Niu Technologies (NASDAQ: NIU), the world’s leading supplier of advanced urban infrastructure systems, officially reported its financial results for the third quarter of 2020.

Revenues were $136.17 million, a rise of 36.7 percent year on year, owing to a higher sales volume of 67.9 percent, counterbalanced by a decline of 18.6 percent in revenues per e-scooter.

E-scooter sales revenues from the Chinese industry amounted to $112.17 million, a rise of 39.2 percent, which constituted 92.6 percent of overall e-scooter revenues. The rise was primarily motivated by the growth of the supermarket network and the introduction of new goods in China.

E-scooter sales revenues from overseas markets amounted to $9.07 million, a rise of 35.2 percent, and accounted for 7.4 percent of overall e-scooter revenues. The rise was primarily motivated by higher retail sales rates in foreign markets.

Accessories, spare parts purchases, and repair revenues amounted to $14.32 million, rose by 20.2 percent, and accounted for 10.5 percent of overall revenues.9.07 The rise was mostly attributed to higher revenue from the Chinese industry.

Decreased revenues per e-scooter were primarily guided by sales discounts, sales of product line G0 with reduced sales costs relative to other versions, and lower revenues per scooter from hardware, spare parts, and services as a result of sluggish growth in accessories and parts and accessories sales from foreign markets.

Cost of revenue amounted to $107.68 million, a gain of 38.9 percent year-on-year, attributable to higher e-scooter revenues. The cost per e-scooter, defined as revenue costs divided by the number of e-scooters sold over the given period, was $429, down 17.3 percent from $518 in the third quarter of 2019, mainly due to improvements in the product mix and lower raw material costs.

The operating margin was 20.9 percent, compared to 22.2 percent in the same period in 2019. The decline was primarily attributed to the sales discount and the high sales rate of the G0 model with a smaller gross profit, partially offset by the cost reduction on raw materials.

Operating costs amounted to $16.33 million, a rise of 23.4 percent over the same duration of 2019. Operating spending as a proportion of revenue was 12.0 percent, compared to 13.3 percent in the third quarter of 2019.