In the increasingly competitive Chinese new energy vehicle market, many car companies are facing a deepening crisis of “selling more but losing more”. Recently, Xiaopeng Motors released its unaudited financial performance for the first quarter of 2025. Despite temporarily leading in sales among the new forces, Xiaopeng Motors is still deeply mired in continuous losses. At the same time, other emerging car manufacturers are also struggling to escape the quagmire of losses.
According to financial data, Xiaopeng Motors achieved a total revenue of 15.81 billion yuan in the first quarter of this year, a year-on-year increase of 141.5%, but a slight decrease of 1.8% compared to the previous quarter. The company reported a net loss of 660 million yuan this quarter, significantly narrowing down from a loss of 1.37 billion yuan in the same period in 2024.
In terms of sales, Xiaopeng Motors delivered 94,000 new cars in the first quarter of this year, surpassing NIO, Li Auto, and Leapmotor, becoming the sales champion among the “NIO, Xiaopeng, Li, Leap” four major new forces in the automotive industry. However, despite impressive sales performance, the financial pressure on Xiaopeng Motors remains significant. According to Wind financial terminal data, since its listing in 2018, Xiaopeng Motors has yet to achieve profitability, accumulating nearly 38 billion yuan in losses by the end of 2024.
In comparison, the financial performance of other new energy vehicle companies is equally concerning. In the first quarter of 2025, Leapmotor reported a net loss of 130 million yuan, compared to a net loss of 1.01 billion yuan in the same period last year, with a full-year net loss of 2.82 billion yuan in 2024.
NIO reported a staggering annual net loss of 22.4 billion yuan in 2024, with accumulated losses exceeding 95.6 billion yuan since 2018, making it one of the most cash-burning enterprises among the new energy vehicle companies.
In 2024, Li Auto achieved an annual net profit of 8 billion yuan, despite a 31.9% year-on-year decrease, remaining the only new energy vehicle company to have realized an annual profit.
The competition in the Chinese new energy vehicle market is intensifying. According to a Goldman Sachs research report, in 2023, China’s new energy vehicle production capacity was approximately 2.1 times the domestic demand and 1.2 times the global demand, with a capacity utilization rate of 54%.
2025 is considered a pivotal year for the “elimination round” in the new energy vehicle industry. Xiaopeng Motors Chairman He Xiaopeng stated that from 2025 to 2027, industry competition will become even more fierce, with a price war expected to ignite in early 2025.