APP of Zhitong Finance and Economics learned that on July 1st, NIO Inc.$NIO Inc. (NIO.US) $$NIO Inc.-SW (09866.HK) $According to the monthly delivery data, the number of new cars delivered in June was 12961, an increase of 60.3% over the same period last year, setting a new high for monthly delivery. Q2 delivered a total of 25059 new cars, an increase of 14.4% over the same period last year, nine consecutive quarters of positive growth over the same period last year, exceeding the delivery guidelines for the second quarter of 2022. In the first half of the year, the company delivered a total of 50827 new cars, an increase of 21.1% over the same period last year.
NIO Inc. 's delivery volume far exceeded investors' expectations. After the epidemic in Shanghai in April-May, most investors will be more pessimistic about the company's Q2, because Shanghai is a major sales center, but the data has achieved double-digit delivery growth. Product demand is highly resilient. In June, the company's supply chain and vehicle production have fully resumed, delivery work in Shanghai and other places is on the right track, delivery began to expand.
In the second half of the year, the company will enter the product cycle, including the medium and large SUV ES7 released in mid-June and ES8, ES6 and EC6 equipped with Alder Chiyang intelligent system, which will start delivery in August, while NIO Inc. 's second production base in Xinqiao Intelligent Electric vehicle Industrial Park will also be officially put into production in the third quarter. With the expansion of production capacity and the product cycle, the delivery volume in the second half of the year is still likely to achieve high growth.
So, what does NIO Inc. rely on behind the resilience of delivery growth?
Behind the growth of resilience, product technology continues to iterate.
The car sells well, which means that the owner recognizes it, while the owner approval mainly depends on the company's products, technology and services. NIO Inc. 's most competitive is his excellent technical level.
Zhitong Financial APP observed that Weilai has been focusing on R & D investment since its inception, accelerating product technological innovation and iteration, and the continuous development of software and hardware, so that the car is no longer a combination of machinery, and a high degree of intelligence meets the ultimate experience of users. The company's intelligent system includes on-board intelligent hardware, vehicle computing platform, operating system, intelligent algorithms and intelligent applications, which have been fully integrated into the vehicle model.
In 2022, the new products unveiled by the company will include ET7, ET5, ES7, ES8, ES6 and EC6, all of which have achieved technical iterations. at present, the core technologies include the second generation technology platform based on NT2.0, full-stack self-developed intelligent chassis domain controller ICC, automatic driving system (NAD) and NIO Inc. supersensitive system. The technology carried by NIO Inc. models is derived from independent research and development, which is far ahead of its peers, and its R & D expenditure rate increased to 17.8% in 2022.
Taking the self-developed technology carried by ET7 as an example, equipped with full-stack self-developed ICC, it is the first full-stack self-developed intelligent chassis domain controller in China, and has realized the function atomization on the automobile for the first time. The core advantage of this product is that it can speed up FOTA in 1.5 months, while traditionally it takes at least 8 months, shortening it by more than 6 months. In addition, ICC breaks the monopoly of the "black box" solution of foreign suspension control system, and users bring more interaction.
In addition, the model is equipped with Aquila NIO Inc. super-sense system to achieve the ultimate self-driving experience. The system is equipped with 33 high-performance sensing hardware, including a 1550nm ultra-long-range high-precision lidar, which is the farthest lidar in mass production so far, and the first mass-produced 1550nm lidar in the world. It is understood that the cumulative mileage of NIO Inc. owners using NIO Pilot-assisted driving has reached more than 440 million kilometers.
The ET7 sells for 458000 yuan and 538600 yuan, with an ultra-long battery pack of 1000 kilometers, which not only has a high degree of intelligence, but also solves the concerns of car owners about mileage. The self-developed technology carried by ET7 will also be applied to the models listed in the future, and it is expected that there will be a number of "popular styles" under the advantages of leading technology and equipment. In terms of price, the model price is in the range of 30-600000 yuan. NIO Inc. focuses on the high-end car market and creates cost-effective models.
In fact, in addition to creating high-quality products, NIO Inc. also continues to make efforts in high-quality service and market. The company's user service system includes almost all vehicle scenarios such as quality assurance, charging, annual inspection, maintenance and rescue, and launches three cost-effective value-added services: "service without worry", "insurance without worry" and "energy without worry". In the market, on the one hand, expand the market share in China, on the other hand, enter the overseas market, has successfully opened up the European market.
In the second half of the year, NIO Inc. 's delivery volume is expected to be relatively optimistic, product cycle + product power + expansion capacity into production, in a number of "popular styles" expected, delivery volume is expected to achieve substantial growth, thus driving the high growth of income scale. In addition, the company develops its own technology to reduce equipment costs, while developing battery technology and battery recharging services and other industrial chain layout to reduce costs, and profitability is expected to continue to be optimized.
The accusation is not true, and all the major investment banks are optimistic about it.
NIO Inc. 's strong fundamentals are favored by major investment banks, among which CICC released a research report that NIO Inc. will start a strong cycle, and the delivery of ET5 and the launch of new brands will promote the company's economies of scale and help improve the company's fundamentals. at the same time, the company's high-quality service and smart electric vehicle technology based on independent research and development will further strengthen NIO Inc. 's competitive advantage. CICC offered NIO Inc. a target price of HK $196, 14 per cent higher than the current price.
值得注意的是，近日美国做空机构Grizzly Research（灰熊）盯上蔚来，发布做空报告，蔚来立即作出指控不实的回应，称报告内容充满了大量不实信息以及对蔚来披露信息的误读。而各大投行及机构对该报告也不认可，纷纷发布研报发表了自己的看法，包括Morgan Stanley（摩根斯坦利）、JP Morgan（JP摩根）、Daiwa Capital Markets（大和资本市场）等机构，均不支持Grizzly Research的报告结论。
It is worth noting that recently, the US short selling agency Grizzly Research (Grizzlies) targeted NIO Inc. and issued a short selling report. NIO Inc. immediately responded to the allegations, saying that the report was full of a large amount of false information and misreading of NIO Inc. 's disclosure. And the major investment banks and institutions do not approve of the report, have issued research reports to express their own views, including Morgan Stanley (Morgan Stanley), JP Morgan (JP Morgan), Daiwa Capital Markets (Daiwa Capital Markets) and other institutions, do not support the conclusions of the Grizzly Research report.
JPMorgan Chase & Co, aiming at the content of "overselling batteries" in the report, believes that when NIO Inc. issued ABS in Wuhan in September 2021, the 19000 batteries were only part of all basic assets (40053 batteries). Wuhan Weineng can use surplus batteries or future batteries (from new BaaS subscribers) as basic assets to continue to issue more ABS to expand its future asset portfolio.
Grizzly Research, a short seller, is notorious. Most Hong Kong stock investors know the short seller, and almost half of the short selling reports involve Chinese innovative companies, specifically targeting companies in a period of rapid growth, according to its website. The report affects the investment sentiment of inexperienced investors and benefits from one-day trading. The short NIO Inc., the correction is not large, indicating that rational investors are in the majority, long-term optimistic about the prospects of NIO Inc..
To sum up, NIO Inc. 's Shanghai production capacity was fully restored in June, with delivery volume reaching a monthly high of 10,000 vehicles, while Q2 resisted the April-May epidemic and achieved double-digit growth in delivery volume. delivery resilience contains the company's strong product strength, market and high-quality service layout. The first half of the year has ended, the second half of the year ushered in a new product cycle, NIO Inc. will open a different "future".