Xpeng Targets Q4 2025 Profitability Amid China’s EV Shakeup

Xpeng’s CEO Xiaopeng He has set an ambitious target for the electric vehicle Maker to achieve profitability by the fourth quarter of 2025. This confidence stems from soaring deliveries and improved margins, particularly driven by higher-margin models like the G6 SUV.

China’s EV market, now mature and increasingly competitive, presents both challenges and opportunities for Xpeng. The company is navigating a landscape where government subsidies are dwindling, forcing automakers to prioritize sustainable growth over expansion at all costs.

Financial results show progress, with net losses narrowing by more than 51% year-over-year. Xpeng’s shift from aggressive scaling to a focus on profitability reflects broader trends in the EV sector as it moves beyond the subsidy era.