Nio notches third straight quarter of adjusted operating profit as Q2 revenue jumps 69%

Nio's second-quarter revenue reached RMB 32.14 billion (US$4.74 billion), up 69.1% year-on-year and 25.9% sequentially, though it fell roughly 2% short of the bottom of the company's own guidance. The EV maker posted an adjusted operating profit of RMB 206.9 million — its third consecutive positive quarter on that measure and about triple the RMB 66.8 million from Q1, versus a RMB 4.04 billion adjusted operating loss a year earlier. On a GAAP basis, the net loss of RMB 528 million was far smaller than the year-ago figure but 59% wider than the first quarter.

Deliveries totaled 107,658 vehicles, a 49.4% year-on-year gain that nonetheless missed the 110,000–115,000 target the company had set. Vehicle revenue climbed 80.1% year-on-year to RMB 29.06 billion as volume growth combined with a shift toward pricier models. Vehicle margin rose to 18.5% from 10.3% a year ago, and overall gross margin came in at 18.4%. Cash, deposits and investments stood at RMB 56.7 billion at June 30, up from RMB 48.2 billion three months earlier.

Spending patterns diverged: R&D outlays fell 28.7% year-on-year to RMB 2.14 billion despite a sequential increase for new-product development, while SG&A expenses rose to RMB 4.42 billion on launch-related marketing. For the third quarter, Nio guided to 108,000–111,000 deliveries and revenue of RMB 33.29–34.05 billion; with July and August sales of roughly 35,900 and 35,800 units, meeting the range requires 36,230–39,230 cars in September.

Founder and CEO William Li said all three brands — Nio, Onvo and Firefly — grew in both volume and average transaction price during the quarter, while CFO Stanley Qu credited demand for higher-margin models and continued cost-structure work with keeping profitability healthy amid rising cost pressure.