Ideal Motors reported second-quarter results overall in line with expectations, with net profit up 86% from the first quarter..24%, while gross margin slipped to 19.5%。

Ideal Motors (NASDAQ: LI) reported second-quarter earnings performance that was broadly in line with expectations after a weak first quarter.。

The company's total second-quarter revenue was 31.7 billion yuan ($4.4 billion), higher than the 31.4 billion yuan expected by analysts in a Bloomberg survey and also above the upper end of the 29.9 billion yuan to 31.4 billion yuan guidance range, according to unaudited financial results released today.。

This is up 10% from RMB28.7 billion in the second quarter of 2023..6%, up 23% from RMB 25.6 billion in the first quarter of 2024.6%。

Ideal Auto's second-quarter vehicle sales were RMB30.3 billion, up 8 from RMB28 billion in the second quarter of last year..4% in the first quarter of 2023, up 25% from RMB24.3 billion in the first quarter of 2024.0%。

Ideal Motors said that the increase in auto sales revenue was mainly due to an increase in vehicle deliveries, but was partially offset by a decrease in average selling prices due to different product combinations。

According to previously released data, Ideal delivered 108,581 vehicles in the second quarter, within the guidance range of 105,000 to 110,000 vehicles。Deliveries in the quarter increased by 25.48%, an increase of 35.05%。

The Company's net profit for the second quarter was RMB1.1 billion, down 52% from RMB2.3 billion in the second quarter of 2023..3%, compared to 5% in the first quarter of 2024.91.1 billion yuan up 86.2%。

Non-GAAP net profit for the second quarter was RMB1.5 billion, down 44% from RMB2.7 billion in the second quarter of 2023..9%, an increase of 17.8% increase from RMB 1.3 billion in the first quarter of 2024。

Ideal Auto's second quarter gross margin was 19.5%, compared with 20 in the first quarter.6% further down, but better than analyst expectations of 19.3%。Gross margin for the second quarter of 2023 was 21.8%。

Second quarter 2024 vehicle margin of 18.7%, compared to 21 in the second quarter of 2023..0%, 19 in the first quarter of 2024.3%。

The year-over-year decline in vehicle margins was primarily due to changes in different product portfolios and pricing strategies between the two quarters, partially offset by lower costs.。Ideal Motors said the decline from the first quarter was mainly due to a different product mix.。

Ideal Automotive's R & D expenses in the second quarter were RMB3 billion, up 24% from RMB2.4 billion in the second quarter of 2023..8%, unchanged from the first quarter of 2024。

The increase in R & D expenses is mainly due to the increase in costs to support the expanding product portfolio and technology, as well as the increase in employee compensation due to the increase in the number of employees。

As of June 30, Ideal Auto's cash position was RMB97.3 billion。

Ideal Auto expects vehicle deliveries in the third quarter to be 14.50,000 to 15.Between 50,000 vehicles, an increase of 38.0% to 47.5%。

The guidance means that Ideal Cars expects to deliver a total of 94,000 to 104,000 vehicles in August and September, with an average of about 50,000 vehicles per month.。The company delivered a record 51,000 vehicles in July.。

Ideal Auto expects total third-quarter revenue to be between 39.4 billion yuan and 42.2 billion yuan, up 13.7% to 21.6%。