小鹏汽车公布2023年第四季度及财年未经审计财务业绩

XPENGReportsFourthQuarterandFiscalYear2023UnauditedFinancialResults

March19,2024

·Cashandcashequivalents,restrictedcash,short-terminvestmentsandtimedepositswereRMB45.70billion(US$6.44billion)asofDecember31,2023

QuarterlytotalrevenueswereRMB13.05billion,a53.0%increasequarter-over-quarter

·Quarterlygrossmarginwas6.2%,anincreaseof8.9percentagepointsquarter-over-quarter

·Fullyearvehicledeliveriesreached141,601,a17.3%increaseyear-over-year

·FullyearrevenuesreachedRMB30.68billion

Fullyeargrossmarginwas1.5%,adecreaseof10.0percentagepointsyear-over-year

GUANGZHOU,China,March19,2024(GLOBENEWSWIRE)--XPengInc.(“XPENG”orthe“Company,”NYSE:XPEVandHKEX:9868),aleadingChinesesmartelectricvehicle(“SmartEV”)company,todayannounceditsunauditedfinancialresultsforthethreemonthsandfiscalyearendedDecember31,2023.

OperationalandFinancialHighlightsfortheThreeMonthsEndedDecember31,2023

2023Q4

2023Q3

2023Q2

2023Q1

2022Q4

2022Q3

Totaldeliveries

60,158

40,008

23,205

18,230

22,204

29,570

·Totaldeliveriesofvehicleswere60,158forthefourthquarterof2023,representinganincreaseof170.9%from22,204inthecorrespondingperiodof2022.

·XPENG’sphysicalsalesnetworkhadatotalof500stores,covering181citiesasofDecember31,2023.

·XPENGself-operatedchargingstationnetworkreached1,108stations,including902XPENGself-operatedsuperchargingstationsand206destinationchargingstationsasofDecember31,2023.

·TotalrevenueswereRMB13.05billion(US$1.84billion)forthefourthquarterof2023,representinganincreaseof153.9%fromthesameperiodof2022,andanincreaseof53.0%fromthethirdquarterof2023.

·RevenuesfromvehiclesaleswereRMB12.23billion(US$1.72billion)forthefourthquarterof2023,representinganincreaseof162.3%fromthesameperiodof2022,andanincreaseof55.9%fromthethirdquarterof2023.

·Grossmarginwas6.2%forthefourthquarterof2023,comparedwith8.7%forthesameperiodof2022andnegative2.7%forthethirdquarterof2023.

·Vehiclemargin,whichisgrossprofitorlossofvehiclesalesasapercentageofvehiclesalesrevenue,was4.1%forthefourthquarterof2023,comparedwith5.7%forthesameperiodof2022andnegative6.1%forthethirdquarterof2023.

·Fairvaluegain(loss)onderivativeliabilitywasgainofRMB0.56billion(US$0.08billion)forthefourthquarterof2023,comparedwithlossofRMB0.97billionforthethirdquarterof2023.Thisnon-cashgain(loss)resultedfromthefluctuationinthefairvalueoftheforwardsharepurchaseagreement,measuredthroughprofitorloss,relatedtotheissuanceofsharesbytheCompanyforstrategicminorityinvestmentbytheVolkswagenGroup(“Volkswagen”).

·NetlosswasRMB1.35billion(US$0.19billion)forthefourthquarterof2023,comparedwithRMB2.36billionforthesameperiodof2022andRMB3.89billionforthethirdquarterof2023.Excludingshare-basedcompensationexpenses,fairvaluegain(loss)onderivativeliabilityandfairvaluegainonderivativeliabilityrelatingtothecontingentconsideration,non-GAAPnetlosswasRMB1.77billion(US$0.25billion)forthefourthquarterof2023,comparedwithRMB2.21billionforthesameperiodof2022andRMB2.79billionforthethirdquarterof2023.

·NetlossattributabletoordinaryshareholdersofXPENGwasRMB1.35billion(US$0.19billion)forthefourthquarterof2023,comparedwithRMB2.36billionforthesameperiodof2022andRMB3.89billionforthethirdquarterof2023.Excludingshare-basedcompensationexpenses,fairvaluegain(loss)onderivativeliabilityandfairvaluegainonderivativeliabilityrelatingtothecontingentconsideration,non-GAAPnetlossattributabletoordinaryshareholdersofXPENGwasRMB1.77billion(US$0.25billion)forthefourthquarterof2023,comparedwithRMB2.21billionforthesameperiodof2022andRMB2.79billionforthethirdquarterof2023.

·BasicanddilutednetlossperAmericandepositaryshare(ADS)werebothRMB1.51(US$0.21)andbasicanddilutednetlossperordinarysharewerebothRMB0.75(US$0.11)forthefourthquarterof2023.EachADSrepresentstwoClassAordinaryshares.

·Non-GAAPbasicanddilutednetlossperADSwerebothRMB1.98(US$0.28)andnon-GAAPbasicanddilutednetlossperordinarysharewerebothRMB0.99(US$0.14)forthefourthquarterof2023.

Cashandcashequivalents,restrictedcash,short-terminvestmentsandtimedepositswereRMB45.70billion(US$6.44billion)asofDecember31,2023,comparedwithRMB36.48billionasofSeptember30,2023.Timedepositsincluderestrictedshort-termdeposits,short-termdeposits,restrictedlong-termdeposits,currentportionandnon-currentportionoflong-termdeposits.

KeyFinancialResults

(inRMBbillions,exceptforpercentage)

FortheThreeMonthsEnded%Changei

DecemberSeptemberDecember

31,30,31,

202320232022YoYQoQ

Vehiclesales

12.23

7.84

4.66

162.3%

55.9%

Vehiclemargin

4.1%

-6.1%

5.7%

-1.6pts

10.2pts

Totalrevenues

13.05

8.53

5.14

153.9%

53.0%

Grossprofit(loss)

0.81

(0.23)

0.45

81.9%

-455.1%

Grossmargin

6.2%

-2.7%

8.7%

-2.5pts

8.9pts

Netloss

1.35

3.89

2.36

-42.9%

-65.3%

Non-GAAPnetloss

1.77

2.79

2.21

-19.9%

-36.5%

Netlossattributabletoordinaryshareholders

1.35

3.89

2.36

-42.9%

-65.3%

Non-GAAPnetlossattributabletoordinaryshareholders

1.77

2.79

2.21

-19.9%

-36.5%

Comprehensivelossattributabletoordinaryshareholders

1.57

4.01

2.68

-41.4%

-60.8%

iExceptforvehiclemarginandgrossmargin,whereabsolutechangesinsteadofpercentagechangesarepresented

ManagementCommentary

“In2023,vehicledeliveriesofXPENGincreasedquarterbyquarter,exceeding60,000unitsinthefourthquarter,”saidMr.XiaopengHe,ChairmanandCEOofXPENG.“Lookingbeyondshort-termchallenges,XPENGisabouttoembarkonamajorproductcycle.Weplantolaunchmorethan10brandnewmodelsoverthenextthreeyears.Wewillcontinuetoleadtheinnovationofautonomousdrivingtechnology,makingitaffordableandaccessibletoamuchbroadercustomerbase.Wewillalsomakemarketentryintomoreinternationalmarkets.Wewillcontinuetoexpandourscaleandstrengthenourtechnologyleadership,aswellasacceleratethecommercializationofourindustryleadingtechnologies.”

“Ourplansoncostreductionthroughtechnologyandengineeringaswellasoperationalimprovementhavebeguntobearfruit.Ourvehiclemarginincreasedbyapproximately10percentagepointsquarter-over-quarterinthefourthquarter,”saidDr.HongdiBrianGu,HonoraryViceChairmanandCo-PresidentofXPENG.“Bytheendof2023,ourtotalcashonhandexceededRMB45billion.Robustcapitalbasebolstersourconfidencetoachievehigh-qualityandfastgrowthinacompetitiveenvironment.”

RecentDevelopments

DeliveriesinJanuaryandFebruary2024

Totaldeliverieswere8,250vehiclesinJanuary2024.

Totaldeliverieswere4,545vehiclesinFebruary2024.

·AsofFebruary29,2024,year-to-datetotaldeliverieswere12,795vehicles.

LaunchofXPENGX9

OnJanuary1,2024,XPENGlaunchedXPENGX9ultrasmartlargeseven-seaterMPVandcommenceddeliveriesduringthesamemonth.

EntryintoMasterAgreementonStrategicTechnicalCollaborationandJointSourcingProgramwiththeVolkswagenGroup

XPENGandtheVolkswagenGroupenteredintoaMasterAgreementonPlatformandSoftwarestrategictechnicalcollaboration(“MasterAgreement”),markingasignificantmilestoneinthestrategicpartnershipofbothparties.AspartoftheMasterAgreement,bothpartiesalsoenteredintoaJointSourcingProgram,targetingtojointlyreducethecostoftheplatform.

UnauditedFinancialResultsfortheThreeMonthsEndedDecember31,2023

TotalrevenueswereRMB13.05billion(US$1.84billion)forthefourthquarterof2023,representinganincreaseof153.9%fromRMB5.14billionforthesameperiodof2022andanincreaseof53.0%fromRMB8.53billionforthethirdquarterof2023.

RevenuesfromvehiclesaleswereRMB12.23billion(US$1.72billion)forthefourthquarterof2023,representinganincreaseof162.3%fromthesameperiodof2022,andanincreaseof55.9%fromthethirdquarterof2023.Theyear-over-yearandquarter-over-quarterincreasesweremainlyattributabletotheacceleratingsalesgrowthoftheG6andtheG9inthefourthquarterof2023.

RevenuesfromservicesandotherswereRMB0.82billion(US$0.12billion)forthefourthquarterof2023,representinganincreaseof71.6%fromRMB0.48billionforthesameperiodof2022andanincreaseof20.0%fromRMB0.69billionforthethirdquarterof2023.Theyear-over-yearincreasewasmainlyattributabletotheincreasesofsecond-handvehiclesales,maintenanceandsuperchargingservicessales,whichwereinlinewithhigheraccumulatedvehiclesales.Thequarter-over-quarterincreasewasmainlyattributabletotheincreaseofmaintenanceandsecond-handvehiclesalesservices,whichwereinlinewithhigheraccumulatedvehiclesales.

CostofsaleswasRMB12.24billion(US$1.72billion)forthefourthquarterof2023,representinganincreaseof160.7%fromRMB4.70billionforthesameperiodof2022andanincreaseof39.8%fromRMB8.76billionforthethirdquarterof2023.Theyear-over-yearandquarter-over-quarterincreasesweremainlyinlinewithvehicledeliveriesasdescribedabove.

Grossmarginwas6.2%forthefourthquarterof2023,comparedwith8.7%forthesameperiodof2022andnegative2.7%forthethirdquarterof2023.

Vehiclemarginwas4.1%forthefourthquarterof2023,comparedwith5.7%forthesameperiodof2022andnegative6.1%forthethirdquarterof2023.Theyear-over-yeardecreasewasexplainedby(i)theinventoryprovisionandlossesonpurchasecommitmentasaresultofupgradesofexistingmodels,withanegativeimpactof1.9percentagepointsonvehiclemarginforthefourthquarterof2023,and(ii)increasedsalespromotions,andtheexpiryofnewenergyvehiclesubsidies,offsetpartiallybycostreductionandimprovementinproductmixofmodels.Thequarter-over-quarterincreasewasprimarilyattributabletothecostreductionandtheimprovementinproductmixofmodels.

ResearchanddevelopmentexpenseswereRMB1.31billion(US$0.18billion)forthefourthquarterof2023,representinganincreaseof6.3%fromRMB1.23billionforthesameperiodof2022andanincreaseof0.1%fromRMB1.31billionforthethirdquarterof2023.Theyear-over-yearincreasewasmainlyinlinewithtimingandprogressofnewvehicleprograms.

Selling,generalandadministrativeexpenseswereRMB1.94billion(US$0.27billion)forthefourthquarterof2023,representinganincreaseof10.3%fromRMB1.76billionforthesameperiodof2022andanincreaseof14.4%fromRMB1.69billionforthethirdquarterof2023.Theyear-over-yearandquarter-over-quarterincreaseswereprimarilyattributabletothehighercommissiontothefranchisedstoresdrivenbyhighersalesvolume.Furthermore,thequarter-over-quarterincreasewasalsoduetohighermarketing,promotionalandadvertisingexpensestosupportvehiclesales.

Otherincome,netwasRMB0.35billion(US$0.05billion)forthefourthquarterof2023,representinganincreaseof1408.7%fromRMB0.02billionforthesameperiodof2022andanincreaseof440.5%fromRMB0.07billionforthethirdquarterof2023.Theyear-over-yearandquarter-over-quarterincreaseswereprimarilyattributabletotheincreasedgovernmentsubsidies.

LossfromoperationswasRMB2.05billion(US$0.29billion)forthefourthquarterof2023,comparedwithRMB2.52billionforthesameperiodof2022andRMB3.16billionforthethirdquarterof2023.

Non-GAAPlossfromoperations,whichexcludesshare-basedcompensationexpensesandfairvaluegainonderivativeliabilityrelatingtothecontingentconsideration,wasRMB1.92billion(US$0.27billion)forthefourthquarterof2023,comparedwithRMB2.37billionforthesameperiodof2022andRMB3.04billionforthethirdquarterof2023.

NetlosswasRMB1.35billion(US$0.19billion)forthefourthquarterof2023,comparedwithRMB2.36billionforthesameperiodof2022andRMB3.89billionforthethirdquarterof2023.

Fairvaluegain(loss)onderivativeliabilitywasgainofRMB0.56billion(US$0.08billion)forthefourthquarterof2023,comparedwithlossofRMB0.97billionforthethirdquarterof2023.Thisnon-cashgain(loss)resultedfromthefluctuationinthefairvalueoftheforwardsharepurchaseagreement,measuredthroughprofitorloss,relatedtotheissuanceofsharesbytheCompanyforstrategicminorityinvestmentbytheVolkswagen.

Non-GAAPnetloss,whichexcludesshare-basedcompensationexpenses,fairvaluegain(loss)onderivativeliabilityandfairvaluegainonderivativeliabilityrelatingtothecontingentconsideration,wasRMB1.77billion(US$0.25billion)forthefourthquarterof2023,comparedwithRMB2.21billionforthesameperiodof2022andRMB2.79billionforthethirdquarterof2023.

NetlossattributabletoordinaryshareholdersofXPENGwasRMB1.35billion(US$0.19billion)forthefourthquarterof2023,comparedwithRMB2.36billionforthesameperiodof2022andRMB3.89billionforthethirdquarterof2023.

Non-GAAPnetlossattributabletoordinaryshareholdersofXPENG,whichexcludesshare-basedcompensationexpenses,fairvaluegain(loss)onderivativeliabilityandfairvaluegainonderivativeliabilityrelatingtothecontingentconsideration,wasRMB1.77billion(US$0.25billion)forthefourthquarterof2023,comparedwithRMB2.21billionforthesameperiodof2022andRMB2.79billionforthethirdquarterof2023.

BasicanddilutednetlossperADSwerebothRMB1.51(US$0.21)forthefourthquarterof2023,comparedwithRMB2.74forthefourthquarterof2022andRMB4.49forthethirdquarterof2023.

Non-GAAPbasicanddilutednetlossperADSwerebothRMB1.98(US$0.28)forthefourthquarterof2023,comparedwithRMB2.57forthefourthquarterof2022andRMB3.23forthethirdquarterof2023.

BalanceSheets

AsofDecember31,2023,theCompanyhadcashandcashequivalents,restrictedcash,short-terminvestmentsandtimedepositsofRMB45.70billion(US$6.44billion),comparedwithRMB38.25billionasofDecember31,2022andRMB36.48billionasofSeptember30,2023.

UnauditedFinancialResultsfortheFiscalYearEndedDecember31,2023

TotalrevenueswereRMB30.68billion(US$4.32billion)forfiscalyearof2023,representinganincreaseof14.2%fromRMB26.86billionfortheprioryear.

RevenuesfromvehiclesaleswereRMB28.01billion(US$3.95billion)forfiscalyearof2023,representinganincreaseof12.8%fromRMB24.84billionfortheprioryear.Theyear-over-yearincreasewasmainlyattributabletotheacceleratingsalesgrowthoftheG6andtheG9inthefiscalyear.

RevenuesfromservicesandotherswereRMB2.67billion(US$0.38billion)forfiscalyearof2023,representinganincreaseof32.2%fromRMB2.02billionfortheprioryear.Theyear-over-yearincreasewasmainlyattributabletotheincreasesofsecond-handvehiclesales,maintenanceandsuperchargingservicessales,whichwereinlinewithhigheraccumulatedvehiclesales.

CostofsaleswasRMB30.22billion(US$4.26billion)forfiscalyearof2023,representinganincreaseof27.2%fromRMB23.77billionfortheprioryear.Theyear-over-yearincreasewasmainlyinlinewithvehicledeliveriesasdescribedabove.

Grossmarginwas1.5%forfiscalyearof2023,comparedwith11.5%fortheprioryear.

Vehiclemarginwasnegative1.6%forfiscalyearof2023,comparedwith9.4%fortheprioryear.Theyear-over-yeardecreasewasexplainedby(i)increasedsalespromotions,andtheexpiryofnewenergyvehiclesubsidies,and(ii)theinventoryprovisionsandlossesonpurchasecommitmentrelatedtotheG3iandupgradesofexistingmodels,withanegativeimpactof2.4percentagepointsonvehiclemarginforthefiscalyear.Excludingaforementioned(ii),thevehiclemarginwaspositive0.8%.

ResearchanddevelopmentexpenseswereRMB5.28billion(US$0.74billion)forfiscalyearof2023,representinganincreaseof1.2%fromRMB5.21billionfortheprioryear.Theyear-over-yearincreasewasmainlyinlinewithtimingandprogressofnewvehicleprograms.

Selling,generalandadministrativeexpenseswereRMB6.56billion(US$0.92billion)forfiscalyearof2023,representingadecreaseof1.9%fromRMB6.69billionfortheprioryear.Theyear-over-yeardecreasewasprimarilyattributabletothedecreaseofmarketing,promotionalandadvertisingexpenses.

Otherincome,netwasRMB0.47billion(US$0.07billion)forfiscalyearof2023,representinganincreaseof326.5%fromRMB0.11billionfortheprioryear.Theyear-over-yearincreasewasprimarilyattributabletotheincreasedgovernmentsubsidies.

LossfromoperationswasRMB10.89billion(US$1.53billion)forfiscalyearof2023,comparedwithRMB8.71billionfortheprioryear.

Non-GAAPlossfromoperations,whichexcludesshare-basedcompensationexpensesandfairvaluegainonderivativeliabilityrelatingtothecontingentconsideration,wasRMB10.37billion(US$1.46billion)forfiscalyearof2023,comparedwithRMB8.00billionfortheprioryear.

NetlosswasRMB10.38billion(US$1.46billion)forfiscalyearof2023,comparedwithRMB9.14billionfortheprioryear.

FairvaluelossonderivativeliabilitywasRMB0.41billion(US$0.06billion)forfiscalyearof2023.Forfiscalyearof2023,thisnon-cashlossresultedfromthefluctuationinthefairvalueoftheforwardsharepurchaseagreement,measuredthroughprofitorloss,relatedtotheissuanceofsharesbytheCompanyforstrategicminorityinvestmentbytheVolkswagen.

Non-GAAPnetloss,whichexcludesshare-basedcompensationexpenses,fairvaluegain(loss)onderivativeliabilityandfairvaluegainonderivativeliabilityrelatingtothecontingentconsideration,wasRMB9.44billion(US$1.33billion)forfiscalyearof2023,comparedwithRMB8.43billionfortheprioryear.

NetlossattributabletoordinaryshareholdersofXPENGwasRMB10.38billion(US$1.46billion)forfiscalyearof2023,comparedwithRMB9.14billionfortheprioryear.

Non-GAAPnetlossattributabletoordinaryshareholdersofXPENG,whichexcludesshare-basedcompensationexpenses,fairvaluegain(loss)onderivativeliabilityandfairvaluegainonderivativeliabilityrelatingtothecontingentconsideration,wasRMB9.44billion(US$1.33billion)forfiscalyearof2023,comparedwithRMB8.43billionfortheprioryear.

BasicanddilutednetlossperADSwerebothRMB11.92(US$1.68)forfiscalyearof2023,comparedwithRMB10.67fortheprioryear.

Non-GAAPbasicanddilutednetlossperADSwerebothRMB10.85(US$1.53)forfiscalyearof2023,comparedwithRMB9.84fortheprioryear.

BusinessOutlook

Forthefirstquarterof2024,theCompanyexpects:

·Deliveriesofvehiclestobebetween21,000and22,500,representingayear-over-yearincreaseofapproximately15.2%to23.4%.

·TotalrevenuestobebetweenRMB5.8billionandRMB6.2billion,representingayear-over-yearincreaseofapproximately43.8%to53.7%.

TheaboveoutlookisbasedonthecurrentmarketconditionsandreflectstheCompany’spreliminaryestimatesofmarketandoperatingconditions,andcustomerdemand,whichareallsubjecttochange.

ConferenceCall

TheCompany’smanagementwillhostanearningsconferencecallat8:00AMU.S.EasternTimeonMarch19,2024(8:00PMBeijing/HongKongTimeonMarch19,2024).

Forparticipantswhowishtojointhecallbyphone,pleaseaccessthelinkprovidedbelowtocompletethepre-registrationprocessanddialin5minutespriortothescheduledcallstarttime.Uponregistration,eachparticipantwillreceivedial-indetailstojointheconferencecall.

EventTitle:

Pre-registrationlink:

XPENGFourthQuarterandFiscalYear2023EarningsConferenceCall

/diamondpass/10036740-6pn4dk.html

Additionally,aliveandarchivedwebcastoftheconferencecallwillbeavailableontheCompany’sinvestorrelationswebsiteat

.

AreplayoftheconferencecallwillbeaccessibleapproximatelyanhouraftertheconclusionofthecalluntilMarch26,2024,bydialingthefollowingtelephonenumbers:

UnitedStates:

International:

HongKong,China:

MainlandChina:

ReplayAccessCode:

+1-855-883-1031

+61-7-3107-6325

800-930-639

400-120-9216

10036740

AboutXPENG

XPENGisaleadingChineseSmartEVcompanythatdesigns,develops,manufactures,andmarketsSmartEVsthatappealtothelargeandgrowingbaseoftechnology-savvymiddle-classconsumers.ItsmissionistodriveSmartEVtransformationwithtechnology,shapingthemobilityexperienceofthefuture.Inordertooptimizeitscustomers’mobilityexperience,XPENGdevelopsin-houseitsfull-stackadvanceddriver-assistancesystemtechnologyandin-carintelligentoperatingsystem,aswellascorevehiclesystemsincludingpowertrainandtheelectrical/electronicarchitecture.XPENGisheadquarteredinGuangzhou,China,withmainofficesinBeijing,Shanghai,SiliconValley,SanDiegoandAmsterdam.TheCompany’sSmartEVsaremainlymanufacturedatitsplantsinZhaoqingandGuangzhou,Guangdongprovince.Formoreinformation,pleasevisit

/.

UseofNon-GAAPFinancialMeasures

TheCompanyusesnon-GAAPmeasures,suchasnon-GAAPlossfromoperations,non-GAAPnetloss,non-GAAPnetlossattributabletoordinaryshareholders,non-GAAPbasiclossperweightedaveragenumberofordinarysharesandnon-GAAPbasiclossperADS,inevaluatingitsoperatingresultsandforfinancialandoperationaldecision-makingpurposes.Byexcludingtheimpactofshare-basedcompensationexpenses,fairvaluegain(loss)onderivativeliabilityandfairvaluegainonderivativeliabilityrelatingtothecontingentconsideration,theCompanybelievesthatthenon-GAAPfinancialmeasureshelpidentifyunderlyingtrendsinitsbusinessandenhancetheoverallunderstandingoftheCompany’spastperformanceandfutureprospects.TheCompanyalsobelievesthatthenon-GAAPfinancialmeasuresallowforgreatervisibilitywithrespecttokeymetricsusedbytheCompany’smanagementinitsfinancialandoperationaldecision-making.Thenon-GAAPfinancialmeasuresarenotpresentedinaccordancewithU.S.GAAPandmaybedifferentfromnon-GAAPmethodsofaccountingandreportingusedbyothercompanies.Thenon-GAAPfinancialmeasureshavelimitationsasanalyticaltoolsandwhenassessingtheCompany’soperatingperformance,investorsshouldnotconsidertheminisolation,orasasubstitutefornetlossorotherconsolidatedstatementsofcomprehensivelossdatapreparedinaccordancewithU.S.GAAP.TheCompanyencouragesinvestorsandotherstoreviewitsfinancialinformationinitsentiretyandnotrelyonasinglefinancialmeasure.TheCompanymitigatestheselimitationsbyreconcilingthenon-GAAPfinancialmeasurestothemostcomparableU.S.GAAPperformancemeasures,allofwhichshouldbeconsideredwhenevaluatingtheCompany’sperformance.

Formoreinformationonthenon-GAAPfinancialmeasures,pleaseseethetablecaptioned“UnauditedReconciliationsofGAAPandnon-GAAPResults”setforthinthisannouncement.

ExchangeRateInformation

ThisannouncementcontainstranslationsofcertainRMBamountsintoU.S.dollarsataspecifiedratesolelyfortheconvenienceofthereader.Unlessotherwisenoted,alltranslationsfromRMBtoU.S.dollarsandfromU.S.dollarstoRMBaremadeatarateofRMB7.0999toUS$1.00,theexchangerateonDecember29,2023,setforthintheH.10statisticalreleaseoftheFederalReserveBoard.TheCompanymakesnorepresentationthattheRMBorU.S.dollarsamountsreferredcouldbeconvertedintoU.S.dollarsorRMB,asthecasemaybe,atanyparticularrateoratall.

SafeHarborStatement

Thisannouncementcontainsforward-lookingstatements.Thesestatementsaremadeunderthe“safeharbor”provisionsoftheUnitedStatesPrivateSecuritiesLitigationReformActof1995.Theseforward-lookingstatementscanbeidentifiedbyterminologysuchas“will,”“expects,”“anticipates,”“future,”“intends,”“plans,”“believes,”“estimates”andsimilarstatements.Statementsthatarenothistoricalfacts,includingstatementsaboutXPENG’s

beliefsandexpectations,areforward-lookingstatements.Forward-lookingstatementsinvolveinherentrisksanduncertainties.Anumberoffactorscouldcauseactualresultstodiffermateriallyfromthosecontainedinanyforward-lookingstatement,includingbutnotlimitedtothefollowing:XPENG’sgoalandstrategies;XPENG’sexpansionplans;XPENG’sfuturebusinessdevelopment,financialconditionandresultsofoperations;thetrendsin,andsizeof,China’sEVmarket;XPENG’sexpectationsregardingdemandfor,andmarketacceptanceof,itsproductsandservices;XPENG’sexpectationsregardingitsrelationshipswithcustomers,suppliers,third-partyserviceproviders,strategicpartnersandotherstakeholders;generaleconomicandbusinessconditions;andassumptionsunderlyingorrelatedtoanyoftheforegoing.FurtherinformationregardingtheseandotherrisksisincludedinXPENG’sfilingswiththeUnitedStatesSecuritiesandExchangeCommission.Allinformationprovidedinthisannouncementisasofthedateofthisannouncement,andXPENGdoesnotundertakeanyobligationtoupdateanyforward-lookingstatement,exceptasrequiredunderapplicablelaw.

ForInvestorEnquiries

IRDepartment

XPengInc.

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XPENGINC.

UNAUDITEDCONDENSEDCONSOLIDATEDBALANCESHEETS

(Allamountsinthousands,exceptforADS/ordinaryshareandperADS/ordinarysharedata)

AsofDecember31

202220232023

RMBRMBUS$

ASSETS

Currentassets

Cashandcashequivalents

Restrictedcash

Short-termdeposits

Short-terminvestments

Long-termdeposits,curr