Nio’s Delivery Milestones Defy Broader Chinese Auto Slowdown

Against a backdrop of cooling conditions across China’s automotive sector, electric vehicle maker Nio is posting one impressive delivery record after another. While the wider market contracts, the EV pioneer is achieving historic shipment figures and shattering significant barriers with its ES6 model. The critical question for investors remains whether these operational triumphs can reverse the stock’s persistent downward trajectory.

Challenging Market Conditions Intensify

The operating environment for Chinese automakers is becoming increasingly difficult. October witnessed a 0.8% contraction across the entire passenger vehicle market, halting an eight-month expansion period. The cooling trend appears even more pronounced within the electric segment, where growth rates for fully electric and plug-in hybrid vehicles plummeted from 15.5% in September to just 7.3% in October.

This market deceleration is largely driven by expiring government purchase incentives, including tax benefits scheduled for reduction in 2026. The consequence is intensified competition in the world’s largest auto market, with numerous domestic manufacturers battling for shrinking market share.

Record Deliveries Amid Economic Headwinds

Despite these challenging conditions, Nio achieved a remarkable milestone in October 2025, delivering 40,397 vehicles—a staggering 92.6% increase compared to the same month last year. This performance pushes the company’s cumulative deliveries beyond the 913,000-unit threshold. The success of Nio’s multi-brand approach is particularly evident:

Should investors sell immediately? Or is it worth buying Nio?

• The premium Nio brand contributed 17,143 units
• Mid-class brand ONVO accounted for 17,342 deliveries
• The compact FIREFLY segment reached 5,912 shipments

Demonstrating sustained market penetration across diverse customer segments, the ONVO L90 SUV excelled with over 10,000 deliveries for the third consecutive month.

ES6 Achieves Manufacturing Landmark

Nio’s ES6 model has reached a historic manufacturing achievement, becoming the first Chinese-branded premium electric vehicle in the 300,000+ yuan category to surpass 300,000 units produced. This production milestone not only highlights the model’s enduring popularity but also signals long-term market resilience within an increasingly competitive landscape.

Financial Performance Contrasts Operational Success

The company’s operational strength stands in sharp contrast to its ongoing financial challenges. Nio’s most recent quarterly report showed revenue growth of 9.0%, yet persistent profitability issues remain apparent through a negative net margin of approximately 34.7% and a per-share loss of -$0.32.

Nio shares, which recently posted a weekly decline exceeding 9%, are undergoing a phase of market reassessment. Investors face a crucial balancing act: determining whether record-breaking delivery numbers can sufficiently offset margin pressure from market consolidation and the continued absence of profitability. The resolution of this question will fundamentally shape Nio’s stock performance in the coming weeks.