XPeng delivered over 60,000 of its flagship P7 electrical sedans in 2021.
Chinese electric-vehicle maker XPeng on Monday reported a fourth-quarter loss that was narrower than Wall Street had anticipated as pricing energy helped cushion the hit from provide chain challenges and rising prices.
XPeng mentioned that it lost $202 million within the quarter, or $0.22 on an adjusted per-share foundation, on income of $1.34 billion. That was considerably higher than anticipated: Seven Wall Street analysts polled by FactSet had anticipated an adjusted lack of $0.33 per share, on common.
The gross revenue margin on XPeng’s automobile business, a quantity that’s broadly watched by analysts, fell to 10.9% within the fourth quarter from 13.6% within the third quarter on increased prices associated to produce chain points and rising commodity costs. But as CEO He Xiaopeng famous throughout a name for analysts Monday morning, that was nonetheless a big enchancment over the three.5% automobile margin the company posted within the fourth quarter of 2020.
The company’s U.S.-listed shares slid in morning buying and selling.
Like most automakers, XPeng needed to navigate manufacturing disruptions on account of ongoing provide chain challenges — particularly, a worldwide scarcity of semiconductor chips — a number of occasions throughout 2021. Those disruptions saved XPeng’s smooth EVs in comparatively brief provide amid excessive demand, giving the company some added pricing energy to assist cushion the influence of the rising prices.
Xiaopeng mentioned that the company is working to additional ramp up manufacturing additional in 2022. XPeng hopes to quickly ship greater than 10,000 of its flagship P7 sedans in a single month, he mentioned, and he expects its new P5 sedan to succeed in related manufacturing numbers later this year.
XPeng delivered 60,569 P7s in 2021. Deliveries of the P5, which went into manufacturing in the course of the fourth quarter, totaled 7,865 final year.
Xiaopeng additionally mentioned the company’s subsequent new mannequin, an upscale electrical SUV known as the G9, is on monitor to enter manufacturing within the third quarter of 2022. He mentioned that he expects the G9’s efficiency to be “head and shoulders” above Chinese-made rivals, and that it has the potential to be a “blockbuster” hit for the company.
Two extra new fashions, constructed on a brand new automobile structure, will comply with in 2023, he mentioned.
The company expects to ship between 33,500 and 34,000 autos in complete this quarter, representing progress of greater than 150% versus the primary quarter of 2021.
That steering suggests a robust March for the company. XPeng delivered a complete of 19,147 autos in January and February, a interval that included a number of days of manufacturing facility downtime throughout China’s Lunar New Year vacation.