NIO Inc. (NYSE: NIO; HKEX: 9866; SGX: NIO) released its unaudited financial results for the second quarter of 2025, ending June 30. The company delivered 72,056 electric vehicles, a 25.6% year-over-year increase. This figure included sales from its premium brand, NIO, as well as its family-oriented brand, ONVO, and its smaller, high-end brand, FIREFLY.
Total revenue reached RMB 19.0 billion (US$2.65 billion), a 9% year-over-year increase and a significant rise compared to the first quarter of 2025. Vehicle sales comprised RMB 16.1 billion (US$2.25 billion) of this total. The vehicle sales margin stood at 10.3%, slightly lower than the same quarter in 2024.
NIO’s gross profit increased to RMB 1.9 billion (US$265 million), while the gross margin was 10%. The company reported an operating loss, though it decreased compared to both the previous quarter and the same quarter in 2024. The adjusted operating loss, excluding certain expenses, also showed improvement. The company’s net loss also decreased compared to the previous quarter and the same quarter in 2024.
NIO ended the quarter with substantial cash reserves. Despite ongoing losses since its inception, the company expressed confidence in its ability to maintain operations for the next twelve months based on its growth strategy and financial resources.
William Bin Li, NIO’s founder, chairman, and CEO, attributed the positive sales momentum to the strong market reception of the ONVO L90 and the new NIO ES8. He projected third-quarter deliveries to reach a company record of 87,000 to 91,000 vehicles, representing a substantial year-over-year growth. He emphasized the positive market response to the new models, showcasing the company’s ability to adapt to consumer needs.
Stanley Yu Qu, NIO’s CFO, highlighted the positive impact of cost-reduction initiatives, resulting in significant sequential improvement in the non-GAAP operating loss. He indicated that the company is nearing a financial turning point, anticipating a sustainable growth cycle.
Further details on the financial results were provided, including breakdowns of revenue streams and cost of sales. The company detailed the reasons behind the increases in both revenue and cost of sales. Both were largely attributed to increased delivery volumes.
NIO also announced significant recent developments, including the launch of the ONVO L90 and the unveiling of the all-new NIO ES8, which are expected to contribute to future growth. The company additionally finalized an agreement to further invest in its NIO China subsidiary, securing a controlling equity interest.
The company’s outlook for the third quarter of 2025 projects strong growth in both vehicle deliveries and total revenues. However, they noted that the outlook is preliminary and subject to change. A conference call was held to discuss the results further with investors and analysts.
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