Subscribe

News EO
News · 2
report
News EO
Sep 10, 2020 09:12 am ·

NIO to Install 40 Battery Swap Stations in Hefei

According to local media channels, NIO and the Hefei government will build 40 battery exchange stations in Hefei by 2021. It is expected that 20 battery exchange stations will be built this year and the rest in 2021. Hefei Electric Vehicle Charging Facilities Investment and Operation Co., Ltd. will be responsible for the construction of the stations.  “NIO has deployed 143 battery replacement stations in 64 cities in China and completed more than 800,000 battery replacements for our users,” said Li Bin, chairman and CEO of NIO. As one of the earliest domestic car companies to deploy a battery swap model, NIO has made battery swap services an important competitive force for its future plans, and all its models have launched battery swap versions this year. On August 20, the NIO Automotive Battery Rental Solution (BaaS) was officially released,  providing its customers with comprehensive services such as vehicles without battery packs, battery rental, battery recharging, battery exchange, and other services. At the same time, NIO also established a joint venture with CATL, Guotai Junan and Hubei Science and Technology Investment Group Co., Ltd. to establish a company in Wuhan which will be responsible for the operation of the BaaS business. This time, NIO’s cooperation with the Hefei government to build a power swap station will help accelerate the commercialization of its power swap model and become its new profit growth point. In the future, it may cooperate with other local governments to build power swap stations. Subscribe to the China NEV Intelligence Newsletter for daily updates.

News EO
News · 2
report
News EO
Sep 2, 2020 09:00 am ·

Changan NIO's Equity has Changed: Changan's Share Reached 95.38%

On August 31, Changan Automobile disclosed in the 2020 semi-annual report that during the reporting period, it acquired Changan Weilai New Energy Automobile Technology Co., Ltd. (referred to as "Changan Weilai") and included the company in the consolidated statement, and Changan Automobile’s direct shareholding ratio in the company is 95.38%.  Public information shows that Changan NIO was established in October 2018. The chairman is Li Bin, the founder, chairman and CEO of NIO. The vice chairman is Li Wei, the executive vice president of Changan Automobile. The CEO is Yang Fang from Changan. At the beginning of the establishment of Changan NIO, Changan and NIO held 45% of the shares respectively, and the other 10% was held by the senior management team. However, since then, Changan NIO’s equity information shows that Changan and NIO each hold 50% of the shares. However, following a change in June this year, Chairman Li Bin stepped down. The former vice chairman Li Wei also retired at the same time. The new chairman is Tan Benhong, executive vice president of Changan Automobile. At the same time, Changan NIO’'s registered capital increased from CNY 98 million to CNY 188 million, an increase of 92%. Now, Changan NIO’s senior management are all from Changan. With the sudden change in Changan’s shareholding ratio to 95.38% in Changan NIO, people are speculating that NIO has taken out its investment. According to a person from the Changan Automobile Secretary of the Board Office: "The remaining 4.62% of the shares are held by NIO Automobile because it was diluted after the capital increase. The current shareholding structure is also the result of negotiation between the two parties”. 

News EO
News · 2
report
News EO
Aug 28, 2020 09:00 am ·

NIO’s Market Cap Soars by USD 20 Billion Overnight

As of the closing time of the market on August 26, the share price of NIO has soared 19.17% to close at USD 17.84. The company's market cap has exceeded USD 20 billion for the first time, reaching USD 21.13 billion, soaring by USD 3.4 billion overnight. At the same time, founder Li Bin also saw his net worth soar. According to the latest disclosure of NIO’s shareholding, Li Bin holds 13.8% of the firm’s shares. Based on this calculation the founder's net worth increased by USD 470 million over the same period.  It is worth noting that since the beginning of this year, NIO’s stock price has risen by 229%, which is nearly 300% higher than the low point in March. The main reason for its stock skyrocketing overnight comes from the institution's optimistic view of NIO’s financial data. UBS analyst Paul Gong pointed out that as the company's second-quarter financial report and third-quarter guidance showed a recovery in car sales and profit margins, NIO’s fundamentals have also improved. Paul Gong continued that, given the strong demand for electric vehicles in the global market and the recovery of the Chinese market, NIO successfully raised funds in June, which alleviated his previous concerns about the company's balance sheet. Prior to this, NIO had just handed over its quarterly financial report which was its best performance since going public back in 2018. The report showed that NIO’s total revenue in the second quarter of 2020 was CNY 3.71 billion yuan, a year-on-year increase of 146.5%. The biggest highlight of this financial report was the gross profit margin. The EV maker's gross profit margin was 8.4% for the first time, compared with -33.4% in the same period last year and -12.2% in the previous quarter. NIO’s ambitions are not limited to the domestic market, and the firm is now focusing on overseas markets. NIO is advancing plans to expand to Europe and other parts of the world. Li Bin said that he hopes to enter the European market first, although he did not disclose the specific name of the country, he said that NIOi plans to enter the world's major markets by 2023 or 2024.

News EO
News · 2
report
News EO
Aug 11, 2020 04:23 pm ·

NIO Racks Up CNY 3.72 Billion in Revenues in 2Q 2020

NIO (NIO:NYSE) has generated a revenue of CNY 3.72 billion (USD 526.4 million) in the second quarter of 2020, surpassing the market expectation of CNY 3.493 billion. Compared to the same period last year the revenues are up by more than CNY 2 billion. Car deliveries in the second quarter were 10,331, compared with 3,553 in 2Q 2020. Deliveries of the ES8 and ES6 were 3,533 vehicles in July 2020, representing a 322.1% growth year-over-year growth. The deliveries consisted of 2,610 ES6s, the Company’s 5-seater smart electric SUV, and 923 ES8s, the Company’s 6-seater and 7-seater premium  SUV. As of July 31, 2020, cumulative deliveries of the ES8 and the ES6 reached 49,615 vehicles, of which 17,702 were delivered in 2020. “We achieved record-high quarterly delivery of 10,331 ES8 and ES6 vehicles in total in the second quarter of 2020 and expect to deliver 11,000 to 11,500 vehicles in the third quarter as the momentum continues,” said William Bin Li, founder, chairman and CEO of NIO. “The current constraints on the productions will be lifted in the near future and we are confident that our production capacity can meet the accelerated demand of our models.” Gross profit in the second quarter of 2020 was CNY 313.1 million (USD 44.3 million), an increase of CNY 817.3 million from the same period last year and an increase of CNY 480.6 million from a gross loss of CNY 167.5 million in the first quarter of 2020. The net loss was CNY 1,176.7 million (USD 166.5 million) in 2Q 2020, a decrease of 64.2% from the second quarter of 2019 and a decrease of 30.4% from the first quarter of 2020. Excluding share-based compensation expenses, adjusted net loss (non-GAAP) was CNY 1,131.4 million (USD 160.1 million) in the second quarter of 2020, representing a decrease of 64.6% from the second quarter of 2019 and a decrease of 31.8% from the first quarter of 2020.

News EO
News · 2
report
News EO
Jul 21, 2020 06:51 pm ·

Can Tesla Beat Didi and Xpeng?

►When technology has shown proven progress people will have more openness to the idea of taking a ride with a robotaxi. ►The future of autonomous driving is still unknown but is sure to lead to plenty of exciting milestones ahead. On July 15th, EqualOcean and the Shanghai-based accelerator XNode held a live webinar on the topic of the auto industry. We invited corporate innovation expert, Bob Wang from XNode, and Joe Sun, who is the founder of XID Lab and a former Chief Experience Designer at Didi. Key takeaways: We see the launch of commercial ride-hailing service as a key step toward building a long-term disruptive business. Companies such as Waymo, Pony.ai, AutoX and DiDi, among other pioneers focusing on Robotaxi, have reached some milestones in 2020. What are the reasons they chose to enter the market? What are the advantages and challenges? When asked this question, Joe summarized three kinds of group players who are interested in robotaxis: technology companies, leading carmakers and autonomous driving companies. According to Joe, the robotaxi is coming, sooner or later, and all the players have foreseen great commercial value and social impact from the robotaxi businesses. Consumers will benefit from this as robotaxis become more accessible and efficient. When that day comes, a big part of today’s mobility demand will be fulfilled by robotaxi. It will be the future form of the ride-hailing we see now. Bob’s answer offered outlined another way of thinking. He mentioned that one of Roland Berger’s recent reports showcased two key drivers in the current mobility market, namely technology progress, and consumer willingness. Technology progress – this concerns the question of the right timing to start testing the robotaxi business and challenges being another crucial deciding factor. The willingness of consumers – at the same time, mass consumers are generally not familiar with the concept of autonomous driving; but when technology has shown proven progress people will have more openness to the idea of taking a ride with a robotaxi. How are autonomous driving companies building out their businesses and what are the ways they can monetize? Bob talked to us regarding two scenarios in this area: one is a ‘determinative’ scenario, the other is an ‘open road’ scenario. An example of a determinative scenario is that, for autonomous driving companies, questions of logistics for transportation or parking started much earlier compared to other functions. Some players in the industry have already found a way to attain monetization here. On the other hand, an open road scenario needs testing and ample feedback from the market. One example being Didi, which recently started offering robotaxi in Shanghai but did not open it to the general public. Overall, it still a bit early to comment on this topic. Joe presented us with a vivid picture of a possible interaction in the current taxi-taking scenario. It mimics the experience of taking a robotaxi if no one were to talk to the driver during a taxi ride. In the cost structure of taxi-taking, a big part of the fee goes to the taxi driver. If and when autonomous driving replaces the driver, that will mean the cost of autonomous driving will be significantly lower. Removing the cost of the driver (as uncomfortable as it may first seem) makes for a good deal. Tesla Model 3, the killer product, has outstanding pricing and better performance compared to some leading ICE (Internal Combustion Engines) cars, not to mention its autopilot and Advanced Driver Assistance System (ADAS) features. Chinese EV markers like NIO and Xpeng are following suit, hoping to change how we think about cars. How do you see EV makers' efforts in autonomous driving? And why do you think many manufacturers are at L2-L3, and many tech/Internet companies are at L4-L5? Joe offered his previous experience working at Xpeng as an example. He Xiaopeng, founder of Xpeng (and UC Web), who Joe refers to as “a typical product manager from a big Internet company,” believes that technology can change the whole industry. According to Joe, ‘EV (electric vehicle) companies have a natural advantage in the autonomous driving application. Most important is many EV companies are new; they don’t have the historical burden. Some of these new tech companies, like Tesla, have strong DNA in technology development, which is more important than the technical proficiency per se. Under this logical rubric, the traditional car companies move at a slower pace. However, efficiency is often the key. Bob gave us an example concerning Beijing Automotive Industry Corporation (BAIC)’s blueprint in 2017, to make mass production of L3 cars around 2019, with the plan that car manufacturers would be in L2-L3, and tech/Internet companies mostly in L4-L5 around 2021.  However, just one year after, in 2018, they changed gears. They are currently focusing on L2 and L2.5, and aim to achieve mass production of L3 in 2022. It offers real-life scenarios from traditional carmakers and industry. Furthermore, Bob suggested the reason behind technology companies’ current stages being L3-L5. Generally speaking, L3 and L4 attract more VCs to startups from an investment point of view.  Joe provided another point – which is that typical technology companies like Tesla and Waymo are much more attractive to the talents in the field. For example, Audi A8 and Tesla Model 3 both are under L3, model 3 is however seems smarter. Although tech companies are often ambitious – and sometimes too ambitious – the core values involved, and the autonomous driving team, etc. can drive them forward. Special question for Joe: Can you introduce Didi’s autonomous driving strategy and practices a little more? What will this concept/business mean to Didi as a whole, regarding its valuation? Joe’s extensive experiences at Didi offered a different outlook. Didi was low-profile regarding autonomous driving – until the recent news of its autonomous driving subsidiary emerged. Considering its platform and its drivers, it is still a sensitive issue all around. For the autonomous driving part, Didi is still in the stage of early commercialization. However, it is not far behind its counterparts. Due to Didi having the biggest data of mobility services in kilometers and in hours globally, Didi’s autonomous driving team will rise to the very top when the technology is ready for commercialization. Moreover, the data belongs to Didi instead of its autonomous driving team. In all possible scenarios, if the subsidiary does not perform well – as Didi is considering shaping the subsidiary as one separate company – Didi would have to spend more money. It would have to invest in the subsidiary to support it or buy another autonomous driving company to ensure success. Hence, the market will need considerable time to see the real value of the company. China's vibrant tech circles spawned dozens of billion-dollar enterprises in the past few years – and unavoidable failures. Companies like Drive.ai and roadstar.ai failed to deliver what they dreamed of. How do you see the challenges ahead, especially in the auto industry, and what's your advice to young startups? On this topic, Joe and Bob offered us some carefully considered wisdom. From Joe, we learned that not every autonomous driving company is created equal. In other words, not every company in this sector is needed. Young startups should be thinking from the commercial point of view and making friends with industry players that can help with commercialization. Bob suggested that everyone (all companies) in the ecosystem are in it together, for the time being, confronting the challenges out there. Insights from XNode’s close partner, NIO Capital, hold that “robotaxi and mobility services will be booming, and traditional OEM will keep losing profits.” In one way or another, huge opportunities for tech startups, and new players gather around three ways of being ready: stay focused, don’t directly compete with a giant, and get support from governmental organizations. Special question for Bob: In connection with autonomous driving startups and PE/VC markets, what changes have you have been witnessing in the last few years? What would you expect from the rest of 2020 and the following years? According to Bob, despite autonomous driving has become a hot topic among car companies, investors, and governmental organizations, there is currently a decreasing trend in fundraising based on a few reports. Some autonomous driving’s subdomains, such as AI chips and algorithm creation, are gaining more investments compared to the Advanced Driver Assistance System (ADAS). Nevertheless, the future is still unknown. With people’s needs around traveling and exploring likely to remain constant, the topic of autonomous driving will stay vibrant. The two auto experts in this WIM webinar relayed ample knowledge and perspectives on the central topic. Yet, as both Bob and Joe mentioned, it is still too early to say anything concrete. The future of autonomous driving is still unknown but is sure to lead to plenty of exciting milestones ahead.

News
News · 1
News
Jun 27, 2020 01:41 pm · Sina

DiDi’s Robotaxi Launched in Shanghai

News
News · 1
News
News · 1
News
News · 1
Read more