Will Nio Top Market Estimates Despite Covid Obstacles?
September 07,2022 16:01:35
One of the leading companies in the premium smart electric vehicle segment, Nio Inc, is set to report its Q2 financial results on Wednesday, September 7, 2022, before the opening bell of the US stock market.
How has Nio performed recently?
Nio reported almost in-line results in the first quarter, with revenue beating estimates. Its deliveries during Q1 also came in at a record 25,768 units.
For the second quarter, the markets are looking for extremely low growth of 10% year-over-year in sales, which should not prove too difficult for the company. However, the markets are also concerned about the impact of the Covid-related closures on the company, since the impact of restrictions on the company’s output is hard to predict.
The Chinese company delivered 10,052 vehicles during July, representing a 22% month-over-month drop, amid supply chain issues related to the production of its ET7 and EC6 models.
So, what do analysts expect of Nio’s Q2 report?
Analysts, on average, are expecting Nio to report a GAAP loss of $0.20 per share and revenue of $1.43 billion for the recent quarter, which is equivalent to around -1.15 and 9.6 billion in terms of Chinese yuan.
The markets are, however, cautious about Nio’s upcoming earnings as the company’s rival, Li Auto, recently released earnings that missed earnings estimates. Li Auto’s vehicle deliveries dropped 9.6% quarter-over-quarter during the second quarter and projected Q3 vehicle deliveries between 27,000 and 29,000.
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