Xpeng, a Chinese electric vehicle manufacturer, experienced a significant drop in its stock price, with shares falling more than 9% in Hong Kong after the company projected third-quarter vehicle deliveries between 115,000 and 121,000, which was below investor expectations. This forecast was influenced by supply chain issues affecting the production ramp-up of its MONA L03 model.
The company's second-quarter financial results revealed a net loss of 1.34 billion yuan ($0.20 billion), which was wider than the previous year, although revenue increased by 8% to 19.74 billion yuan. In contrast, Xpeng's robotics division raised over $900 million in funding, achieving a valuation of more than $6.3 billion, with participation from notable investors like Tencent and Alibaba.
Citi analysts noted that if the valuation of the robotics unit is fully reflected, Xpeng's electric vehicle business would be valued at approximately $6.5 billion. This funding is seen as a long-term positive for Xpeng, as the company aims to leverage its expertise in algorithms and AI for its robotics initiatives.
CEO He Xiaopeng has expressed ambitions for the company to sell more robots than cars in the next decade, indicating a strategic shift towards robotics alongside its EV offerings