Li Auto Reports First Annual Profit Among Major Chinese EV Startups

The company's shares soared following the announcement, despite a cautious outlook for early 2024.

Li Auto becomes the first major Chinese EV startup to report an annual profit, with a net income of 11.8 billion Chinese renminbi ($1.7 billion) for 2023.
Shares of Li Auto surged over 25% following the announcement, reflecting investor confidence in the company's financial performance and market position.
Despite the profit, Li Auto forecasts a decrease in vehicle deliveries for the first quarter of 2024, citing a slowing EV market and economic challenges in China.
Li Auto plans to focus on the premium EV market, targeting consumers willing to spend over 200,000 yuan ($27,800), and has no plans to launch vehicles below this price point.
The company is also expanding its product lineup, including the launch of its first fully battery electric vehicle (BEV) and plans for more BEV models in the second half of 2024.