NIO will report Q2 results Tuesday. Visible Alpha consensus expects a net loss
of RMB 558.4 mln (~$83m), versus a RMB 5.14 bln loss a year earlier. Revenue is
forecast at RMB 33.71 bln, up from RMB 19.01 bln a year ago. Q2 vehicle
deliveries reportedly missed NIO’s prior guidance; investors will watch whether
revenue also falls short of guidance. NIO recorded a vehicle margin of 18.8% and
a gross margin of 19% in Q1; markets will look for a Q2 gross margin around 20%
to assess profitability. Attention will also focus on Q3 revenue and delivery
guidance for signals on how NIO plans to respond to intense domestic competition
and weak demand.
