XPeng (NYSE:XPEV) closed FY 2025 with fourth quarter revenue of C¥22.3b and basic EPS of C¥0.40, while trailing twelve month figures show total revenue of C¥76.7b and a basic EPS loss of C¥1.20, keeping the story firmly focused on scale over the bottom line. The company’s quarterly revenue moved from C¥10.1b in Q3 2024 to C¥22.3b in Q4 2025, with basic EPS shifting from a C¥1.91 loss to C¥0.40, so the latest results sit against a backdrop of expanding sales and still thin margins that investors will be watching closely.

See our full analysis for XPeng.

With the headline numbers on the table, the next step is to set these results against the widely discussed XPeng narratives to see which storylines match the data and which ones are challenged by it.

Revenue climbs to C¥22.3b, but trailing losses still C¥1.1b

• Q4 2025 revenue reached C¥22.3b, while on a trailing twelve month basis XPeng recorded C¥76.7b of revenue alongside a net loss of C¥1.1b, so the business is generating sizeable sales but is not yet profitable overall.
• Consensus narrative highlights premium models and software as future earnings drivers, and the numbers partly reflect that tension:
  • Trailing EPS sits at a loss of C¥1.20 even though quarterly EPS in Q4 turned positive at C¥0.40, so the recent profit is not yet visible at the full year level.
  • Analysts expect earnings to grow 41.46% per year and revenue 17.9% per year, which contrasts with the current loss and indicates that the path from today’s C¥1.1b loss to the forecast profit is still a key execution test.

Quarterly EPS swings from loss to C¥0.40

• Net income moved from a loss of C¥380.9m in Q3 2025 to a profit of C¥383.2m in Q4 2025, with EPS shifting from a C¥0.40 loss to a C¥0.40 profit, so within just two quarters XPeng went from a C¥477.8m loss in Q2 to positive quarterly earnings.
• Bulls argue that XPeng’s tech focus and AI heavy models can support better margins, and the recent figures give them some support but not a full win yet:
  • Over the last five years, losses have reportedly narrowed about 3% per year, and the latest quarter shows profit, which aligns with the view that in house tech and premium vehicles can improve earnings quality.
  • At the same time, the trailing twelve month net loss of C¥1.1b and EPS loss of C¥1.20 show that one profitable quarter is not the same as a sustained profit track, so the bullish case still relies on future delivery of these margin gains.

Bulls point to XPeng’s push into AI heavy EVs and software as a turning point for margins, so if you want to see how that thesis is built out beyond one quarter’s profit swing, 🐂 XPeng Bull Case

Mixed valuation signals at 1.5x P/S and DCF gap

• At a share price of US$17.55, XPeng trades on a P/S of 1.5x versus 0.5x for the broader US auto industry and 1.9x for peers, while the supplied DCF fair value is US$9.83, so the market price sits between sector peers on sales multiples and above the DCF fair value.
• Bears focus on this valuation tension, and the current data gives them clear talking points:
  • The share price of US$17.55 is higher than the US$9.83 DCF fair value, which supports the cautious view that the market is paying more than the modelled future cash flows imply.
  • XPeng is still loss making on a trailing basis despite the higher P/S, so critics can argue that investors are already paying a premium to the wider auto industry before consistent profitability is in place.

If you are weighing whether these valuation gaps support the cautious camp’s argument that expectations run ahead of fundamentals, 🐻 XPeng Bear Case

Next Steps

To see how these results tie into long-term growth, risks, and valuation, check out the full range of community narratives for XPeng on Simply Wall St. Add the company to your watchlist or portfolio so you'll be alerted when the story evolves.

If the mix of optimism and caution in this article feels familiar, use it as a prompt to check the underlying data yourself and move quickly while the facts are fresh. To see what is driving the current optimism around XPeng, review the 2 key rewards

See What Else Is Out There

XPeng still reports a trailing twelve month net loss of C¥1.1b and EPS loss of C¥1.20, while trading above its DCF fair value.

If you want ideas where the market price lines up more closely with fundamentals right now, check out the 52 high quality undervalued stocks to compare alternatives side by side.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.