XPeng Q2 2025 Revenue Doubles, Net Loss Narrows by 62.6%

On August 19, XPeng Motors released its financial report for the second quarter of 2025 and its interim results. XPeng Motors achieved record highs in sales volume, revenue, and gross margin in the second quarter. By the end of the quarter, its cash reserves also reached a new high, and the delivery guidance for the third quarter set another record.

Image source: XPeng Motors financial report screenshot

Data shows that in the second quarter, XPeng Motors achieved total revenue of 18.27 billion yuan, a year-on-year increase of 125.3%. Of this, automobile sales revenue was 16.88 billion yuan, up 147.6% year-on-year; revenue from services and other sources was 1.39 billion yuan, an increase of 7.6% year-on-year.

Revenue growth is directly linked to the increase in sales volume. In the second quarter of 2025, XPeng Motors delivered 103,000 vehicles, a year-on-year increase of 241.6%; in the first half of the year, cumulative vehicle deliveries reached 197,000, a year-on-year increase of 279.0%.

The expansion of economies of scale has also led to a rebound in XPeng's profits. In the second quarter, XPeng Motors reported a net loss of 480 million yuan, compared to a net loss of 1.285 billion yuan in the same period last year, representing a year-on-year decrease of 62.6%. The gross margin reached a record high of 17.3%, up 3.3 percentage points year-on-year and 1.7 percentage points quarter-on-quarter. Specifically, the automotive gross margin was 14.3%, an increase of 7.9 percentage points compared to the same period in 2024, marking eight consecutive quarters of growth.

At present, XPeng Motors is still operating at a loss, which is partly related to the increase in its R&D investment. In the second quarter, XPeng’s R&D expenses were 2.21 billion yuan, a year-on-year increase of 50.4% and a quarter-on-quarter increase of 11.4%. Selling, general, and administrative expenses were 2.17 billion yuan, up 37.7% year-on-year and 11.4% quarter-on-quarter. Net other income was 240 million yuan, down 14.9% year-on-year and 56.4% quarter-on-quarter.

As of June 30, 2025, the company's cash and cash equivalents, restricted cash, short-term investments, and time deposits amounted to 47.57 billion yuan.

He Xiaopeng, Chairman and CEO of XPeng Motors, stated: "In the second quarter of 2025, all core business and financial indicators of XPeng Motors, including sales, revenue, gross margin, and cash on hand, reached historic highs. We have fully completed the upgrade of our new generation intelligent and electrification technology platform by 2025, creating a significant technological gap with our competitors. This will generate stronger momentum in our major product cycles and accelerate scale growth."

Looking ahead to the third quarter, XPeng Motors expects deliveries to be between 113,000 and 118,000 units, representing a year-on-year increase of 142.8% to 153.6%; total revenue is expected to be between 19.6 billion and 21 billion yuan, a year-on-year increase of 94% to 107.9%.

On August 19th, XPeng Motors' Hong Kong stock closed at HKD 77.05 per share, up 57% from HKD 49 at the beginning of the year.