XPeng (NYSE: XPEV) stock fell more than 3% in pre-market trading Tuesday, despite the Chinese electric vehicle (EV) maker reporting better-than-expected fourth-quarter results and an upbeat first-quarter outlook.
The company reported an adjusted loss of RMB0.73 ($0.10) per share, beating the analyst estimates of a RMB2.16 loss. Revenue for the quarter reached RMB16.11 billion ($2.21 billion), up 23.4% compared to the same period last year, and slightly above the consensus estimate of RMB16.06 billion.
The Tesla rival delivered 91,507 vehicles in the fourth quarter, a 52.1% increase compared to Q4 2023. The company also improved its vehicle margin to 10% from 4.1% in Q4 2023, driven by cost reductions.
Commenting on the results, Dr. Hongdi Brian Gu, Vice Chairman and Co-President of XPeng, said,
“With deliveries hitting new highs and ongoing progress in technology-driven cost reductions, our vehicle gross margin further improved to 10%, marking six consecutive quarters of improvement.”
XPeng delivered 190,068 vehicles for the full year, marking a 34.2% increase compared to 2023. The company ended the year with $5.75 billion in cash and equivalents on its balance sheet.
The company forecasts Q1 deliveries between 91,000 and 93,000, representing a massive increase of 317% to 326.8% Y/Y. Revenue is expected to range from 15 billion to 15.7 billion Chinese Yuan, topping the consensus estimate of 14.684 billion Chinese Yuan.
The earnings report comes a week after Xpeng (NYSE: XPEV) launched updated versions of its G6 and G9 SUVs at lower price points. The new G6 is priced at 176,800 yuan (around $24,400), an 11.6% reduction from its predecessor. The G9 now retails for 248,800 yuan, down 5.7% from its earlier price.
Jennifer Tacker is a staff writer at ABBO News. She holds a B.A. from the University of Waterloo and a B.Ed from Western University. Jennifer has been active in the stock market and crypto sector for a decade. She specializes in technical analysis and trading strategies. Read Full Bio
