China's carmaker XPeng (9868) saw its first-half net loss widen by 173 percent year-on-year to 3.12 billion yuan (HK$3.64 billion) as vehicle sales slid.
Its revenue fell 3.8 percent to 32.78 billion yuan, among which vehicle sales dropped 10.3 percent to 28.05 billion yuan.
Total deliveries of vehicles were 165,977 in the six months, down 15.8 percent from a year earlier.
The company expected that the number of deliveries would reach between 115,000 and 121,000 in the third quarter, representing a year-on-year change of roughly -0.87 percent to 4.3 percent. And the revenue is expected to rise 6.47 percent to 14.81 percent, which is between 21.7 billion and 23.4 billion yuan.
Its subsidiary robot unit Dogotix Inc. has signed a share purchase deal with investors including Alibaba (9988) and Tencent (0700), who conditionally agreed to subscribe for its new shares for a total consideration of US$900 million. The value of Dogotix could reach US$6.3 billion after the transaction, according to a separate statement on Monday.
XPeng launched GX, a full-size flagship six-seater SUV in Beijing, China in May and MONA L03, the Next-Gen AI SUV Coupe, in Munich, Germany in July.
“The back-to-back success of the GX and MONA L03 gives us greater confidence in our upcoming new models, as we translate our leading edge in smart technologies and design into more blockbuster products and stronger brand momentum,” said He Xiaopeng, chairman and chief executive. “The development of the mass-production version of XPeng’s humanoid robot has recently reached several significant milestones.”
Starting from August 22, XPeng has rolled out a recall for a total of over 264 thousand XPeng vehicles as the interior door handles with hard-to-see emergency signs that could hamper a person's ability to exit their vehicle in an emergency, according to China's State Administration for Market Regulation.
Frank Feng
