According to Qichacha APP, an affiliate of automaker Li Auto, Leading Ideal HK Limited, has set up a wholly-owned subsidiary in Sichuan province. The new company, Sichuan Ideal Zhidong Technology Co., Ltd., is being legally represented by George Li and has a registered capital of 100 million yuan ($14.85 million).
The new company’s business scope includes the design and service of integrated circuit chips, the manufacturing of auto parts and accessories, the sales of electrical accessories for new energy vehicles in addition to the sales of NEVs.
Li Auto released its financial report on May 10 showing that the company had achieved a revenue of 9.56 billion yuan in the first quarter, a year-on-year increase of 167.5%. The company was also able to deliver a total of 31,716 Li ONE models, a year-on-year increase of 152.1%. Its total investment in R&D in Q1 was 1.37 billion yuan, a year-on-year increase of 167.0% while, at the same time, its operating cash flow in Q1 was 1.83 billion yuan, up 98.0% year-on-year. As of the end of Q1, Li Auto‘s cash reserve reached 51.19 billion yuan.
The company said it received a large number of orders from users but was under some difficulty as not all suppliers have resumed full production.
Li Xiang, founder of Li Auto, talked about the company’s future product planning saying that the success of the Li ONE has given the company a model on which to present subsequent products. The best presentation of extended-range EVs is the SUV, as seen with the Li ONE. Pure EVs feature different body shapes, and their prices range from 200,000 yuan to 500,000 yuan. Li Auto plans to launch one model for each 100,000 yuan increment.
Looking towards the company’s 2025 strategy and product planning, Li Xiang said: “Li Auto will release three new cars, including the L9. The new products will cover a generation of extended-range flagship models and the new BEV high-voltage platform models.”