Nio announced today a significant financial milestone, projecting its first-ever quarterly adjusted operating profit for the fourth quarter of 2025. This achievement comes 11 years after the company’s establishment, marking a pivotal moment in its financial trajectory. According to a preliminary assessment based on the company’s unaudited consolidated management accounts and currently available information to the board, Nio anticipates an adjusted operating profit (Non-GAAP), excluding share-based compensation expenses, to be between approximately 700 million yuan (100 million USD) and 1.2 billion yuan (170 million USD) for Q4 2025. This represents the first time the company expects to record a single-quarter adjusted operating profit. On a generally accepted accounting principles (GAAP) basis, Nio projects an operating profit of approximately 200 million yuan (29 million USD) to 700 million yuan (100 million USD) for the same period. Nio attributed this positive financial turnaround to a combination of strategic factors. These include sustained sales growth throughout the fourth quarter of 2025, an optimized vehicle gross margin driven by a favorable product mix, and the company’s ongoing commitment to comprehensive cost reduction and efficiency improvement measures. Editor’s comment The ES8 has been instrumental in Nio’s achievements, becoming a cash cow for the company, after the brief initial sales surge of the Onvo L90. To illustrate the ES8’s significance to Nio, consider these figures: On December 29, 2025, ES8 deliveries reached 40,000 units. By February 2, 2026, this number climbed to 60,000 units. This indicates that approximately 20,000 ES8s were delivered in January 2026. Given that Nio’s total brand sales for January 2026 were 20,894 units, it’s clear that the ES8 accounted for nearly all of the brand’s sales during that month. However, the segment in which the ES8 competes is becoming increasingly crowded. Products like the Zeekr 9X are formidable rivals, and there are even more challengers, such as the Leapmotor D19, slated for release. We will have to wait and see how Nio plans to sustain its profitability moving forward. Overall, this is a highly commendable achievement for Nio.
