Gasgoo Munich-NIO released its financial results for the fourth quarter and full year of 2025 on March 10, revealing an operating profit of 1.25 billion yuan for the quarter — its first ever quarterly profit. This milestone represents the first operational breakthrough at the quarterly level since the company was founded 11 years ago.
Image Source: NIO
Deliveries surged to 124,807 units in the fourth quarter — a 71.7% year-on-year jump and a 43.3% sequential rise, setting a new quarterly record. That volume drove revenue to 34.65 billion yuan, climbing 75.9% from a year earlier and 59% from the previous quarter to notch another all-time high.
The profitability gains showed up across the board. Gross profit for the quarter jumped 163.1% year-on-year to 6.07 billion yuan, while overall gross margin widened to 17.5% — the highest since 2022 and an improvement of 5.8 percentage points from a year ago. Vehicle margins hit 18.1%, a three-year peak, and other sales operations remained profitable for a third straight quarter at 11.9%. By the end of December, cash reserves had swelled to 45.9 billion yuan, adding nearly 10 billion yuan from the previous quarter.
For the full year, NIO delivered 326,028 vehicles, a 46.9% increase, while annual revenue climbed 33.1% to 87.49 billion yuan. Total gross profit for the year surged 83.5% to 11.92 billion yuan. Both the annual gross margin of 13.6% and vehicle margin of 14.6% marked the strongest levels since 2022.
Looking ahead, NIO issued guidance for the first quarter of 2026, projecting deliveries of 80,000 to 83,000 units — roughly 90% to 97% higher than a year earlier. Revenue is forecast to land between 24.48 billion yuan and 25.18 billion yuan, representing a year-on-year surge of 103.4% to 109.2%.
Founder William Li said the quarterly profit underscores NIO’s competitive edge in technology, product, and business models, while also signaling gains in operational efficiency. The company, he added, has entered its "third stage" of development, kicking off a new cycle of growth.
Even with the quarterly win, market analysts caution that achieving full-year profitability remains a challenge. Multi-brand coordination and the long-term costs of the battery-swapping network are still variables the company will need to navigate.
