Nio jumped 5.86% in U.S. trading on February 5, 2026, closing at $4.70 after the Chinese electric vehicle maker issued a major profit alert. For the first time in its 11-year history, NIO projected a quarterly adjusted operating profit, marking a dramatic turnaround from years of losses and signaling improving fundamentals.
First-Ever Quarterly Profit Signal
In its announcement, Nio jumped 5.86% as investors reacted to the company’s guidance for the fourth quarter of 2025. NIO expects an adjusted operating profit ranging between 700 million and 1.2 billion yuan ($101 million to $172 million). This is a sharp reversal from the 5.54 billion yuan loss recorded in the same quarter a year earlier, highlighting the scale of its financial recovery.
Strong Delivery Growth Fuels Turnaround
A key driver behind this shift is delivery momentum. NIO reported record Q4 deliveries of 124,807 vehicles, representing a 72% year-over-year increase. Growth was supported by strong demand for its premium models and rising contributions from its more affordable Onvo sub-brand, helping the company reach a broader customer base.
Cost Control and Better Margins
The company attributed profitability to a favorable product mix, aggressive cost-optimization measures, and improved vehicle margins. Even under stricter GAAP accounting standards, NIO expects to post an operating profit of around 200 million to 700 million yuan, reinforcing confidence in its operational discipline.
Market Reaction and 2026 Outlook
Following the announcement, Nio jumped 5.86%, triggering gains across Chinese EV peers such as XPeng and Li Auto. While the milestone was welcomed, analysts cautioned that sustained share price recovery will depend on broader EV demand in China and consistent execution through 2026. NIO is targeting full-year non-GAAP profitability in 2026 with delivery growth of 40%–50%. Final audited Q4 results are expected in March 2026, a key checkpoint after Nio jumped 5.86% on this historic signal.
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