XPeng Inc. (XPEV) shares took a hit Monday after the Chinese electric vehicle maker reported delivery numbers that weren't exactly the feel-good story investors were hoping for. The company delivered 20,011 vehicles in January 2026, marking a 34% decline from the same month a year earlier.
This comes at a time when XPeng is pushing hard on international expansion. The company launched its P7+ model simultaneously across 36 countries and showcased the vehicle at the Brussels Motor Show in January. By the end of December 2025, XPeng had established a presence in 60 countries and regions worldwide.
The expansion story is actually pretty aggressive. XPeng's overseas sales network now includes 380 physical stores, representing year-over-year growth of more than 150%. The company's worldwide sales and service network has grown to over 1,000 outlets total. So they're building infrastructure rapidly—but the delivery numbers suggest that infrastructure isn't translating to sales quite yet.
The Competition Tells a Different Story
Here's where things get interesting. While XPeng stumbled, rival Nio Inc. (NIO) posted a 96.1% year-over-year surge in January deliveries, pointing to strong underlying demand in the market. Someone's clearly buying electric vehicles in China—just maybe not XPeng's.
Li Auto Inc. (LI) landed somewhere in the middle, delivering 27,668 vehicles compared to 29,927 a year earlier. That's a decline, but nowhere near as steep as XPeng's drop. The diverging trajectories among China's EV leaders highlight a widening performance gap in what's becoming an increasingly competitive market.
The Bigger Financial Picture
Back in November 2025, XPeng reported third-quarter revenue of 20.38 billion Chinese yuan (about $2.86 billion), representing a solid 101.8% year-over-year jump. That came in just shy of the $2.87 billion analyst consensus.
The company posted an adjusted net loss per ADS of 0.16 yuan, which beat the analyst consensus loss estimate of 0.47 yuan. In dollar terms, that worked out to an adjusted loss of 2 cents per ADS. So XPeng has been growing revenue impressively, but profitability remains elusive.
Price Action: In premarket trading Monday, XPeng shares fell 6.06% to $16.89. Nio declined 1.70% to $4.62, while Li Auto slipped 0.48% to $16.55.
