Weilai’s conference call indicated that the sharp decline in profit margins was mainly due to the recall of 4,803 ES8s.

On September 24, 2019, NIO released its second quarter financial report, which showed that NIO still maintained its loss-making status. In contrast, at the financial report meeting, NIO management stated that the profit margin fell sharply in the quarter, mainly due to the recall of 4,803 ES8s.

In June 2019, NIO announced the recall of 4,803 ES8 vehicles produced from April 2 to October 19 last year. NIO stated that if the recall cost of 339 million yuan was deducted, its car sales profit margin would reach -4%, which was much higher than -7.2% in the previous quarter.

In terms of details, in Q2 2019, NIO's total revenue was RMB 1.5086 billion (approximately US$219.7 million), a decrease of 7.5% from the previous quarter, and its loss reached RMB 3.2858 billion (approximately US$478.6 million), an increase of 25.2% from the previous quarter and 83.1% from the previous year.

In the four years since NIO was founded, it has lost nearly 40 billion yuan, a result that Tesla took 15 years to achieve.

In order to reduce losses, NIO recently launched multiple rounds of layoffs and sought a new round of financing.

As a winner of Toutiao's Qingyun Plan and Baijiahao's Bai+ Plan, the 2019 Baidu Digital Author of the Year, the Baijiahao's Most Popular Author in the Technology Field, the 2019 Sogou Technology and Culture Author, and the 2021 Baijiahao Quarterly Influential Creator, he has won many awards, including the 2013 Sohu Best Industry Media Person, the 2015 China New Media Entrepreneurship Competition Beijing Third Place, the 2015 Guangmang Experience Award, the 2015 China New Media Entrepreneurship Competition Finals Third Place, and the 2018 Baidu Dynamic Annual Powerful Celebrity.