XPeng announces its 2020 Q4 financial report, with a gross margin of 7.4% and a single vehicle gross margin of 6.8%. The company's annual revenue was 5.8443 billion yuan.

XPeng Motors releases Q4 2020 financial report, with overall gross margin at 7.4% and per vehicle gross margin at 6.8%. Cash reserve reaches 35.342 billion Chinese yuan, with full year gross margin at 4.6% and net loss at 2.732 billion Chinese yuan in 2020.

Delivery Data:

XPeng delivered 12,964 vehicles in Q4 2020, including 8,527 P7s and 4,437 G3s. Year-on-year growth was 302.9% and 51.1% quarter-on-quarter growth. In the whole year of 2020, XPeng delivered a total of 27,041 vehicles, achieving a year-on-year growth of 112.5% compared with 12,728 vehicles in 2019, including 15,062 P7s and 11,979 G3s.

Financial Data:

  • Total revenue reached 2.8514 billion Chinese yuan;
  • Vehicle sales revenue hits 2.735 billion Chinese yuan, achieving a year-on-year growth of 375.7%, and a quarter-on-quarter growth of 44.1%;
  • Gross margin rate for Q4 was 7.4%, compared with -6.6% in the same period last year and 4.6% in Q3 of this year;
  • Per vehicle gross margin rate was 6.8%, compared with -8.5% in the same period last year and 3.2% in Q3 of this year;
  • Cash and cash equivalents, restricted cash, and short-term investments totaled 35.342 billion Chinese yuan, compared with 19.998 billion Chinese yuan in Q3;
  • As of December 31st, 2020, XPeng had established 54 service centers and 160 sales outlets in 69 cities in China. The supercharging stations have expanded to 159, covering 54 cities.

Sales Cost:

The sales cost for Q4 2020 was 26.408 billion Chinese yuan, increasing by 287.2% from the same period in 2019 and by 39.1% from Q3 in 2020. This growth is mainly due to the increase in vehicle delivery.

R&D Investment:

R&D expenses in Q4 2020 was 460 million Chinese yuan, a decrease of 29.4% compared with the same period in 2019.

Sales and General Administration Expenses:

Sales and general administration expenses for Q4 2020 were 917.9 million Chinese yuan, an increase of 132.7% compared with the same period in 2019 and a decrease of 23.7% compared with Q3 2020. The growth was mainly due to 1. an increase in advertising and marketing investment to support vehicle sales, and 2. an increase in sales network and staff costs, as well as rental costs for various physical stores.

Annual Data:

  1. Revenue2020 revenue from car sales was RMB 5.5468 billion; total revenue for the year was RMB 5.8443 billion, up 151.8% YoY, with a net loss of RMB 2.732 billion, a 26% YoY reduction.

  2. Gross margin
    The full-year gross margin in 2020 was 4.6%, and the single-car gross margin was 3.5%. In 2019, the full-year gross margin was -24%, with a single-car gross margin of -25.9%.

  3. R&D investment
    The R&D investment in 2020 was RMB 1.726 billion, a 16.6% decrease from RMB 2.07 billion in 2019.

  4. Sales and management costs
    In 2020, the full-year sales and management expenses were RMB 2.921 billion, an increase of 150.8% YoY from RMB 1.164 billion in 2019.

Q1 2021 Expectations:

  • Delivery total of around 12,500 vehicles, up about 450% YoY.
  • Total revenue of about RMB 2.6 billion, up about 531% YoY.

Source: XPENG Motors

This article is a translation by ChatGPT of a Chinese report from 42HOW. If you have any questions about it, please email bd@42how.com.