Chinese electric vehicle maker Xpeng's fourth-quarter net loss narrows 42%

BEIJING (Reuters) – Chinese electric vehicle (EV) maker Xpeng Inc said on Monday its net loss in the fourth quarter of last year narrowed 42% from the same period in 2019, as EV sales increased in the world’s biggest car market.

New York-listed Xpeng, which sells mainly in China and competes with Tesla Inc and Nio Inc, said its net loss attributable to ordinary shareholders was 787.4 million yuan ($120.7 million) for the quarter, compared with 1,354.6 million yuan a year earlier.

In the final three months last year, revenue jumped 346% year-on-year to 2.85 billion yuan. It expects total revenue for the first quarter of 2021 to be approximately 2.6 billion yuan, up around 531% from the first quarter of 2020.

Xpeng, the maker of the P7 sedan and the G3 sport-utility vehicle, will launch a second sedan model before the end of June and a revamped G3 at the end of the year, its president Brian Gu told Reuters.

He said Xpeng will have a lineup of seven to eight models by 2024.

Xpeng, which is developing its own autonomous driving technologies, expects income from software and content to make up around 10% of its overall income in the future, Gu said.

The Guangzhou-based company is planning to build a third car plant in China. It delivered 12,964 vehicles in the last three months of 2020.

($1 = 6.5292 Chinese yuan renminbi)

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