Shanghai (Gasgoo)- Li Auto, a leading player in China's new energy vehicle market, has released its unaudited financial results for the fourth quarter (Q4) and full year ended December 31, 2024.
The company posted total revenue of RMB44.3 billion in Q4 2024, marking a 6.1% increase from RMB41.7 billion in the same period of 2023 and a 3.3% rise from RMB42.9 billion in the third quarter (Q3) of 2024. Vehicle sales contributed RMB42.6 billion, up 5.6% year-over-year and 3.2% quarter-over-quarter.
Despite revenue growth, profitability faced pressure. Li Auto's gross profit stood at RMB9 billion in Q4 2024, down 8.3% from the prior year and 2.8% from the previous quarter.
In the same quarter, the company's gross margin narrowed to 20.3%, compared to 23.5% in Q4 2023 and 21.5% in Q3 2024. Vehicle margin followed a similar trend, slipping to 19.7% from 22.7% a year earlier and 20.9% in the preceding quarter.
Net income came in at RMB3.5 billion in Q4 2024, reflecting a 38.6% decline from Q4 2023 but a 25.3% improvement over Q3 2024. On a non-GAAP basis, its net income fell 12% year-over-year to RMB4 billion, but edged up 4.9% from the previous quarter.
The company's free cash flow also saw a sharp contraction, dropping to RMB6.1 billion in Q4 2024, plunging 58.6% from a year earlier and 33.1% from the previous quarter.
Li Auto recorded total revenue of RMB144.5 billion in 2024, reflecting a 16.6% increase from the previous year. Vehicle sales contributed RMB138.5 billion in the year, up 15.2% year-over-year, underscoring the company's sustained market momentum.
Despite revenue growth, profitability faced headwinds. The company's annual gross profit rose 7.9% to RMB29.7 billion, though the gross margin narrowed to 20.5%, down from 22.2% in 2023.
Similarly, the vehicle margin slipped to 19.8% in 2024 from 21.5% in the prior year, signaling increased cost pressures.
Annual free cash flow saw a significant contraction, tumbling 81.4% year-over-year to RMB8.2 billion last year.
In the first two months of 2025, Li Auto delivered 29,927 vehicles in January and 26,263 in February, respectively. As of February 28, the company operated 500 retail stores across 150 cities in China, alongside 488 service centers and authorized body and paint shops in 224 cities. Its charging network continued to expand, reaching 1,874 supercharging stations with 10,008 charging stalls.
Marking a milestone in its global expansion, Li Auto launched its first overseas R&D center in Munich, Germany, in January 2025. The new facility aims to drive advancements in technology pre-research, product development, and strategic planning as the company strengthens its innovation capabilities on the international stage.
