Revenue jumped 36 per cent to 20 billion yuan (US$2.8 billion) in the April to June quarter, compared with the first three months of 2024. The figure exceeded the company’s previous record of 16.4 billion yuan in the fourth quarter of 2023 by 22.5 per cent and also beat a consensus estimate of 18.8 billion yuan by analysts in a Bloomberg survey.
Net loss narrowed 10.5 per cent quarter on quarter to 1.81 billion yuan, or 0.95 yuan per share, also beating analysts’ forecast of a 1.04 yuan loss per share.
“Zeekr is emerging as a strong player in the premium EV segment as its cars are viewed as value-for-money products by many customers,” said Gao Shen, an independent analyst in Shanghai. “Competition among the premium brands has intensified after Zeekr and smartphone vendor Xiaomi joined the EV race.”
Zeekr’s deliveries at home and abroad in the second quarter shot up 65.8 per cent to 54,811, compared with the previous quarter. Early this month, the company said it aims to hand off 30,000 units per month in the fourth quarter after its assemblies are expanded and fine-tuned. Zeekr sold 118,685 units in 2023, notching a 65 per cent year-on-year increase.
It has been offering discounts to attract more buyers in the mainland market, where EVs accounted for more than 50 per cent of car sales in July.
“As we progress through the second half of 2024, our core objectives remain unchanged: to continuously invest in research and development, ensuring we stay at the forefront of technological innovation to drive our business forward and deliver long-term value for our shareholders,” An Conghui, Zeekr’s CEO, said in a statement after the company its earnings on Wednesday.
He added that accelerated global expansion and stepped-up marketing efforts would help Zeekr expand its customer base.
In May, Zeekr raised US$441 million after upsizing its stock offering in New York following strong demand from global investors. The carmaker sold 21 million American depositary shares at US$21 each, the top end of the price range.
Geely established Zeekr in 2021 and started delivering its Zeekr 001 in October 2021. In mainland China, the company competes against Tesla and domestic rivals such as Nio and Xpeng in the premium EV segment.
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The company’s refreshed 007 model, fitted with the new battery, starts at 209,900 yuan, unchanged from the previous version, which requires 15 minutes of charging for 500km of range.
Also on Wednesday, Zeekr’s parent, Geely Auto, which is listed in Hong Kong, reported net profit of 10.6 billion yuan for the first half of 2024, up 575 per cent from the same period a year ago. Revenue jumped 47 per cent to 107.3 billion yuan.
Zeekr rival Xpeng said on Tuesday that it expects its deliveries in the third quarter to increase as much as 49 per cent quarter on quarter to 45,000 units.
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