LI - Li Auto commits to 'creating incremental value' after a weak Q1
2024-05-20 07:36:36 ET
Li Auto Inc (NASDAQ: LI) is committed to “enhancing operational efficiency” and create persistent “incremental value” for its users, says Xiang Li – chief executive of the EV company.
Li Auto saw a sequential decline in its first quarter
CEO Li took a positive tone in the earnings report this morning even though his electric vehicles firm saw a sequential decline in revenue and net income in its fiscal Q1.
The company based out of Beijing, China reported ¥25.6 billion in revenue which was nonetheless up 36.4% versus a year ago and roughly in line with analysts’ forecast as well. Its chief executive also said in a press release today:
We accelerated our efforts to deploy super charging stations nationwide, adding charging resources for Li Auto users to expedite the 0-to-1 development phase of our high-power charging BEVs.
Note that the Nasdaq-listed firm started delivering Li MEGA – its higher-tech flagship family MPV in March. Li Auto stock is now down roughly 50% versus its YTD high.
Watch here: https://www.youtube.com/embed/hWhqJ3S3qV8?feature=oembedWhat else was negative in its Q1 earnings release?
Li Auto delivered a total of 80,400 vehicles in Q1 – up a whopping 53% versus last year but down 39% sequentially.
Net income at ¥591.1 million, however, was down not just versus a quarter ago but on a year-over-year basis as well. Still, Tie Li – the chief financial officer of was all praise as gross margin “stayed healthy at 20.6%”.
Also a negative today was guidance for the current quarter. The EV firm expects to deliver up to $110,000 vehicles in total in its second quarter versus analysts at 130,692.
Li Auto stock is down at writing because the electric vehicles company ended the quarter with negative ¥5.1 billion in free cash flow. It attributed the quarterly weakness primarily to seasonal factors on Monday.
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