Li Auto reported second-quarter revenue of RMB25.67 billion, beating the RMB25.07 billion consensus estimate, though the company posted a loss per share of RMB1.49 against analyst expectations of RMB1.47.
Vehicle sales revenue totaled RMB24.1 billion, down 16.7% from a year earlier but up 11.8% sequentially. Total deliveries reached 98,330 vehicles, a decline of 11.5% year-over-year but an 11.7% increase from the first quarter.
Gross margin narrowed to 11.0% from 20.1% a year ago and 7.9% in the prior quarter, while vehicle margin fell to 9.4% from 19.4% in the same period last year. Operating margin remained negative at 9.0%, though an improvement from negative 13.0% in Q1.
The company attributed its performance to intense market competition and a major model refresh cycle. Li Auto retained its position as the top-selling domestic automotive brand in China’s NEV market for vehicles priced at RMB200,000 and above during the first half of 2026.
For the third quarter, Li Auto guided revenue between RMB26.6 billion and RMB28.0 billion, well below the RMB32.28 billion consensus. Delivery guidance was set at 95,000 to 100,000 vehicles, implying a modest year-over-year increase of 1.9% to 7.3%.
Shares of Li Auto fell 1.3% in U.S. premarket trading following the release.
