Chinese automaker Li Auto reported its first quarter earnings results on Monday, projecting a delivery range of 105,000 to 110,000 vehicles for the second quarter.
This forecast marks an anticipated surge of 21.3 to 27.1 percent compared to the same period last year.
At the time of reporting, the stock has experienced a 5 percent decline, trading at $23.65 as year to date losses surpass 35 percent.
In the first quarter of 2024, the company’s vehicle margin stood at 19.3 percent, slightly lower than the 19.8 percent recorded in the first quarter of 2023 and the 22.7 percent in the fourth quarter of the same year.
Li Auto anticipates second quarter revenues to fall between RMB29.9 billion (US$4.1 billion) and RMB31.4 billion (US$4.3 billion), reflecting a growth of 4.2 to 9.4 percent compared to the second quarter of 2023.
As of the end of March, the company reported a cash position of RMB98.9 billion ($13.7 billion).
During the first quarter, Li Auto recorded revenue of 25.63 billion yuan, marking a 36% increase from the previous year. This figure slightly surpassed analysts’ expectations, which had projected revenue of 25.58 billion yuan.
The recently introduced L6 SUV garnered 10,000 orders within 72 hours of its launch event, with deliveries of this new entry model scheduled to commence later this month.
Through a post on China’s social media Weibo, Li Auto said earlier this month its new model L6 is now available at all 480 stores across the country.
The premium five-seat family extended range SUV starts at 249,800 yuan ($34,500) for the Pro trim and at 279,800 yuan for the Max trim. Li L6 has a length of 4,925 millimeters, a width of 1,960 millimeters, a height of 1,735 millimeters, and a wheelbase of 2,920 millimeters.
The Li L6 has a CLTC range of 1,390 kilometers and 212 kilometers in EV mode. It comes with a standard dual-motor, all-wheel-drive system and can accelerate from 0 to 100 kilometers per hour in 5.4 seconds.
Other features include a panoramic sunroof, a compressor-based refrigerator, and a spacious trunk with one-click electric folding and reset of the rear seats, providing flexible storage options.
In the second half of the year, Li Auto will be releasing another three pure electric SUV models with 5C charging and all-wheel drive.
In the last earnings call, in late February, Li Auto’s Executive Director and President Donghui Ma guaranteed that those models would be “very, very competitive”.
Ma commented that the company “would like to focus exclusively on over 200,000 yuan family markets globally” adding that the strategy is “to continue to dive deep into this market, create a brand, and expand the market share”.
