Driven by record deliveries, Chinese electric vehicle (EV) maker XPeng Inc. (XPEV) delivered outstanding third quarter results despite the ongoing global semiconductor shortage. Both revenue and earnings exceeded expectations pushing shares up about 5% during pre-market trading at the time of writing.
XPeng’s total revenue grew a whopping 203% year-over-year to $887.72 million, significantly higher than the consensus estimates of $790.19 million.
Furthermore, quarterly earnings stood at $0.27 per American Depositary Shares (ADS), exceeding consensus estimate of $0.18 per ADS. In the year ago quarter, the company posted earnings of $0.32 per ADS.
During the quarter, the company delivered 25,666 vehicles, growing 199.2% year-over-year. The delivery of its P7 smart sports sedans soared to 19,731 units.
He Xiaopeng, Chairman and CEO of XPeng, said, “We are committed to advancing the clear roadmap for our full-stack in-house technology and making high-performance smart products accessible to a broader customer base. Our leading technology is further showcased in the upcoming Navigation Guided Pilot (“NGP”) that expands usage to complex city driving scenarios.”
He concluded, “Looking forward, XPeng will continue to trailblaze new and disruptive advancements that redefine China’s automobile industry, transforming future mobility with technology.”
Based on the continued business momentum and current market conditions, XPENG guided Q4 vehicle deliveries between 34,500 and 36,500. Meanwhile, revenue is expected to grow by 149%-163% compared to the prior year quarter.
With 6 unanimous Buys, the XPEV stock commands a Strong Buy consensus rating. At the time of writing, the average XPeng price target was $63, which implies 32.9% upside potential to current levels. Shares have gained 7.5% year-to-date.