Li Auto to Build Core Parts Industrial Park in Jiangsu

Li Auto, a Chinese new energy automobile enterprise, held a signing ceremony on August 17 to announce that it will build an international new energy automobile core parts industrial park in Changzhou, Jiangsu Province. This project will shore up Li Auto‘s supply chain support, reduce costs and increase efficiency.

On August 15, the firm released its financial report for the second quarter of 2022. Data show that Li Auto achieved revenue of 8.73 billion yuan ($1.29 billion) in the second quarter and delivered 28,687 Li ONE vehicles. In the second quarter, its operating cash flow was 1.13 billion yuan, showing a positive trajectory for the ninth consecutive quarter. As of the end of the second quarter, the company’s cash reserves had reached 53.65 billion yuan.

Li L9 (Source: Li Auto)

The company also released its forecast for the third quarter. It expects the delivery volume of vehicles in the third quarter to reach 27,000 – 29,000 vehicles, an increase of 7.5% – 15.5% compared with the third quarter of last year. The total revenue was 8.96 billion – 9.56 billion yuan, a year-on-year increase of 15.3% – 22.9%.

On August 1, the 200,000th Li ONE was produced. Li L9, the flagship family-use SUV and also the firm’s second model, will roll off the production line on August 18, starting delivery before the end of August.

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In the second quarter, the R&D investment of Li Auto was 1.53 billion yuan, up 134.4% year-on-year, and the R&D investment in extended-range electric, high-voltage pure electric, intelligent cockpits and intelligent driving continued to increase.

In terms of expanding the service network, by the end of the second quarter, there were 247 Li Auto retail centers, an increase of 154.6% year-on-year, covering 113 cities.