The second quarter of 2023 brought a challenging environment for Chinese e-car producer Nio in terms of vehicle sales. According to the latest financial results, the company recorded vehicle sales of RMB 7,185.2 million (US$990.9 million), down 24.9% from the second quarter of 2022 and down 22.1% from the first quarter of 2023.
The vehicle margin, which is an important indicator of profitability, was 6.2% in the second quarter of 2023. This represents a significant decrease compared to 16.7% in the second quarter of 2022 and 5.1% in the first quarter of 2023.
Nio’s total revenues were RMB 8,771.7 million (US$1.210 billion) in the second quarter of 2023, down 14.8% from the second quarter of 2022 and down 17.8% from the first quarter of 2023.
The Company’s gross profit was RMB87.0 million (US$12.0 million) in the second quarter of 2023, representing a significant decrease of 93.5% from the second quarter of 2022 and a decrease of 46.4% from the first quarter of 2023. Gross margin was 1.0% in the same period, compared with 13.0% in the prior-year period and 1.5% in the first quarter of 2023.
Loss from operations increased 113.5% year-on-year in the second quarter of 2023 and 18.8% year-on-year in the first quarter of 2023 to RMB6,074.1 million (US$837.7 million). Adjusted for stock-based compensation costs, adjusted loss from operations (non-GAAP) was RMB5.46 billion ($753.5 million) in the second quarter of 2023, an increase of 132.0% year-over-year and an increase of 20.8% from the first quarter of 2023.
Net loss for the company was RMB 6.05 billion (US$835.1 million) in the second quarter of 2023, up 119.6% year-on-year and up 27.8% from the first quarter of 2023. Including stock-based compensation costs, adjusted non-GAAP net loss was RMB5.4 billion ($751.0 million) in the second quarter of 2023, an increase of 140.2% year-over-year and an increase of 31.2% from the first quarter of 2023.
As of the end of the quarter, more specifically June 30, 2023, Nio had cash, restricted cash, short-term investments and long-term time deposits of RMB 31.5 billion (US$4.3 billion).
