NIO’s Q1 2023 revenue increased 7.7% year-on-year but fell 33.5% quarter-on-quarter

Shanghai (Gasgoo)- NIO Inc., China’s top-runner in the high-end smart electric vehicle field, posted a year-on-year decline in total revenue and vehicle sales in the first quarter (first quarter) of 2023, but still recorded year-on-year growth reported that it did. Increased total income. Revenue fell 33.5% from Q4 2022 and increased 7.7% from Q1 2022, totaling RMB 10,676.5 million (US$1,554.6 million), according to unaudited financial results released today .

The company’s automobile sales in the first quarter of 2023 fell to RMB 9.2245 billion (US$1.3432 billion), down 37.5% from the fourth quarter of 2022 and just 0.2% from the first quarter of 2022. Diminished. The decline in sales compared to the first quarter last year was primarily due to lower average selling prices. This was due to an increased share of ET5 and 75 kWh standard range battery pack deliveries, partially offset by higher deliveries.

NIO’s distribution center in the Nanxiang district. Photo credit: NIO

Gross profit in the first quarter of 2023 fell sharply to RMB 162.3 million (US$23.6 million), down 88.8% year-on-year and down 73.9% quarter-on-quarter. This was reflected in significantly lower gross margins and vehicle margins.

Gross margin of 1.5% in Q1 2023 was down significantly from 14.6% in Q1 2022 and 3.9% in Q4 2022, mainly due to lower vehicle margins.

Vehicle margins in Q1 2023 were 5.1%, down from 18.1% in Q1 2022 and 6.8% in Q4 2022. The year-over-year vehicle margin decline was primarily due to a change in product mix and higher battery cost per unit, which was lower than the previous quarter. This was primarily due to (i) a change in product mix, (ii) increased promotional discounts on previous generations of ES8, ES6 and EC6, but (iii) inventory provisions, accelerated depreciation of production capacity and losses partially offset by Regarding his commitment to buy the previous generation ES8, ES6 and EC6 in Q4 2022.

R&D expenses decreased by 22.7% quarter-on-quarter, but increased by 74.6% year-on-year to RMB 3,075.6 million (US$447.8 million).

NIO’s net loss in Q1 2023 rose 165.9% from Q1 2022 to CNY 4,739.5 million (US$690.1 million), down 18.1% from Q4 2022 I was.

NIO’s cash balance, which includes restricted cash, short-term investments and long-term fixed deposits, stands at RMB 37.8 billion (US$5.5 billion) as of March 31, 2023.

Looking ahead, NIO expects both vehicle deliveries and total revenue to decline in Q2 2023 year-over-year. The company’s vehicle deliveries are expected to be between 23,000 and 25,000 units from April 2023 to he June. The company also expects total revenue to fall between 8.742 billion yuan (US$1.273 billion) and 9.37 billion yuan, down 15.1% to 9.0% year-on-year. (US$1,364 million).