China’s Nio posts wider Q1 loss

Chinese electric vehicle maker Nio (9866) reported a first-quarter net loss of 6.75 billion yuan (HK$7.35 billion), widening 30 percent from a year earlier but narrowing over 5 percent from the previous quarter, as it grapples with intensifying competition.
Revenue for the quarter rose nearly 22 percent year-on-year to 12.03 billion yuan but dropped almost 39 percent from the previous quarter, according to an exchange filing on Tuesday.
Vehicle sales reached 9.94 billion yuan, up 18.6 percent year-on-year, but down 43.1 percent quarter-on-quarter. The company attributed the annual increase to higher delivery volumes, partially offset by a lower average selling price resulting from a change in product mix.
Nio delivered 42,094 vehicles in the first quarter, a 40.1 percent increase from a year earlier but a 42.1 percent drop from the prior quarter. Of these, 27,313 units came from Nio's flagship premium brand, while 14,781 units were from ONVO, its newly launched family-oriented brand.
For the second quarter, Nio expects vehicle deliveries between 72,000 and 75,000 units, representing year-on-year growth of about 25.5 percent to 30.7 percent. Total revenue is forecast to range between 19.51 billion yuan and 20.07 billion yuan, reflecting growth of about 11.8 percent to 15.0 percent from the same period last year.
STAFF REPORTER