Shanghai (Gasgoo)- On March 18, XPeng Inc. ("XPENG"), a leading Chinese smart electric vehicle (EV) manufacturer, released its unaudited financial results for the fourth quarter (Q4) and full-year 2024, underscoring the record-high quarterly revenue and gross margin.
The company reported total revenue of RMB16.11 billion for the quarter, marking a 23.4% increase from the same period of 2023 and a 59.4% surge from the third quarter (Q3) of 2024.
Revenue from vehicle sales reached RMB14.67 billion (US$2.01 billion) in Q4 2024, up 20% year-over-year and 66.8% quarter-over-quarter, driven by a surge in deliveries. The company delivered 91,507 vehicles in the quarter, reflecting a 52.1% spike compared to the 60,158 units delivered in the same period of 2023.
"In Q4 2024, we made significant strides in expanding our scale and capabilities, positioning XPENG for greater market share in the smart EV industry both in China and globally," said Chairman and CEO He Xiaopeng. He emphasized the role of artificial intelligence in advancing L3 and L4 autonomous driving, reaffirming XPENG's commitment to becoming an AI-driven global automotive brand.
The company's gross margin improved to 14.4% in Q4 2024, compared to 6.2% a year earlier and 15.3% in the previous quarter. Vehicle margin, which represents gross profit from vehicle sales as a percentage of revenue, rose to 10% from 4.1% in Q4 2023 and 8.6% in Q3 2024, primarily due to cost reductions.
"With record-high deliveries and continued progress in cost efficiency, our vehicle gross margin has now improved for six consecutive quarters, reaching 10%," said Dr. Hongdi Brian Gu, XPENG's Vice Chairman and Co-President. He expressed confidence that the company's upcoming new models in 2025 would support sustained investment in R&D while enhancing profitability and free cash flow.
However, XPENG also reported a net loss of RMB1.33 billion for Q4 2024, narrowing slightly from RMB1.35 billion a year ago and RMB1.81 billion in Q3 2024. On a non-GAAP basis, its net loss stood at RMB1.39 billion (US$0.19 billion) in the quarter, compared to RMB1.77 billion in Q4 2023 and RMB1.53 billion in Q3 2024.
As of December 31, 2024, XPENG held RMB41.96 billion in cash, cash equivalents, restricted cash, short-term investments, and time deposits. This compares to RMB45.7 billion at the end of 2023 and RMB35.75 billion as of September 30, 2024.
XPENG posted total revenue of RMB40.87 billion for the 2024 fiscal year, reflecting a 33.2% jump from RMB30.68 billion in the previous year. Its vehicle sales revenue rose 27.9% year-over-year to RMB35.83 billion in the year, driven primarily by higher deliveries.
The company's profitability metrics showed significant improvement, with gross margin rising to 14.3% in 2024 from 1.5% in 2023. Vehicle margin, which had been negative 1.6% in the prior year, rebounded to 8.3%, largely due to cost reductions.
XPENG continued to invest in innovation, with research and development expenses reaching RMB6.46 billion, up 22.4% from 2023. The increase was attributed to higher spending on new vehicle development as the company expanded its product lineup to support long-term growth.
The company reported a net loss of RMB5.79 billion for 2024, significantly narrowing from RMB10.38 billion a year earlier. On a non-GAAP basis, which excludes share-based compensation and certain fair value adjustments, net loss stood at RMB5.55 billion, improving from RMB9.44 billion in 2023.
Looking ahead, XPENG expects strong growth momentum to continue in the first quarter of 2025, projecting vehicle deliveries between 91,000 and 93,000 units—a spike of approximately 317% to 326.2% year-over-year. The company also anticipates total revenue to range between RMB15 billion and RMB15.7 billion in the quarter, representing a year-over-year surge of approximately 129.1% to 139.8%.
