China's XPeng Q1 revenue falls 17.6%, net loss widens

XPeng

28/05/2026 10:14

Overview
China electric vehicle maker's Q1 revenue fell 17.6% yr/yr on lower vehicle deliveries
Company posted wider net loss as expenses rose and deliveries declined
Gross margin improved to 20.6% from 15.6% a year earlier

Outlook
XPeng expects Q2 deliveries between 100,000 and 106,000 vehicles
Company sees Q2 revenue between RMB19.60 bln and RMB20.80 bln
XPeng plans to launch four new models in 2026 to drive sales growth

Result Drivers
LOWER DELIVERIES - Company said revenue and vehicle sales declines were mainly due to lower vehicle deliveries
COST REDUCTION AND PRODUCT MIX - Year-over-year gross margin increase was primarily due to  higher vehicle margins on cost reduction and improvement in product mix of models
HIGHER R&D EXPENSES - Research and development expenses rose mainly due to higher expenses related to the development of new vehicle models and AI-related technologies

Company press release: ID:nPnbh06tba

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
 
RMB 13.03 bln
 
Q1 Adjusted Earnings Per ADS
 
RMB 1.76
 
Q1 Net Income
 
-RMB 1.78 bln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 19 "strong buy" or "buy", 6 "hold" and 2 "sell" or "strong sell"
The average consensus recommendation for the auto & truck manufacturers peer group is "buy"
Wall Street's median 12-month price target for Xpeng Inc is $23.00, about 39.8% above its May 27 closing price of $16.45
The stock recently traded at 388 times the next 12-month earnings vs. a P/E of 84 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)