Chinese EV firm Xpeng Inc (NYSE:XPEV) saw its shares lose nearly 2% in premarket deals despite apparently positive financial results for its third-quarter.
XPeng reported $1.2 billion of sales, beating Wall Street expectations of $1.1 billion, as EV deliveries totalled 40,008 units from 23,205 in the preceding quarter and 29,570 in the same period a year ago.
It made a $380 million adjusted loss, versus an analyst forecast of $400 million.
The EV firm gave guidance for the full year pitching 59,500 to 63,500 deliveries in the fourth quarter to generate $1.8 billion to $1.9 billion of sales.
“In the third quarter of 2023, our business stepped into the initial phase of a virtuous cycle,” said chief executive He Xiaopeng.
“I am confident that the transformational adjustments we began to implement early this year will yield more positive results in 2024 and beyond, accelerating our virtuous cycle and rapid growth by the fourth quarter of 2024.”
XPeng co-president Hongdi Brian Gu, meanwhile, added: “XPENG vehicle deliveries have grown for nine consecutive months and our free cash flow has substantially improved.
“Our new products and technology-driven cost controls are expected to result in notable improvements to our gross margin.
“Leveraging these strengths, we expect even stronger free cash flow in the fourth quarter, marking the starting point of our journey towards long-term scalable profitability.”
In New York, XPeng shares were down 2.06% changing hands at $16.65.