NIO's Vehicle Margins Improve But the Stock Still Lags: Here's Why

Chinese EV maker NIO Inc. (NIO) has made noticeable progress in improving its vehicle margins despite China’s fierce EV price war. In 2024, the company's vehicle margin rose to 12.3%, up from 9.5% in 2023. This was driven by stronger production volumes and cost optimization across its supply chain.Quarterly results also displayed steady improvement. Margins were 9.2% in Q1 2024, 12.2% in Q2 and 13.1% in Q3 amid lower material costs per unit, which were a key driver. While Q4 vehicle margin was flat compared ...