Leapmotor posts H1 2026 net profit of RMB210 million on 57% revenue surge and record deliveries

Bulletin Express08-24 18:06

Leapmotor (09863) reported interim unaudited results for the six months ended 30 June 2026, achieving profitability for a second consecutive half-year.

Revenue reached RMB38.11 billion, up 57.20% year-on-year, driven by a 60.80% jump in vehicle deliveries to 356,487 units. Sales of vehicles and parts contributed RMB35.60 billion, while services and other sales added RMB2.51 billion, bolstered by carbon-credit revenue linked to overseas sales.

Gross profit rose 29.70% to RMB4.45 billion; however, gross margin slipped to 11.70% from 14.10% a year earlier due to higher raw-material costs and product-mix shifts. Second-quarter margin improved to 12.60%, 3.20 percentage points higher than Q1 2026.

Net profit attributable to shareholders was RMB210 million, versus RMB30 million in H1 2025. On a non-IFRS basis (excluding share-based payments), adjusted net profit was RMB270 million, down from RMB330 million a year earlier.

Operating cash flow amounted to RMB2.17 billion, compared with RMB2.86 billion in H1 2025. Free cash flow fell to RMB140 million from RMB860 million, reflecting elevated inventory pre-stocking. Cash, cash equivalents, restricted cash, financial assets and bank deposits totalled RMB38.59 billion at end-June. Borrowings declined to RMB2.39 billion, leaving the gearing ratio negative.

Vehicle deliveries set new milestones: July 2026 volume hit 101,267 units, Leapmotor’s first 100,000-plus month, while H1 exports soared 372.60% to 96,294 units, accounting for 27.00% of total sales. Cumulative exports from January to July reached 113,863 units. Over the first five months of 2026, the brand ranked fourth globally in new-energy passenger-vehicle registrations.

Product expansion continued with launches of the A10, D19, Lafa5 Ultra, updated C-series (C10, C11, C16), flagship D99 MPV, and new B01/B10 models. The company now covers price points from RMB60,000 to RMB300,000 and claims leading positions across its four product matrices (A/B/C/D).

R&D spending rose 22.80% to RMB2.32 billion. Key technological advances include the LEAP4.0 central domain control architecture, dual Qualcomm 8797 chips for cockpit-driving integration, and full-suite assisted driving across model lines.

International expansion accelerated through the Leapmotor–Stellantis joint venture. By end-June, more than 1,000 sales and after-sales outlets were in operation across 45 markets, with European network exceeding 900 sites. Localised assembly projects are under way in Malaysia, Spain and Brazil.

Operational metrics improved: market share in China’s NEV passenger-car market reached 5.71% in June, up from 4.22% in March. Service net promoter score rose to 57.8, up 39.60% year-on-year.

No interim dividend was declared.

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