Xpeng shares slumped 9.5% to HK$43.14 on Tuesday after the Chinese electric vehicle manufacturer reported a deeper-than-expected net loss and provided third-quarter guidance below analyst expectations.
The company posted a net loss of RMB 3.12 billion for the first half of 2026, a 173% deterioration compared with the same period a year earlier. Vehicle deliveries for the six months totaled 166,000 units, down 15.8% year-over-year, as the company continued to face weaker demand in a competitive EV market.
Xpeng also guided third-quarter revenue to a range of RMB 21.70 billion to RMB 23.40 billion, representing growth of 6.5% to 14.8% from the prior-year period. The outlook fell short of the RMB 25.88 billion consensus estimate among analysts, which analysts cited as the primary catalyst for the sharp sell-off. The company now faces the challenge of achieving record deliveries in the final two quarters to meet its full-year target.
The decline follows broader sector headwinds, including a wave of vehicle recalls by Chinese EV manufacturers over door handle safety concerns, which have weighed on investor sentiment in the domestic market.
