Vietnamese EV maker VinFast reported a Q1 net loss of US$712.4 million, widening 20 percent year-on-year as sales costs soared, despite a nearly 300 percent increase in vehicle deliveries and 150 percent revenue growth, Reuters has reported→view source.
Key details:
- Net loss: US$712.4 million in Q1 2025, worse than the US$616 million analyst forecast; but an improvement over Q4 2024’s US$1.3 billion loss.
- Revenue: US$656.5 million, beating expectations of US$520 million.
- Deliveries: 36,330 vehicles delivered, up nearly 300 percent, mainly from the Vietnam market.
- Gross margin: -35.2%, an improvement from -58.7% a year earlier.
- Support from Vingroup and Vuong: Around US$2 billion injected to sustain operations.
- Shift in strategy: Moving from company-owned showrooms to a dealership model to reduce costs; focusing expansion on Asia, India, Europe, and electric buses.
- New platform: Launching next-gen platform and electric architecture in Q3 with the Limo Green model.
VinFast’s scale-up has delivered strong volume growth, but its unit economics remain deeply negative. The firm continues to rely heavily on parent-company support as it faces intense global EV competition, limited brand trust, and elevated production costs.