Zhejiang Leapmotor Technology (9863) Q4 2024 earnings summary

Executive summary

• Achieved positive net profit of RMB 80 million (RMB0.08 billion) in Q4 2024, becoming the second profit-making EV startup in China, one year ahead of target.

• Delivered 293,724 vehicles in 2024, up 103.8% year-over-year, ranking among the top three emerging auto brands.

• Total revenue reached RMB 32.16 billion in 2024, a 92% increase from 2023, driven by higher vehicle deliveries and value-added services.

• Gross margin improved to 8.4% for 2024 (up from 0.5% in 2023); Q4 gross margin hit a record 13.3%.

• Net loss narrowed to RMB 2.82 billion in 2024, with adjusted net loss at RMB 2.35 billion, both showing significant improvement year-over-year.

Financial highlights

• Revenue: RMB 32.16 billion in 2024, up 92% from RMB 16.75 billion in 2023.

• Gross profit: RMB 2.69 billion in 2024, up 3,262.5% from RMB 0.08 billion in 2023.

• Net loss: RMB 2.82 billion in 2024, improved from RMB 4.22 billion in 2023; adjusted net loss: RMB 2.35 billion.

• Free cash flow: RMB 6.32 billion in 2024, up from negative RMB 0.32 billion in 2023.

• Net cash from operating activities: RMB 8.47 billion in 2024, up from RMB 1.08 billion in 2023.

Outlook and guidance

• 2025 delivery target set at 500,000–600,000 units, including overseas.

• Full-year 2025 GP margin target is 10–11%; aiming for full-year profitability.

• Overseas sales guidance for 2025 is 50,000–60,000 units.

• Leapmotor International JV aims to break even in 2025.

• Plans to complete B Series product deployment in 2025, targeting 500,000 unit sales.