NIO quarterly report graphic： revenue 16.10 billion increased by 62% operating loss 6.70 billion

　　Lei Di.com Lei Jianping March 1

　　NIO (NYSE: NIO; HKEX: 9866; SGX: NIO) today announced its fourth quarter and full year results for the year ending December 31, 2022. According to the financial report, NIO’s full year 2022 revenue was 49.269 billion yuan (approximately 7.143 billion US dollars), an increase of 36.3% over the same period last year. Auto sales for the full year 2022 were 45.5066 billion yuan (6.5978 billion US dollars), an increase of 37.2% over the previous year.

　　Deliveries of vehicles in 2022 reached 122,486, up 34% from 2021. NIO delivered 8,506 units in January 2023 and 12,157 units in February 2023. February deliveries rose 98.3% year-on-year, including 5,037 high-end smart electric SUVs and 7,120 high-end smart electric sedans. As of February 28, 2023, NIO’s cumulative deliveries reached 310,219 units.

　　NIO’s operating loss for 2022 was 15.6407 billion yuan (US $2.2677 billion), an increase of 247.9% from the previous year. Excluding equity incentive expenses, the adjusted operating loss (non-GAAP) for 2022 was 13.3448 billion yuan (US $1.9348 billion), an increase of 282.8% from the previous year.

　　NIO’s full-year 2022 net loss was 14.4371 billion yuan (US $2.0932 billion), an increase of 259.4% from the previous year. Excluding equity incentive expenses, the adjusted net loss (non-GAAP) for full-year 2022 was 12.1412 billion yuan (US $1.7603 billion), an increase of 303.8% from the previous year.

　　NIO’s net loss attributable to common shareholders for the full year 2022 was $14.5594 billion (US $2.1109 billion), an increase of 37.7% from the prior year. Net adjusted loss (non-GAAP) attributable to NIO common shareholders was $11.9842 billion (US $1.7375 billion), net of equity incentive fees and the increase in redemption value of redeemable non-controlling interests.

　　"In 2022, we made progress in our core technologies and strengths Product Research & Development, infrastructure deployment and global market expansion, laying a solid foundation for the company’s long-term growth," said Li Bin, founder, chairperson and chief executive of NIO. "In 2023, we plan to launch five new products based on NIO’s second-generation technology platform, adding 1,000 substations to further enhance the full user experience."

　　"2022 is a year of firm investment and accelerated entry into the global market for NIO," said Beng Wei, NIO’s chief financial officer. "In 2023, we will focus on improving execution efficiency to meet the long-term competition in the global electric vehicle market with a more agile and efficient model."

　　NIO Q4 revenue 16.06 billion up 62.2%

　　NIO’s revenue for the fourth quarter of 2022 was 16.0635 billion yuan ($2.329 billion), up 62.2% from the fourth quarter of 2021 and 23.5% from the third quarter of 2022.

　　NIO’s vehicle sales revenue for the fourth quarter of 2022 was 14.759 billion yuan ($2.1399 billion), an increase of 60.2% from the fourth quarter of 2021 and 23.7% from the third quarter of 2022.

　　Automotive sales revenue increased from the fourth quarter of 2021, primarily due to higher deliveries of a more diversified product portfolio to customers. Automotive sales revenue increased from the third quarter of 2022, primarily due to higher deliveries of ET5 and ES7.

　　NIO delivered 40,052 vehicles in the fourth quarter of 2022, including 20,824 high-end smart electric SUVs and 19,228 high-end smart electric sedans, an increase of 60.0% from the fourth quarter of 2021 and 26.7% from the third quarter of 2022.

　　NIO’s other sales revenue for the fourth quarter of 2022 was 1.3045 billion yuan (US $189.10 million), an increase of 90.3% from the fourth quarter of 2021 and 22% from the third quarter of 2022. Other sales revenue increased from the fourth quarter of 2021, mainly due to the increase in revenue from the provision of research and development services and other revenue increased with the increase in automobile sales.

　　Other sales revenue increased compared to the third quarter of 2022, mainly due to the increase in revenue from the provision of research and development services, and the sales revenue of accessories, charging stations and used cars increased with the increase in automobile sales. Some of the revenue growth was offset by the new energy vehicle points sales revenue recorded in the third quarter of 2022.

　　NIO Q4 Cost 15.40 billion 88.3% YoY

　　NIO’s cost of sales for the fourth quarter of 2022 was 15.4418 billion yuan ($2.2388 billion), an increase of 88.3% from the fourth quarter of 2021 and 37.1% from the third quarter of 2022.

　　The increase in cost of sales compared to the fourth quarter of 2021 was primarily due to the following factors: (i) deliveries; (ii) inventory provisions, accelerated depreciation of production facilities, and loss of purchase commitments related to existing ES8, ES6, and EC6 models, which are expected to reduce production and deliveries due to the switch to NIO’s second-generation technology platform; and (iii) battery costs per vehicle.

　　The increase in cost of sales compared to the third quarter of 2022 was mainly due to (i) deliveries and (ii) increased inventory provisions, accelerated depreciation of production facilities and loss on purchase commitments related to existing ES8, ES6 and EC6 models. The above inventory provision, accelerated depreciation of production facilities and loss on purchase commitments in the fourth quarter of 2022 was $985.40 million (US $142.90 million).

　　NIO Q4 Gross 621.80 million down 63.4%

　　NIO’s gross profit for the fourth quarter of 2022 was 621.80 million yuan ($90.10 million), down 63.4% from the fourth quarter of 2021 and 64.2% from the third quarter of 2022.

　　NIO’s gross margin for the fourth quarter of 2022 was 3.9%, compared to 17.2% in the fourth quarter of 2021 and 13.3% in the third quarter of 2022. Gross margin decreased compared to the fourth quarter of 2021, mainly due to the decrease in automotive gross margin. Gross margin decreased compared to the third quarter of 2022, mainly due to the decrease in automotive gross margin and the decrease in other sales margin mainly due to the sales of new energy vehicle points that recorded high gross margin in the third quarter of 2022.

　　NIO’s gross margin for 2022 was 5.144 billion yuan (745.80 million USD), down 24.6% from the previous year. NIO’s gross margin for the full year 2022 was 10.4%, compared to 18.9% for the full year 2021.

　　NIO Q4 expenses 7.358 billion increased by 78%

　　NIO’s expenses for the fourth quarter of 2022 were 7.358 billion, up 78% from $4.145 billion in the same period last year.

　　NIO’s R & D expenses for the fourth quarter of 2022 were 3.9806 billion yuan (US $577.10 million), an increase of 117.7% from the fourth quarter of 2021 and 35.2% from the third quarter of 2022. Excluding equity incentive expenses, R & D expenses (non-GAAP) were 3.5539 billion yuan (US $515.30 million), an increase of 116.8% from the fourth quarter of 2021 and 38.2% from the third quarter of 2022.

　　R & D expenses increased compared to the fourth quarter of 2021 and the third quarter of 2022, primarily due to higher personnel costs for the R & D function and higher costs for the design and development of new products and technologies.

　　NIO’s research and development expenses for the full year 2022 were 10.8363 billion yuan (US $1.5711 billion), an increase of 136% from the previous year. Excluding equity incentive expenses, research and development expenses (non-GAAP) were 9.5129 billion yuan (US $1.3792 billion), an increase of 127.3% from the previous year.

　　NIO’s selling, general and administrative expenses for the fourth quarter of 2022 were $3.5274 billion ($511.40 million), up 49.6% from the fourth quarter of 2021 and 30.0% from the third quarter of 2022. Excluding equity incentive expenses, selling, general and administrative expenses (non-GAAP) were $3.2571 billion ($472.20 million), up 50.6% from the fourth quarter of 2021 and 30.8% from the third quarter of 2022.

　　Selling, general and administrative expenses increased compared to the fourth quarter of 2021 and the third quarter of 2022, primarily due to (i) higher costs for sales and general company functional personnel; (ii) increased marketing and promotional activities to promote vehicles in China and Europe; and (iii) increased expenses related to the expansion of the company’s sales and service network.

　　NIO’s full-year 2022 selling, general and administrative expenses 10.5371 billion ($1.5277 billion), up 53.2% from the previous year. Excluding equity incentive expenses, selling, general and administrative expenses (non-GAAP) were 9.6315 billion ($1.3964 billion), up 52.7% from the previous year.

　　NIO Q4 operating loss 6.736 billion increased by 175.5%

　　NIO’s operating loss for the fourth quarter of 2022 was 6.7361 billion yuan ($976.70 million), up 175.5% from the fourth quarter of 2021 and 74.0% from the third quarter of 2022.

　　Excluding equity incentive expenses, NIO’s adjusted operating loss (non-GAAP) for the fourth quarter of 2022 was $6.0157 billion ($872.20 million), an increase of 193.7% from the fourth quarter of 2021 and 84.6% from the third quarter of 2022.

　　NIO’s full-year 2022 operating loss was 15.6407 billion yuan (US $2.2677 billion), an increase of 247.9% from last year. Excluding equity incentive fees, the adjusted operating loss (non-GAAP) for 2022 was 13.3448 billion yuan (US $1.9348 billion), an increase of 282.8% from last year.

　　NIO’s equity incentive expense for the fourth quarter of 2022 was 720.50 million ($104.50 million), an increase of 81.6% from the fourth quarter of 2021 and 17.7% from the third quarter of 2022. Equity incentive expense increased from the fourth quarter of 2021 and the third quarter of 2022, mainly due to the continued vesting of restricted shares.

　　NIO’s equity incentive fee for the full year 2022 is 2.2959 billion yuan (332.90 million dollars), compared to 1.0101 billion yuan in the previous year.

　　NIO’s net other income for the fourth quarter of 2022 was 315.70 million yuan (45.80 million dollars), an increase of 262.20 million yuan from the fourth quarter of 2021 and 811.30 million yuan from the other loss of 495.60 million yuan in the third quarter of 2022. Other income compared to the fourth quarter of 2021 and the first quarter of 2022

　　The increase in the third quarter was mainly due to the appreciation of overseas-related assets due to the appreciation against the US dollar in the fourth quarter of 2022.

　　NIO Q4 net loss 5.786 billion increased by 169.9%

　　NIO’s net loss for the fourth quarter of 2022 was 5.7861 billion yuan ($838.90 million), up 169.9% from the fourth quarter of 2021 and 40.8% from the third quarter of 2022.

　　Excluding equity incentive expenses, NIO’s adjusted net loss (non-GAAP) for the fourth quarter of 2022 was $5.0656 billion ($734.40 million), up 190% from the fourth quarter of 2021 and 44.8% from the third quarter of 2022.

　　NIO’s net loss for 2022 was $14.4371 billion ($2.0932 billion) compared to a net loss of $4.0169 billion in 2021. Excluding equity incentive fees, the adjusted net loss (non-GAAP) for 2022 was $12.1412 billion ($1.7603 billion).

　　NIO’s net loss attributable to NIO common shareholders for the fourth quarter of 2022 was $5.8471 billion ($847.70 million), an increase of 168.3% from the fourth quarter of 2021 and 41.2% from the third quarter of 2022. Excluding equity incentive charges and the increase in the redemption value of redeemable non-controlling interests, the adjusted net loss (non-GAAP) attributable to NIO common shareholders for the fourth quarter of 2022 was $5.054 billion ($732.80 million).

　　As of December 31, 2022, cash and cash equivalents, restricted cash, short-term investments and long-term time deposit balances were 45.50 billion yuan (US $6.60 billion).

　　NIO expects vehicle deliveries in the first quarter of 2023 to be between 31,000 and 33,000 vehicles, an increase of approximately 20.3% to 28.1% compared to the same quarter in 2022. Total revenue is between 10.926 billion yuan (US $1.584 billion) and 11.543 billion (US $1.674 billion), an increase of approximately 10.2% to 16.5% compared to the same quarter in 2022.

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