TMTPost -- The Hong Kong-listed shares of Li Auto Inc. jumped as much as 8.1% in early morning hours and closed 6.1% higher on Monday. American Depositary Receipts (ADRs) of the Chinese electric vehicle (EV) maker settled 4.3% higher the same day, outperforming the U.S. stock benchmark S&P 500, which rose 1.03% that day, while the Nasdaq Golden Dragon China Index, which tracks 65 China-exposed U.S.-listed companies, edged down 0.1%.
Credit：Li Auto
Shares rally came after Li Auto posted strong sales momentum of L6, its five-seat premium family SUV launched April 18. As of May 5, Li Auto has accumulated more than 41,000 orders of L6 cars since its launch, the company announced at its post on Chinese social media platform Weibo on Monday. The updated orders suggested L6 sales could top 40,000 units in first two weeks after its release. The figure highlighted robust growth in the past Labor Day holiday from May 1 to 5 since Li Auto just posted orders Saturday that orders reached 30,000 units.
Li Auto offers two variants of L6 starting RMB249,800 (around US$41,452). It unveiled Monday new subsidies to further fuel the purchase sentiment. Any shoppers who pay a non-refundable deposit of RMB5,000 and place their orders from May 6 to 31 can receive a cash discount of RMB10,000, along with options of special color or 21-inch tires worth of RMB5,000 and 7kW AC charging stalls and installation services worth of RMB5,000.
Li Auto said L6 offers spacious interior and excellent configurations, with a length of 4,925 millimeters, width of 1,960 millimeters, height of 1,735 millimeters, and wheelbase of 2,920 millimeters. Empowered by the latest generation of lithium iron phosphate battery, L6 can support a CLTC range of 1,390 kilometers and a CLTC range of 212 kilometers under EV mode. Equipped with a dual-motor, intelligent, all-wheel drive system in its standard configuration, Li L6 delivers a maximum power of 300 kilowatts allowing the vehicle to accelerate from 0 to 100 kilometers per hour in 5.4 seconds. Li Auto said Li Xiang Tong Xue, its smart in-car voice assistant backed by Mind GPT, understands user needs well. In terms of autonomous driving, L6 Pro comes standard with Li AD Pro, powered by a Horizon Robotics Journey 5 chip, providing 128 TOPS of computing power, while Li L6 Max comes standard with Li AD Max, powered by dual Orin-X chips, offering 508 TOPS of computing power. Along with the delivery of L6, Li AD Pro will be upgraded to Li AD Pro 3.0 and transition to a large model based BEV architecture. Li AD Max 3.0 will be incrementally updated with enhanced advanced autonomous driving capabilities, including the gradual expansion of city NOA coverage to all available roads nationwide.
Tho orders of L6 helped investors boost confidence after Li Auto’s lackluster April deliveries. Citi analyst Jeff Chung called the May order numbers as strong, with orders so far setting the stage for a potential acceleration in demand this month. He kept a buy rating on the shares.
At the beginning of this month, Li Auto said its delivery in May even dropped 11% month-over-month to 25,787 vehicles. The figure represented a mere 0.3% year-over-year rise, the slowest monthly expansion since August, 2022. However, the chairman and CEO Li Xiang expressed optimism about sales. “Li L6, our first model priced under RMB300,000, has garnered widespread popularity among young families following its April debut. We will commence large-scale deliveries in May,” Li said. He added his company will provide users with complimentary charging services and cover the electricity costs at all of its super charging stations during the May Day holiday period. It will also roll out OTA version 5.2 this month, significantly enhancing Li AD Pro and Li AD Max systems with more advanced and safer autonomous driving, automated parking, and active safety features, among others, Li said. He noted users will be able to control their vehicles through Siri following the upgrade, enjoying a more convenient and faster voice control experience.
Comments