Nio needs to expand its sales workforce and Submission Season 1 Episode 1 (2016)open new locations in a bid to catch up with rivals and sustain sales of its large product lineup of eight vehicle models, chief executive William Li said during an earnings call on Tuesday. The electric vehicle maker has been particularly enhancing its sales capabilities in lower-tier Chinese cities since June, with measures such as hiring experienced salespersons and setting up new showrooms, according to Li. Nio reported that its second-quarter losses more than doubled from a year ago and widened 27.8% quarter-on-quarter to around RMB 6.06 billion ($830 million), with the EV maker’s gross margin declining sharply to just 1% from 13% a year earlier. Revenue also decreased to RMB 8.8 billion on delivery of 23,520 cars, which was down from nearly RMB 11 billion in both the previous quarter and the same period a year ago. The company predicts vehicle delivery of up to 57,000 units for the current quarter ending Sept 30, and the company said that that number could reach 20,000 per month starting October. [Nio earnings report]
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