BUSINESS

Nio Reports First-Ever Quarterly Profit

Published: Mar. 11, 2026 6:45 p.m. GMT+8

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Chinese electric-vehicle maker Nio Inc. reported its first-ever quarterly profit in the fourth quarter of 2025, buoyed by record deliveries and surging demand for its premium models.

The milestone provides a critical proof of concept for the company’s strategic pivot, demonstrating that targeted cost cuts and a focus on high-margin vehicles can yield sustainable returns in a fiercely competitive market.

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Nio Inc. reported its first-ever quarterly profit in Q4 2025, with a non-GAAP operating profit of 1.25 billion yuan ($178.9 million) and record deliveries of 124,000 vehicles.
Vehicle sales revenue jumped 80.9% to 31.6 billion yuan, and gross margin rose to 18.1%; flagship ES8 accounted for 46% of December deliveries.
Nio expects 2026 deliveries to exceed 450,000, up from 326,000 in 2025, aiming for annual profitability.

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Who’s Who

Nio Inc.: Nio Inc., a Chinese electric-vehicle maker, reported its first quarterly profit in Q4 2025, with a non-GAAP operating profit of 1.25 billion yuan ($178.9 million). This turnaround from a 5.5 billion yuan loss in Q4 2024 was driven by record deliveries (124,000 vehicles) and strong demand for premium models like the ES8. The company narrowed its annual non-GAAP operating loss significantly and anticipates continued growth in 2026.

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What Happened When

Early 2025：: Nio introduced a core business unit mechanism to closely monitor return on investment and established independent cost settlement centers.

2025：: Nio’s annual non-GAAP operating loss narrowed by 42.3% to 11.5 billion yuan, but company did not turn profitable for the full year.

Fourth quarter of 2025：: Nio reported its first-ever quarterly non-GAAP operating profit of 1.25 billion yuan, reversing a 5.5 billion yuan loss from the same period of 2024.

Fourth quarter of 2025：: Nio delivered a record 124,000 vehicles, with auto sales revenue jumping 80.9% year-on-year to 31.6 billion yuan.

Fourth quarter of 2025：: Selling, general, and administrative expenses dropped 27.5% year-on-year to 3.5 billion yuan.

December 2025：: Model ES8 accounted for 46% of Nio’s deliveries, exceeding 22,000 units.

By March 11, 2026：: Qu Yu reported that the ES8 recorded a nearly 25% gross margin in the fourth quarter of 2025 during an earnings call.

First quarter of 2026 (forecast)：: Nio expects to deliver between 80,000 and 83,000 vehicles, representing a year-on-year growth of 90.1% to 97.2%.

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