- NIO’s sales volume was up 12% y-o-y to 61.9k units in 3Q24, yet total revenue fell 2.1% y-o-y to RMB18.7bn, due to lower vehicle ASP (- 14% y-o-y), impacted by higher incentives, which led to a 4.1% y-o-y decline in vehicle sales, to RMB16.7bn.
3Q24 results slightly missed on lower vehicle sales revenue.
- - Read this at SGinvestors.io -
- Opex-to-sales ratio was up 4.9ppt y-o-y to 39.8% but remained flat q-o-q. Non-GAAP net loss narrowed 11.5% to RMB4.4bn, vs consensus of RMB4.24bn.
- By end of Sep 24, NIO has net cash and cash equivalent of RMB24.3bn, and achieved positive operating cash flow (OCF) in the quarter.
4Q24 revenue guidance slightly missed.
- - Read this at SGinvestors.io -
- NIO cited the m-o-m decline in October deliveries (21.0k sales) was due to lower NIO brand sales caused by reduced incentives (~Rmb15k/car) and a slow ramp up in production of ONVO L60 (4.3k sales in Oct) due to technical challenges.
- While management expects ONVO L60’s monthly production to hit 10k by Dec 2024 and 20k by Mar 2025, with it opening more ONVO salespoints to some 300 stores by end-2024 (current 190) to drive sales, ~50%- 60% of potential buyers decided not to purchase ONVO L60, as they were unable to receive deliveries before end-2024 to enjoy the NEV subsidy.
Third brand to debut at NIO Day next month.
- Read more at SGinvestors.io.
Above is the excerpt from report by DBS Group Research.
Clients of DBS may access the full report in PDF @ https://www.dbs.com/insightsdirect/.
Rachel Miu DBS Group Research | https://www.dbs.com/insightsdirect/ 2024-11-28
Previous report by DBS:
2024-10-17 NIO - Strengthened Financial Position To Drive Business Expansion.
Price targets by other brokers at NIO Target Prices.
Listing of research reports at NIO Analyst Reports.
Relevant links:
NIO Share Price History,
NIO Announcements,
NIO Dividends & Corporate Actions,
NIO News Articles
