China's XPeng Q2 revenue rises on increased vehicle deliveries

XPeng

24/08/2026 11:41

Overview
China EV and physical AI firm's Q2 revenue rose 8% yr/yr, vehicle sales up 1%
Gross margin improved to 20.7% from 17.3% a year earlier
Net loss widened yr/yr as R&D and marketing expenses increased

Outlook
XPeng expects Q3 2026 vehicle deliveries between 115,000 and 121,000
Company sees Q3 2026 total revenue of RMB21.7 bln to RMB23.4 bln
XPeng expects commercialization of physical AI technologies to accelerate over the coming year

Result Drivers
HIGHER VEHICLE DELIVERIES - Co said Q2 revenue growth quarter-over-quarter was mainly due to increased vehicle deliveries
TECHNICAL R&D SERVICES - Revenue from services and others increased due to technical R&D services and parts/accessories sales
PRODUCT GENERATION TRANSITION - Vehicle margin declined year-over-year due to product generation transition

Company press release: ID:nPn1TdJ2Va

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
 
RMB 19.74 bln
 
Q2 Net Loss
 
RMB 1.34 bln
 
Q2 Net loss attributable
 
-RMB 1.34 bln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 21 "strong buy" or "buy", 4 "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 $20.75, about 70.2% above its August 21 closing price of $12.19
The stock recently traded at 900 times the next 12-month earnings vs. a P/E of 349 three months ago

Reuters Recommended Reads
Aug 24 - Chinese EV maker Leapmotor's H1 revenue and profit rise on higher deliveries, exports
Aug 21 - Chinese industrial robot maker ESTUN's H1 revenue edges up
Aug 24 - Battery materials maker IBU-tec H1 revenue rises on battery materials growth, confirms FY outlook

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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.)