LI Q4 Earnings Fall Y/Y, Revenues Rise on Increased Vehicle Delivery

Core Viewpoint - Li Auto reported a decline in earnings per share (EPS) for Q4 2024, despite an increase in revenues driven by higher vehicle deliveries Financial Performance - Q4 2024 EPS was 52 cents, down from 60 cents in the prior-year quarter [1] - Revenues increased to $6.1 billion from$5.9 billion year-over-year, primarily due to a 20.4% increase in vehicle deliveries [1][2] - Vehicle sales amounted to $5.8 billion, reflecting a 5.6$1.2 billion, down 8.3% year-over-year, with a gross margin of 20.3%, compared to 23.5% in the prior-year quarter [3] Operating Metrics - Operating expenses decreased by 22% to $721.6 million [4] - Income from operations rose by 22$507.4 million, with an operating margin of 8.4% [4] - Non-GAAP net income for the quarter was $553.4 million, down 12$1.2 billion, a significant decrease of 49.8% from the previous year [5] - Free cash flow fell 58.6% to $830.1 million [5] - As of December 31, 2024, cash and cash equivalents were$9.03 billion, down from $12.86 billion a year earlier [5] - Long-term borrowings increased to$1.12 billion from $246 million year-over-year [5] Q1 2025 Outlook - For Q1 2025, Li Auto expects vehicle deliveries between 88,000 and 93,000, indicating year-over-year growth of 9.5$3.2 billion and $3.4 billion, suggesting a year-over-year decrease of 8.7% to 3.5% [6]