New record level for deliveries

NIO (NIO) shares rose on news that monthly and quarterly deliveries exceeded forecasts and reached record levels. The first large-scale delivery of NIO electric vehicles to Norway marked a historic moment.

NIO (NIO), which has been manufacturing electric vehicles in China since 2014, reported delivery results for March 9, 2021 and Q3 on Friday.

Nio is supplying 6-7 mpg electric SUVs ES8 and five-seat SUVs ES6 and EC6. A special feature of Nio's offering is the availability of battery replacement stations, in addition to traditional home and public charging stations (Power Home and Public Charger).

Nio offers 'battery as a service', i.e. customers have the option to purchase an electric vehicle at a lower price, but still pay a monthly subscription fee for battery rental. NIO deliveries for the third quarter of 2021, which ended on September 30, were higher than the forecast the company gave earlier this month. Instead of the projected 22,500-23,500 vehicles, Nio delivered 24,439 electric vehicles, a 100.2% increase over the same period last year and above the figure of 21,896 vehicles delivered by Nio in the second quarter.

For September this year, NIO delivered 10,628 vehicles, including the completion of delivery of its first batch of SUVs to Norway. This is almost double the 5,880 delivered by Nio in August and 125.7% more than last year.

This is a very optimistic signal for Nio investors, who were disappointed by the company's lowered delivery forecast in early September. Nio then lowered its own car delivery forecast for the third quarter from a range of 23,000 25,000 electric cars to 22,500 23,500, citing a global chip shortage issue.

In early September, Nio announced an additional $2 billion equity offering, promising to use the funds raised to "strengthen its balance sheet and overall corporate objectives".

In its press release, Nio also announced the opening of its unusual NIO House showroom in Shanghai, the design of which incorporates its philosophy of the car as a second home.

Nio House is a huge centre on two floors divided into seven segments: a gallery, a living room, work spaces, a kitchen and a lounge area designed for children.