This Forgotten EV Stock Just Reported Strong Earnings

Core Insights - NIO, a premium electric vehicle (EV) manufacturer, has reported its first-ever quarterly net profit, marking a significant turnaround for the company after a challenging period [5][6]. Company Overview - NIO was established in November 2014 and is headquartered in Shanghai, focusing on the design, development, and manufacture of smart, high-performance EVs that integrate advanced technologies [4]. Financial Performance - For Q4 2025, NIO reported earnings per share (EPS) of 4 cents, surpassing analyst expectations of a 7-cent loss, and quarterly revenue of $4.95 billion, exceeding expectations of $4.77 billion [6]. - The company achieved a historic milestone with a 72% year-over-year growth in deliveries for Q4 and forecasts delivery growth of up to 97% for Q1 2026 [8]. Profitability and Margins - NIO's vehicle margin exceeded 18% in Q4 2025, attributed to continuous improvement and vehicle cost optimization, while the margin for other sales reached 11.9%, both figures surpassing the industry average of 7% to 10% [7]. Future Outlook - NIO plans to launch its flagship ES9 executive SUV in Q2 2026 to capture a larger share of the Chinese EV market [8].