China's NIU Technologies Q4 revenue falls on lower volumes

Overview

• China e-scooter maker's Q4 revenue fell 17.4% yr/yr on lower sales volume

• Adjusted net loss for Q4 widened to RMB 82.4 mln from RMB 66.7 mln yr/yr

• Gross margin rose to 15.3% from 12.4%, helped by product mix and cost cuts in China

Outlook

• NIU expects Q1 2026 revenue between RMB 887 mln and RMB 1,023 mln

• Company expects 2026 sales volume of 1.7 mln to 1.9 mln units

• Company says it is confident in delivering sustained performance in 2026

Result Drivers

• LOWER SALES VOLUME - Co said Q4 revenue decline was mainly due to a 23.8% drop in e-scooter sales volume

• INTERNATIONAL WEAKNESS - E-scooter sales in international markets fell 68.4% yr/yr, with lower revenues per kick-scooter cited as a factor

• ACCESSORY AND SERVICE GROWTH - Accessories, spare parts and services revenue rose 10.9%, driven by higher Niu App and accessory sales in China

Company press release: ID:nGNX3dDC95

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the auto & truck manufacturers peer group is "buy"

• Wall Street's median 12-month price target for NIU Technologies is $4.55, about 22% above its March 13 closing price of $3.73

• The stock recently traded at 69 times the next 12-month earnings vs. a P/E of 64 three months ago

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