Chinese Nio, which last year chose to fire its Danish CEO, wasted an awful lot of money in 2024. The accounts show a loss in the billions.
In March last year, the Chinese car brand Nio fired its Danish CEO and moved most of its business to Sweden.
Now the accounts show that the brand has lost 23 billion kroner. The money disappeared over the course of 2024, and the fourth quarter could not correct the mess.
The Wall Street Journal writes that.
The accounts have prompted Nio's director William Lee to warn of drastic cuts and more general 'cost-saving measures'.
Among other things, the number of employees in several departments will be cut. In return, Nio as a group will already see a positive bottom line this year.
Nio has lost 23 billion kroner in one year
In Norway, where Nio has maintained its presence, the press officer denies that it is being affected by the general cuts.
Nio is also busy. The brand has a goal of doubling sales of electric cars to 440,000 cars. In Norway, they are also on track with sales growth of 43 percent.
However, this may be due to the fact that the brand has entered into an agreement to deliver a number of taxis, which the brand will also service, to and for a larger taxi company in Oslo.
However, the deficit in 2024 corresponds to the brand having lost almost 105,000 kroner on every single car that left the assembly line.
To reach a wider audience, the Chinese plan to launch two cheaper brands. Both Onvo and Firefly, as they are called, are expected in Denmark. But back home in China, owners are far from impressed.
The cars are plummeting in price. Both because the Nio Group itself is lowering the price at very short intervals, and because competition in general is really intense in the Chinese car market. Read more about it here .
At home, Nio had big plans. Among other things, a so-called Flagship Store in Copenhagen and several battery exchange stations. However, only one in Slagelse was built, because the Chinese themselves closed down most of the Danish business.
Virtually all Danish employees had been dismissed in March 2024, and the few remaining are now managed from a joint head office in Sweden.
