XPeng Posts RMB0.38 Billion Q4 Profit, Guides Q1 Deliveries 61k–66k
XPeng posted Q4 2025 net profit of RMB0.38 billion (~$55 million) with a 21.3% gross margin on higher volumes and premium models, delivering about RMB22 billion in revenue. Guidance calls for Q1 vehicle deliveries of 61,000–66,000 units and revenue of RMB12.5–14 billion, down roughly 29–35% and 16–23% sequentially.
1. First Quarterly Profit
XPeng turned a profit for the first time in Q4 2025, reporting net income of RMB0.38 billion (~$55 million) on revenue of approximately RMB22.3 billion and a gross margin of 21.3%. The company delivered 116,249 vehicles during the quarter, driven by higher volumes, cost efficiencies, and a premium model mix.
2. Weak Q1 Outlook
XPeng forecasts Q1 2026 vehicle deliveries of 61,000–66,000 units, a sequential drop of 29–35% from Q4, and projects revenue of RMB12.5–14 billion, down 16–23%. Investors have reacted cautiously to the softer guidance reflecting seasonal headwinds and market softness.
3. Long-Term Growth Plans
Management remains focused on scaling robotaxi services, advancing the XNGP autonomous driving platform, expanding into international markets, and pursuing full-year 2026 delivery targets of 550,000–600,000 vehicles. The strategy emphasizes recurring software and services revenue to drive future profitability.
4. Valuation and Cash Position
Forward P/E has turned positive following the profit milestone, while P/S stands at 1.5–1.7 and EV/Sales around 1.9, indicating balanced growth valuation. Cash reserves remain robust at approximately RMB47.66 billion as of December 31, 2025.