NIO Limited (NYSE:NIO) rocketed on Monday despite reports of third-quarter losses.
The Shanghai-based NIO, a pioneer in China’s premium electric vehicle market, revfealed deliveries of vehicles were 4,799 in the third quarter of 2019 including 4,196 ES6s and 603 ES8s, compared with 3,553 vehicles delivered in the second quarter of 2019.
Total revenues were RMB1,836.8 million ($257.0 million U.S.) in the third quarter of 2019, representing an increase of 21.8% from the second quarter of 2019 and an increase of 25.0% from the same quarter of 2018.
Gross margin was negative 12.1%, compared with negative 33.4% in the second quarter of 2019 and negative 7.9% in the same quarter of 2018.
Net loss was RMB 2,521.7 million ($352.8 million U.S.) in the third quarter of 2019, representing a decrease of 23.3% from the second quarter of 2019 and a decrease of 10.3% from the same quarter of 2018.
Excluding share-based compensation expenses, adjusted net loss (non-GAAP) was RMB2,451.2 million ($342.9 million U.S.) in the third quarter of 2019, representing a decrease of 23.2% from the second quarter of 2019 and a 3.1% increase from the same quarter of 2018.
Over the weekend, the third NIO Day was held in Shenzhen. The Company announced the 100-kWh battery pack and 20-kW DC Power Home. Deliveries of 100-kWh battery pack are estimated to begin in 2020 Q4 and expected to significantly improve the driving range of all NIO vehicle models.
Aided by the Company’s proprietary battery-swap technologies, NIO offers its users flexible battery upgrade programs, making "Battery as a Service< a unique value proposition.
Shares began Monday up 79 cents, or 32.6%, to $3.21
