On September 5th, NIO released its Q2 2024 financial report, with Q2 revenue of 17.45 billion yuan, a year-on-year increase of 98.9%. In the second quarter of this year, NIO delivered a total of 57400 new cars.
On the day of the financial report release, positive feedback was received in the capital market. On September 5th Eastern Time, NIO's US stock closed up 14.39%. After the performance announcement, JPMorgan Chase raised NIO's ADR rating to overweight, with a target price of $8. Yuanda Jinghua Securities has upgraded NIO's H-share rating to buy, with a target price of HKD 45. In addition, Guohai Securities' research report on September 5th stated that based on the intensification of the trade in policy and the potential for intensive new car launches in September (such as Ledao), they are optimistic about the opportunities in the automotive sector in September 2024.
According to financial report data, NIO's revenue and sales in the second quarter both reached historic highs, with revenue of 17.45 billion yuan, a year-on-year increase of 98.9% and a month on month increase of 76.1%; The sales volume was 57373 units, a year-on-year increase of 143.9% and a month on month increase of 90.9%; The gross profit margin of the entire vehicle is 12.2%, an increase of 6 percentage points year-on-year and 3 percentage points month on month, continuing to lead the pure electric race track; The year-on-year loss narrowed significantly by 16.7%; The R&D investment is 3.22 billion yuan, and the cumulative R&D investment since 2016 has reached 50 billion yuan. As of the end of the second quarter, NIO's cash reserves reached 41.6 billion yuan.
NIO also released its strongest quarterly guidance in history: expected delivery volume for the third quarter is 61000 to 63000 units, and expected revenue for the third quarter is 19.11 billion to 19.67 billion yuan, both delivery and revenue guidance reaching historic highs.
NIO's accumulated R&D investment of 50 billion yuan has brought breakthroughs in a series of core technologies such as intelligent driving chips, vehicle operating systems, and intelligent chassis, forming a scale effect in the multi brand stage and laying a solid technological foundation.
NIO founder Li Bin announced during the earnings conference that the first model of NIO's second brand, Ledao, the L60, will be launched on September 19th and will begin delivery at the end of September. We have full confidence in the comprehensive competitiveness of the Ledao L60 product. Next, we will make every effort to ensure the ramp up of production capacity and fully meet market demand. Ledao targets a market of over 8 million vehicles, and combined with BaaS and charging and swapping networks, it is very competitive. In terms of sales volume, its upper limit is much higher
Li Bin also stated that NIO will continue to optimize its product cost structure and increase the proportion of high gross profit models in the market. NIO's gross profit margin will continue to increase, and it is expected to reach a 15% gross profit margin for the entire vehicle by the fourth quarter.
In addition, NIO's global market layout is accelerating. Li Bin revealed that on August 20th, NIO's official website in the United Arab Emirates was launched, and the product will be officially launched and delivered in the fourth quarter of this year.