Less business days and coronavirus outbreak affected results.
NIO, one of the most known Chinese electric car startups, reports 1,598 car deliveries in January 2020, which is 11.5% less than a year ago.
The company explains that the decrease is caused by external reasons:
"This decrease was primarily due to the reduction in business days in January due to the comparatively earlier Chinese New Year holiday in 2020. The extended holiday due to the unfortunate outbreak of the novel coronavirus first identified in Wuhan, China also affected our sales results. January"
- ES6: 1,493 (new)
- ES8: 105 (down 94% year-over-year)
NIO sales in China – January 2020
In 2019, NIO sold 20,565 electric cars in China (33,511 cumulatively).
Sales volume is not expected to improve in February.
William Bin Li, founder, chairman and chief executive officer of NIO said:
“We achieved satisfactory results in January despite the outbreak of novel coronavirus. During this period, the safety of our employees and users remains our top priority. I would like to thank our users and employees for their great support for the impacted society. Additionally, the NIO User Trust has decided to donate RMB5 million to support the well-being of NIO users and others in need during the epidemic, demonstrating love and care for our user community and the general public.
“Meanwhile, our teams strive to keep certain operations running during the extended Chinese New Year holiday, including necessary services and sales and marketing efforts through various forms of online sales channels such as our NIO App and other online live streaming platforms,”
Steven Feng, chief financial officer of NIO, added:
“Looking ahead to February, we expect a reduction in vehicle production and deliveries, compared to the months of peak sales last year, as the Chinese government postponed the return to work from Chinese New Year holiday for most businesses across the country in an effort to fight the outbreak. We will keep monitoring the situation and continue being part of the joint efforts from the government and all parties in China and across the world against the outbreak.”