NIO (NIO) Q1 2024 earnings summary

Executive summary

• Q1 2024 deliveries reached 30,053 premium smart EVs, down 3.2% year-over-year and 39.9% sequentially from Q4 2023.

• Market share in the premium BEV segment continued to grow, outpacing segment averages.

• ONVO, a new family-focused brand, was launched with the L60 SUV in May 2024, targeting mass market expansion.

• NIO Power secured a CNY 1.5 billion (RMB1.0 billion, with potential for an additional RMB500 million) strategic investment to expand charging and swapping infrastructure.

• Multi-brand strategy and new product launches are expected to drive future growth.

Financial highlights

• Q1 2024 total revenue was CNY 9.9 billion (RMB9,908.6 million), down 7.2% year-over-year and 42.1% quarter-over-quarter.

• Vehicle sales revenue was CNY 8.4 billion (RMB8,381.3 million), down 9.1% year-over-year and 45.7% quarter-over-quarter.

• Other sales reached CNY 1.5 billion (RMB1,527.3 million), up 5.2% year-over-year but down 8.2% quarter-over-quarter.

• Overall gross margin improved to 4.9% from 1.5% a year ago, but down from 7.5% last quarter.

• Net loss was CNY 5.2 billion (RMB5,184.6 million), up 9.4% year-over-year, but down 3.4% quarter-over-quarter.

• Cash and equivalents stood at CNY 45.3 billion (RMB45.3 billion) as of March 31, 2024.

Outlook and guidance

• Q2 2024 deliveries expected to reach 54,000–56,000 units, up 129.6%–138.1% year-over-year.

• Q2 2024 total revenues expected between RMB16,587 million and RMB17,135 million, up 89.1%–95.3% year-over-year.

• Vehicle margin expected to return to double digits in Q2 and improve further in Q3 and Q4.

• NT3 platform products targeted to achieve 20% vehicle margin; ONVO products targeted at 15%+ margin long-term.

• Monthly sales volume targets for breakeven: 30,000 units for NIO, 20,000–30,000 units for ONVO.