Chinese electric carmaker Li Auto Inc. forecast second-quarter revenue that missed what the market was hoping for as supply chain bottlenecks and surging raw material outlays squeeze margins.
The Beijing company said Tuesday it expects sales of 6.16 billion yuan ($917 million) to 7.04 billion yuan for the current quarter that will end June 30, well below the average analyst estimates of 11 billion yuan.
Li Auto reported a net loss of 10.9 million yuan for the first quarter ended March 31 and revenue of 9.56 billion yuan, in line with expectations. Vehicle deliveries totaled 31,716.
“Driven by our strong vehicle deliveries despite the supply chain constraints facing the industry,” revenue was up 168 percent year-over-year, the company said in an exchange statement.
“Despite recent pandemic-related bumps on the road, we are forging ahead with our plan to commence the deliveries of our second model, the L9, in the third quarter,” Li Auto added. The EV maker to date has only had one model, the Li One crossover.
Like most Chinese carmakers, Li Auto is contending with supply chain delays sparked by extended COVID-19 lockdowns in the auto industry hubs of Shanghai and Jilin province. It shipped just 4,167 vehicles in April, and on Tuesday said it sees vehicle deliveries of 21,000 to 24,000 in the second quarter, well under the market’s expectations for 29,750.
Li Auto’s New York-traded shares have slumped 41% this year, caught in a broad sell-off that’s seen rival Chinese EV makers Nio Inc. slide 57 percent and Xpeng Inc. tumble 60 percent, partly driven by concern they will be forced to delist in the U.S.
