On September 2, NIO released its financial results for the second quarter of 2025. The company reported revenue of RMB 19.01 billion, representing a 9.0% increase from the same period last year and a 57.9% jump quarter-on-quarter. Vehicle deliveries totaled 72,056 units in Q2, up 25.6% year-on-year and 71.2% sequentially. Among them, the NIO brand accounted for 47,000 units, the ONVO (LeDao) brand 17,000 units, and the Firefly brand 8,000 units. The company’s overall gross margin stood at 10.0%, with vehicle gross margin turning positive at 8.2%. As of the end of the quarter, cash reserves were RMB 27.2 billion.
Despite revenue and sales growth, NIO remained in the red. The company posted a net loss of RMB 4.995 billion for Q2, narrowing slightly from a RMB 5.046 billion loss a year earlier. The loss was partly attributed to heavy R&D spending—RMB 3.0 billion in the quarter—as well as intense competition in China’s auto market. NIO CFO Steven Wei Feng noted that the company’s cost-reduction and efficiency-improvement initiatives have begun to take effect, with non-GAAP operating losses improving by more than 30% quarter-on-quarter after excluding restructuring costs. He added that NIO is approaching a “structural financial inflection point” with further improvements expected.
Earlier this year, NIO’s sales growth had been sluggish amid an intensifying price war in China. Monthly deliveries in January through March were just 13,863, 13,192, and 15,039 units, respectively. To boost sales, NIO initiated a major organizational restructuring in May, particularly around its ONVO brand. A new ONVO product design and R&D department was established, reporting directly to CEO William Li, and leadership changes were made, including appointing Shen Fei to head ONVO sales. These measures helped accelerate sales, with deliveries surpassing 20,000 units per month from April onward, reaching 23,900 in April, 23,231 in May, and 24,925 in June.
NIO also accelerated its product launches. On July 31, the ONVO brand rolled out its second model, the ONVO L90, a large SUV available in six- and seven-seat configurations. Priced from RMB 265,800 (or RMB 179,800 under the Battery-as-a-Service leasing scheme), the model quickly gained traction, with 1,976 units delivered in the first three days after launch. On August 21, NIO introduced the new ES8, with a starting price of RMB 416,800 (or RMB 308,800 under BaaS)—over RMB 80,000 lower than the outgoing model, making it significantly more competitive. According to the company, the ES8’s orders have already surpassed those of the ONVO L90 on a daily basis.
Commenting on the results, CEO William Li highlighted the strong market response to both the ONVO L90 and the new ES8, noting that the company expects production capacity for the L90 to reach 15,000 units in October, while ES8 capacity is targeted at 10,000 units in October and 15,000 units in December. Li set a goal of achieving 50,000 monthly deliveries in Q4. Looking ahead, he revealed that NIO plans to launch three new large SUVs in 2026, including two models under the NIO brand (ES9 and ES7) and the ONVO L80. With these new product introductions, NIO aims to further accelerate its sales momentum.
