Home / Business and Economy / XPeng Surges 3% on Soaring Deliveries and Stronger Margins
XPeng Surges 3% on Soaring Deliveries and Stronger Margins
19 Aug
Summary
- XPeng delivered 103,181 vehicles in Q2, up 242% year-over-year
- Gross margin reached 17.3%, vehicle margin improved to 14.3%
- Company guides for 113,000-118,000 deliveries and RMB19.6-21.0 billion revenue in Q3
On August 19, 2025, Chinese electric vehicle manufacturer XPeng announced impressive results for the second quarter of the year, sending its stock up 3% in morning trading. The company reported a significant acceleration in deliveries, with 103,181 vehicles delivered during the quarter, a 242% increase compared to the same period last year.
Alongside the surge in deliveries, XPeng also saw improvements in its financial performance. The company's gross margin reached 17.3%, while its vehicle margin improved to 14.3%, as cost reductions and a healthier product mix lifted unit economics. Looking ahead, XPeng guided for third-quarter deliveries of 113,000-118,000 units and revenue expectations near RMB19.6-21.0 billion, indicating continued top-line momentum.
The company's strong performance was underpinned by its robust retail network and expanding charging infrastructure, which have enabled it to promote wider distribution of its electric vehicles. However, the EV market remains highly competitive, with rivals like Tesla and NIO also vying for market share. Investors will closely watch XPeng's execution, particularly its ability to maintain margins and deliver long-term profitability.
