Xpeng posts record revenue in Q4, gross margin turns positive
Xpeng saw record revenue in the fourth quarter, net loss narrowed significantly and gross margin turned positive.
The company reported revenue of RMB 13.05 billion (USD1.84 billion) in the fourth quarter of 2023, up 153.9% from the same period in 2022 and up 53.0% from the third quarter of 2023, according to its unaudited financial results announced today.
That was within the company's previously announced guidance range of between RMB 12.7 billion and RMB 13.6 billion, but below the RMB 13.28 billion expected by Wall Street analysts in a Bloomberg survey.
Xpeng delivered a record 60,158 vehicles in the fourth quarter, up 170.93% year-on-year and up 50.36% from the third quarter, and within its previous guidance range of 59,500 to 63,500 vehicles.
The company reported revenue from vehicle sales of RMB 12.23 billion in the fourth quarter, up 162.3% from the same period in 2022 and up 55.9% from the third quarter of 2023.
Xpeng's gross margin was 6.2% in the fourth quarter of 2023, reversing two consecutive negative quarters.
It had gross margins of -3.9% and -2.7% in the second and third quarters of 2023, respectively, and 8.7% in the third quarter of 2022.
Vehicle margin, which is gross profit or loss of vehicle sales as a percentage of vehicle sales revenue, was 4.1% for the fourth quarter of 2023, compared with 5.7% for the same period of 2022 and -6.1% for the third quarter of 2023.
Xpeng's guidance for first-quarter deliveries is between 21,000 and 22,500 units. Considering it delivered 8,250 units in Jan and 4,545 units in Feb, this means it expects to deliver 8,205-9,705 units in Mar.
Below is its statement, as the CnEVPost article is being updated.
XPeng's physical sales network had a total of 500 stores, covering 181 cities as of Dec 31, 2023.
Xpeng self-operated charging station network reached 1,108 stations, including 902 Xpeng self-operated supercharging stations and 206 destination charging stations as of Dec 31, 2023.
Fair value gain (loss) on derivative liability was gain of RMB0.56 billion (US$0.08 billion) for the fourth quarter of 2023, compared with loss of RMB0.97 billion for the third quarter of 2023. This non-cash gain (loss) resulted from the fluctuation in the fair value of the forward share purchase agreement, measured through profit or loss, related to the issuance of shares by the Company for strategic minority investment by the Volkswagen Group ("Volkswagen").
Net loss was RMB1.35 billion (US$0.19 billion) for the fourth quarter of 2023, compared with RMB2.36 billion for the same period of 2022 and RMB3.89 billion for the third quarter of 2023. Excluding share-based compensation expenses, fair value gain (loss) on derivative liability and fair value gain on derivative liability relating to the contingent consideration, non-GAAP net loss was RMB1.77 billion (US$0.25 billion) for the fourth quarter of 2023, compared with RMB2.21 billion for the same period of 2022 and RMB2.79 billion for the third quarter of 2023.
Net loss attributable to ordinary shareholders of Xpeng was RMB1.35 billion (US$0.19 billion) for the fourth quarter of 2023, compared with RMB2.36 billion for the same period of 2022 and RMB3.89 billion for the third quarter of 2023. Excluding share-based compensation expenses, fair value gain (loss) on derivative liability and fair value gain on derivative liability relating to the contingent consideration, non-GAAP net loss attributable to ordinary shareholders of Xpeng was RMB1.77 billion (US$0.25 billion) for the fourth quarter of 2023, compared with RMB2.21 billion for the same period of 2022 and RMB2.79 billion for the third quarter of 2023.
Basic and diluted net loss per American depositary share (ADS) were both RMB1.51 (US$0.21) and basic and diluted net loss per ordinary share were both RMB0.75 (US$0.11) for the fourth quarter of 2023. Each ADS represents two Class A ordinary shares.
Non-GAAP basic and diluted net loss per ADS were both RMB1.98 (US$0.28) and non-GAAP basic and diluted net loss per ordinary share were both RMB0.99 (US$0.14) for the fourth quarter of 2023.
Cash and cash equivalents, restricted cash, short-term investments and time deposits were RMB45.70 billion (US$6.44 billion) as of Dec 31, 2023, compared with RMB36.48 billion as of Sep 30, 2023. Time deposits include restricted short-term deposits, short-term deposits, restricted long-term deposits, current portion and non-current portion of long-term deposits.
Business Outlook
For the first quarter of 2024, the Company expects:
Deliveries of vehicles to be between 21,000 and 22,500, representing a year-over-year increase of approximately 15.2% to 23.4%.
Total revenues to be between RMB5.8 billion and RMB6.2 billion, representing a year-over-year increase of approximately 43.8% to 53.7%.
The above outlook is based on the current market conditions and reflects the Company's preliminary estimates of market and operating conditions, and customer demand, which are all subject to change.
Disclaimer: Community is offered by Moomoo Technologies Inc. and is for educational purposes only.
Read more
Comment
Sign in to post a comment
Moo Contributor
Follow me to get useful analysis, learn TA and make profitable trades.
Maximise profit 利润最大化
7220Followers
44Following
25KVisitors
Follow
bullrider_21 OP : Operating loss of USD289 million from sales of just more than USD1.8 billion. Wall Street was looking for a loss of USD448 million from sales of just under USD1.8 billion.
bullrider_21 OP : CEO He Xiaopeng said XPeng is about to embark on a "major product cycle," with plans to launch more than 10 new models over the next three years.
bullrider_21 OP : "We will continue to lead the innovation of autonomous driving technology, making it affordable and accessible to a much broader customer base," He said. "We will also make market entry into more international markets."
"Our plans on cost reduction through technology and engineering as well as operational improvement have begun to bear fruit," He said.
MonkeyGee : Thank you for the great summary
bullrider_21 OP MonkeyGee : yw.