Cash Reserves of 47.6 Billion, Gross Margin Exceeds 21%! XPeng Releases 2025 Financial Report

Two years ago, it was still in ICU “rescue”; two years later, it has nearly 50 billion yuan in cash in the bank. This is not a story from a novel, but the real experience of XPeng Motors.

Last night, XPeng finally released the long-awaited 2025 performance report.

Honestly, in the context of the intense price wars in the new energy vehicle industry, some figures in this financial report are quite impressive—annual revenue of 76.72 billion yuan, up 87.7% year-over-year; deliveries of 429,400 vehicles, up 125.9% year-over-year.

But what’s more eye-catching are two more substantial numbers: 47.66 billion yuan in cash reserves and a gross profit margin of 21.3% in the fourth quarter.

More importantly, XPeng achieved a net profit of 380 million yuan in the fourth quarter of last year, marking the company’s first quarterly profit since its founding.

This means that among the “Wei-Xiao-Li” new car-making forces, the last one has finally crossed the threshold of quarterly profitability.

Many might think that quarterly profit simply means selling more cars and saving costs, but a closer look at the financials reveals it’s not that simple.

In Q4 2025, XPeng’s R&D expenses reached 2.87 billion yuan, the highest among all four quarters of the year. This indicates that XPeng was achieving profitability while investing heavily in R&D, not by cutting costs.

So, how did they make this money? It can be viewed from three levels.

First is scale effect. In 2025, XPeng’s annual deliveries surged to 429,000 units, more than double that of 2024. With higher production volume, fixed costs like factory equipment naturally get spread out.

Second is product structure improvement. Mona M03 became the sales champion in the 100,000-150,000 yuan pure electric sedan segment, and P7+ ranked first in the 150,000-200,000 yuan segment.

More importantly, with the delivery of mid-to-high-end models like X9, the average selling price per vehicle increased, naturally improving gross profit margins on car sales.

Third, and perhaps more unexpectedly, is that revenue from technology services has started to truly contribute to profits.

In 2025, XPeng’s service and other income reached 8.34 billion yuan, up 65.6% year-over-year. This mainly comes from providing R&D services to Volkswagen, sales of parts, and carbon credit trading.

Interestingly, if you only look at car sales, XPeng still posted a full-year net loss of 1.14 billion yuan in 2025. But if you include income from technology exports, the profit model looks completely different.

Traditional automakers’ valuation logic is “how much profit per car,” but XPeng’s business is now divided into four segments: cars, AI chips, humanoid robots, and autonomous taxis, each valued separately.

This shift reflects the market’s growing belief that XPeng’s investments in technology can translate into real profits.

By the end of this year, XPeng plans to mass-produce its humanoid robot IRON, equipped with three self-developed Turing AI chips, with a monthly capacity of over a thousand units.

He Xiaopeng believes that the application market for physical AI is larger than that of the automotive industry; global markets for robots and energy robots are each worth trillions to ten trillion yuan.

So, whether XPeng can take another step forward in profitability depends on how well it plays its “side projects.”