Nio shares drop after Q2 revenue misses estimates despite narrower losses and rising vehicle deliveries.

Nio Inc reported second-quarter revenue of RMB32.14 billion ($4.74 billion), missing Wall Street estimates of about $4.95 billion, causing shares to fall 2%. Despite the revenue miss, the company significantly narrowed its GAAP net loss to RMB528 million from RMB4.99 billion a year earlier and posted an adjusted profit. Vehicle deliveries rose 49.4% year-over-year to 107,658 units, with vehicle margins improving to 18.5%. For Q3, Nio expects deliveries between 108,000 and 111,000 vehicles and revenue of RMB33.29 billion to RMB34.05 billion, slightly below analyst forecasts, citing rising component costs including batteries and memory chips as a challenge.