Nio reports wider second-quarter loss despite increase in EV shipments

Chinese electric vehicle maker Nio lost $409.8 million in the second quarter, significantly wider than the loss it reported in the first quarter, despite deliveries that exceeded its own guidance.

Here are other key numbers from Nio’s second-quarter earnings report.

• Revenue: $1.54 billion, up 21.8% from the second quarter of 2021.
• Adjusted loss per share: 20 cents
• Gross margin: 13.0%, versus 18.6% in the second quarter of 2021 and 14.6% in the first quarter of 2022.
• Cash at quarter-end: $8.1 billion, down slightly from $8.4 billion as of March 31.

Nio’s shares were down nearly 6% in premarket trading on Wednesday as investors digested the wider loss and decline in gross margin.

Nio said previously that it delivered 25,059 vehicles in the second quarter, slightly fewer than in the first quarter but above its guidance. The company had said in May that it expected to deliver between 23,000 and 25,000 vehicles during the quarter.

CEO William Bin Li said in a statement Wednesday that the second half of 2022 is a “critical period” for the company. Deliveries of Nio’s new SUV, the ET7, hit full speed last month, he said, and production of the new ET5 sedan is on track to begin at the end of September.

With production back to full speed, Nio expects to deliver between 31,000 and 33,000 vehicles in the third quarter and to generate revenue between $1.9 billion and $2 billion in the period.

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