The gap in market position has widened among the three new powerhouses that once started on the same footing. Li Auto has secured its place in the top tier of the new energy vehicle market, NIO is making steady progress on its path to becoming an energy company, while XPeng Motors, as shown in its recently released financial report, posted a half-year loss of 2.6 billion yuan. However, this is an improvement from the net loss of 5.14 billion yuan during the same period last year. In terms of sales, XPeng delivered 52.028 new cars in the first half of the year. Although the total volume isn't large, it still represents a 25.6% year-over-year increase.
XPeng Motors' CEO, He Xiaopeng, expressed optimism about the company's future growth based on the financial report. Particularly with the launch of the MONA M03 this August, he believes XPeng is entering a strong product development cycle. From now until 2026. XPeng plans to launch several competitive new models, and with its accumulated experience in smart driving and AI, this could potentially drive sustained growth for the company.
In fact, industry expectations for XPeng Motors have been less than optimistic over the past two years. Compared to its contemporaries, Li Auto and NIO, XPeng has consistently shown signs of lagging behind. Even in the first half of this year, XPeng's sales did not show significant improvement. Despite making numerous adjustments—ranging from internal personnel changes, anti-corruption efforts, to upgrades and optimizations of its product line—XPeng has been striving to catch up. For instance, the company brought in a former OPPO marketing executive as vice president of marketing, reporting directly to XPeng’s president Wang Fengying, and accelerated the release of new models, including the MONA product series. These efforts clearly demonstrate XPeng's determination to improve its growth trajectory.
However, according to XPeng's previous official plans, the goal of achieving annual sales of 280.000 units this year is unlikely to be met. With only four months left in the year, XPeng would need to sell 54.000 new cars each month to turn the situation around—a clearly daunting task. Nonetheless, based on this financial report, it appears that after a series of efforts, XPeng is starting to show signs of gradual improvement, though there is still a gap compared to Li Auto and NIO. What are your thoughts on XPeng Motors' future development?
