Transportation

Li Auto Misses Estimates as China EV Competition Squeezes Profit

A Li One electric SUV at a showroom in Shanghai.Photographer: Qilai Shen/Bloomberg
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Beijing-based Li Auto Inc.’s profit missed analysts’ forecasts despite a recovery in sales as price cuts across the automaker’s product lineup put pressure on earnings.

The manufacturer of both extended-range electric vehicles and pure electric cars posted net income of 1.1 billion yuan ($154.4 million) in the three months through June, according to a company filingBloomberg Terminal Wednesday, missing the 1.82 billion yuan average estimate according to a Bloomberg survey. It marks an decrease of 52.3% from the same period a year ago.