On August 26, Li Auto unveiled its financial results for the second quarter of 2026.

During the second quarter, Li Auto generated revenue amounting to 25.67 billion yuan, marking a 15% decline year-on-year, while experiencing an 11.7% growth quarter-on-quarter. The company reported a net loss of 1.7 billion yuan, a stark contrast to the net profit of 1.1 billion yuan recorded in the same period the previous year, indicating a shift from profitability to a loss. However, this loss was narrower compared to the 2.3 billion yuan net loss in the first quarter.

In terms of vehicle sales, Li Auto delivered 98,330 units in the second quarter, reflecting an 11.5% decrease year-on-year. Revenue from automotive sales reached 24.07 billion yuan, down 16.7% year-on-year but up 11.8% quarter-on-quarter.

Regarding gross profit margin, the overall figure improved from 7.9% in the first quarter to 11.0%, though it still fell short of the 20.1% recorded in the same period last year, signaling considerable pressure. Similarly, the automotive business gross profit margin rose from 6.1% in the first quarter to 9.4%, compared to 19.4% in the corresponding period last year.

In terms of cash flow, the net cash inflow from operating activities in the second quarter stood at 15 million yuan, while the free cash flow registered at -1.3 billion yuan, representing a 66.1% decrease year-on-year and an 82.4% increase quarter-on-quarter. As of June 30, Li Auto's cash and various financial reserves amounted to a total of 87.5 billion yuan.

Looking ahead to the third quarter, Li Auto anticipates delivering between 95,000 and 100,000 vehicles, expecting a year-on-year increase ranging from 1.9% to 7.3%, with projected revenue between 26.6 billion and 28 billion yuan. According to the company's plans, the new-generation Li Auto MEGA will be officially launched on September 2, and a new all-electric flagship SUV, the Li Auto i9, is also set to debut in September.