Xpeng projects quarterly revenue below estimates on weak EV demand

May 28 (Reuters) - Electric vehicle ‌maker Xpeng on ​Thursday ​forecast second-quarter revenue below market expectations, underscoring a prolonged slowdown in demand and stiff competition in the Chinese EV ‌market.

Domestic car sales in China fell for a seventh straight ⁠month in April, with industry estimates showing that EV and plug-in hybrid sales growth ‌were likely to slow in ‌2026 after years of rapid expansion.

Still, Chinese EV makers are betting on advanced driver-assistance systems, feature-rich vehicles and broader model lineups to help ​navigate the downturn.

Here are more details on Xpeng's first-quarter results:

• Xpeng projected total revenue to be between 19.60 billion yuan ($2.89 billion) ⁠and 20.80 billion yuan in the second quarter, representing a year-over-year rise of 7.3% to 13.8%.

• ​The forecast is below analysts' average estimate of 21.71 billion yuan, per data compiled by LSEG.

• Revenue for the ​first quarter ended March stood at 13.03 ‌billion yuan, above estimates of 12.93 billion yuan.

• Total vehicle deliveries for the first quarter were 62,682 units, ⁠down 33.3% from 94,008 in the same period last year. For the June quarter, Xpeng projected deliveries to be between 100,000 and 106,000 units.

• "Kickstarted by the ⁠successful launch of the GX, Xpeng will deliver four new models this year, positioning ​us for a robust sales growth trajectory," CEO Xiaopeng He said.

• The company's U.S.-listed shares, which have slid nearly 19% so far this year up to last ‌close, were up marginally in early trading.

• Xpeng said first-quarter net loss attributable to ordinary shareholders stood at ‌1.78 billion yuan, widening from a loss of 664 million yuan in ⁠the year-ago period and compared ‌with a profit of ​383.2 million yuan reported in the previous quarter.

($1 = 6.7796 Chinese yuan renminbi)

(Reporting by Deborah Sophia in Bengaluru; Editing by ‌Diti Pujara)

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