Chinese electric-vehicle maker Xpeng forecast a rise in second-quarter vehicle deliveries on Tuesday, saying it expects a boost to demand from lower prices and subsidies, sending its US-listed shares up 8 per cent in premarket trading.
The company said it expects to hand over between 29,000 and 32,000 vehicles, an increase of about 25 per cent to 37.9 per cent from the previous year.
Xpeng's forecast signals that heavy investments in new technology, including artificial intelligence and self driving, as well as promotions and discounts were paying off.
China is currently witnessing a boom in EV exports as foreign consumers look for more cost-effective options.
Xpeng also reported a gross margin of 12.9 per cent in the first quarter, compared with 1.7 per cent a year earlier.