EBSCN·2025-11-27 08:21Investment Rating - The report maintains a "Buy" rating for NIO, indicating a positive outlook for the company's stock performance over the next 6-12 months [4]. Core Insights - NIO's total revenue for Q3 2025 increased by 16.7% year-on-year and 14.7% quarter-on-quarter, reaching 21.79 billion RMB, with a gross margin of 13.9% [1][2]. - The company is expected to turn profitable in Q4 2025, with management guiding for a delivery volume of 120,000 to 125,000 vehicles and a gross margin of 18% [2][4]. - The introduction of new models and expansion into international markets, along with a joint venture for chip supply, may create new profit models for NIO [3]. Summary by Sections Financial Performance - In Q3 2025, NIO's vehicle deliveries rose by 40.8% year-on-year and 20.8% quarter-on-quarter to 87,000 units, with automotive revenue increasing by 15.0% year-on-year to 19.20 billion RMB [2]. - Non-GAAP net loss narrowed by 37.3% year-on-year to 2.76 billion RMB [1][2]. Cost Management - R&D expense ratio decreased by 6.6 percentage points year-on-year to 8.9%, while SG&A expense ratio fell by 2.8 percentage points to 18.0% [2]. Future Projections - The report projects a Non-GAAP net loss of approximately 12.8 billion RMB for 2025, with expectations of a return to profitability in 2026 with a net profit of 266 million RMB [4][5]. - Revenue is expected to grow significantly, with a forecast of 84.35 billion RMB for 2025 and 132.83 billion RMB for 2026, reflecting a growth rate of 28.3% and 57.5% respectively [5][9]. Market Positioning - NIO is set to launch three new mid-to-large SUVs in 2026, which may enhance its market presence and sales performance [3]. - The company is also expanding its international footprint through partnerships and new product offerings, which could further drive growth [3].