Nio, a provider of smart electric vehicles, has reported a widened net loss of 7.11bn yuan ($974.3m) in the fourth quarter of 2024, ended 31 December.
The net loss, which represents a 32.5% increase from 5.36bn yuan reported for the same period a year ago.
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The loss was driven by higher research and development and marketing costs, which outweighed the gains from increased deliveries and revenue.
Excluding share-based compensation expenses, adjusted net loss (non-GAAP) was 6.62bn yuan ($907.2m) in the fourth quarter of 2024, representing a year-on-year increase of 37.9%.
For full year net loss stood at 22.4bn yuan ($3.06bn), compared with 2023 net loss of 20.71bn yuan.
Total revenues for Q4 2024 increased by 15.2% compared to Q4 2023, reaching 19.7bn yuan ($2.69bn).
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By GlobalDataGross profit also saw a significant jump of 80.5% compared to Q4 2023, amounting to 2.30bn yuan ($316.3m). The gross margin improved to 11.7%, up from 7.5% in the fourth quarter of 2023.
Total revenues for 2024 stood at 65.73bn yuan ($9bn), marking 18.2% increase from the same period a year ago.
In the fourth quarter, vehicle sales rose to 17.47bn yuan ($2.39bn), marking a 13.2% increase year-over-year.
However, the company’s loss from operations was 6.03bn yuan ($826.5m), an 8.9% decrease from the fourth quarter of 2023.
For the full year of 2024, vehicle sales were up by 18.2%, totalling 58.23bn yuan ($7.97bn).
The annual vehicle margin improved to 12.3%, and the gross profit for the year more than doubled from the previous year, reaching 6.49bn yuan ($889.5m).
Nio founder, chairman and CEO William Bin Li said: “In 2024, we achieved a new delivery record of 221,970 vehicles. Throughout the year, Nio brand maintained its position as the leader in China’s BEV market for vehicles priced over 300,000 yuan, capturing a 40% market share. The market share of the ONVO L60 have been steadily increasing since its launch, securing a top-three position in China’s BEV SUV market priced between 200,000 yuan and 300,000 yuan.”
Looking ahead to the first quarter of 2025, Nio anticipates vehicle deliveries between 41,000 and 43,000, a significant increase from the same quarter in 2024.
William Bin Li added: “This year marks the beginning of a new product cycle for our three brands. Nio brand will further solidify its premium positioning by introducing more technology and experience-driven products.
“ONVO brand, targeting the mainstream mass market, will concentrate on increasing its sales volume and enriching its product portfolio. Firefly’s model will be officially launched and begin deliveries in April, serving as a key driver for our future international expansion.
“Additionally, we are continuously advancing our assisted and intelligent driving capabilities and have made breakthroughs in our Nio WorldModel architecture, which will be gradually rolled out to cover all driving scenarios.”
The company also projects total revenues to be between 12.36bn yuan ($1.69bn) and 12.85bn yuan ($1.76bn), marking a substantial year-over-year growth.
Niochief financial officer Stanley Yu Qu said: “Looking ahead to 2025, we will sharpen our focus on enhancing profitability by driving cost reductions through technological advancements, optimising operational efficiency and accelerating scalable growth.”
Recently, China’s EV battery manufacturer Contemporary Amperex Technology Company Limited (CATL) and Nio collaborated for the development of EV battery swapping network.
