Chinese electric vehicle (EV) startup XPeng reported a net loss of RMB 1.33 billion for the fourth quarter, a slight improvement from RMB 1.35 billion in the same period of the previous year and a significant decrease from RMB 1.81 billion in the third quarter of 2024. Despite the reduced loss, XPeng's shares experienced a nearly 8% drop, even as the company achieved record high sales and provided optimistic delivery guidance for the first quarter of 2025. XPeng's revenue increased by 23.4% year-over-year to RMB 16.11 billion, with a gross margin of 14.4%. XPeng anticipates delivering between 91,000 and 93,000 units in the first quarter, expecting March deliveries to range from 30,197 to 32,197 units. This guidance reflects a significant increase from the 30,350 units delivered in January and 30,453 units in February. The company's CEO, He Xiaopeng, also announced plans to ship over 40,000 vehicles overseas in 2025, doubling the previous year's level. XPeng is focusing on AI technology, developing a cloud-based foundational model with tens of billions of parameters, leveraging over 100 million kilometers of real driving data for pre-training. The company aims to enhance its capabilities in L3 and L4 autonomous driving with the launch of the 2025 G6 and G9 models. In the competitive landscape, Tesla faced further pressure as its stock fell amid updates from Chinese rivals BYD, Xiaomi, and XPeng. BYD announced a breakthrough in battery technology with its Super e-Platform, capable of charging at 1,000 kW, providing around 250 miles of range in just five minutes. Xiaomi, known for smartphones, plans to increase its EV production capacity, while XPeng's strong financial guidance underscores its growth ambitions.