Nio records slight setback in the first quarter

Chinese electric car manufacturer Nio recorded falling sales and increased losses in the first quarter of 2024. Most recently, Nio was at least able to consistently increase deliveries and sales - this was no longer the case at the start of 2024.

Nio delivered 30,053 electric vehicles from January to March this year, 3.2 per cent fewer than in the same period last year (31,041 vehicles), and 39.9 per cent fewer than in Q4/2023 (50,045 electric cars). Nio achieved its record quarter in Q3/2023 with over 55,000 deliveries.

The figures for the current second quarter will also be interesting. Q2 was the carmaker’s worst quarter in the past two years – with around 23,500 and 25,000 deliveries, respectively. With the figures for April and May, which Nio mentions in the press release, Q2/2024 should be much better. 15,620 vehicles were delivered in April and 20,544 in May – meaning that Nio already stood at over 36,000 units in Q2 at the end of May.

Turnover also fell in line with the lower sales. Around 9.9 billion yuan (1.3 billion euros) represents a decrease of 7.2 per cent compared to the first quarter of 2023 and of 42.1 per cent compared to the fourth quarter of 2023. Nio’s net loss in the first quarter of 2024 was just under 5.2 billion yuan (667 million euros), an increase of 9.4 per cent compared to the same period last year and a decrease of 3.4 per cent compared to the fourth quarter of 2023.

The high investments contributing to the continuing losses are channelled into production (Nio recently started building a third plant), the new sub-brand Onvo for cheaper electric cars, and improvements to existing products. “In April 2024, we launched the 2024 ET7 Executive Edition, featuring 180 upgrades tailored to the needs of business travellers and professionals, further enhancing our competitiveness in the premium sedan market,” says Nio CEO and founder William Li.

“We are continuously enhancing the operational efficiency of our power and service network and aim to consistently extend our services to a wider user base. As of today, we have forged strategic partnerships with seven automakers in China to promote the standardization and adoption of battery swapping technologies, underscoring the long-term strategic value of our extensive power network,” added Steven Wei Feng, NIO’s chief financial officer. “Our focus remains on strengthening execution efficiency, optimizing cost management, and accelerating market share growth.”

nio.com