Nio narrows losses in Q3 2025 amid record vehicle deliveries
In the third quarter of 2025, Nio delivered a total of 87,071 vehicles, marking a 40.8% increase compared to the same period last year and a 20.8% rise over Q2 2025. Of these, 36,928 vehicles were sold under the NIO brand, 37,656 under Onvo, and 12,487 under Firefly. With over 87,000 deliveries, this quarter became the company’s strongest to date.
Vehicle sales generated revenue of 19.2 billion yuan (2.34 billion euros) for Nio in Q3, marking an increase of 15.0% year-over-year and 19.0% compared to Q2 2025. However, revenue growth trailed behind delivery figures, likely due to a shift towards more affordable models under the Onvo and Firefly brands. Total revenue reached 21.94 billion yuan (2.68 billion euros), including contributions from other segments such as battery-swap and charging services.
While NIO reported a gross profit of 3.02 billion yuan (370 million euros) in Q3, reflecting roughly 10% growth, and a gross margin of 13.9%, higher than in previous quarters, the company remains unprofitable. Net losses for Q3 2025 totalled 3.48 billion yuan (420 million euros), though this represents a 31.2% decrease compared to Q3 2024 and a 30.3% reduction from Q2 2025. The trend is encouraging, but profitability remains out of reach.
Nio also reduced costs in a critical area: development. Research and development expenditures fell by 28% year-over-year to 2.39 billion yuan (291 million euros) in Q3, while general sales and administrative expenses rose slightly to 4.18 billion yuan (510 million euros). So far, Nio’s R&D spending has been high, indicating significant potential for further savings.
Nio founder and CEO William Li attributed the over 40% growth in deliveries to “the all-around competitiveness of our Nio, Onvo, and Firefly brand offerings, which continue to resonate with users across their respective market segments.” He added, “We are working closely with supply chain partners to ramp up production and expect total deliveries in the fourth quarter to reach between 120,000 and 125,000 units, reflecting a year-on-year increase of 65.1% to 72.0% and setting a new quarterly record.”
“Through continuous cost optimization and a greater contribution from higher-margin vehicle deliveries, our vehicle gross margin sequentially improved to 14.7% in Q3 2025, and the overall gross margin reached the highest level in the past three years, underscoring the enhanced profitability of our products and services,” said CFO Stanley Yu Qu. “Our continued efforts on operational efficiency improvement across R&D, sales and service also drove a quarter-on-quarter reduction of over 30% in non-GAAP operating losses, continuing the positive trend from the first half of 2025. Furthermore, the business generated positive operating cash flow and positive results of operating cashflow net off the capital expenditures during the quarter.”
In mid-September, Nio completed a capital increase, raising 1.16 billion dollars. Combined with recent financial trends, CFO Yu Qu sees “a solid foundation for the path toward sustained, long-term growth.”
This article was first published by Sebastian Schaal for electrive’s German edition.
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