Xpeng Narrows Losses While Li Auto Struggles Amid Intense EV Market Competition

Xpeng reports improved margins and higher deliveries in Q1, while Li Auto faces profit slump and investor concerns.

Xpeng's net loss decreased to 1.37 billion yuan in Q1, better than analysts' expectations.
Li Auto's Q1 profit dropped 37% year-over-year, missing forecasts and causing a significant stock drop.
Xpeng's revenue surged 62%, driven by a 58% increase in vehicle sales and higher licensing fees from Volkswagen.
Li Auto reported a 36% increase in revenue but faced a 90% decline in profit from the previous quarter.
Both companies are navigating a fierce price war in the Chinese EV market, impacting margins and investor confidence.