Xiaopeng Motors Q3 Gross Margin Exceeds 20% For The First Time, Q4 Delivery Target Raised To 125,000 Units

Xpeng Motors (NYSE: XPEV / HK: 9868) announced its third-quarter financial performance on November 17, 2025, with multiple core indicators hitting record highs. The total delivery volume for the third quarter reached 116,007 vehicles, a year-on-year increase of 149.3% and a quarter-on-quarter increase of 12.4%, maintaining strong growth momentum for three consecutive quarters. The total revenue for the quarter was 20.38 billion RMB, an increase of 101.8% compared to the same period in 2024, and a quarter-on-quarter growth of 11.5%, exceeding market expectations.

Image source: Xiaopeng Motors Weibo

Profitability has significantly improved, with the gross margin in the third quarter rising to 20.1%, a year-on-year increase of 4.8 percentage points, for the first time surpassing the 20% mark; the automotive gross margin was 13.1%, up 4.5 percentage points year-on-year. The net loss narrowed to 380 million yuan, a year-on-year decrease of 78.9% and a quarter-on-quarter decline of 20.3%, reflecting significant results in cost control and operational efficiency optimization. As of September 30, the company's cash and cash equivalents, short-term investments, and fixed deposits increased to 48.33 billion yuan, a quarter-on-quarter increase of 760 million yuan, reaching a historical peak in cash reserves. The charging network continues to expand, with the number of self-operated charging stations increasing to 2,676, of which over 60% are ultra-fast charging stations.

He Xiaopeng, chairman and CEO of Xiaopeng Motors, stated that the sales scale and market share are in a phase of rapid expansion, and the company will further focus on the research and development of physical AI technology and global layout. Vice Chairman Gu Hongdi pointed out that the improvement in gross margin is attributed to the release of technology revenue and cost control, providing more ample space for R&D investment.

Image source: Xiaopeng Motors

On the product level, the all-new Xiaopeng P7 quickly ramped up sales after its launch, with monthly deliveries exceeding 40,000 units in September, driving optimization of the model structure. The expansion into overseas markets accelerated, entering European countries such as Switzerland and Austria in the third quarter, with a cumulative overseas delivery volume of 29,706 units in the first nine months, a year-on-year increase of 125%.

For the fourth quarter, the company expects vehicle deliveries to range between 125,000 and 132,000 units, with total revenue anticipated to reach between 21.5 billion to 23 billion yuan, representing a year-on-year increase of 33.5% to 42.8%. With the launch of new products such as the Kunpeng Super Electric Vehicle Model X9, XPeng Motors is expected to further strengthen its competitive position in the smart electric vehicle market.