2022-12-12 13:21Financial Performance - Li Auto Inc. reported unaudited consolidated revenue of RMB 62,070,191 thousand for the nine months ended September 30, 2022, representing a significant increase compared to RMB 52,380,414 thousand for the same period in 2021, reflecting a growth of approximately 18.3%[9] - Total revenue for vehicle sales reached RMB 26,838,104, an increase from RMB 15,752,753 in the same period last year, representing a growth of approximately 70%[12] - The total revenue for the nine months ended September 30, 2022, was RMB 27,636,942, up from RMB 16,389,327 for the same period in 2021, indicating a year-over-year increase of about 68.5%[102] - Gross profit for the nine months ended September 30, 2022, was RMB 5,224,125, compared to RMB 3,381,475 for the same period in 2021, indicating a gross profit margin improvement[12] - Operating loss for the nine months ended September 30, 2022, was RMB 3,521,258, compared to RMB 1,041,423 in the same period last year, reflecting an increase in operating expenses[12] - Net loss attributable to ordinary shareholders for the nine months ended September 30, 2022, was RMB 2,269,153, compared to RMB 616,966 for the same period last year, reflecting a worsening financial performance[12] - The company reported a total comprehensive loss of RMB 983,489 for the nine months ended September 30, 2022, compared to RMB 761,586 for the same period in 2021[12] - The adjusted net loss for the nine months ended September 30, 2022, was RMB 946.8 million (USD 133.1 million), compared to a net loss of RMB 617.0 million in the same period of 2021[168] Assets and Liabilities - The total assets of Li Auto Inc. as of September 30, 2022, amounted to RMB 79,230,297 thousand, up from RMB 61,848,913 thousand as of December 31, 2021, indicating an increase of about 28.0%[9] - The company’s total liabilities increased to RMB 35,083,138 thousand as of September 30, 2022, compared to RMB 20,784,611 thousand as of December 31, 2021, marking a rise of approximately 68.8%[9] - The total equity attributable to shareholders increased to RMB 43,856,988 as of September 30, 2022, from RMB 41,064,302 as of December 31, 2021, showing a growth of approximately 6.8%[10] - The total liabilities and equity amounted to RMB 79,230,297 as of September 30, 2022, compared to RMB 61,848,913 as of December 31, 2021, indicating a significant increase in financial obligations[10] - The company’s total liabilities for accounts payable and other current liabilities increased to RMB 4,615,396 as of September 30, 2022, from RMB 1,879,368 as of December 31, 2021, marking a rise of approximately 145.5%[101] Cash Flow and Investments - The company’s cash and cash equivalents increased to RMB 37,472,617 thousand as of September 30, 2022, from RMB 27,854,224 thousand as of December 31, 2021, representing a growth of approximately 34.6%[9] - Operating cash flow for the nine months ended September 30, 2022, was RMB 2,454,916 thousand, a decrease from RMB 4,503,487 thousand in the same period of 2021[15] - The company reported a significant increase in cash used in investing activities, totaling RMB (3,459,878) thousand for the nine months ended September 30, 2022, compared to RMB (1,786,162) thousand in 2021[15] - Cash flow from financing activities showed a net cash inflow of RMB 5,628,720 thousand for the nine months ended September 30, 2022, compared to RMB 3,881,128 thousand in 2021[15] - The net cash generated from investment activities was RMB 943.6 million (USD 132.7 million), primarily due to the redemption of short-term investments and time deposits amounting to RMB 5 billion (USD 719.2 million)[163] Research and Development - Li Auto Inc. has emphasized its commitment to research and development of new electric vehicle technologies, aiming to enhance vehicle performance and customer appeal[4] - Research and development expenses for the nine months ended September 30, 2022, totaled RMB 4,709,941, up from RMB 2,056,398 in the same period last year, highlighting increased investment in innovation[12] - Research and development expenses grew from RMB 2.1 billion to RMB 4.7 billion (USD 662.1 million), mainly due to an increase in R&D personnel and new vehicle model development activities[156] Inventory and Production - The company has reported a significant increase in inventory levels, with total inventory reaching RMB 5,515,781 thousand as of September 30, 2022, compared to RMB 1,617,890 thousand as of December 31, 2021, indicating a rise of approximately 240.5%[9] - The cost of inventory write-offs and purchase commitment losses for the nine months ended September 30, 2022, was RMB 802,799, significantly up from RMB 51,256 for the same period in 2021, primarily related to the planned cessation of production for the Ideal ONE vehicle[70] - The company plans to cease production of the Ideal ONE vehicle by the end of October 2022, transitioning to the Ideal L8 model[75] Market Expansion and Strategy - The company is actively pursuing market expansion strategies, including potential mergers and acquisitions to strengthen its competitive position in the electric vehicle market[4] - Li Auto Inc. anticipates continued growth in vehicle deliveries and revenue, supported by increasing consumer demand and favorable government policies[3] - The company plans to continue its investment in new technologies and market expansion strategies to drive future growth[15] Stock and Shareholder Information - As of September 30, 2022, the company had issued and outstanding ordinary shares totaling 1,953,820,766[112] - The total stock-based compensation expense recognized for the nine months ended September 30, 2022, was $1,350,864, with $857,188 allocated to R&D expenses[114] - The company has not declared or paid any cash dividends and does not expect to do so in the foreseeable future[119] Tax and Regulatory Matters - The effective corporate income tax rate for high-tech enterprises in mainland China is 15%, while the standard rate is 25%[126] - The group has received a VAT refund of RMB 207,924 as of the nine months ended September 30, 2022[124] - The total income tax expense for the nine months ended September 30, 2022, is $30,885, compared to $181,384 for the same period in 2021[131] Corporate Governance and ESG - Li Auto received an "AA" rating from MSCI ESG Research for the second consecutive year, reflecting its commitment to sustainable development and governance[148] - Li Auto was included in the Hang Seng China Enterprises Index, effective December 5, 2022, recognizing its strength and investment value[149]