According to Reuters, two people familiar with the matter revealed that Chinese electric vehicle manufacturer NIO plans to spin off its battery manufacturing unit as part of the company’s efforts to achieve profitability, reduce costs and improve efficiency.
Nio’s battery unit, led by senior manufacturing engineers whose former employers include Apple and Panasonic, could be spun off as early as the end of this year and will seek outside investors, with a valuation to be decided later, people familiar with the matter said.
The report mentioned that people familiar with the matter requested anonymity because the information is confidential.
Nio CEO Li Bin said on an earnings call on Tuesday that the company will continue to conduct battery research and development internally. NIO declined to comment on this latest revelation.
NIO announced its third-quarter financial report yesterday. NIO’s Q3 revenue was 19.0666 billion RMB, compared with 13 billion RMB in the same period last year. Market expectations were 19.373 billion RMB.
At the Q3 earnings conference call, NIO stated that the current charging pile business has basically broken even, and there are also investors interested in independent financing of NIO Power. The possibility of independent financing of NIO Power will not be ruled out in the future.
NIO had deployed 2,200 power swap stations across the country, including 695 high-speed power swap stations, 3,485 charging stations, 20,455 charging piles, and 960,000+ three-way piles.
In November this year, NIO delivered 15,959 vehicles, a year-on-year increase of 12.6%. From January to November 2023, NIO delivered a total of 142,026 new cars, a year-on-year increase of 33.1%. NIO has delivered a total of 431,582 new cars.
