Polestar Automotive (PSNY) Q4 2025 earnings summary

Executive summary

• Achieved record retail sales of 60,119 cars in 2025, up 34% year-on-year, in line with 30%-35% growth guidance, and revenue surpassed $3 billion, a 50% increase.

• Expanded retail network by 20-50% to 210-211 sales points, with a 51% increase outside China, and improved operational efficiency.

• Launched major technology upgrades, including 800-volt architecture, advanced NVIDIA processors, and announced four new models over the next three years.

• Strengthened capital structure with $1.2 billion in new equity, $639 million in debt-to-equity conversions, and extension of a $726 million shareholder loan.

• Strong start to 2026 with Q1 retail sales of 13,100 cars, up 7% year-on-year.

Financial highlights

• Revenue rose to $3,058 million in 2025 from $2,034 million in 2024, driven by higher volumes and favorable mix.

• Adjusted gross margin improved to -0.7% from -12.5% a year ago; reported gross margin was -35% due to $1.1 billion in impairment expenses.

• Adjusted EBITDA loss narrowed by 27% to -$783 million; Q4 adjusted EBITDA improved to -$223 million from -$470 million.

• Q4 2025 revenue was $887 million, up 54% year-over-year, with Adjusted Gross Margin turning positive at 1.9%.

• Net loss for 2025 was $2,357 million, mainly due to impairment expenses; Q4 net loss was $799 million, a 32% improvement year-over-year.

Outlook and guidance

• 2026 guidance projects low double-digit retail sales volume growth amid challenging market and geopolitical conditions, with evolving sales mix favoring new models.

• Continued focus on operational synergies, cost discipline, and cash conversion cycle management.