- Zeekr had a net loss of RMB 821 million yuan ($112 million) in the fourth quarter, a year-on-year decrease of 72.1 percent and a decrease of 28.0 percent compared to the third quarter.
- Its gross margin in the fourth quarter was a record 19.0 percent, compared with 14.2 percent in the fourth quarter of 2023 and 16.0 percent in the third quarter.
Zeekr (NYSE: ZK) saw strong results last quarter, as vehicle deliveries hit a record high.
The electric vehicle (EV) maker had revenue of RMB 22.78 billion yuan ($3.12 billion) in the fourth quarter of 2024, a year-on-year increase of 39.2 percent and an increase of 24.1 percent from the third quarter, according to its unaudited financial report released today.
Its revenue from vehicle sales in the fourth quarter was RMB 19.3 billion yuan, a year-on-year increase of 82.2 percent and a quarter-on-quarter increase of 34.0 percent.
The year-on-year growth was attributable to an increase in new product delivery volume, partially offset by the lower average selling price due to changes in product mix and pricing strategy between the two quarters. The quarter-on-quarter growth was mainly attributable to a significant increase in Zeekr 7X deliveries in the fourth quarter.
The Zeekr brand delivered 79,250 vehicles in the fourth quarter, an increase of 99.84 percent from 39,657 in the same period of 2023 and an increase of 44.08 percent from 55,003 in the third quarter, according to data compiled by CnEVPost.
The company's net loss in the fourth quarter was RMB 821 million, a year-on-year decrease of 72.1 percent and a decrease of 28.0 percent from the third quarter.
Non-GAAP net loss in the fourth quarter was RMB 737 million, a year-on-year decrease of 74.6 percent and a decrease of 32.5 percent compared to the third quarter.
Zeekr's operating cost in the fourth quarter was RMB 18.46 billion, a year-on-year increase of 31.6 percent and an increase of 19.8 percent compared to the third quarter.
The year-on-year increase was mainly due to an increase in vehicle deliveries, partially offset by the lower average cost of sales due to changes in product mix between the two quarters.
The sequential increase was primarily due to higher vehicle deliveries, partially offset by procurement savings as the cost of auto parts and materials decreased.
It had a record gross margin of 19.0 percent in the fourth quarter, up from 14.2 percent in the fourth quarter of 2023 and from 16.0 percent in the third quarter.
Vehicle margin was 17.3 percent in the fourth quarter, compared with 15.3 percent in the fourth quarter of 2023 and 15.7 percent in the third quarter of 2024.
The year-on-year increase in vehicle gross margin was mainly due to cost reductions, while the quarter-on-quarter increase was mainly due to continued cost reduction initiatives, Zeekr said.
Its research and development expenses in the fourth quarter were RMB 3.21 billion, a year-on-year increase of 1.4 percent and an increase of 63.0 percent compared with the third quarter.
The slight year-on-year increase was in line with the company's R&D investment strategy, but was partially offset by lower vehicle technology usage fees. The sequential increase was mainly due to the incremental design and development costs for new products and technologies, Zeekr said.
Selling, general and administrative expenses for the fourth quarter of 2024 were RMB 2.82 billion, an increase of 27.6 percent year-on-year and up 23.8 percent quarter-on-quarter.
The increase was in line with Zeekr's expansion of offline channels in both China and overseas as well as its marketing activities to launch new models, it said.
As of December 31, 2024, Zeekr had cash and cash equivalents and restricted cash of RMB 8.96 billion.
Zeekr did not provide guidance for first-quarter deliveries or revenue, as it has done previously.
The company announced a series of transactions on November 14, 2024, to allow it to hold a 51 percent stake in the sister brand Lynk & Co, with Geely entities holding the remaining 49 percent.
On February 14, Zeekr announced the completion of the transactions.
Zeekr closes deal to integrate Lynk & Co, CEO unveils 2025 product plans
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