XPeng (XPEV) Q2 2025 earnings summary

Executive summary

• Achieved record-high deliveries of 103,181 units in Q2 2025, up 242% year-over-year and 9.8% sequentially, with record revenue, gross profit margin, and cash on hand.

• Mona M03 Max became a bestseller, and the G7 with in-house Turing AI SoC led in high-level ADAS adoption; G7 smart electric family SUV launched in July 2025.

• Focused on technology leadership, organizational strength, commercialization, and global expansion, with a strong brand presence in 10 international markets.

• Overseas deliveries exceeded 18,000 units in H1 2025, up over 200% year-over-year.

• Physical sales network expanded to 677 stores across 224 cities; charging station network reached 2,348 stations.

Financial highlights

• Total Q2 2025 revenue was RMB 18.27 billion, up 125.3% year-over-year and 15.6% quarter-over-quarter.

• Vehicle sales revenue reached RMB 16.88 billion, up 147.6% year-over-year and 17.5% quarter-over-quarter.

• Gross margin improved to 17.3% (from 14% a year ago and 15.6% in Q1); vehicle margin rose to 14.3%.

• R&D expenses were RMB 2.21 billion, up 50.4% year-over-year; SG&A expenses were RMB 2.17 billion, up 37.7% year-over-year.

• Net loss narrowed to RMB 0.48 billion, a 62.8% reduction year-over-year and 28.1% lower than Q1 2025.

• Cash and equivalents totaled RMB 47.57 billion as of June 30, 2025.

Outlook and guidance

• Q3 2025 deliveries forecasted at 113,000–118,000 units, up 142.8%–153.6% year-over-year.

• Q3 revenue projected at RMB 19.6–21 billion, up 94%–107.9% year-over-year.

• High teens vehicle gross margin and break-even targeted for Q4 2025.

• Focus on expanding market share domestically and internationally, with disruptive AI innovation.