Xpeng Inc., a leading Chinese electric vehicle company, saw its ADR (American Depositary Receipt) XPEV, +8.56% drop 2% in premarket trading on Wednesday. The dip follows the release of the company’s third-quarter financial results, which revealed a widened loss from the previous year and a revenue shortfall that fell short of estimates.
Financial Results
For the quarter, Xpeng reported a net loss of RMB3.89 billion ($0.53 billion), or RMB4.49 per share, compared to a loss of RMB2.38 billion, or RMB2.77 per share, in the same period last year. However, the company’s adjusted per-share loss came in at RMB3.23, which was slightly narrower than the FactSet consensus estimate of RMB3.40.
Revenue for the quarter climbed to RMB8.53 billion from RMB6.82 billion, although this fell below the RMB8.68 billion FactSet consensus.
Vehicle Deliveries
Despite the financial setback, Xpeng managed to deliver 40,008 vehicles during the quarter, reflecting an impressive 72.4% increase compared to the second quarter. Additionally, the company delivered an additional 20,002 vehicles in October, bringing the total number of vehicles delivered year-to-date to 101,445.
Outlook for Q4
Looking ahead to the fourth quarter, Xpeng anticipates delivering between 59,500 and 63,500 vehicles, representing a substantial rise of 101.2% to 114.7% from the previous year. As for revenue expectations, the company forecasts a range of RMB12.7 billion to RMB13.6 billion, with FactSet projecting RMB12.2 million.
Market Performance
Xpeng’s stock has performed remarkably well this year, witnessing a 70% increase year-to-date. In comparison, the S&P 500 SPX, +1.91% has gained 17%.
Despite the recent challenges, Xpeng remains optimistic about its future prospects and is determined to leverage its position in the increasingly competitive electric vehicle market.
