Xpeng, a prominent player in the Chinese electric vehicle (EV) market, has recently announced its impressive financial results for the third quarter. The company reported a total revenue of RMB 10.1 billion, surpassing analysts’ expectations and achieving a record gross margin of 15.3 percent.
This revenue figure exceeded the upper end of Xpeng’s guidance range of between RMB 9.1 billion and RMB 9.8 billion, marking an 18.4 percent increase from the same period last year and a 24.5 percent increase from the previous quarter. The company’s revenue from vehicle sales for the third quarter reached RMB 8.8 billion, driven by higher delivery volumes totaling 46,533 vehicles, which exceeded the upper end of the guidance range.
Xpeng also reported a significant increase in revenue from services and other sources, reaching RMB 1.31 billion in the third quarter. This 90.7 percent year-on-year increase was primarily attributed to the company’s technology partnerships with Volkswagen. The third-quarter gross margin of 15.3 percent set a new record for Xpeng, surpassing analysts’ expectations and demonstrating strong financial performance.
The company’s net loss for the third quarter was RMB 1.81 billion, a substantial improvement compared to the same period last year. Xpeng’s non-GAAP net loss was RMB 1.53 billion, reflecting a positive trend in the company’s financial position. Despite recording a net loss, Xpeng’s research and development expenses for the quarter reached a record high of RMB 1.63 billion, highlighting its commitment to innovation and product development.
As of September 30, Xpeng held significant cash reserves of RMB 35.75 billion, providing a strong financial foundation for future growth. Looking ahead, Xpeng has guided fourth-quarter vehicle deliveries to be in the range of 87,000 to 91,000 units, representing a substantial year-on-year increase. The company also expects fourth-quarter revenue to be in the range of RMB 15.3 billion to RMB 16.2 billion, indicating continued growth and expansion in the EV market.
In conclusion, Xpeng’s third-quarter financial results reflect its strong performance and growth trajectory in the competitive EV industry. With record revenue, gross margin, and delivery numbers, Xpeng is well-positioned for future success and remains a key player in the evolving electric vehicle market.
