SHANGHAI, China, Feb. 18, 2019 (GLOBE NEWSWIRE) -- NIO Inc. (“NIO” or the “Company”) (NYSE: NIO), a pioneer in China’s premium electric vehicle market, today announced that it will report its fourth quarter and full year 2018 unaudited financial results on Tuesday, March 05, 2019, after the close of the U.S. markets.

The Company’s management will host an earnings conference call at 7:00 PM U.S. Eastern Time on March 05, 2019 (8:00 AM Beijing/Hong Kong time on March 06, 2019).

Dial-in details for the earnings conference call are as follows:

United States: +1-845-675-0437
International: +65-6713-5090
Hong Kong: +852-3018-6771
Conference ID: 6083209

The Top 3 NIO Shareholders

Oct 11, 2018

NIO Inc. (NIO), founded in 2014 by Chinese entrepreneur William Li, is a Shanghai-based automobile manufacturer that specializes in designing and developing electric autonomous vehicles. The company, formerly known as NextEV, has big plans to become the Tesla Inc. (TSLA) of China and satisfy Beijing’s ambitions to rapidly expand the country’s production of sophisticated technologies, including vehicles that reduce emissions.

In September, NIO became the third-biggest U.S. listing by a Chinese firm this year. The company raised $1 billion in its initial public offering (IPO), falling short of initial expectations. The shares were priced at $6.26 a piece on Sept. 12, just above the low end of its $6.25 to $8.25 target price range. Sources told Reuters that its valuation was dragged down by investor concerns about the troubles engulfing chief competitor Tesla. Waning sentiment in Chinese companies probably also did not help

At the start of the IPO process, NIO had hoped for a valuation of as much as $20 billion. In the end it had to settle for a market capitalization of $6.41 billion.

The shares currently trade at $7.39, with a market cap of $7.52 billion. Below are the company’s three largest individual shareholders.

William Li

In its IPO prospectus, NIO listed William Li, the founder and CEO of the electric vehicle start-up, as its biggest shareholder owning 148.6 million shares or a 14.5% stake immediately after the offering. These shares are in the form of class C shares, except for 189,253 class A shares held by Originalwish Limited, a company incorporated in British Virgin Islands and beneficially owned by Li. He promised to donate 50 million of his shares "at an appropriate time in the future" and retain his voting power.

Born in 1974, Li rose to fame after he founded Bitauto E-Commerce Co. Ltd., a provider of internet content and marketing services for China’s automotive industry, in 2000. The success of Bitauto, which employs more than 3,000 people and covers 340 cities in China, led Li to be referred to in his country as the “godfather of the transport sector.” The entrepreneur is also a chairman at ride-sharing service Dida Chuxing and was one of the first major investors in bike-sharing platform Mobike Technology Co. Ltd.

Tencent

WeChat owner Tencent Holdings Ltd. (TCEHY), one of the world’s biggest internet companies, has developed a reputation for plowing billions of dollars into various start-up ventures. The Shenzhen, China-based firm was one of the first major backers in NIO and held 137.2 million shares immediately after the offering, which translates to a 13.4% stake. This includes 132 million class B shares and 5.2 million class A shares, which Tencent entities were expected to purchase at the IPO price. Tencent’s investment in NIO, as well as Tesla, feeds into its ambitions to become a leader in artificial intelligence and connected devices. Earlier this year, the internet giant secured a license to test self-driving vehicles in the city of Shenzhen.

Baillie Gifford

In a filing with the Securities and Exchange Commission on Oct. 9, Baillie Gifford, the second-largest holder of Tesla stock after Elon Musk, confirmed that it had acquired an 11.4% stake in NIO, bringing the total number of shares it owns to 85.3 million. News of the UK investment management firm’s investment sent NIO’s shares up 22.35% the same day.

Don’t Buy Into Nio’s 60 Minutes Hype As It Seeks Musk-Level Media

Mar 1, 2019

Chinese electric vehicle company Nio has described itself as the Tesla killer. Since the company’s U.S. initial public offering last year, NIO stock hasn’t exactly knocked Tesla off the pedestal just yet. But a recent 60 Minutes feature is giving Nio a huge new burst of attention.

If Nio is to become a Tesla-killer, it needs a ton of media spotlight. Undoubtedly, Tesla wouldn’t have ever reached its heights, either as a stock or a pop culture phenomenon, without the media’s unrelenting coverage of Elon Musk. Tesla has become a classic story stock where the vision has run far ahead of its financial success, at least to date.

Now Nio is offering investors a similar compelling story. Let’s take a look.

An Electric Car Lifestyle

Nio doesn’t disguise its ambitions. In its interview with 60 Minutes, founder William Li said that Nio isn’t really a car company but instead views itself as a lifestyle company. That’s certainly a wise strategy for building a brand. A company like Apple has dominated in tech hardware — a sector which features notoriously fickle consumers — because the Mac maker is selling much more than just a phone or tablet. It is selling an image which allows consumers to feel like they are part of a better and more enlightened part of society. Similarly, Starbucks brewed success by generating an enticing feeling for its customers, even if its coffee doesn’t taste particularly better than the competition.

So what’s Nio’s strategy to become more than just another car manufacturer in a crowded field? The Shanghai-based company offers some features, such as an exclusive app and social network that only Nio owners are a part of.

More interestingly, Nio is building members-only clubs on top of their dealerships. These are called Nio Houses. They are intended to give younger Chinese consumers access to a more pampered lifestyle. Benefits include classes in things such as espresso making, along with places for kids to play, and areas for folks to hang out and make friends with each other. As an American, it’s hard to judge how well this concept will catch on in China.

However, private clubs — such as those based around golf courses — have a long history of promoting social bonds within upper-class communities and charging dearly for the experience. Given China’s incredibly dense urbanization, a traditional community club approach would probably not work so well given the shortage of land. So perhaps something like the Nio House will be the right concept in its place.

How Will Nio Pay For This?

Like with Tesla, Nio will face challenges trying to turn vision into reality. They are anticipating only selling something in the neighborhood of 40,000 cars this year. It’d be hard to generate much profit at that level of scale even if the company had modest overhead. Instead, it is locating in some of the most expensive real estate in Beijing, Shanghai, and other Tier 1 cities for its Nio Houses. Costs to operate this sort of model will be high.

Now you can say that the Nio Houses essentially serve as marketing for the vehicles, and they’ll make back their costs and more with car sales. But it will take a lot more than 40,000 vehicles a year to reach a strong financial state.

It’s also worth remembering that the Chinese auto market is brutally competitive. Just within Chinese electric vehicles, you have leaders like BYD Company which is backed by Berkshire Hathaway. And that’s to say nothing of all the competition coming from traditional automakers and Tesla. You should also consider that even with China’s new prosperity, the country’s GDP per capita is still less than $10,000. This suggests that China’s market for Nio’s $60,000 vehicle is likely far smaller than for Tesla and other luxury EVs in the United States.

At this point, Nio has a little more than $1 billion in cash, however it is burning through something like $300 million of that stockpile with each successive quarter. Do the math, and you’ll see that Nio will need more money. The IPO gave it some funds, but they’ll need plenty more. Remember that Nio doesn’t do their own manufacturing at this point, instead it contracts out. Presumably, assuming they keep ramping up, they’ll eventually need to build out their own factories, which will require yet more capital.

NIO Stock Verdict

While Tesla has been able to avoid as much dilution as its critics feared by using the debt market, I doubt this avenue will be so easily available to Nio, at least at this stage in its growth story. Instead, that means that they will likely need to issue more NIO stock, and lots of it, to keep funding the growth story.

With NIO stock up more than 30% since early December, look for a serious round of selling coming up. For one thing, the stock lock-up from the initial IPO expires March 11. That will be one catalyst that should lead to this rally breaking down. Nio’s market cap is already closing in on $8 billion for a company. That’s a huge number for a company with such a small sales base that is losing tons of money.

If you bought into NIO stock before the 60 Minutes story, congratulations. This is the time to take some profits. You will probably be able to buy Nio shares back at $7 or $8 again in a few weeks once people forget about this round of publicity.

NIO Inc. Announces Proposed Offering of US$650 Million Convertible Senior Notes

January 29, 2019

SHANGHAI, China, Jan. 29, 2019 (GLOBE NEWSWIRE) -- NIO Inc. (“NIO” or the “Company”) (NYSE: NIO), a pioneer in China’s premium electric vehicle market, today announced the proposed offering (the “Notes Offering”) of US$650 million in aggregate principal amount of convertible senior notes due 2024 (the “Notes”), subject to market and other conditions. The Company intends to grant the initial purchasers in the Notes Offering a 30-day option to purchase up to an additional US$100 million in principal amount of the Notes. The Company plans to use part of the net proceeds from the Notes Offering to pay the costs of the capped call transactions and the zero-strike call option transactions described below and use the remainder of the proceeds on research and development of products, services and technology, development of manufacturing facilities and the roll-out of supply chain, sales and marketing, and other working capital needs. An entity affiliated with Tencent Holdings Limited, one of the Company’s principal shareholders, and an entity affiliated with Hillhouse Capital Management Ltd., another one of the Company’s principal shareholders, are expected to purchase up to US$30 million and US$10 million, respectively, principal amount of the Notes in the Notes Offering on the same terms as the other Notes being offered.

Our Challenges

We face risks and uncertainties in realizing our business objectives and executing our strategies, including those relating to:

• Our ability to develop and manufacture a car of sufficient quality and appeal to customers on schedule and on a large scale is unproven and still evolving;
• Our ability to grow manufacturing in collaboration with partners;
• Our ability to manufacture, launch and sell electric vehicles meeting customer expectations;
• Our ability to provide convenient charging solutions to our customers;
• Our ability to satisfy the mandated safety standards relating to motor vehicles;
• Our ability to secure supply of raw materials or other components used in our vehicles;
• Our ability to secure sufficient reservations and sales of the ES8;
• Our ability to control costs associated with our operations;
• Our ability to build our NIO brand; and
• Our ability to recruit, train and retained dedicated executive officers, key employees and qualified personnel.

NIO Inc. Reports Unaudited Fourth Quarter and Full Year 2018 Financial Results

March 5, 2019 at 4:14 PM EST
.

• Quarterly Total Revenues reached RMB3,435.6 million (US$499.7 million)(1)
• Quarterly Deliveries of the ES8 reached 7,980 vehicles
• Full Year Total Revenues reached RMB4,951.2 million (US$720.1 million)
• Full Year Deliveries of the ES8 reached 11,348 vehicles (2)

Operating Highlights for the Fourth Quarter and Full Year 2018
.

• Production of the ES8 totaled 8,069 in the fourth quarter, compared with 4,206 vehicles produced in the third quarter. Production of the ES8 reached 12,775 for the full year 2018.
• Deliveries of the ES8 reached 7,980 in the fourth quarter, compared with 3,268 vehicles delivered in the third quarter. Deliveries of the ES8 reached 11,348 for the full year 2018.

Financial Highlights for the Fourth Quarter of 2018
.

• Total revenues were RMB3,435.6 million (US$499.7 million) in the fourth quarter of 2018, representing an increase of 133.8% from the third quarter of 2018.
  .
• Gross margin was positive 0.4%, compared with negative 7.9% in the third quarter of 2018.
  .
• Vehicle sales were RMB3,381.2 million (US$491.8 million) in the fourth quarter of 2018, representing an increase of 137.0% from the third quarter of 2018.
  .
• Vehicle margin(3) was positive 3.7%, compared with negative 4.3% in the third quarter of 2018.
  .
• Loss from operations was RMB3,446.9 million (US$501.3 million) in the fourth quarter of 2018, representing an increase of 22.7% from the third quarter of 2018 and a 106.4% increase from the same period of 2017. Excluding share-based compensation expenses, adjusted loss from operations (non-GAAP)(4) was RMB3,305.2 million (US$480.7 million) in the fourth quarter of 2018, representing an increase of 39.0% from the third quarter of 2018 and a 102.4% increase from the same period of 2017.
  .
• Net loss was RMB3,503.0 million (US$509.5 million) in the fourth quarter of 2018, representing an increase of 24.6% from the third quarter of 2018 and a 106.1% increase from the same period of 2017. Excluding share-based compensation expenses, adjusted net loss (non-GAAP) was RMB3,361.3 million (US$488.9 million) in the fourth quarter of 2018, representing an increase of 41.3% from the third quarter of 2018 and a 102.1% increase from the same period of 2017.
  .
• Net loss attributable to NIO’s ordinary shareholders was RMB3,516.5 million (US$511.5 million) in the fourth quarter of 2018, representing a decrease of 64.0% from the third quarter of 2018 and an increase of 26.4% from the same period of 2017. Excluding share-based compensation expenses and accretion on redeemable non-controlling interests to redemption value, adjusted net loss attributable to NIO’s ordinary shareholders (non-GAAP) was RMB3,342.9 million (US$486.2 million).
  .
• Basic and diluted net loss per American Depositary Share (ADS)(5) were both RMB3.37(US$0.49) in the fourth quarter of 2018. Excluding share-based compensation expenses and accretion on redeemable non-controlling interests to redemption value, adjusted basic and diluted net loss per ADS (non-GAAP) were both RMB3.20(US$0.47).
  .
• Cash and cash equivalents, restricted cash and short-term investment were RMB8,345.6 million (US$1,213.8 million) as of December 31, 2018.

(1) All translations from RMB to USD for the fourth quarter and the full year of 2018 were made at the rate of RMB6.8755 to US$1.00, the noon buying rate in effect on December 31, 2018 in the H.10 statistical release of the Federal Reserve Board.
(2) NIO started deliveries of the ES8 on June 28, 2018.
(3) Vehicle margin is the margin of vehicle sales, which is calculated based on revenues and cost of sales derived from vehicle sales only.
(4) See "Unaudited Reconciliation of GAAP and Non-GAAP Results" included in the accompanying tables of this release for further details.
(5) Each ADS represents one ordinary share.

Deliveries in January and February 2019

Deliveries of the ES8 in January and February 2019 were 1,805 and 811 vehicles respectively, which reflect a greater than anticipated slowdown in monthly deliveries compared to December 2018. The sequential slowdown in vehicle deliveries in January and February was mainly caused by accelerated deliveries made at the end of last year in anticipation of EV subsidy reductions in China in 2019, the seasonal slowdowns surrounding the January 1st and Chinese New Year holidays, as well as the current slowdown of macro-economic conditions in China, particularly in the automotive sector.

Shanghai Manufacturing Plant

In 2017, NIO signed framework agreements and memorandums with the government and related entities in Jia Ding, Shanghai, to build a manufacturing plant for NIO. Recently, the Company has agreed in principle with these contractual counterparties to terminate the plan for this manufacturing plant, pending signing of definitive termination agreement.

Business Outlook

For the first quarter of 2019, the Company expects:

Deliveries of the ES8 to be between 3,500 and 3,800 vehicles, representing a decrease of approximately 56.1% to 52.4% from the fourth quarter of 2018.

Total revenues to be between RMB1,390.9 million (US$202.3 million) and RMB1,515.7 million (US$220.5 million), representing a decrease of approximately 59.5% to 55.9% from the fourth quarter of 2018.

Chinese Tesla's Nio falls after wider quarterly loss, deliveries slowdown

Mar 5, 2019

American depositary shares of Nio Inc. fell more than 8% in the extended session Tuesday after the Shanghai-based electric-car maker posted a wider-than-expected fourth-quarter loss and said deliveries of its flagship electric SUV slowed more than it expected.

Nio said it lost 3.5 billion renminbi ($511.5 million) in the quarter, or 49 cents a share. Revenue reached 3.4 billion renminbi ($499.7 million) in the quarter, compared with 1.5 billion renminbi in the third quarter. Nio did not provide year-ago numbers. Analysts polled by FactSet expected a quarterly loss of 32 cents a share on sales of $493 million.

BRIEF-China Development Bank International Investment's Board Approves Disposal Of 4.7 Mln ADSs Of Nio Inc

March 6 (Reuters) - China Development Bank International Investment Ltd:

* BOARD APPROVED POTENTIAL DISPOSAL OF AN AGGREGATE OF 4.7 MILLION ADSS OF NIO INC HELD BY CO

* PRICE PER SHARE NOT LOWER THAN $7.15 PER SHARE Source text for Eikon: Further company coverage:

Weilai’s share price plummeted by more than 20% overnight. “National team” said it was going to be shot.

2019-03-07

Wei Lai, once known as "China Tesla", suffered a huge storm overnight - the stock price plummeted by more than 20%, and even the national team had to abandon it.

As of the close of the US time on March 6, the price of Weilai Automobile fell 21.16% to $8.01, and the market value decreased by nearly $2.2 billion overnight. The China Development Bank also sells 4.7 million shares of Weilai Automobile. It plans to sell all shares of Weilai Automobile held by the company through the open market at a price of not less than US$7.15 per share. After the sale is completed, Guokai International Investment will no longer hold Weilai Automobile shares.

The stock fell sharply and was abandoned by the national team. What happened to Weilai Automobile?

The direct reason: the loss of nearly 10 billion to abandon Shanghai to build a factory

Weilai Auto's latest financial report shows that in the whole year of 2018, Weilai's total annual revenue was 4.951 billion yuan ($720.1 million), and the annual operating loss was 9.595 billion yuan ($1,395.6 million), an increase of 93.7% compared with last year. . The annual net loss was 9.639 billion yuan ($1,401.9 million), an increase of 92.0% compared with last year.

At the same time, the total output of ES8 in 2018 was about 12,800 units, and the total delivery was about 11,300 units. This means that Weilai will lose about 800,000 yuan for every sale of a car, and it will lose about 26 million yuan every day.

In addition, while Weilai Automobile announced its earnings report, it also announced plans to abandon its construction in Shanghai. In February 2018, Weilai Automobile was selected for the site of the second plant in Waigang Town, Jiading, Shanghai. The plan was planned to cover an area of ​​800 mu, but it is now clearly ruined.

At the same time, Weilai Automobile disclosed that the delivery volume of ES8 in January and February 2019 was 1,805 and 811, respectively, and the monthly delivery volume fell by more than expected in December 2018.

The loss of new highs, the abandonment of Shanghai to build factories, coupled with the rapid decline in the delivery of new year, many factors have caused Wei Lai's share price to be hit hard.

But these are just the direct reasons. The real reason for Wei Lai’s current crisis is actually its competitor, Tesla.

In 2019, it can be said that Tesla entered China's historic important year. Not only was it officially opened at the Shanghai factory at the beginning of the year, but the most popular and cheapest Tesla model 3 was officially delivered in China before and after the Spring Festival. A new round of Tesla boom.

But all this is not as strong as Tesla’s sudden price cuts.

On March 1, Tesla officially announced a sharp cut in China's regional prices, involving a total of eight models in China. Among them, the highest decline in Model X P100D from 1,819,300 yuan to 864,200 yuan, a decrease of 341,100 yuan. Model S P100D, the price dropped from 277,100 yuan to 277,500 yuan to 813,500 yuan, even the Model 3, which has just been delivered and is hot, is also reducing the price, the price cut is 2.6-4.4 million.

Such sudden and sharp price cuts are not small for the Tesla owners who picked up the car soon, but the most serious impact is actually the domestic pure electric car enterprises. The first one is the Weilai Automobile, which is known as “China Tesla”.

The models currently sold by Weilai Automobile are ES8 and ES6, and the price range is from RMB 350,000 to RMB 550,000 (before subsidies). And such a price, Tesla basically does not have much advantage after the price reduction. Coupled with the domestic Tesla that will be off the assembly at the end of the year, the price will directly conflict.

In the face of Tesla's price cuts, Wei Lai Automobile directly stated: no price cuts.

The problem is that Wisdom, which does not cut prices, and Tesla, who cut prices, will consumers choose?

The answer is self-evident, and this is the root cause of the plunging of Weilai's share price. Even the national team gave up.

Come On, China. Tesla's Just a Shiny Object

March 7, 2019

China wants Tesla Inc. – badly.

And Elon Musk desperately needs capital. Amid trade tensions with the U.S., Beijing is now giving the Tesla founder exactly what he wants. There will be strings attached.

A group of state-backed banks have extended up to 3.5 billion yuan ($521 million) of loans to the company that mature next year, according to a regulatory filing. Tesla fanboys rejoiced, pushing the stock up more than 2 percent. The money from the loan can only be used for its Shanghai gigafactory.

The loan’s terms are as loose as it gets: The debt is non-recourse to Tesla, meaning there’s nothing to worry about if the company can’t repay. In theory, the government could seize the collateral, but it can’t ask Tesla to pony up the cash. Tesla can even draw on the loan in dollars.

What’s more, Beijing has extended loans to the electric-car maker at a subsidized rate: 90 percent of the one-year rate published by the central bank – 4.35 percent. Meanwhile, market rates for private companies with cash-flow challenges continue to be far higher, if financing is accessible at all. Tesla will also enjoy subsidized rates for land in the Shanghai Lingang industrial zone.

In July last year, Tesla signed two deals with the Shanghai government – one to build a high-end factory with an annual capacity of 500,000 electric cars, and another investment agreement to set up a development and innovation center. The latter intends to “promote commercialisation of technological innovation results,” according to a Shanghai Lingang bond prospectus, and the growth of a “high-end manufacturing industry.” For all the free money coming Tesla’s way, Musk may want to consider whether his sacrosanct technology is at risk.

Beijing isn't as generous at home, though. Take Nio Inc. The latest, hyped-up Chinese Tesla challenger is struggling to get cash and make money. The New-York listed company doesn't make its own cars and recently canned plans to build a factory. It has run cash-flow negative and is expected to stay that way for at least two more years, as we’ve written. Yet Nio continues to sink cash into stock-based compensation, research and development and capex.

Given its cash burn rate, Nio will have to borrow more, as I’ve noted. That doesn’t sit well with its much-touted asset-light model. When the company’s total debt levels exceed the total assets it can use as collateral, funding costs may rise significantly, according to a Goldman Sachs Group Inc. report.

Between September and December, Nio’s debt more than doubled to 3.2 billion yuan, closing in on its 4.8 billion yuan of fixed assets (which are typically used as collateral). Yields on the company’s $750 million of convertible debt due 2024 have shot up to more than 7 percent, from a low of less than 1 percent in late February.

Competition is rising, and the company could use a little help from Beijing. But it doesn’t look like that’ll come anytime soon – or cheaply.

Business Outlook

For the first quarter of 2019, the Company expects:

Deliveries of the ES8 to be between 3,500 and 3,800 vehicles, representing a decrease of approximately 56.1% to 52.4% from the fourth quarter of 2018.

NIO Inc. Provides First Quarter 2019 Delivery Update

April 2, 2019 at 4:00 AM EDT

SHANGHAI, China, April 02, 2019 (GLOBE NEWSWIRE) -- NIO Inc. (“NIO” or the “Company”) (NYSE: NIO), a pioneer in China’s premium electric vehicle market, today provided its delivery results for the first quarter of 2019.

As of March 31, 2019, aggregate deliveries of the Company’s ES8, its 7-seater, high-performance premium electric SUV, reached 15,337 vehicles, 3,989 of which were delivered in the first quarter of 2019.

1,373 ES8s were delivered in March, a 69.3% increase over February deliveries of 811, which were negatively impacted by the slow down surrounding the Chinese New Year holiday and the related closures of automobile license plate registration offices. The Company delivered 1,805 ES8s in January, 811 in February and 1,373 in March, bringing the total deliveries of ES8s to 3,989 in the first quarter 2019. First quarter ES8 deliveries exceeded the Company’s prior guidance range of 3,500 to 3,800, and were above the midpoint of the guidance range, 3,650, by 339 vehicles, or 9.3%.

NIO Inc. Reports Unaudited First Quarter 2019 Financial Results

May 28, 2019

Operating Highlights for the First Quarter of 2019

- Deliveries of the ES8 reached 3,989 in the first quarter of 2019, compared with 7,980 vehicles delivered in the fourth quarter of 2018.

2018 Q2 = 100
2018 Q3 = 3,268
2018 Q4 = 7,980
2019 Q1 = 3,989

Financial Highlights for the First Quarter of 2019

• Vehicle sales were RMB1,535.2 million (US$228.8 million) in the first quarter of 2019, representing a decrease of 54.6% from the fourth quarter of 2018.
• Vehicle margin was negative 7.2%, compared with positive 3.7% in the fourth quarter of 2018.
• Total revenues were RMB1,631.2 million (US$243.1 million) in the first quarter of 2019, representing a decrease of 52.5% from the fourth quarter of 2018.
• Gross margin was negative 13.4%, compared with positive 0.4% in the fourth quarter of 2018.
• Loss from operations was RMB2,617.7 million (US$390.0 million) in the first quarter of 2019, representing a decrease of 24.1% from the fourth quarter of 2018 and a 78.8% increase from the same period of 2018. Excluding share-based compensation expenses, adjusted loss from operations (non-GAAP) was RMB2,498.1 million (US$372.2 million) in the first quarter of 2019, representing a decrease of 24.4% from the fourth quarter of 2018 and a 75.7% increase from the same period of 2018.
• Net loss was RMB2,623.6 million (US$390.9 million) in the first quarter of 2019, representing a decrease of 25.1% from the fourth quarter of 2018 and a 71.4% increase from the same period of 2018. Excluding share-based compensation expenses, adjusted net loss (non-GAAP) was RMB2,504.0 million (US$373.1 million) in the first quarter of 2019, representing a decrease of 25.5% from the fourth quarter of 2018 and a 68.2% increase from the same period of 2018.

Nio, which is based in China but has U.S. headquarters located in North San Jose, ended the first quarter selling 3,989 cars — roughly half the number of cars the company sold in the fourth quarter. Similarly, sales fell from roughly $500 million last quarter to $228.8 this quarter, Nio said.

The company warned sales would continue to slide this year.

“Looking ahead to the second quarter, we expect an even more challenging sales environment and anticipate overall sequential demand and deliveries to decrease, as competition continues to accelerate and the general automobile market in China remains muted,” CFO Louis Hsieh said in a statement.

The company has taken its investors on a short, rocky ride so far. Nio went public in mid-September 2018 at around $6 per share, and jumped to as high as $13 per share within days. The stock has since plummeted, and reached a new, all-time low last week, when they dipped below $4 per share.

Nio builds and sells its cars in China exclusively. Like its Palo Alto-based rival Tesla Inc., it operates on razor-thin margins. In the fourth quarter, Nio said it operated on a per-vehicle profit margin of 3.7 percent. In its most recent quarter, it lost money on each car it sold — operating at a margin of -7.2 percent.

Nio lost nearly $391 million in its most recent quarter.

Chinese Tesla challenger Nio postpones production of its new ET7 sedan until at least 2020

May 28, 2019

Chinese electric automaker Nio Inc. says it has no immediate plans to build the ET7, a concept sedan that the company unveiled just six weeks ago at Auto Shanghai 2019.

“Recently the company made the decision to design and develop the ET series with the future NIO Platform 2.0, or NP2, a new generation product platform with Level 4 autonomous driving capabilities,” CEO William Li said on a conference call with analysts on Tuesday. “We will provide an update on the launch timeline of the ET series in the future. Meanwhile, the company plans to leverage the platform technologies from ES8 and ES6 to create a new model design more efficiently, and expect to launch the third vehicle model in 2020.”

At the auto show in April, the company, whose U.S. headquarters is located in North San Jose, showed off the production-ready ES6, a supercar called the EP9, the NIO EVE Vision car, NIO Formula E Team car and the NIO 004.

On Tuesday’s call, Li said 12,000 people had preordered the ES6, a five-seat SUV that is currently in production. Deliveries of the ES6 will begin this summer.

The ET line of sedans had appeared to be next in line for production, given their prominence at Auto Shanghai 2019.

Nio shares closed trading today at $3.98, representing a gain of about 3 percent over Friday’s closing price. The company said its sales had dropped in half in its most recent quarter, compared to the previous quarter. The company’s automotive profit margin fell into negative territory, and it cut about 4.5 percent of its staff worldwide. Nio employed about 9,400 people as of late April.

The company’s shares are trading close to their all-time low, set last week. Nio went public in September, and briefly traded above $10 per share. Nio says it will likely see slower sales in the coming year, amid a general slowdown in the Chinese auto market and increased competition in the country.

Nio sells its cars exclusively in China, which remains the world’s largest market for electric cars.

China's EV maker Nio to cut 1,200 staff by end-Sept

August 22, 2019

SHANGHAI, Aug 22 (Reuters) - Chinese electric vehicle maker Nio Inc will reduce its workforce by 1,200 staff, a company representative told Reuters on Thursday.

Nio will continue to make adjustments to its staff to achieve cost reductions and efficiency, the company representative said, adding the plan would have little impact on core operations such as R&D and user services.

Nio said it would have around 7,500 staff after the cuts, which is contained in an internal memo seen by Reuters.

NIO Inc. Provides July 2019 Monthly Delivery Update

August 12, 2019

SHANGHAI, China, Aug. 12, 2019 (GLOBE NEWSWIRE) -- NIO Inc. (“NIO” or the “Company”) (NYSE: NIO), a pioneer in China’s premium electric vehicle market, today provided its July 2019 delivery results.

NIO delivered 837 vehicles in July, consisting of 673 ES6s, the Company’s 5-searter high-performance premium electric SUV, and 164 ES8s, the Company’s 7-seater high-performance premium electric SUV and its 6-seater variant.

“Our deliveries in July were negatively impacted by multiple factors,” said William Li, founder, chairman and chief executive officer of NIO. “In July we completed our voluntary battery recall for 4,803 ES8s. During the month, we prioritized battery manufacturing capacity for this effort, which significantly affected our production and delivery results. In addition, some deliveries were pushed forward into June in anticipation of further electric vehicle subsidy reductions that took effect at the end of June. Lastly, China’s macroeconomic and auto market conditions remained challenging, exacerbated by the US-China trade conflict and the decline in passenger vehicle sales on a year over year basis for 13 of the past 14 months.”

SHANGHAI, China, Sept. 24, 2019 (GLOBE NEWSWIRE) -- NIO Inc. (“NIO” or the “Company”) (NYSE: NIO), a pioneer in China’s premium electric vehicle market, today announced its unaudited financial results for the second quarter ended June 30, 2019.

Operating Highlights for the Second Quarter of 2019

- Deliveries of the ES8 were 3,140 in the second quarter of 2019, compared with 3,989 vehicles delivered in the first quarter of 2019.
- Deliveries of the ES6 reached 413 in the second quarter of 2019.


Key Operating Results

. . . . . . . . . 2019 Q2 . . .2019 Q1
Deliveries
ES8 . . . . . . . 3,140 . . . . . 3,989
ES6 . . . . . . . . 413 . . . . . . —
Total . . . . . . 3,553 . . . . . 3,989


Financial Highlights for the Second Quarter of 2019
.

• Vehicle sales were RMB 1,414.5 million (US $206.1 million) in the second quarter of 2019, representing a decrease of 7.9% from the first quarter of 2019.
• Vehicle margin was negative 24.1%, compared with negative 7.2% in the first quarter of 2019. Excluding accrued recall costs, vehicle margin in the second quarter was negative 4.0%.
• Total revenues were RMB 1,508.6 million (US $219.7 million) in the second quarter of 2019, representing a decrease of 7.5% from the first quarter of 2019.
• Gross margin was negative 33.4%, compared with negative 13.4% in the first quarter of 2019. Excluding accrued recall costs, gross margin in the second quarter was negative 10.9%.
• Loss from operations was RMB 3,226.1 million (US $469.9 million) in the second quarter of 2019, representing an increase of 23.2% from the first quarter of 2019 and a 72.1% increase from the same period of 2018. Excluding accrued recall costs and expenses, loss from operations in the second quarter was RMB 2,869.7 million (US $418.0 million). Excluding share-based compensation expenses, adjusted loss from operations (non-GAAP) was RMB 3,133.9 million (US $456.5 million) in the second quarter of 2019, representing an increase of 25.5% from the first quarter of 2019 and a 73.0% increase from the same period of 2018.
• Net loss was RMB 3,285.8 million (US $478.6 million) in the second quarter of 2019, representing an increase of 25.2% from the first quarter of 2019 and an 83.1% increase from the same period of 2018. Excluding share-based compensation expenses, adjusted net loss (non-GAAP) was RMB 3,193.6 million (US $465.2 million) in the second quarter of 2019, representing an increase of 27.5% from the first quarter of 2019 and an 84.5% increase from the same period of 2018.
• Net loss attributable to NIO’s ordinary shareholders was RMB 3,313.7 million (US $482.7 million) in the second quarter of 2019, representing an increase of 24.9% from the first quarter of 2019 and a decrease of 45.8% from the same period of 2018. Excluding share-based compensation expenses and accretion on redeemable non-controlling interests to redemption value, adjusted net loss attributable to NIO’s ordinary shareholders (non-GAAP) was RMB 3,189.9 million (US $464.7 million).

NIO Inc. Cancels Second Quarter 2019 Earnings Conference Call

September 24, 2019 at 4:05 AM EDT

SHANGHAI, China, Sept. 24, 2019 (GLOBE NEWSWIRE) -- NIO Inc. (“NIO” or the “Company”) (NYSE: NIO), a pioneer in China’s premium electric vehicle market, announced today that it will not hold its previously scheduled second quarter 2019 earnings conference call at 8:00 a.m. Eastern Time today, Tuesday, September 24, 2019 (8:00 p.m. Beijing Time on September 24, 2019). Earlier today, the Company announced its unaudited financial and operating results for the second quarter ended June 30, 2019.

NIO Inc. Provides Third Quarter 2019 Delivery Update

October 8, 2019

SHANGHAI, China, Oct. 08, 2019 (GLOBE NEWSWIRE) -- NIO Inc. (“NIO” or the “Company”) (NYSE: NIO), a pioneer in China’s premium electric vehicle market, today provided its third quarter 2019 delivery results.

NIO delivered 4,799 vehicles in the third quarter, increasing 35.1% from the second quarter and exceeding the middle point of the Company’s guidance range significantly by 499 vehicles, or 11.6%. The deliveries consisted of 4,196 ES6s, the Company’s 5-searter high-performance premium electric SUV, and 603 ES8s, the Company’s 7-seater high-performance premium electric SUV and its 6-seater variant. Deliveries in September were 2,019 vehicles, including 1,726 ES6s and 293 ES8s. As of September 30, 2019, aggregate deliveries of the Company’s ES6 and ES8 reached 23,689 vehicles, of which 12,341 vehicles were delivered in 2019.

“Third quarter deliveries exceeded the top end of our guidance range as production and deliveries of our ES6 continued to ramp up after its initial launch in June,” said William Li, founder, chairman and chief executive officer of NIO. “September deliveries in particular were positively impacted by expedited shipments ahead of China’s national day holiday. In addition to the solid sequential improvement in our delivery numbers, we have seen accelerated growth of our order backlog since September supported by a more expansive sales network.

“Facing unfavorable economic conditions and auto industry trends, we drive forward by committing to outstanding products and excellent services. At the end of September, we began offering the ES6 standard version at more competitive retail prices. In addition, we will start deliveries in October of the ES6 and ES8 with an 84-kWh battery pack that extends the NEDC driving range to 510 km and 430 km respectively. We plan to further enhance our offerings in an effort to accelerate orders and deliveries, going forward,” Mr. Li concluded.

NIO Inc. Provides October 2019 Delivery Update

November 4, 2019 at 3:00 AM EST

SHANGHAI, China, Nov. 04, 2019 (GLOBE NEWSWIRE) -- NIO Inc. (“NIO” or the “Company”) (NYSE: NIO), a pioneer in China’s premium electric vehicle market, today provided its October 2019 delivery results.

NIO delivered 2,526 vehicles in October, increasing 25.1% from the strong delivery in September, despite the impact from the seven-day National Day holiday in the beginning of October. The deliveries consisted of 2,220 ES6s, the Company’s 5-seater high-performance premium electric SUV, and 306 ES8s, the Company’s 7-seater high-performance premium electric SUV and its 6-seater variant. As of October 31, 2019, aggregate deliveries of the Company’s ES6 and ES8 reached 26,215 vehicles, of which 14,867 vehicles were delivered in 2019.

“Our solid sequential improvement in deliveries continued in October, mainly driven by the hard work and strong execution of our sales teams,” said William Li, founder, chairman and chief executive officer of NIO. “We appreciate the support from our users and believe in the power of word of mouth as our vehicles and services continuously evolve and optimize. Meanwhile, we will continue rolling out NIO Spaces and expanding our sales network to support our future growth.”