Xpeng Shares Surge on Upbeat Revenue Forecast
Xpeng, a Chinese electric-vehicle maker, experienced a significant surge in its Hong Kong-listed shares, climbing over 10% following an optimistic revenue forecast.
Analysts widely anticipate that the company is on track to achieve profitability by the fourth quarter of this year. This positive outlook for revenue also propelled its U.S.-listed shares, which rose by 13%.
First Quarter Performance
Based in Guangzhou, Xpeng reported a doubling of its first-quarter revenue compared to the previous year, primarily driven by robust sales figures. Vehicle deliveries for the first three months of the year reached 94,008 units, representing a fourfold increase from the sales volume of the prior year.
This improved performance helped to narrow the company's net loss for the first quarter to 664 million yuan, compared to 1.37 billion yuan a year ago. Additionally, the gross margin for the quarter increased to 15.6% from 12.9% a year earlier.
Future Outlook
For the second quarter, Xpeng anticipates revenue in the range of 17.5 billion yuan to 18.7 billion yuan. The company projects to deliver between 102,000 and 108,000 electric vehicles, marking a substantial increase of approximately 237.7% to 257.5% from the same period last year.
Autonomous Driving Technology
Xpeng is also focused on advancing its autonomous driving capabilities. The automaker aims to commence mass production of vehicles equipped with Level 3 autonomous driving features in China by the end of the year.