Zhejiang Leapmotor Technology (9863) Q4 2025 earnings summary

Executive summary

• Achieved record vehicle deliveries of 596,905 units in 2025, up 103% year-over-year, maintaining two consecutive years of doubling sales volume and ranking first among China's emerging auto brands.

• Became the only EV startup in China with monthly sales exceeding 70,000 and led BEV startups in exports, surpassing 100,000 units exported by February 2026.

• Broke even and turned profitable in 2025, reporting net profit of CNY 540 million (RMB0.54 billion), with adjusted net profit (non-IFRS) of RMB1.08 billion.

• Launched multiple new models and technology platforms, including the B10, Lafa 5, D19, D99, and A10, with strong market reception and numerous awards.

• Gross margin reached a record 14.5% for the year, up 6.1 percentage points from 2024.

Financial highlights

• 2025 revenue exceeded CNY 64 billion (RMB64.73 billion), up 101.3% year-over-year.

• Gross profit rose 249.8% to RMB9.41 billion; gross margin improved to 14.5%.

• Cash and cash equivalents at year-end were CNY 37.88 billion, up 54.9% from the prior year.

• Operating cash flow exceeded CNY 12 billion, up CNY 4.15 billion year-over-year.

• Service and other revenue reached CNY 2.72 billion, mainly from carbon credits, license fees, and export-related income.

Outlook and guidance

• 2026 sales target set at 1 million units, with 100,000–150,000 units expected from overseas markets.

• Plans to launch new models and expand global presence, including mass production in Spain and new product launches in Europe and South America.

• Nationwide rollout of City Navigation Assistance function expected in 2026, with further AI-driven intelligent driving solutions in development.

• No revision to sales or profit guidance; net profit target for 2025 remains CNY 5 billion.

• R&D expenses planned to increase in 2026 to accelerate new technology and model development.