Niu Technologies (NIU) Q2 2025 earnings summary

Executive summary

• Achieved Q2 2025 sales volume of 350,000 units, up 37% year-over-year, and revenue of RMB 1.26 billion, up 34%, with China sales surging 54% and overseas sales declining 35–36% due to tariffs and competition.

• Net profit reached RMB 5.9 million, reversing a prior year net loss, while adjusted net income (non-GAAP) was RMB 13.7 million.

• Product portfolio expanded with new e-mopeds, e-motorcycles, kick-scooters, and e-bikes, and cost reduction initiatives improved gross margin and ASP.

• Maintains a competitive edge through smart technologies, user-centric design, and award-winning products.

• Domestic retail network expanded to over 4,300 stores as of June 30, 2025, with global presence in 53 countries.

Financial highlights

• Revenue: RMB 1.26 billion, up 34% year-over-year; China sales volume: 318,000–319,000 units, up 54%; overseas sales: 31,000 units, down 35–36%.

• Gross margin: 20.1% (up from 17% last year); net income margin: 0.5% (GAAP), 1.1% (non-GAAP); adjusted net margin: -27.2% in one report.

• Operating expenses: RMB 265 million, up 38% year-over-year; OpEx ratio 21.1%.

• Cash and equivalents: RMB 1.4 billion as of June 30, 2025; short-term bank borrowings: RMB 220 million.

• Accessories, spare parts, and services revenue up 15% year-over-year to RMB 96 million.

Outlook and guidance

• Q3 2025 revenue expected between RMB 1.4–1.64 billion, representing 40–60% year-over-year growth.

• Focus on expanding product offerings, omnichannel retail, and direct distribution, with Europe and the US as key international markets.

• Anticipates continued strong performance in China due to seasonal trends, new product launches, and regulatory-driven demand.

• Production capacity stands at 2 million units per year, supporting future growth.