Xpeng forecasts upbeat quarterly revenue on strong EV deliveries
China's
XPeng
on Wednesday forecast
second-quarter revenue
above Wall Street estimates, betting on growing demand for its lower-priced
electric vehicles
.
US-listed shares of the company rose 6.3 per cent in premarket trading.
XPeng is one of the few automakers to weather China's hypercompetitive EV market, but is yet to turn a profit. In the first quarter, the company reported surging vehicle deliveries, improving gross margin and a narrower loss.
'Despite seasonality for auto sales, our quarterly deliveries hit a new historical high, making us the top-selling automaker among emerging EV companies,' CEO
Xiaopeng He
said.
In August, the company had launched MONA M03, a mid-sized sedan that competes with
BYD
's Seagull and Dolphin, as well as the higher-priced
Tesla Model 3
.
The Guangzhou-based company expects to deliver between 102,000 and 108,000 vehicles in the second quarter, which is about 237.7 per cent to 257.5 per cent higher than a year ago.
XPeng forecast second-quarter revenue of 17.5 billion yuan to 18.7 billion yuan, the midpoint of which is above analysts' average estimate of 16.85 billion yuan, according to data compiled by LSEG.
For the first quarter of 2025, Xpeng delivered 94,008 EVs, representing a 330.8 per cent increase compared with the same period last year.
Gross margin stood at 15.6 per cent for the first quarter compared with 12.9 per cent from a year earlier.
Last month, XPeng unveiled its upscale X9 minivan, starting at 359,800 yuan ($49,231), equipped with advanced automated-driving systems.
The company also said it expects to achieve mass production of vehicles with Level 3
autonomous driving features
in China by the end of 2025 - a significant step up from the Level 2 systems widely in use.
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