Jin Rong Jie·2025-11-27 03:53Core Viewpoint - Li Auto reported a third-quarter revenue of 27.4 billion RMB with a net loss of 624.4 million RMB, delivering 93,211 vehicles. The CEO acknowledged that the professional management model is unsuitable for the current unstable market and plans to revert to a startup model in Q4 [1][4]. Financial Performance - Vehicle sales revenue for Q3 was 41.32 billion RMB, down 37.4% year-on-year and 10.4% quarter-on-quarter [2]. - Total revenue for Q3 reached 42.87 billion RMB, reflecting a 36.2% year-on-year decline and a 9.5% quarter-on-quarter decrease [2]. - Gross profit for Q3 was 9.22 billion RMB, a decrease of 51.6% year-on-year and 26.3% quarter-on-quarter [2]. - The gross margin for Q3 was 21.5%, down 5.2 percentage points year-on-year [2]. - Operating profit for Q3 was 3.43 billion RMB, with an operating margin of 8.0%, down 4.3 percentage points year-on-year [2]. - The net cash from operating activities was 11.02 billion RMB, showing a significant improvement of 143.6% [2]. Strategic Direction - Li Auto plans to invest heavily in AI and related technologies, with R&D spending reaching 30 billion RMB in Q3 and an expected total of 120 billion RMB for the year, including over 60 billion RMB in AI [1][2]. - The company aims to transform vehicles into intelligent products, enhancing user experience through features like automated parking and charging [1][2]. - A major redesign of the L series is planned for 2026, with a strategic focus on regaining leadership in range-extended products [4]. Market Outlook - Despite the disappointing Q3 results, the market remains optimistic about Li Auto, with CICC maintaining an outperform rating for the company [4]. - Adjustments to profit forecasts for 2025 and 2026 have been made, with a 66% and 30% reduction respectively, reflecting challenges from recalls and increased competition [4].