Xpeng’s Ongoing Growth and Current Product Line
The Chinese EV company has seen business grow tremendously in the last year. After a successful $1.5 billion IPO in the United States (US), the company has seen business continue to trend upward. In fact, Xpeng’s Q4 earnings report showed how quickly the company has risen.
In fact, the EV company delivered 12,964 different vehicles in Q4. In comparison to the same time period just a year earlier, the company only delivered 3,218. This translates to a year-over-year growth of 302.9%. On top of the total vehicles, the business saw major improvements in revenue as well. Q4 represented the best-ever mark for the business, reaching $437 million in total revenue, outpacing the same time period last year by 345.5%.
The success of the business has also come from the large amount of financial support that the Chinese government and Chinese financial institutions are willing to put behind the EV company. Earlier this year, the business secured a line of credit from five different domestic commercial banks in China worth up to nearly $2 billion.
In addition to this, Xpeng also received $587 million from a local government entity in order to help fund the creation of a new EV production facility. The plant could be fully operational for large-scale production by December of 2022.
Xpeng’s Latest Funding
With Xpeng representing one of the largest Chinese EV companies, the Chinese government has recently provided $76.9 million in funding to the company in order to further the expansion of business across the country and the world. The money will largely go towards growing the manufacturing side of the EV company in order to keep up with deliveries and sales of cars as the EV market continues to grow.
While many of the more specific details as to what the future for the company holds, there is significant pressure on Xpeng to not only compete against local competitors, but also against EV giant Tesla, who has been moving rapidly on Chinese consumers. This newest funding will help Xpeng to keep pace at the very least for the upcoming few months.
About the Author
Tom Price is a writer focusing on entertainment and sports features. He has a degree from NYU in English with a minor in Creative Writing. He has been previously published for Washington Square News, Dignitas, CBR, and Numbers on the Boards.