XPeng meets US$1.2 billion revenue forecast for first quarter, but net loss widens as supply chain disruptions bite

Name: Chinese XPeng electric car can drive and park by itself
Uploaded: 2022-05-23T13:00:11.000Z
Duration: 2 min 18 s
Description: Chinese XPeng electric car can drive and park by itself

Guangzhou-based company says revenue stood at 7.4 billion yuan for the quarter, in line with forecast by eight analysts polled by Bloomberg

The impact on Xpeng of the lockdown in Shanghai turned out to be the smallest among smart EV companies, analyst says

2-MIN READ2-MIN

An Xpeng EV is displayed during the Swedish eCarExpo 2022 in Stockholm on April 29. Xpeng says its deliveries for the quarter ending on March 31 reached 34,561 cars. Photo: Xinhua

Tracy Qu

Published: 9:00pm, 23 May 2022Updated: 11:16pm, 23 May 2022

Chinese smart electric vehicle (EV) start-up XPeng Inc met an analysts’ forecast for the first quarter after reporting a 152.6 per cent increase in revenue on Monday.

The Guangzhou-based company said its revenue stood at 7.4 billion yuan (US$1.2 billion) for the quarter, in line with the 7.4 billion yuan consensus forecast by eight analysts polled by Bloomberg. Its net loss, however, widened to 1.7 billion yuan from 786.6 million yuan a year earlier, and was slightly worse than the analysts’ estimate of 1.67 billion yuan.

“Our first-quarter performance marked a strong start to 2022,” chairman and chief executive He Xiaopeng said on Monday. “Demand for our high-quality EVs was robust and our proprietary suite of technologies continues to lead the industry.”

Superior in-house technology development capabilities and proactive supply-chain management enabled XPeng to meet supply chain challenges more efficiently, he added. The carmaker is confident of expanding its market share despite the impact of the semiconductor shortage and Covid-19, he said.

02:18

Chinese XPeng electric car can drive and park by itself

The EV maker’s quarterly results come on the heels of huge supply-chain disruptions caused by China locking down major cities such as Shanghai to contain outbreaks of the more infectious Omicron variant.

China’s automobiles industry lost 1 million vehicles in production last month amid severe lockdown measures, the Post reported. The industry is one of China’s biggest employers, providing jobs for one in every six people in the nation’s 800-million strong workforce, according to analysts.