Nio Inc – ADR (NYSE: NIO) is making a run for the top in the market today, trading on gains of around 10% as we heade into mid-day. The gains come after the company provided a delivery update. Here’s what’s going on:
NIO Stock Pops On Delivery Update
In a press release issued early this morning, NIO announced its delivery results for the third quarter of 2019. The company delivered 4,799 vehicles in the quarter. This works out to a 35.1% increase over second quarter deliveries.
In previous announcements, NIO said that it expected to deliver between 4,200 and 4,400 vehicles in the quarter. Obviously, the numbers reported exceeded these expectations.
So far, 12,341 vehicles have been delivered in the year 2019. All told, the company has delivered a total of 23,689 vehicles since its launch.
In a statement, William Li, founder, chairman and CEO at NIO, had the following to offer:
Third quarter deliveries exceeded the top end of our guidance range as production and deliveries of our ES6 continued to ramp up after its initial launch in June. September deliveries in particular were positively impacted by expedited shipments ahead of China’s national day holiday. In addition to the solid sequential improvement in our delivery numbers, we have seen accelerated growth of our order backlog since September supported by a more expansive sales network.
Facing unfavorable economic conditions and auto industry trends, we drive forward by committing to outstanding products and excellent services. At the end of September, we began offering the ES6 standard version at more competitive retail prices. In addition, we will start deliveries in October of the ES6 and ES8 with an 84-kWh battery pack that extends the NEDC driving range to 510 km and 430 km respectively. We plan to further enhance our offerings in an effort to accelerate orders and deliveries, going forward.
Why Investors Are So Excited
There’s a good reason for all of the investor excitement today. Well, there are several good reasons. Here’s how I see it:
Stop wasting your time! Start finding winning trades in minutes with Trade Ideas!
Click below to continue reading.