10:33 AM EDT, 09/05/2024 (MT Newswires) -- Nio's (NIO) second-quarter loss narrowed year over year while revenue nearly doubled, as the Chinese automaker saw a sharp increase in vehicle deliveries.

The company's adjusted loss came in at 2.21 renminbi ($0.30) per American depositary share for the June quarter, compared with a 3.28 renminbi loss the year before. Three analysts polled by Capital IQ expected a normalized per-share loss of 2.20 renminbi. Revenue soared 99% year over year to 17.45 billion renminbi, while six analysts estimated 17.38 billion renminbi.

Vehicle sales surged 118% to 15.68 billion renminbi, mainly driven by delivery volume growth, partially offset by lower average selling prices because of product mix changes and "user rights adjustments" since June 2023, according to the automaker. Nio delivered 57,373 vehicles in the second quarter, up from 23,520 units in the prior-year period.

The company's shares listed on the New York Stock Exchange gained 6% in Thursday trading.

Gross margin during the quarter stood at 9.7% versus 1% the year before. Vehicle gross margin rose to 12.2% from 6.2% last year, aided by the electric vehicle manufacturer's ongoing cost optimizations, Chief Financial Officer Stanley Yu Qu said in a statement. Operating expenses rose to 6.9 billion renminbi from 6.16 billion renminbi in the 2023 quarter.

"We will continue to focus on efficient (research and development) and infrastructure investment, leverage the growth potential in the mass market, adopt flexible market strategies and continuously optimize our product portfolio," according to Yu Qu. "We are confident that these efforts will result in steady improvements in gross profit and cost efficiency in the future."

For the current three-month period, Nio expects revenue to be in a range of 19.11 billion renminbi to 19.67 billion renminbi, representing annual growth of 0.2% to 3.2%. Six analysts polled by Capital IQ expect revenue of 18.52 billion renminbi. Nio anticipates delivering between 61,000 and 63,000 vehicles in the quarter, having distributed 20,498 and 20,176 units in July and August, respectively.

"The total delivery volume for the third quarter is expected to set another record, further solidifying and expanding market share," Chief Executive William Bin Li said.

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