XPeng Inc (NYSE: XPEV) reported a first-quarter FY23 sales decline of 45.9% year-on-year, to RMB4.03 billion ($587.31 million), missing the consensus of $741.07 million.
The Tesla Inc (NASDAQ: TSLA) rival’s quarterly vehicle deliveries decreased 17.9% Y/Y to 18,230.
Revenues from vehicle sales decreased 49.8% Y/Y, mainly attributable to lower vehicle deliveries and the discontinuation of new energy vehicle subsidies.
Gross margin contracted by 1,050 basis points to 1.7%. Vehicle margin contracted by 1,290 bps to (2.5)%.
Operating loss for the quarter was RMB2.59 billion or $0.38 billion versus a loss of RMB1.92 billion last year.
The company held $4.97 billion in cash and equivalents.
Non-GAAP net loss per ADS was RMB(2.57) or $(0.37), which missed the consensus loss of $(0.26).
He Xiaopeng, Chairman and CEO of XPeng, said, “G6, the first production model built on XPENG’s next-generation technology architecture SEPA2.0, will be officially launched in June 2023. I believe the G6 will emerge as one of the most popular, best-selling models in China’s NEV SUV market segment with price range between RMB200,000 to RMB300,000.”
Outlook: XPeng sees Q2 vehicle deliveries of 21,000 – 22,000, down 36.1% – 39.0% Y/Y.
The company expects Q2 revenue of RMB4.5 billion ($657.7 million) – RMB4.7 billion ($686.9 million), representing a Y/Y decrease of 36.8% – 39.5%, below the consensus of $1 billion.
Price Action: XPEV shares are trading lower by 5.6% at $8.60 in premarket on the last check Wednesday.
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This article XPeng Stock Drops After Q1 Earnings and Cautious Outlook: The Details originally appeared on Benzinga.com
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Source: https://finance.yahoo.com/news/xpeng-stock-drops-q1-earnings-124719459.html