Niu Tech ( (NIU) ) has released its Q3 earnings. Here is a breakdown of the information Niu Tech presented to its investors.
Pick the best stocks and maximize your portfolio:
- Discover top-rated stocks from highly ranked analysts with Analyst Top Stocks!
- Easily identify outperforming stocks and invest smarter with Top Smart Score Stocks
Niu Technologies is a leading provider of smart urban mobility solutions, specializing in the design, manufacturing, and sale of high-performance electric vehicles such as motorcycles, mopeds, bicycles, and kick-scooters. The company operates in the electric vehicle industry with a diverse product portfolio catering to various urban travel needs.
Niu Technologies has announced its financial results for the third quarter of 2024, showing a notable improvement in its financial performance. The company reported revenues of RMB 1,023.9 million, marking a 10.5% increase compared to the same period last year. Although the company incurred a net loss of RMB 40.9 million, this was a significant reduction from the RMB 79.4 million loss recorded in the third quarter of 2023.
The company’s key financial metrics highlight a 17.5% increase in e-scooter sales volume year-over-year, with significant growth in the international market. However, the gross margin decreased to 13.8% from 21.4% due to changes in product mix and increased sales incentives. On the other hand, operating expenses decreased by 30.5% year-over-year, reflecting more efficient cost management, even as marketing expenses slightly increased due to promotional activities in international markets.
Niu Technologies’ CEO, Dr. Yan Li, emphasized the challenges faced due to policy changes in China but expressed confidence in the company’s ability to adapt with its upcoming product lineup. The company continues to expand its retail presence both domestically and internationally and is optimistic about future growth, supported by recent product launches and its strategic focus on innovation and performance.
Looking ahead, Niu Technologies anticipates a strong fourth quarter, expecting revenue growth between 30% and 50% year-over-year. With a robust product pipeline and strategic market expansions, the company remains focused on maintaining its momentum and delivering improved financial results.