On March 17, Chinese electrical automobile producer XPeng launched its previous year-end monetary reportIts overall earnings for 2022 was 26.86 billion yuan ($3.89 billion), representing a 28% boost from the previous year. Its earnings for Q4 was 5.14 billion yuan ($750 million), down 39.9% compared to the very same duration in the previous year.
XPeng‘s yearly income is lower than that of NIO and Li Autowhich tape-recorded profits of 49.27 billion yuan ($7.15 billion) and 45.29 billion yuan ($6.57 billion) respectively in 2022.
XPeng provided 22,000 lorries in the 4th quarter of 2022, bringing its overall automobile shipments for the year to 120,000 systems, which represents a 23% boost from the previous year.
XPeng tape-recorded a bottom line of 9.14 billion yuan ($1.33 billion) in 2022, marking an 88.1% boost from the previous year. This figure was lower than NIO‘s bottom line of 14.437 billion yuan ($2.1 billion), however greater than Li Auto‘s bottom line of 2.032 billion yuan ($294 million). Furthermore, XPeng‘s gross earnings margin reduced from 12.5% in 2021 to 11.5% in 2022.
Throughout the teleconference, XPeng chairman He Xiaopeng acknowledged that the obstacles positioned by the macro-environment and competitors within the EV market in the previous year made it possible for the business to determine internal concerns early on. XPeng started tactical evaluations and modifications towards completion of the year. The consultation of Wang Fengying, the previous president of Great Wall Motor, as XPeng‘s brand-new president, gathered considerable attention from the general public in the middle of these modifications.
Regardless of the modifications made, XPeng‘s monetary report recommends that the business is still dealing with considerable difficulties. According to the report, XPeng anticipates its shipment volume in the very first quarter of this year to be in between 18,000 and 19,000 cars, which represents a year-on-year decline of around 45.0% to 47.9%. In addition, its overall earnings is anticipated to vary from 4 billion yuan ($580 million) to 4.2 billion yuan ($609 million), which represents a year-on-year reduction of about 43.7% to 46.3%.
In contrast, NIO is forecasted to provide 31,000 to 33,000 cars in the very first quarter, with income targeting in between 10.93 billion yuan ($1.59 billion) and 11.54 billion yuan ($1.67 billion). Li Auto is anticipated to provide 52,000 to 55,000 lorries in the very first quarter, and its overall income is anticipated to be in between 17.45 billion yuan ($2.53 billion) and 18.45 billion yuan ($2.68 billion).
On March 10, XPeng introduced the P7i with a cost variety from 249,900 yuan ($36,272) to 339,900 yuan ($49,335), which was a little greater than market expectations. Regardless of this, He Xiaopeng kept in mind that the vehicle has actually amassed considerable interest, with the variety of test drives reaching the greatest level in current months considering that its launch.
XPeng is set to launch its newest car, the new G6, at the upcoming Shanghai Auto Show, with main listings and shipments slated for completion of the 2nd quarter. He Xiaopeng anticipates that the sales volume of the G6 will reach 2 to 3 times that of the P7. In addition, XPeng strategies to reveal its pure electrical seven-seater MPV in the 2nd half of the year. He Xiaopeng even more mentioned that the business’s sales volume is anticipated to considerably increase month-on-month from the 3rd quarter onwards along with year-on-year.
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He Xiaopeng exposed that XPeng strategies to accomplish an expense decrease of over 50% in automated driving innovation from this year to next year. In addition, the business intends to lower automobile hardware expenses, consisting of powertrain expenses, by around 25%. When inquired about how XPeng strategies to attain this expense decrease, He Xiaopeng acknowledged that the business’s expense control has actually not been optimum in the past. He included that XPeng can utilize incorporated marking innovation, car packaging innovation, and battery cell production to decrease expenses in the future.
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