- Li Auto delivered 109,194 vehicles in the fourth quarter 2025, marking a 31.19% year-on-year decline.
- Li Auto recorded its first quarterly loss in three years in the third quarter of 2025.
Li Auto (NASDAQ: LI, HKG: 2015) announced Friday that it will release its fourth-quarter 2025 and full-year financial results before the US markets open on March 12.
The automaker, once a leader among China's new energy vehicle (NEV) startups, now faces market challenges: sales have declined for eight consecutive months, and it recorded its first quarterly loss in three years during the third quarter of 2025.
Li Auto delivered only 27,668 vehicles in January 2026, marking a 7.55% year-on-year decline and a 37.47% month-on-month drop — the lowest level since March 2025.
This weak performance persisted throughout the second half of 2025. Li Auto delivered 109,194 vehicles in the fourth quarter 2025, barely meeting its prior guidance range of 100,000 to 110,000 units, yet representing a 31.19% decline from the historical high of 158,696 units in the fourth quarter of 2024.
The company had previously guided for fourth-quarter revenue between RMB 26.5 billion ($3.86 billion) and RMB 29.2 billion, representing a year-on-year decline of 40.1% to 34.2%.
The performance decline highlights the pressures Li Auto currently faces. Its flagship L-series extended-range electric vehicle (EREV) models are encountering fierce competition from rivals aggressively equipping extended-range vehicles with larger battery packs to narrow the experience gap.
Meanwhile, the highly anticipated i-series battery electric vehicle (BEV) models have underperformed. Late last month, Li Auto was forced to delay deliveries of some Li i6 models due to slower-than-expected ramp-up of core component production capacity.
In the third quarter of 2025, Li Auto recorded a net loss of RMB 624 million, impacted by declining sales and a recall of its Li Mega MPV (multi-purpose vehicle).
This marks the company's first loss since the fourth quarter of 2022, with its vehicle margin plunging from 20.9% in the same period of 2024 to 15.5%.
Facing market share erosion and setbacks in its pure-electric transition, Li Auto appears to be executing a strategic recalibration.
Li Auto will refocus on its most certain EREV business in 2026, attempting to reclaim leadership in this segment, local media outlet 36Kr reported last month.
Earlier this month, the company announced its updated flagship Li L9 SUV will launch in the second quarter, with the Livis edition achieving generational upgrades.
During the upcoming March earnings call, Wall Street and investors will closely scrutinize management's first-quarter 2026 guidance, as well as the company's plans to address production bottlenecks, counter fierce competition, and restore profitability.
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