In the second quarter, XPeng set a record for deliveries, but its net loss almost tripled. The main problem is discounts, which erode profits even with growing sales.
XPeng delivered 103,295 vehicles in Q2 2026, the best quarterly result in the company's history. Revenue reached approximately 17.1 billion yuan, and since the beginning of the year, customers have received over 204,000 cars. However, the net loss grew to 1.34 billion yuan, compared to 480 million yuan a year earlier.
The reason for this paradox is China's price war. XPeng's overall gross margin increased to 20.7%, but the automotive business contributed only 12.1% compared to 14.3% a year earlier. Manufacturers continue to lower prices to retain customers, so additional sales do not guarantee additional profit.
XPeng is trying to offset the pressure with growth. The company expects 115,000–121,000 deliveries in Q3 and is betting on new models, exports, and intelligent driving systems. At the same time, the manufacturer is actively investing in artificial intelligence and humanoid robots — its robotics division has already attracted over $900 million.
This story is more important for Europe than it seems. XPeng is already expanding its presence outside China, and exports are becoming one of the key ways for further growth. Cheaper models like the L03 should help the company increase volumes in foreign markets.