Li Auto's Q2: 228% Topline Growth, Surpasses Monthly Delivery Benchmark In June

Li Auto Inc LI reported second-quarter FY23 sales growth of 228.1% year-on-year to $3.95 billion, beating the consensus of $3.81 billion. Adjusted earnings per ADS of $0.18 beat the consensus of $0.12.

Vehicle sales increased 229.7% to $3.86 billion, mainly attributable to the increase in vehicle deliveries.

Total vehicle deliveries were 86,533 units in Q2, a 201.6% year-on-year increase.

The vehicle margin was flattish Y/Y at 21.0%, while the gross margin was flattish Y/Y at 21.8%. Non-GAAP income from operations was $281.8 million.

Li Auto held cash and equivalents of $10.17 billion. Cash provided by operating activities was $1.53 billion, up 884% Y/Y.

As of June 30, 2023, the company had 331 retail stores covering 127 cities, 323 servicing centers, and Li Auto-authorized body and paint shops operating in 223 cities.

In July 2023, the company delivered 34,134 vehicles, representing an increase of 227.5% from July 2022.

Mr. Xiang Li, chairman and chief executive officer of Li Auto, commented, "We crossed the 30,000 monthly delivery milestone in June, closing the second quarter with an all-time high vehicle delivery, while all of the three Li L series models maintained sales leadership in their respective categories. These accomplishments solidified our standing as the preferred premium brand for families, firmly positioning us to achieve the revenue target of RMB100 billion in 2023." 

Outlook: Li Auto sees Q3 FY23 revenue of $4.46 billion - $4.59 billion (consensus $3.9 billion), representing an increase of 246.0% - 256.4% Y/Y.

LI expects Q3 vehicle deliveries of 100,000 – 103,000, representing an increase of 277.0% - 288.3% Y/Y.

Price Action: LI shares traded lower by 4.12% at $44.69 in premarket on the last check Tuesday.

Photo via Wikimedia Commons