NIO's Q2 Loss Wider Than Expected, Revenues Increase Y/Y

NIO Inc. NIO reported a loss per American Depositary Share (ADS) of 32 cents in the second quarter of 2025, wider than the Zacks Consensus Estimate of a loss of 30 cents. The company had incurred a loss of 34 cents in the year-ago quarter.

This China-based electric vehicle maker posted revenues of $2.65 billion, which missed the Zacks Consensus Estimate of $2.76 billion but rose 10.6% year over year due to higher delivery volumes.

NIO Inc. Price, Consensus and EPS Surprise

NIO Inc. Price, Consensus and EPS Surprise

NIO Inc. price-consensus-eps-surprise-chart | NIO Inc. Quote

Key Details of NIO’s Q2 Results

It delivered 72,056 vehicles in the second quarter, up 25.6% year over year, including 47,132 vehicles from NIO, 17,081 units from ONVO and 7,843 units from FIREFLY.

Revenues generated from vehicle sales amounted to $2.25 billion, up 4.2% year over year. The rise in sales was mainly attributable to an increase in delivery volume. Other sales of $401 million rose 65% on a year-over-year basis.

Gross profit was $264.9 million, up 14% reported in the year-ago quarter. Vehicle margin in the reported quarter fell to 10.3% from 12.2% in the second quarter of 2024, due to lower material cost per unit. Gross margin was 7.6%, up from 4.9% in the year-ago quarter. The decline was attributable to changes in product mix.

Research & development costs amounted to $419.8 million, which fell 4.2% year over year. Selling, general & administrative costs were $553.5 million, up 7.1% year over year. As of June 30, 2025, cash and cash equivalents totaled $992.7 million and long-term debt amounted to $1.27 billion.

For third-quarter 2025, NIO projects deliveries in the range of 87,000-91,000 vehicles, implying a rise of 40.7-47.1% year over year. Revenues are estimated between $3,045 million and $3,193 million.

NIO’s Zacks Rank & Key Picks

NIO carries a Zacks Rank #3 (Hold) at present.

Some better-ranked stocks in the auto space are Modine Manufacturing Company MOD, Gentex Corporation GNTX and Blue Bird Corporation BLBD, each sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for MOD’s fiscal 2026 sales and earnings implies year-over-year growth of 11.3% and 14.3%, respectively. EPS estimates for fiscal 2026 and 2027 have improved 11 cents and 45 cents, respectively, in the past 30 days.

The Zacks Consensus Estimate for GNTX’s 2025 sales and earnings implies year-over-year growth of 8.9% and 0.6%, respectively. EPS estimates for 2025 have improved 7 cents in the past 60 days. EPS estimates for 2026 have improved 4 cents in the past 30 days.

The Zacks Consensus Estimate for BLBD’s fiscal 2025 sales and earnings implies year-over-year growth of 7.7% and 16.8%, respectively. EPS estimates for fiscal 2025 have improved by 30 cents in the past 30 days. 

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This article originally published on Zacks Investment Research (zacks.com).

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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