Shares of Nio Inc. sank Tuesday, after the China-based electric-vehicle maker reported second-quarter results that missed expectations but provided an upbeat revenue outlook for the current quarter. The stock
dropped 4.5% toward a six-week low in premarket trading. That put the stock on track for the 12th one-day post-earnings loss following the past 15 quarterly reports.
The Shanghai-based company reported a net loss for the quarter to June 30 that widened to RMB5.79 billion ($798.9 million), or RMB3.70 per American depositary share, from RMB2.26 billion, or RMB1.68 per ADS, in the same period a year ago. Excluding non-recurring items, adjusted per-ADS losses were RMB3.28, missing the FactSet loss consensus of RMB2.96. Total revenue fell 14.8% to RMB8.77 billion ($1.21 billion), below the FactSet consensus of RMB9.16 billion. Vehicle sales of RMB7.19 billion were down 22.1% from the sequential first quarter and 24.9% from a year ago, due primarily to lower average selling prices and decreases in delivery volume. Cost of sales fell less than revenue, down 3.0%, as gross margin contracted to 1% from 13% last year, mainly because of increased sales of lower-margin used EVs. Deliveries declined 6.1% to 23,520 vehicles. For July, the company delivered 20,462 EVs, up 103.6% from a year ago. “Attributed to the product transition bas …