Xpeng Earnings Preview: Deliveries Surge as Losses Narrow
Xpeng Inc. ADR (XPEV) approaches its upcoming earnings report with momentum, as the Chinese EV maker's stock has soared 110% year-to-date. Wall Street anticipates improved financials, with projected EPS of -$0.05 versus -$0.27 year-over-year, reflecting shrinking losses amidst robust delivery growth.
The company delivered 103,181 vehicles last quarter—a 242% annual increase—while revenue hit RMB 18.27 billion. Gross margins expanded to 17.3%, supported by strong demand for new models like the AI-powered G7 and P7 sedan. With RMB 47.5 billion in cash reserves, Xpeng's balance sheet appears fortified for continued R&D and expansion.
Analysts remain watchful of cost pressures despite the progress. The earnings release will test whether operational improvements can justify the stock's dramatic revaluation this year.
