GUANGZHOU, China, May 21, 2025 (GLOBE NEWSWIRE) -- XPENG Inc. (NYSE: XPEV / HKEX: 9868) today announced its financial results for the first quarter of 2025, with key metrics exceeding market expectations.
XPENG reported quarterly revenue of RMB 15.81 billion, representing a 141.5% year-over-year increase. Total vehicle deliveries reached 94,008 units, setting a new quarterly record and marking a 330.8% year-over-year growth.
Gross margin reached 15.6%, up 2.7 percentage points year-over-year, hitting an all-time quarterly high. Vehicle gross margin rose to 10.5%, an improvement of 5 percentage points year-over-year, marking the seventh consecutive quarter of growth. Net loss narrowed further to RMB 660 million.
As of the end of Q1, XPENG held RMB 45.28 billion (US$6.24 billion) in cash, cash equivalents, restricted cash, and short-term investments — representing a quarter-over-quarter increase of over RMB 3.33 billion.
For the second quarter of 2025, XPENG expects total deliveries to reach between 102,000 and 108,000 units, representing a year-over-year increase of 237.7% to 257.5%. Total revenue is expected to range from RMB 17.5 billion to RMB 18.7 billion, reflecting a year-over-year growth of 115.7% to 130.5%.
The financial results show that XPENG significantly narrowed its net loss quarter-over-quarter in Q1, while generating over RMB 3 billion in positive free cash flow — a clear sign of the company's improving self-sufficiency and internal cash generation capability. The strong sales performance and positive market response to XPENG's popular models underscore the company's emerging growth potential.
In the first quarter of 2025, XPENG defied the traditional seasonal slowdown in the auto market and delivered a standout performance — achieving record highs in both gross margin and vehicle deliveries.
In Q1 2025, XPENG delivered 94,008 vehicles, representing a 330.8% year-over-year increase and setting a new quarterly delivery record. XPENG ranked No.1 among emerging EV brands in terms of quarterly deliveries across both domestic and international markets. Additionally, the Company has achieved six consecutive months of over 30,000 unit deliveries, demonstrating sustained and robust delivery growth momentum.
In the first quarter of this year, XPENG's strong performance was driven by a portfolio of popular models, including the XPENG MONA M03, P7+, X9, and the 2025 editions of the G6 and G9. The XPENG MONA M03 surpassed 100,000 cumulative deliveries within just eight months of launch, becoming the best-selling A-segment pure electric sedan in China. The XPENG P7+, launched in November 2024, has already reached nearly 50,000 cumulative deliveries. In March, XPENG launched the 2025 Edition of G6 and G9 SUVs in China and together, the two models delivered over 7,500 units in their first full sales month in April.
Entering the second quarter, the 2025 XPENG X9 officially launched in April and immediately became the best-selling all-electric MPV in China, with 1,603 units delivered in its debut month. It also held the top spot in weekly all-electric MPV sales for four consecutive weeks. Looking ahead, XPENG is preparing to launch two new models in Q2. On May 28, the Company will unveil the Max version XPENG MONA M03 at a dedicated launch event. In June, XPENG will debut an all-new model — the XPENG G7 SUV. Chairman and CEO He Xiaopeng commented, "The XPENG G7 is expected to become a highly competitive product in the RMB 250,000 SUV segment."
As a pioneer and advocate of AI-defined vehicles, XPENG has remained committed to its "Technology for All" strategy — leveraging R&D innovation to lower the barrier to advanced technologies and deliver user-centric products that make cutting-edge tech accessible and inclusive. With the upcoming XPENG MONA M03 MAX, smart assisted driving powered by high computing power and large-scale AI models will be made available for the first time in a RMB 150,000 (USD 20,805)-level vehicle. This marks a major step in bringing AI-powered mobility to a broader price range. Commenting on this breakthrough, Chairman and CEO He Xiaopeng said: "This will be a milestone in democratizing AI in the automotive industry. It will disrupt the current norm where urban intelligent driving features are only available in high-end, top-trim models — and showcase China’s leadership in physical-world AI innovation to the world."
XPENG's strong product cycle is set to continue into the second half of the year. In the third quarter, the Company will unveil the next-generation P7, featuring a striking design and exceptional performance. XPENG Kunpeng EV will enter mass production in the fourth quarter, offering both all-electric and Super Electric variants to expand market reach domestically and overseas, driving stronger sales growth potential.
Behind XPENG's strong first-quarter performance lies the continuous enhancement of its product and marketing systems, as well as its R&D capabilities — driving the Company's overall operational strength and upward momentum. Breaking through the traditional off-season with such results is just the beginning of XPENG's long-term growth potential being realized.
XPENG Triples Overseas Sales in Q1 2025, Advancing Global Rollout of AI-Powered Vehicles
In the first quarter of 2025, XPENG unveiled its three strategic growth trajectories: the integration of AI and smart vehicles, the Company's global expansion from China to international markets, and the development of humanoid robots with deeper integration into the automotive industry.
To accelerate the global adoption of AI-defined vehicles and bring China's leading smart technology to international markets, XPENG expanded into several key regions in the first quarter — including the United Kingdom, a representative market in Europe, and Indonesia, the largest market in Southeast Asia. Meanwhile, the Company added over 40 new retail locations overseas. In the first quarter of 2025, XPENG dominated as the top-performing Chinese emerging automaker in overseas markets with 7,615 vehicle exports - a staggering 370% year-over-year surge - while claiming the No. 1 sales position among new automakers across nine countries including Singapore, Denmark, Norway, and the Netherlands.
XPENG further accelerated its global expansion in the second quarter. In April, the Company hosted its first global brand event — XPENG Global Brand Night — in Hong Kong, unveiling the 2025 XPENG X9 as a global model. Through the concept of the "AI Tech Tree," XPENG showcased its differentiated strengths built on AI and new energy technologies, shared its latest advancements in flying cars and AI robotics, and reaffirmed its commitment to global market development through technological innovation and localized strategies. Most recently, XPENG officially entered the Italian and Polish markets, becoming one of the first batch of Chinese EV startups to debut at Milan Design Week.
XPENG is actively positioning itself as a technology-differentiated premium global brand, with plans to expand R&D and manufacturing capabilities across multiple international regions, while offering more deeply localized services to meet the needs of local users. Looking ahead, the rapid expansion of XPENG's overseas business over the next three years is expected to become a major driver of both sales and profitability growth.
XPENG Builds Full-Stack AI Capabilities, Set to Lead Industry with Long-Term Strategic Edge
As we enter 2025, the full-scale application of AI foundation models in the physical world is accelerating the tangible realization of the "AI-defined vehicle" era. Even before this transformation fully arrives, XPENG has already demonstrated strong technological foresight by developing core capabilities in-house — including cloud-based and in-vehicle AI foundation models, proprietary AI chips, and vehicle-wide E/E architecture. This forward-looking investment has enabled XPENG to build a full-stack AI development ecosystem, laying a solid foundation for its long-term AI R&D roadmap.
In the field of intelligent assisted driving, XPENG became the first automaker in China to achieve urban smart assisted driving without relying on LiDARs. Empowered by large-scale AI models, XPENG's vision-only perception system has seen significant enhancements — with faster response times and higher visual signal processing frame rates compared to LiDAR-based systems. This results in a higher ceiling for both driving experience and safety.
AI-powered vehicles require increasingly intelligent "brains," and the capabilities of AI foundation models ultimately define their intelligence ceiling. In April, XPENG announced that it is developing a world-class foundation model with 72 billion parameters — one of the largest of its kind. In the future, XPENG plans to deploy this foundation model to vehicles via cloud-based distillation into lightweight models, equipping AI vehicles with a next-generation intelligent core. This model will serve as a unified intelligence engine across all of XPENG’s physical AI terminals, including its humanoid robots and flying vehicles.
To support the development of its world-class foundation model, XPENG began building out its AI infrastructure as early as last year. The Company has since established China's first 10,000-card intelligent computing cluster in the automotive industry, with operational efficiency consistently maintained at over 90%. In parallel, XPENG's autonomous driving training dataset is expected to reach 200 million clips by the end of this year. Undoubtedly, XPENG's physical-world AI R&D ecosystem — spanning cloud and edge models, large-scale datasets, and high-performance computing infrastructure — is well positioned to fully harness the power of scale.
In addition to developing its own foundation model, XPENG has long been investing in proprietary chip development. According to Chairman and CEO He Xiaopeng, the core of physical-world AI lies in the synergy between chips and models — with chips providing the "intelligent horsepower" that powers AI vehicles. As a technology company committed to full-stack AI development, XPENG has taken control of its chip roadmap. The Company began its in-house chip development journey in 2021. In 2024, XPENG achieved its first successful tape-out of the XPENG Turing AI chip, a custom-designed chip tailored for large-scale AI models. Mass production and vehicle integration of the XPENG Turing chip is scheduled for Q2 2025.
Looking ahead, XPENG's in-house developed chips and proprietary AI models are expected to deliver maximum synergy — enabling users to benefit from industry-leading on-board computing power and advanced in-vehicle AI models. This will drive a significant leap in both edge-side model efficiency and the overall intelligent driving experience.
XPENG Aims for Mass Production of Humanoid Robots by 2026, Unlocking Strategic Synergies with AI-Powered Driving
Humanoid robots have been identified by XPENG as the third strategic growth trajectory. Notably, XPENG's R&D in AI-powered vehicles — particularly in intelligent driving — is expected to generate significant strategic synergies with its humanoid robot development efforts.
In April, XPENG's humanoid robot IRON made its debut at the Auto Shanghai show, impressing attendees with its advanced capabilities in voice interaction, walking, and fine motor control, including highly dexterous finger movements. Chairman and CEO He Xiaopeng noted that the current IRON is merely the previous-generation prototype. Next, the XPENG Turing AI chip, which is set for mass production in AI vehicles, will also be deployed in the IRON robot — significantly enhancing its on-device computing power. Moreover, the large model powering the IRON robot will bypass transitional architectures commonly seen in the industry and directly adopt XPENG's VLA architecture, which is consistent with the Company's world-class foundation model. Training will also leverage XPENG's shared cloud-based AI infrastructure. Together, these innovations are expected to greatly elevate the intelligence ceiling of XPENG’s humanoid robots.
In the humanoid robotics domain, XPENG aims to launch a mass-production–ready humanoid robot by 2026, achieving industry-leading levels of intelligence and leveraging production-scale data to drive its rapid evolution.
Regarding this year's business outlook, Chairman and CEO He Xiaopeng stated: "I'm confident that we will not only achieve more than double our sales this year, but also reach profitability in the fourth quarter and generate positive full-year free cash flow. A stronger self-sustaining financial foundation will support our continued breakthroughs in AI technology and product innovation."
In the long term, the widespread application of AI foundation models and the Turing chip in smart vehicles, the global adoption of AI-powered cars, and transformative innovation in humanoid robotics will enable XPENG to scale across its three strategic growth curves — driving sustainable and high-quality growth.
About XPENG
Founded in 2014, XPENG is a leading Chinese AI-driven mobility company that designs, develops, manufactures, and markets Smart EVs for a new generation of tech-savvy consumers. With in-house R&D of core systems—including autonomous driving, intelligent cockpit software, powertrain, and electrical/electronic architecture—XPENG is redefining the future of transportation through innovation. Headquartered in Guangzhou, the company also operates offices in Beijing, Shanghai, Silicon Valley, and Amsterdam, with production facilities in Zhaoqing and Guangzhou.
XPENG is listed on the New York Stock Exchange (NYSE: XPEV) and the Hong Kong Exchange (HKEX: 9868).
For more information, visit: https://www.xpeng.com
Contacts:
For Media Enquiries: XPENG PR Department Email: pr@xiaopeng.com
