Produced by Leida Finance | Text by Zhou Hui | Edited by Meng Shuai

Less than 24 hours after unveiling its first MPV, Leapmotor found itself at the center of an unprecedented negative campaign.

On June 26, Xu Jun, COO of Leapmotor, took to Weibo to reveal that, just a day after the launch of the Leapmotor D99, he encountered a slew of articles with identical content that seemed to eerily 'foresee the future,' detailing how Leapmotor would 'stumble' in the subsequent 72 hours.

In response, Xu Jun emphasized that Leapmotor is a pragmatic automotive manufacturer. The D99, a tech-luxury flagship MPV boasting Leapmotor's full spectrum of self-developed and innovative technologies, invites genuine consumers to visit stores and provide constructive feedback. However, he also called for fairness and accuracy in reporting.

The D99, Leapmotor's second model in the D series, is positioned as a 'tech-luxury flagship MPV' and was launched ahead of schedule on June 25.

In terms of features, the D99 integrates numerous self-developed technologies from Leapmotor, including 4.0 central pre-control, a high-computing-power platform cockpit, and intelligent driving capabilities. Zhu Jiangming even proclaimed, 'The D99 aims to redefine the electric vehicle era.'

However, the current MPV market landscape is fraught with challenges. According to data from the China Passenger Car Association, retail sales in the domestic MPV market plummeted by 30% year-on-year and 3.4% month-on-month in May, marking it as the hardest-hit segment in the passenger car market.

The broader automotive market is also under considerable strain. Amidst this downturn, Leapmotor reported a 'revenue increase without corresponding profit growth' in the first quarter.

During this period, the company achieved revenue of 10.82 billion yuan, an 8% year-on-year increase. However, the net loss attributable to the parent company doubled to 390 million yuan compared to the same period last year.

Li Tengfei, Vice President of Leapmotor, cited factors such as raw material costs, the international political environment, and industry price fluctuations as posing risks to achieving the annual profit target of 5 billion yuan.

New Car Model Faces Negative Campaign Within 24 Hours of Launch

On June 25, Leapmotor's inaugural MPV model, the D99, was officially launched, only to swiftly encounter a negative campaign.

On June 26, Xu Jun, COO of Leapmotor, posted on Weibo, 'This morning, upon waking up, I came across several reports. Interestingly, these articles not only had identical content but also seemed to 'predict the future,' detailing the 'setbacks' Leapmotor would face in the next 72 hours...'

The accompanying image in Xu Jun's Weibo post displayed related negative articles titled 'Leapmotor D99: Overnight Sensation, Setback in 72 Hours,' outlining the alleged 'failures.'

The article pointed out that from T+0 to T+6 hours, online sentiment was largely unified in proclaiming, 'Leapmotor is set to disrupt the MPV market.'

From T+12 to T+24 hours, with the release of the first batch of real-life video reviews from dealerships, online criticism began to surface regarding the new car's 'spacious interior but limited headroom' and 'interior materials exceeding expectations but lacking in finesse.'

From T+48 to T+72 hours, after in-depth test drives and dynamic evaluations, the Leapmotor D99 was deemed to have 'failed,' with issues such as a 'laggy infotainment system,' 'black screen and restart,' and 'controversy over range accuracy' emerging.

According to Jiemian News, these articles were first published in the early hours of the 26th, less than 24 hours after the official launch of the D99.

In response, Xu Jun reiterated, 'Leapmotor is a pragmatic automotive manufacturer. The D99 is a tech-luxury flagship MPV carrying our full spectrum of self-developed and innovative technologies. We warmly welcome genuine consumers to visit stores, touch, sit, and experience the car for themselves. We also welcome valuable feedback to help us continuously improve. However, we sincerely hope for fairness and accuracy.'

Subsequently, Cao Li, Senior Vice President of Leapmotor, also commented on the matter, stating, 'We welcome everyone to provide genuine feedback. We will humbly accept constructive criticism and ask that unfounded narratives cease.'

It is worth mentioning that on June 25, Zhu Jiangming, Chairman and CEO of Leapmotor, had previously admitted in media interviews that as Leapmotor's sales grow, various voices (online) have emerged, with some self-media outlets targeting Leapmotor for attention. He hoped that everyone would discern and give Leapmotor room to grow.

D99 Launched Ahead of Schedule, Aims to Redefine Electric MPVs

According to Tianyancha information, Zhejiang Leapmotor Technology Co., Ltd. was registered and established in 2015 and listed on the Main Board of the Hong Kong Stock Exchange in September 2022.

The D99, which faced the negative campaign, is not only Leapmotor's first MPV model but also the second model in the company's D series. The car is positioned as a 'tech-luxury flagship MPV' and is priced between 249,800 and 319,800 yuan.

As Leapmotor's high-end product series, the D series strives to be the 'pinnacle of excellence,' requiring industry-leading technology, configuration, and performance.

According to Cao Li, the D99 incorporates numerous self-developed technologies from Leapmotor, such as 4.0 central pre-control, a high-computing-power platform cockpit, and intelligent driving.

At the same time, the D99 introduces innovations in traditional seating. As an MPV model, the D99 features a 2+2+3 seven-seat layout, supporting 11 seating transformation modes and 5 bed modes.

At the launch event, Leapmotor specifically highlighted the 'fishing spot' in the third-row seats: it can be electrically folded at 90° to form a rare scenic viewing seat among MPVs, meeting various needs such as fishing, sea viewing, and camping.

In terms of range, the D99 offers two options: extended-range and pure electric. The extended-range version uses an 80.3kWh CATL lithium iron phosphate battery exclusive for extended-range vehicles, with a CLTC pure electric range of up to 480km, making it the longest pure electric range extended-range MPV globally.

The pure electric version is equipped with CATL molecular-level integrated hybrid battery cells, with a battery capacity of 115kWh and a CLTC pure electric range of up to 700km.

With such configurations, Leapmotor has high hopes for the D99. Zhu Jiangming stated, 'The Alpha is the most classic MPV. I hope the D99 can become the Alpha of electric vehicles.'

However, Zhu Jiangming also emphasized that the D99 would not follow the Alpha's brand premium but would instead focus on matching comfort while adding value through technological configurations and scenario innovations.

It is worth mentioning that the D99 was originally planned to be pre-sold first, but this step was skipped, and the car was launched ahead of schedule.

In response, Zhu Jiangming stated, 'We felt the timing was right and we were fully prepared.' From its first appearance to the official launch, the entire production system for the D99 was ready, and users wanted to place orders and take delivery as soon as possible.

Cao Li also stated that this move was very much in line with Leapmotor's style, 'When it's ready, go for it, improving efficiency.'

When discussing sales expectations for the D99, Zhu Jiangming claimed that the D99 would become a milestone product in the MPV segment. The company is confident in its maturity and hopes to achieve the average sales volume of the current mainstream leading MPVs in the industry.

However, despite the confidence of Leapmotor's management, the current MPV market environment is extremely challenging.

According to data from the China Passenger Car Association, in May this year, retail sales in the domestic MPV market were approximately 66,000 units, a sharp year-on-year decline of 30% and a month-on-month decrease of 3.4%, making it the hardest-hit segment in the passenger car market.

In an environment where 'there are more players than shares,' the D99 must also face fierce market competition. According to Huxiu statistics, more than seven new mid-to-high-end MPVs have entered the market this year, including the Zhijie V9, Arcfox Wendao V9, and Hongqi HQ9 plug-in hybrid.

In Zhu Jiangming's view, the window of opportunity for MPVs is narrowing, but user demand remains steady or even increases.

Revenue Growth, Profit Decline, Annual Profit Target of 5 Billion Yuan Under Pressure

In terms of the overall automotive market, industry pressure is equally significant. According to data from the China Passenger Car Association, in the first five months of this year, cumulative retail sales in the national passenger car market reached 7.099 million units, a year-on-year decrease of 19.5%.

Against this backdrop, Leapmotor, which had just tasted profitability last year, reported a quarterly loss of 390 million yuan.

According to the financial report, in the first quarter of this year, Leapmotor achieved revenue of 10.82 billion yuan, an 8% year-on-year increase.

Leapmotor explained that this was mainly due to the increase in vehicle and spare parts deliveries, partially offset by the decrease in average selling price caused by changes in the vehicle product mix.

In the first quarter of 2026, Leapmotor sold approximately 110,200 vehicles, a 25.8% year-on-year increase.

With the synergistic efforts of the ABCD series, Leapmotor's sales reached 71,400 units in April, a 73.9% year-on-year increase, ranking first among new force brands and breaking the company's previous monthly sales record for new force brands.

However, compared to the revenue of 21.03 billion yuan in the fourth quarter of 2025, Leapmotor's revenue in the first quarter nearly halved. The company stated that the year-on-year revenue decline was mainly due to seasonal effects from the Spring Festival holiday, leading to decreased sales.

On the profit side, Leapmotor's performance was under significant pressure. In the first quarter of this year, the company's net loss attributable to the parent company reached 390 million yuan, with the loss scale doubling compared to the same period last year. Leapmotor explained that the year-on-year increase in losses was mainly due to the decrease in gross profit and increased expenses.

Specifically, affected by changes in the vehicle product mix and reduced strategic cooperation business, Leapmotor's gross margin decreased from 14.9% in the same period of 2025 to 9.4% in the first quarter of 2026.

In terms of operating expenses, Leapmotor's research and development expenses, selling expenses, and administrative expenses in the first quarter were 1.04 billion yuan, 680 million yuan, and 440 million yuan, respectively, year-on-year increases of 30%, 11.5%, and 15.8%.

The decline in profitability, coupled with rising operating costs, put significant pressure on Leapmotor's cash flow. In the first quarter of 2026, the net cash flow generated from operating activities was -6.61 billion yuan, compared to 340 million yuan in the same period of 2025.

It is worth mentioning that in 2026, Leapmotor set two core business goals: achieving annual sales of 1 million units and a net profit exceeding 5 billion yuan. However, the profit decline in the first quarter has increased the pressure to meet Leapmotor's net profit target.

Li Tengfei, Vice President of Leapmotor, stated directly on the financial results conference call that the 5 billion yuan net profit target remains unchanged for now. However, factors such as raw material costs, the international political environment, and industry price changes pose certain risks to achieving this target.

According to Zhu Jiangming, with the launch of the D99, all product series in Leapmotor's ABCD series have been released. In the third quarter, Leapmotor will announce some innovative technologies, 'These innovative technologies are to prepare for even more innovative products in the future.'

During the previous media exchange for the launch of the 2027 Leapmotor C series, Leapmotor also officially confirmed that it will host a dedicated Technology Day event in the third quarter of this year to announce multiple self-developed technological achievements.

Zhu Jiangming stated, '2026 is a critical year for Leapmotor's comprehensive advancement. Currently, several important projects have achieved substantial breakthroughs, with some results not yet disclosed due to the need to coordinate announcement timing.'

Zhu Jiangming revealed that with the Technology Day in the second half of the year and subsequent product launches, the outside world will clearly see the tangible progress Leapmotor has made in multiple dimensions, including vehicle platforms, core technologies, and user experience.

In addition, during the financial results conference call, Leapmotor also confirmed its second brand plan.

It is reported that the brand will target products priced above 300,000 yuan and is expected to be unveiled as early as the end of this year or next year, with a market launch in mid-to-late next year. The brand will focus on upward mobility and the high-end market to increase average selling price and profitability.

Radar Finance will continue to monitor Leapmotor's subsequent developments.