- Li told employees that the fourth-quarter profitability target must be achieved, and everyone should intensify their efforts.
- Li demanded that as many orders as possible be secured for each model to prepare for potential industry-wide demand weakness in the first quarter of next year.
William Li, founder, chairman, and CEO of Nio Inc (NYSE: NIO), reaffirmed the fourth-quarter profitability target to employees during an internal meeting, calling for their full commitment to the goal over the next roughly 70 days.
The Chinese electric vehicle (EV) maker convened an internal meeting on the afternoon of October 17, where Li shared his personal VAU (Vision Action Upgrade) for the fourth quarter of 2025, according to a report today by local media outlet 21jingji.
The meeting's purpose was clear: to sound the charge for the final sprint toward fourth-quarter profitability, the report quoted a participating Nio employee as saying.
This represents Nio's small-scale quarterly kickoff meeting, attended by mid-to-senior management at designated levels or above. At the start of each quarter, Li reviews the previous quarter's VAU outcomes and discusses the next quarter's VAU objectives with business unit heads.
Li has repeatedly emphasized over the past year that Nio's goal is to achieve its first quarterly profit in the fourth quarter. During a September 2 earnings call, Nio management said that the fourth-quarter breakeven target is based on non-GAAP standards.
Non-GAAP standards are customized financial metrics used by US-listed companies on top of GAAP to exclude one-time or non-recurring items, thereby better reflecting a company's core profitability.
At the latest meeting, Li reiterated that Nio's goal of achieving profitability in the fourth quarter must be met, placing this objective as the top priority in his personal fourth-quarter VAU, according to the report by 21jingji.
"This is the test our entire team must pass to demonstrate our operational efficiency and business capabilities," Li said.
He emphasized that achieving this goal is not merely for show, but rather the cornerstone for Nio's long-term sustainable development.
Li told employees the company should secure as many orders as possible for every model in the fourth quarter, as the entire industry could face declining demand in the first quarter of next year following the retreat of China's purchase tax incentives by year-end.
"If we can harvest more in advance this year, our operational pressure will be reduced," he said.
This fourth quarter is exceptionally critical -- every single day counts, and no one can afford to slack off, Li told attendees.
"With less than two and a half months left until the end of the fourth quarter, everyone must get energized," he said.
Li also emphasized that demand for the all-new ES8 has exceeded initial expectations, expressing confidence that the SUV (sport utility vehicle) will hit its December production target of 15,000 units.
Nio officially launched the third-generation ES8 at Nio Day 2025 on September 20, with deliveries commencing the following day on September 21. Customers ordering the SUV now will receive delivery no earlier than April 2026.
