WeRide (WRD) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue reached RMB 232 million, up 82% year-over-year and 103% quarter-over-quarter, driven by rapid overseas expansion, asset-light scaling, and robust domestic performance.

• Overseas revenue surged 164% year-over-year, with new Robotaxi deployments in Europe and the Middle East, and expansion into 13 countries.

• Gross margin reached a record 37.5%, up 9.4 percentage points year-over-year, reflecting a shift to higher-margin, service-oriented revenue and improved operating efficiency.

• EBITDA loss narrowed by 8% year-over-year to RMB 335 million, with net loss slightly improved to RMB 401 million.

• Outperformed analyst consensus for total revenue and achieved significant operational milestones in Europe and the Middle East.

Financial highlights

• Q2 2026 revenue: RMB 232 million, up 82% year-over-year and 103% quarter-over-quarter; overseas revenue up 164% year-over-year.

• Gross profit: RMB 87 million, up 143% year-over-year; gross margin: 37.5%, up 9.4 percentage points.

• L4 revenue: RMB 125 million, up 47% year-over-year; L2++/L3 revenue increased 2,593.8% year-over-year, with 30,000 units delivered.

• Operating expenses: RMB 533 million, up 9.2% year-over-year; R&D expense: RMB 434 million.

• Cash and liquid resources: RMB 5.4 billion as of June 30, 2026, providing over four years of cash runway.

Outlook and guidance

• Expect L2++/L3 equipped vehicles to exceed 100,000 by year-end and 500,000 by 2027.

• Overseas expansion to drive meaningful growth, with profitability targeted in overseas markets by end of 2026.

• Aim for positive cash flow in a single quarter by 2028 and break-even for full year 2029.

• Targeting full city coverage in key Middle Eastern markets and sustained growth through recurring service fees.