NIO Inc.'s stock soared 12.45% in pre-market trading on Wednesday, following the release of its fourth-quarter and full-year 2025 financial results. The Chinese electric vehicle maker reported a landmark achievement by swinging to its first-ever quarterly operating profit.
The company announced an operating profit of RMB 12.5 billion for Q4 2025, a significant milestone after years of investment. Revenue for the quarter surged 75.9% year-over-year to RMB 34.65 billion, exceeding analysts' expectations. Vehicle margin improved to 18.1%, while cash reserves increased by nearly RMB 10 billion sequentially to RMB 45.9 billion.
Investor sentiment was further bolstered by strong forward guidance. NIO expects to deliver 80,000 to 83,000 vehicles in Q1 2026, representing year-over-year growth of 90.1% to 97.2%. Revenue for the current quarter is projected to more than double compared to the same period last year. The positive earnings report and optimistic outlook drove the significant pre-market price movement.
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