Li Auto impresses with strong growth and innovative strength

Li Auto, a leading player in the new energy vehicles (NEV) sector, achieved impressive results in the third quarter of 2024. With over 152,000 vehicles delivered, representing a 45.4% increase compared to the previous year, the company strengthened its position in the Chinese NEV market. Particularly noteworthy is the breakthrough in the NEV penetration rate in China, which for the first time reached 50.3%, surpassing vehicles powered by internal combustion engines. Li Auto's innovative strength is also evident in the continuous advancement of its autonomous driving technologies. Thanks to extensive investments in research and development, significant progress has been made in autonomous driving capability. Li Auto's proprietary end-to-end vision language model solution has been iterated at a rapid pace, leading to substantial improvements in the driving experience and increased market acceptance. To serve its growing customer base and expand its market leadership, Li Auto significantly strengthened its sales and service networks. By the end of the quarter, the company had 479 retail stores and 436 service centers in 221 cities across China. The charging infrastructure has also been massively expanded, with particular emphasis on the strategic partnership with Sinopec for the joint establishment of charging stations. In the financial domain, Li Auto also shone. Total revenues in the third quarter amounted to a record-breaking RMB 42.9 billion, representing a 23.6% increase compared to the previous year. This positive development was supported by an improved product lineup and operational efficiency. Complementing this is the achievement of a significant milestone: the delivery of the millionth vehicle since market entry. Amidst all these successes, Li Auto has not lost sight of its ecological responsibility. For its outstanding performance in the ESG (Environmental, Social, and Governance) area, the company was awarded the highest AAA rating from MSCI for the second consecutive time.