivery volume.

The EV maker delivered 61,855 vehicles in Q3, up 11.6 per cent from the 55,432 cars delivered in the year-ago period. This includes 61,023 vehicles from its premium brand Nio, and 832 from its family-oriented brand Onvo.

The number of deliveries in Q3 was also within the forecast figures given by the company during its second-quarter results.

Revenue from other sales grew 19.2 per cent to two billion yuan, mainly due to an increase in the sale of parts, accessories and after-sales vehicle services, as well as provision of power solutions due to the continued growth in users.

Giving its outlook for the fourth quarter, the car manufacturer said that it expects to deliver between 72,000 and 75,000 units, up 43.9 to 49.9 per cent from the previous corresponding period.

It expects revenue to be between 19.7 billion yuan and 20.4 billion yuan, which will be an increase of 15 to 19.2 per cent from the year-ago period.

Said chief financial officer Stanley Qu: “Starting next year, our three brands are poised to embark on a robust product cycle, projected to elevate the company’s sales volume to new heights. We expect this momentum will drive continued improvements in the company’s operational and financial performance.”

Shares of Nio closed US$0.11 or 2.3 per cent lower at US$4.74 on Wednesday before the announcement.