XPeng’s U.S.-listed shares fell 3.5% in early trading after the Chinese electric vehicle maker posted a second-quarter loss and provided cautious third-quarter guidance.
The Guangzhou-based company reported a net loss of RMB1.29 per American Depositary Share for the period ended June 30, compared with a RMB0.29 loss expected by analysts. Revenue totaled RMB19.74 billion, missing the RMB20.57 billion consensus estimate, though up 8% from a year earlier and 51.5% sequentially. Vehicle sales revenue rose 1.0% year-over-year to RMB17.05 billion, while gross margin improved to 20.7% from 17.3% in Q2 2023 and 20.6% in Q1 2024.
Vehicle deliveries were essentially flat at 103,295 units, reflecting persistent competitive pressure in China’s EV market. Gross margin expansion was offset by a decline in vehicle margin to 12.1% from 14.3% a year earlier, unchanged from the prior quarter.
XPeng guided for third-quarter vehicle deliveries of 115,000 to 121,000 units, implying a year-over-year change of roughly -0.87% to +4.30%. Total revenue is expected between RMB21.7 billion and RMB23.4 billion, representing growth of 6.47% to 14.81% from Q3 2023.
Separately, XPeng’s robotics subsidiary raised over $900 million in a private funding round, valuing the unit at more than $6.3 billion post-money. IDG Capital led the round, with participation from Gaorong Ventures, Tencent, and Alibaba. XPeng said the financing is the largest single-round private deal in China’s embodied AI sector to date.
The robotics unit will remain under XPeng’s control and consolidated into its financials. Proceeds will fund software and hardware R&D, AI model training, data generation, manufacturing capacity expansion, and global commercial expansion.
