NIO Makes A Profit – CleanTechnica

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We saw it coming, after years of investment, vision, and hard work, but it’s still a truly momentous occasion and a huge deal for the EV industry as well as NIO itself. The EV company made a profit from operations in the 4th quarter. Following Tesla and BYD doing this, it is one of just a few EV companies to reach this milestone. In fact, is it the smallest EV company to reach this point? I’m not sure, but I believe it is.

Here are more details on the numbers from NIO:

• Vehicle sales were RMB31,606.2 million (US$4,519.6 million) in the fourth quarter of 2025, representing an increase of 80.9% from the fourth quarter of 2024 and an increase of 64.6% from the third quarter of 2025.

• Vehicle marginⁱⁱ was 18.1% in the fourth quarter of 2025, compared with 13.1% in the fourth quarter of 2024 and 14.7% in the third quarter of 2025.

• Total revenues were RMB34,650.2 million (US$4,954.9 million) in the fourth quarter of 2025, representing an increase of 75.9% from the fourth quarter of 2024 and an increase of 59.0% from the third quarter of 2025.

• Gross profit was RMB6,074.1 million (US$868.6 million) in the fourth quarter of 2025, representing an increase of 163.1% from the fourth quarter of 2024 and an increase of 100.8% from the third quarter of 2025.

• Gross margin was 17.5% in the fourth quarter of 2025, compared with 11.7% in the fourth quarter of 2024 and 13.9% in the third quarter of 2025.

• Profit from operations was RMB807.3 million (US$115.4 million) in the fourth quarter of 2025, compared with loss from operations of RMB6,032.9 million in the fourth quarter of 2024 and RMB3,521.5 million in the third quarter of 2025. Excluding share-based compensation expenses, adjusted profit from operations (non-GAAP) was RMB1,251.3 million (US$178.9 million) in the fourth quarter of 2025, compared with adjusted loss from operations (non-GAAP) of RMB5,543.6 million in the fourth quarter of 2024 and RMB2,776.1 million in the third quarter of 2025 (which also excluded organizational optimization charges).

• Net profit was RMB282.7 million (US$40.4 million) in the fourth quarter of 2025, compared with net loss of RMB7,111.5 million in the fourth quarter of 2024 and RMB3,480.5 million in the third quarter of 2025. Excluding share-based compensation expenses, adjusted net profit (non-GAAP) was RMB726.8 million (US$103.9 million) in the fourth quarter of 2025, compared with adjusted net loss (non-GAAP) of RMB6,622.2 million in the fourth quarter of 2024 and RMB2,735.1 million in the third quarter of 2025 (which also excluded organizational optimization charges).

• Cash and cash equivalents, restricted cash, short-term investment and long-term time deposits were RMB45.9 billion (US$6.6 billion) as of December 31, 2025.

Stepping back and looking broader, here are some financial highlights from the company for 2025 overall:

• Vehicle sales were RMB76,883.9 million (US$10,994.2 million) for the full year of 2025, representing an increase of 32.0% from the previous year.

• Vehicle margin was 14.6% for the full year of 2025, compared with 12.3% for the previous year.

• Total revenues were RMB87,487.5 million (US$12,510.5 million) for the full year of 2025, representing an increase of 33.1% from the previous year.

• Gross profit was RMB11,915.7 million (US$1,703.9 million) for the full year of 2025, representing an increase of 83.5% from the previous year.

• Gross margin was 13.6% for the full year of 2025, compared with 9.9% for the previous year.

• Loss from operations was RMB14,041.2 million (US$2,007.9 million) for the full year of 2025, representing a decrease of 35.8% from the previous year. Excluding share-based compensation expenses and organizational optimization charges, adjusted loss from operations (non-GAAP) was RMB11,512.8 million (US$1,646.3 million) in 2025, representing a decrease of 42.3% from the previous year.

• Net loss was RMB14,942.6 million (US$2,136.8 million) for the full year of 2025, representing a decrease of 33.3% from the previous year. Excluding share-based compensation expenses and organizational optimization charges, adjusted net loss (non-GAAP) was RMB12,414.2 million (US$1,775.2 million) for the full year of 2025, representing a decrease of 39.4% from the previous year.

Many more details can be found here. I want to get back to the broader message, though. The huge point here for me is not just that NIO has been able to achieve a profit, after years of scaling up and dedication. It’s that EV companies in generals can do so. The EV industry is growing and maturing, and now we have another, smaller EV company that can make money — actually make money, profits.

Naturally, if sales drop, the company could be in trouble. However, from this new starting point, if the company’s EV sales continue to grow, it could become a major player in the auto industry.