NIO reports 6,131 vehicles delivery in February, down 36% M/M

• NIO (NYSE:NIO) delivered 6,131 vehicles in February 2022, representing an increase of 9.9% Y/Y, down 36% M/M. The company delivered 15,783 vehicles in 2022 in total, increasing by 23.3% year-over-year.
• The deliveries consisted of 1,084 ES8s, the Company’s six- or seven-seater flagship premium smart electric SUV, 3,309 ES6s, the Company’s five-seater high-performance premium smart electric SUV, and 1,738 EC6s, the Company’s five-seater premium smart electric coupe SUV.
• As of February 28, 2022, cumulative deliveries of the ES8, ES6 and EC6 reached 182,853 vehicles.
• During the production suspension of the NIO-JAC manufacturing plant in the Spring Festival holiday from January 31 to February 6, 2022, the Company adjusted the production lines to prepare for the delivery of ET7 in March 2022.
• On February 28, 2022, the Company received a letter of approval from the Hong Kong Stock Exchange for the secondary listing of its Class A ordinary shares with the trading expected to commence on March 10, 2022.
• Nio (NIO) is on Seeking Alpha's Catalyst Watch for the week.
• NIO -1.2% after hours to $22.56
• Source: Press Release

Comments

[bigdadyroma]

extremely disappointing delivery numbers. stock will be under $10 soon.

[karondongotbanned]

NIO fair value should be around 5 dollars

[dmau3]

@karondongotbanned and yet it isn't. Morningstar has FVE at $$31.52.

[SavvyOrBroke]

While Nio is sinking, Li auto bucks the trend and show considerable strength in Y/Y growth (over 100% each of the last few months), it's stock price is also much more resilient than Nio the last few months as well as this year.

Indisputable 1st place in number of deliveries amongst the 3 in Feb 2022, it actually caught up with former leader xpev in number of deliveries this year.
New models to be released this year, and 2 ultrafast charging bev model to be released in 2023. Li auto is laser focused on doing the right thing.

With two quarters of positive earnings and free cash flows, 7 billions plus in the war chest. It should way outperform nio in the next 12months. Capacity expanding to 500k to 750k rate by end of next year.

Li is being included in a Hang Sang tech index (autonomous technology category) March 7th 2022.

Li stockholders will soon be waving goodbye to nio fanboys! See ya!

[Carpediem007]

@SavvyOrBroke

"While Nio is sinking, Li auto bucks the trend and show considerable strength in Y/Y growth "

I really don't get the obsession with comparing these companies. They are non comparable brands. Li Auto is not even a pure EV play.
While Nio is a premium brand. You're comparing apples and pears.

"Indisputable 1st place in number of deliveries amongst the 3 in Feb 2022, it actually caught up with former leader xpev in number of deliveries this year. New models to be released this year, and 2 ultrafast charging bev model to be released in 2023. Li auto is laser focused on doing the right thing"

You seem solely focused on deliveries and new models of Li Auto. Ok, so what is Li Auto's current production capacity & expected capacity by the end of 2022? Then the same for Nio...
Nio will leave Li Auto behind this year.
You can perhaps mention the new models for Nio too. Already winning praise by many industry experts.

Such a strange post. Only mentioning Li Auto on a Nio article. Odd.

[SavvyOrBroke]

This is 3 months in a row where Nio has MOM decline in sale.

This is also 3 months in a row where Nio's Y/Y growth rate shrunk.

These months do include Norway in the mix.
Conclusion is:
1. Either Nio has great difficulty in obtaining chips for manufacturing or
2. Demand is not there for the expensive nio cars.

I completely disagree with a poster here who thinks it is production issue. It can't be because they did have great production in November 2021.

If it were a chip issue, it goes to show management's credibility is low as they had expected (Q1 2021 cc) chip issue to disappear already. They are also not too resourceful as to find alternate supplies.

At the end of the day, a growth stock that is slowing in growth is not going to be well received by those who are capable of thinking and not just a fanboy. If chips are the issue, then the upcoming launch would also be limited.

Until Nio can show more growth, it will be capped at 26 as the upper end of the trading range, and more likely will breakthru the lower end if sales growth continues to disappoint.

[Carpediem007]

@SavvyOrBroke
"At the end of the day, a growth stock that is slowing in growth is not going to be well received by those who are capable of thinking and not just a fanboy. If chips are the issue, then the upcoming launch would also be limited"

So I guess your beloved Li Auto is in the same boat falling 33% MoM? Or Xpeng fell MoM too?

Need a larger lens. Q1 is always the quietest month. Seasonality.

[SavvyOrBroke]

@Carpediem007
You just love to distort facts and have selective vision.
Y/Y growth of Li and XPEV are both above 100%. for both all three months.
Nio? 9.9%
Li - two consecutive quarters of positive earnings and free cash flow.
Nio - just losses
Li - being included into Hang Seng tech indice 3/7/2022
Nio - being blindly defensed by fanbois, that's it.

[Carpediem007]

@SavvyOrBroke
Comparing either Li Auto or Xpeng is just a moot point considering Li is not even a full EV company. While Xpeng sells considerably cheaper cars than Nio...
Nio is a premium brand. It has a much higher ASP & compelling margins.

Nio could report positive earnings too but they rightly decide to invest in growth first. We are still in the land grab phase and couldn't care less about this in the short term.

[alexbal123]

February is always a bad month for car sales

[doubleE]

My view on NIO deliveries:

6k, 8k, 10k ? It 's all nothing in the grand scheme of things. The chinese market is over 20 million vehicles a year. I think NIO has the best potential of all the chinese EV startups but until it seriously ramps up production, it 's just potential. Their product strategy is incoherent. Why introduce a compact SUV without plans to seriously ramp production ? Why are they introducing two new sedans when they sell so few of the ES6 ? Why not invest in increasing production of that ? The ES8 is doing pretty well in the market, the ES6 is seriously underperforming. I am inclined to think the issue is production not demand which makes the company's slow pace to increase ES6 production baffling

[Jack Z]

Can any one explain why its monthly delivery Y/Y growth is only
9.9%? This is really disappointing!!!

[9866HK]

Super Long NIO!

[Hidden Opportunities]

1. Feb was a shorter month
2. Factories were closed for about 6 days in preparation for the ET7
3. Sales numbers still ahead of XPEV
4. Month to Month is a terrible comparison, should always compare Feb 2022 against Feb 2021, Feb 2020 and so pn

[SavvyOrBroke]

@Hidden Opportunities

" 2. Factories were closed for about 6 days in preparation for the ET7"

Great distortion. It was closed for Lunar New Year, though they did use that time for preparation of ET7

"3. Sales numbers still ahead of XPEV"

Don't let the truth get in the way of a good story.
XPEV 6225
Nio 6131
So in your world 6131>6225?

"4. Month to Month is a terrible comparison, should always compare Feb 2022 against Feb 2021, Feb 2020 and so pn ""

That is where the problem comes in, only 9.9% Y/Y growth.

[Jason Z]

@SavvyOrBroke maybe he meant raw revenue numbers, XPEV sells far cheaper cars.

[Hidden Opportunities]

@SavvyOrBroke

#3 - My mistake, I meant revenues and should have said it clearly.

#4 - I am less worried about 10% YoY growth, this is expected when new models are releasing the next month (March). China is more of a Sedan market vs SUVs anyway.

[rickysahota]

Look at below

[BobDub]

The decrease was expected ?

[True analysts]

The only thing we're looking for on this report in time is positive delivery, they delivered above average and that's perfect.

[AlieGee]

I have yet to see on in the states unless they don't ship here....

[gord_s]

@AlieGee they don’t

[Tangster775]

People who write these are so unqualified. China takes a full week off for Chinese New Year, and Feb is already a shorter month in case the author is too ignorant to know that. Not to mention most Chinese prefer sedan over SUV, and knowing the ET7 and ET5 are coming, it's perfectly normal for them to wait for the new sedan. ET7 already being pre-ordered in record amount

[LongGone21]

@Tangster775 "Unqualified" or deliberately negative about any Chinese stocks, whenever possible? (Or both, LoL...)

Noting that on the same day, XPEV announces an almost identical (seasonal) decline in month on month deliveries...

[Eklo]

"Growth"

[FlexEthos]

It's a disappointing M/M performance on face value, but we know the month following the Lunar new year is quiet in the East, similarly to the month following Christmas in the West. More important is the 23.3% Y/Y growth.