Li Auto Generates 25.7 Billion Yuan in Second-Quarter Revenue on Delivery Growth
Chinese electric vehicle maker Li Auto generated 25.7 billion yuan in second-quarter revenue as vehicle margins improved and quarterly deliveries expanded to 98,330 units.
- 98,330 units
- 25.7B yuan
- 11.0%
- 87.5B yuan
What Happened
The Beijing-based automaker recorded an 11.7% sequential revenue increase to 25.7 billion yuan during Q2 2026, supported by vehicle sales revenue of 24.1 billion yuan. Overall gross profit margin expanded 3.1 percentage points quarter-over-quarter to 11.0%, while vehicle gross margin reached 9.4%.
25.7B yuan
11.7% sequential increase
98,330 units
Up 3.4% from previous quarter
Selling, general, and administrative expenses decreased 16.2% year-on-year to 2.3 billion yuan. Research and development spending reached 2.8 billion yuan, accounting for 10.8% of total revenue and maintaining investment at the 3-billion-yuan level for six consecutive quarters. The company held cash reserves of 87.5 billion yuan and completed $630 million of its $1 billion stock buyback program.
- Projecting third-quarter deliveries of 95,000 to 100,000 vehicles
- Forecasting quarterly revenue between 26.6 billion and 28.0 billion yuan
- Scheduled September launch of the next-generation MEGA and electric i9 flagship SUV
- Introduction of the refreshed L9 in Dubai, marking market entry in the Middle East
Why this matters
The operational recovery follows pricing pressure across China's premium electric vehicle market earlier in the year. High cash reserves support planned domestic vehicle rollouts and international expansion into the Middle East.
Terms in This Story
- Vehicle Gross Margin
- The proportion of vehicle sales revenue remaining after accounting for direct manufacturing, materials, and assembly expenses.
- Share Repurchase
- A corporate transaction in which a company reacquires its own outstanding shares from the market to optimize capital structure.
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