Why are investors eyeing Nasdaq Listed NIU Technologies?

2 min read | August 31, 2021 06:56 PM AEST | By Team Kalkine Media

Why are investors eyeing Nasdaq Listed NIU Technologies? — Image source: Bluemoon 1981

Robust financial growth announced in 2Q 21

With an omnichannel retail model, integrating the online and offline modes, the company has seen a 58% y-o-y growth in its e- scooter volumes in the second quarter.

Other key highlights:

There was also a 46.5% growth in revenues while gross margin was up 22.7% compared to the 23% of 2Q 20.
Since the second quarter last year, the company has also seen a 61.6% increase in its net income to 91.8 million RMB.
The growth in adjusted net income (non – GAAP) was RMB 104 million, a 53.4% surge from pcp.
As of 30 June 2021, the company’s liquid assets stood at RMB 1,222 million, including cash, term deposits and short-term investments.

Environment-friendly edge

With an increasing focus on sustainability and a zero-carbon future, NIU’s EV two-wheelers are bound to sweep sales, as indicated by the numbers in Q2. The company is investing significantly in research and development too. The R&D expenses were RMB 30.8 million, which is a 28.7% increase for 2Q 20. The company website also highlights the amount of CO2 it has saved, equivalent to over 121 million trees being planted.

Outlook

The company expects its third-quarter revenue in the range of RMB 1,250 million to RMB 1,450 million. This would be a 40-62% increase year-on-year.

Bottom line

IEA’s Global EV Outlook 2021 reveals that over 10 million electric cars hit the road in 2020 globally, with 1.2 million registrations recorded in China. Thus, being China based, the company is well posited with its unique e-scooter offerings to leverage the booming EV market in China. In addition, the company markets its products internationally and has announced robust financial growth amid logistical challenges and the persisting pandemic headwinds.

Disclaimer

The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations and video (Content) is a service of Kalkine Media Pty Ltd (Kalkine Media, we or us), ACN 629 651 672 and is available for personal and non-commercial use only. The principal purpose of the Content is to educate and inform. The Content does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the Content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stocks of the company(s) or engage in any investment activity under discussion. Kalkine Media is neither licensed nor qualified to provide investment advice through this platform. Users should make their own enquiries about any investments and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary. Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media. Some of the images/music that may be used on this website are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures displayed/music used on this website unless stated otherwise. The images/music that may be used on this website are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source wherever it was indicated as or found to be necessary.