Third Quarter 2025 Business Update and Outlook Third Quarter 2025 Financial Summary "Over the past few quarters, we've right-sized and streamlined our operations, boosting agility and focus across our supply chain, inventory turnover and cash conversion cycle, all to drive our mission forward and deliver lasting value for the cities we serve, our customers, and our shareholders." said Henry Chiang, CEO of Gogoro. "The benefits of our strong operational foundation are evident: stronger cash generation, impro ...

Financial Performance - Q2 2025 - Revenue decreased by 18.7% year-over-year to $65.8 million[60] - On a constant currency basis, revenue decreased by 22.5% year-over-year to $62.7 million[62] - IFRS Gross Margin was 0.3%, a decrease of 4.9% year-over-year[60] - Non-IFRS Gross Margin increased to 17.0%, up 3.5% year-over-year[62] - Net Loss was $(26.5) million, a decrease of $6.5 million year-over-year[60] - Adjusted EBITDA increased by 4.2% year-over-year to $12.5 million[62] Operational Metrics - Total riding distance reached 13.2 billion kilometers[53] 2025 Guidance - The company expects revenue to be at the low-end of $295 million - $315 million[65] Additional Points - Operating cash flow was $15.2 million[28] - Operating expenses reduced by 1740%[28]

Core Viewpoint - China's electric vehicle (EV) industry is rapidly evolving, with battery swapping emerging as a significant solution to charging challenges, led by NIO Inc. through a partnership with CATL to enhance its battery swap network [1][2]. Battery Swapping Technology - Battery swapping allows drivers to replace depleted batteries with fully charged ones in minutes, addressing the long charging wait times that hinder EV adoption [3]. - China aims to establish over 16,000 battery swap stations by 2025, with projections suggesting battery swapping could represent up to 10% of the global EV market by 2030 [4]. NIO's Position and Growth - NIO operates the largest battery swap network with 3,172 stations and is expected to benefit significantly from the anticipated hundreds of millions of battery swaps annually [4]. - The partnership with CATL is seen as a pivotal moment for NIO, enhancing its leadership in battery swapping and expanding the deployment of CATL's Choco-Swap technology [5][6]. Vehicle Lineup and Delivery Growth - NIO offers nine premium electric models and has launched a more affordable ONVO brand, with the first product, L60, commencing deliveries in September [7]. - NIO delivered 221,970 units in 2024, marking a 30.7% year-over-year increase, with cumulative deliveries reaching 698,619 vehicles as of February 28, 2025 [8]. Financial Performance and Margins - NIO's vehicle margin has improved from 9.2% in Q1 2024 to 13.1% in Q3 2024, with a target of reaching 15% in Q4 2024 [9]. - The company expects to narrow its losses in 2025 and aims for breakeven by 2026, with potential for earlier profitability if execution aligns with expectations [10]. Challenges and Competitive Landscape - NIO's cash reserves have decreased from RMB 32.9 billion in December 2023 to RMB 23.7 billion in September 2024, amid high R&D and expansion costs [11]. - The company faces competition from rivals like XPeng, Li Auto, and BYD, with price wars in the EV sector potentially impacting margins [12]. Stock Performance and Valuation - NIO's stock has increased by 19% year-to-date, outperforming some competitors but underperforming others [13]. - Currently trading at a forward sales multiple of 0.72, NIO appears relatively undervalued compared to peers [16][17]. Future Outlook - The Zacks Consensus Estimate for NIO's 2025 revenue and earnings implies improvements of 46.3% and 28.2%, respectively, with an average brokerage recommendation of 2.72 [20].

Core Viewpoint - NIO Inc. reported strong delivery results for February 2025, indicating significant growth in the smart electric vehicle market, with a year-over-year increase in deliveries. Delivery Performance - The company delivered 13,192 vehicles in February 2025, representing an increase of 62.2% year-over-year [2][6] - Year-to-date deliveries reached 27,055 vehicles, marking a 48.8% increase compared to the same period last year [6] - Cumulative deliveries as of February 28, 2025, totaled 698,619 vehicles [2][6] Brand Performance - Deliveries included 9,143 vehicles from the premium smart electric vehicle brand NIO and 4,049 vehicles from the family-oriented brand ONVO [2] Service Efficiency - During the peak travel period around the Chinese New Year, NIO's power network facilitated over 1.7 million battery swaps from January 22 to February 5, 2025 [3] - The busiest station managed up to 180 swaps per day, with over 80% of energy replenishment on highways achieved through power swaps [3] - The company provided over 21,000 flexible battery upgrades to enhance long-distance travel experiences [3] Company Overview - NIO Inc. is a leading player in the global smart electric vehicle market, founded in November 2014, with a mission to create a sustainable future [4] - The company focuses on innovative technology and user experience, offering premium smart electric vehicles under the NIO brand, family-oriented vehicles through ONVO, and small high-end electric cars with the FIREFLY brand [4]