VinFast Auto Ltd (NASDAQ:VFS) reported third quarter results that fell short of Wall Street expectations, even as the Vietnamese electric vehicle (EV) maker posted significant year-over-year growth in both sales and deliveries.
Revenue for the quarter came in at approximately $719 million, up about 47% from the same period last year and roughly 9% higher than the previous quarter. However, this fell short of the Wall Street consensus of $823 million.
The shortfall came despite higher EV deliveries, which reached around 38,000 units in the quarter, up 74% from Q3 2024, with VF 3 and VF 5 models accounting for 47% of total deliveries and the Green Series contributing 25%.
The company posted a net loss of about $953 million, or a loss per share of $0.41, wider than the Street’s expectation of a loss between $0.25 and $0.29 per share.
Wedbush analysts noted that non-GAAP gross margins were negatively impacted by “delayed revenue recognition and NRV adjustments,” and that excluding these effects, VinFast would have seen “a strong sequential improvement.” They also cited elevated R&D costs tied to new vehicle launches as a factor in the wider-than-expected loss.
Despite the misses, Wedbush maintained an ‘Outperform’ rating on VinFast with a 12-month price target of $6, writing that the company is “making incremental progress in its multi-year growth story that is just beginning to play out.” Its liquidity of roughly $4 billion “will fully fund operations over at least the next 18 months.”
The analysts added that the company’s “broadened portfolio across new and existing markets will drive top-line growth” as VinFast continues to expand both in Vietnam and internationally.
VinFast reaffirmed its full-year 2025 guidance, targeting at least a doubling of EV deliveries and expecting continued growth in its e-scooter segment.
Wedbush noted potential support from favorable Vietnamese regulations restricting gas-powered two-wheel vehicles in mid-2026 and said the company is preparing for international expansion into the US, Europe, the Middle East, and other Asian markets.
“We continue to believe that VinFast is making incremental progress in its multi-year growth story that is just beginning to play out with focus on ramping production of new and existing vehicles across its new and existing markets while intently focused on strict cost management initiatives to balance growth and profitability," the analysts concluded.
Shares of VinFast traded down 1.4% at about $3.20 post-earnings.