Q2 FY2026
Filed Sep 1, 2026Quarterly Total Revenues Reached RMB32,136.9 Million (US$4,736.4 Million); Quarterly Vehicle Deliveries Were 107,658 Units
Vehicle deliveries, vehicle sales, total revenues and gross profit increased year over year, while adjusted profit from operations and adjusted net profit remained positive. GAAP loss from operations and net loss widened sequentially, and gross and vehicle margins declined from the first quarter of 2026.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| Vehicle deliveriesother | 107,658 | 29.0% | 49.4% |
| Vehicle salesGAAP | RMB29,058.2 million (US$4,282.7 million) | 27.5% | 80.1% |
| Other salesGAAP | RMB3,078.6 million (US$453.7 million) | 12.0% | 7.2% |
| Total revenuesGAAP | RMB32,136.9 million (US$4,736.4 million) | 25.9% | 69.1% |
| Vehicle marginGAAP | 18.5% | -30 bp | 820 bp |
| Cost of salesGAAP | RMB26,230.4 million (US$3,865.9 million) | 26.9% | 53.3% |
| Gross profitGAAP | RMB5,906.5 million (US$870.5 million) | 21.6% | 211.3% |
| Gross marginGAAP | 18.4% | -60 bp | 840 bp |
| Research and development expensesGAAP | RMB2,144.9 million (US$316.1 million) | 13.8% | -28.7% |
| Adjusted research and development expensesnon-GAAP | RMB1,983.2 million (US$292.3 million) | 16.1% | -20.3% |
| Selling, general and administrative expensesGAAP | RMB4,424.5 million (US$652.1 million) | 26.5% | 11.6% |
| Adjusted selling, general and administrative expensesnon-GAAP | RMB4,039.6 million (US$595.4 million) | 22.1% | 9.7% |
| Other operating income, netGAAP | RMB315.7 million (US$46.5 million) | – | – |
| Loss from operationsGAAP | RMB347.2 million (US$51.2 million) | 12.4% | -92.9% |
| Adjusted profit from operationsnon-GAAP | RMB206.9 million (US$30.5 million) | 209.7% | N/A |
| Interest and investment lossGAAP | RMB18.959 million (US$2.794 million) | – | – |
| Interest expensesGAAP | RMB242.389 million (US$35.724 million) | – | – |
| Share of losses of equity investeesGAAP | RMB149.383 million (US$22.016 million) | – | – |
| Other income, netGAAP | RMB262.774 million (US$38.728 million) | – | – |
| Loss before income tax expenseGAAP | RMB495.176 million (US$72.981 million) | – | – |
| Income tax expenseGAAP | RMB32.833 million (US$4.839 million) | – | – |
| Net lossGAAP | RMB528.0 million (US$77.8 million) | 59.0% | -89.4% |
| Adjusted net profitnon-GAAP | RMB26.1 million (US$3.8 million) | -40.0% | N/A |
| Net loss attributable to NIO’s ordinary shareholdersGAAP | RMB721.6 million (US$106.4 million) | – | – |
| Adjusted net profit attributable to NIO’s ordinary shareholdersnon-GAAP | RMB24.8 million (US$3.7 million) | – | – |
| Basic and diluted net loss per ordinary share/ADSGAAP | RMB0.29 (US$0.04) | – | – |
| Adjusted basic and diluted net profit per ordinary share/ADSnon-GAAP | RMB0.01(US$0.00) | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Vehicle salesThe year-over-year increase was mainly due to an increase in delivery volume and a higher average selling price as a result of changes in product mix. The sequential increase was mainly attributable to an increase in delivery volume. | RMB29,058.2 million (US$4,282.7 million) | 27.5% | 80.1% |
| Other salesYear-over-year growth reflected increased sales of parts, accessories and after-sales vehicle services, partially offset by lower used-car and technical research and development services revenue. Sequential growth reflected used-car revenue and parts, accessories and after-sales vehicle services, partially offset by auto financing services. | RMB3,078.6 million (US$453.7 million) | 12.0% | 7.2% |
Q3 2026 outlook
- Revenuebetween RMB33,285 million (US$4,906 million) and RMB34,051 million (US$5,019 million), representing an increase of approximately 52.7% to 56.2% from the same quarter of 2025
- NoteDeliveries of vehicles to be between 108,000 and 111,000 vehicles, representing an increase of approximately 24.0% to 27.5% from the same quarter of 2025.
What drove it
- All three brands, NIO, ONVO, and FIREFLY, achieved growth in both sales volume and average transaction price.
- Vehicle-margin expansion year over year was mainly attributable to a more favorable product mix.
- Gross-margin expansion year over year was mainly attributable to the increased vehicle margin.
- Research and development expenses declined year over year due to reduced research and development personnel costs following organizational optimization and lower design and development costs.
- Selling, general and administrative expenses increased year over year due to sales and marketing activities associated with new product launches.
- The Company delivered 35,934 vehicles and 35,836 vehicles in July and August 2026, respectively.
Concerns
- Gross margin was 18.4%, below 19.0% in the first quarter of 2026, due mainly to gross margin from vehicle sales, provision of power solutions, and sales of parts, accessories and after-sales vehicle services.
- Vehicle margin was 18.5%, below 18.8% in the first quarter of 2026.
- GAAP loss from operations was RMB347.2 million (US$51.2 million), compared with a loss from operations of RMB308.8 million in the first quarter of 2026.
- Net loss was RMB528.0 million (US$77.8 million), compared with a net loss of RMB332.1 million in the first quarter of 2026.
- Selling, general and administrative expenses increased 26.5% from the first quarter of 2026.
- Adjusted net profit declined 40.0% from the first quarter of 2026 to RMB26.1 million (US$3.8 million).
What to watch
- Third-quarter deliveries guidance of between 108,000 and 111,000 vehicles.
- Third-quarter total revenues guidance of between RMB33,285 million (US$4,906 million) and RMB34,051 million (US$5,019 million).
- Whether higher-margin model sales and cost-structure optimization support gross and vehicle margins amid rising cost pressures.
- Sales and marketing activities, personnel costs and design and development costs associated with new products and technologies.
- Completion of Shenji financing transactions, after which a NIO subsidiary will hold a controlling equity interest of 59.95% in Shenji.
Balance sheet and cash flow
- Cash and cash equivalents, restricted cash, short-term investment and long-term time deposits were RMB56.7 billion (US$8.4 billion) as of June 30, 2026.
- Cash and cash equivalents were RMB17,453,564 thousand as of June 30, 2026.
- Restricted cash was RMB13,510,507 thousand as of June 30, 2026, and long-term restricted cash was RMB68,625 thousand.
- Short-term investments were RMB25,634,741 thousand as of June 30, 2026.
- Long-term time deposits were included in the reported RMB56.7 billion balance of cash and cash equivalents, restricted cash, short-term investment and long-term time deposits.
- Short-term borrowings were RMB8,164,766 thousand as of June 30, 2026.
- Current portion of long-term borrowings was RMB897,712 thousand as of June 30, 2026.
- Long-term borrowings were RMB8,550,926 thousand as of June 30, 2026.
- Total assets were RMB136,211,340 thousand as of June 30, 2026.
- Total liabilities were RMB121,943,115 thousand as of June 30, 2026.
- Total NIO Inc. shareholders’ equity was RMB4,064,040 thousand as of June 30, 2026.
- The Company generated positive operating cash flows in the second quarter of 2026.
Analysis
NIO reported a sharp volume and revenue recovery in the second quarter of 2026. Deliveries rose 49.4% year over year and 29.0% sequentially to 107,658 vehicles. Vehicle sales increased 80.1% year over year to RMB29,058.2 million (US$4,282.7 million), supported by higher delivery volume and a higher average selling price from product-mix changes. Total revenues grew 69.1% year over year and 25.9% sequentially to RMB32,136.9 million (US$4,736.4 million). Other sales grew more modestly, with parts, accessories and after-sales vehicle services a stated contributor.
Gross profit increased 211.3% year over year to RMB5,906.5 million (US$870.5 million), and gross margin improved to 18.4% from 10.0% a year earlier. Vehicle margin reached 18.5%, up from 10.3%, as the Company cited a more favorable product mix. Sequentially, however, gross margin declined from 19.0% and vehicle margin declined from 18.8%. Management attributed the gross-margin reduction mainly to vehicle sales, power solutions, and parts, accessories and after-sales vehicle services, while the CFO cited rising cost pressures.
Operating leverage improved materially from the prior year. Research and development expenses declined 28.7% year over year, reflecting organizational optimization and lower design and development costs, although they rose 13.8% sequentially with new-product and technology development. Selling, general and administrative expenses rose 11.6% year over year and 26.5% sequentially as NIO increased sales and marketing activity around product launches. The result was a much narrower GAAP operating loss of RMB347.2 million (US$51.2 million), while adjusted profit from operations was RMB206.9 million (US$30.5 million).
The Company remained loss-making under GAAP, with net loss of RMB528.0 million (US$77.8 million), wider than RMB332.1 million in the first quarter of 2026. Adjusted net profit was RMB26.1 million (US$3.8 million), down from RMB43.5 million sequentially. Liquidity included RMB56.7 billion (US$8.4 billion) of cash and cash equivalents, restricted cash, short-term investment and long-term time deposits, and NIO stated that it generated positive operating cash flows during the quarter.
For the third quarter of 2026, NIO guides to deliveries of between 108,000 and 111,000 vehicles and total revenues of between RMB33,285 million (US$4,906 million) and RMB34,051 million (US$5,019 million). July and August deliveries were 35,934 vehicles and 35,836 vehicles, respectively. The outlook places focus on sustaining the increased delivery base, preserving margins despite cost pressures, and managing elevated selling, general and administrative spending tied to launches.
Management, verbatim
In the second quarter of 2026, the Company delivered 107,658 smart electric vehicles, representing a 49.4% year-over-year increase. All three brands, NIO, ONVO, and FIREFLY, achieved growth in both sales volume and average transaction price. For the third quarter, we expect total deliveries to range between 108,000 and 111,000 vehicles, with a year-over-year growth of 24.0% to 27.5%.
William Bin Li, founder, chairman, and chief executive officer of NIO
In the second quarter of 2026, the Company continued to improve its overall operating quality. Supported by strong sales of higher-margin models and ongoing optimization of our cost structure, we maintained healthy gross and vehicle margins despite rising cost pressures. Services and community-related businesses continued to contribute to profitability. The Company maintained positive non-GAAP operating profit during the quarter, further increasing our cash reserves and strengthening our financial position to support long-term, sustainable development.
Stanley Yu Qu, NIO’s chief financial officer
Not in the filing
stated, not guessed- Prior-quarter and prior-year figures for adjusted research and development expenses were not stated in the narrative alongside the percentage comparisons.
- Prior-quarter and prior-year figures for adjusted selling, general and administrative expenses were not stated in the narrative alongside the percentage comparisons.
- Operating cash flow amount was not reported.
- Free cash flow was not reported.
- Capital returns, including share repurchases and dividends, were not reported.
- Gross margin guidance was not reported.
- Operating-expense guidance was not reported.
- Tax-rate guidance was not reported.
- Prior-quarter guidance was not provided.
AlphaAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.