Li Auto Inc. Reports August 2026 Vehicle Deliveries and Announces Upcoming Product Launches

Nio (NIO) dropped 4% after J.P. Morgan downgraded it to Neutral and cut its price target to $4.50, citing weak EV demand and price competition in China. The firm reduced its 2027 earnings forecast by 52%. Peers XPeng (XPEV) and Li Auto (LI) also slipped 1%. Nio reported an 18.5% vehicle gross margin in Q2 but faces cost increases in H2.

Li Auto launched the second-gen Mega (Mega Home) in China at 509,800 yuan (75,000 USD). The model features upgrades in design, luxury, smart driving, and performance. Deliveries begin this week, with right-hand drive versions planned for Hong Kong, Macau, and Thailand by year-end. The vehicle includes a 29-inch OLED 6K screen, 33-speaker audio, and a 710 km electric range.

Li Auto (LI) reported Q2 2026 revenue of RMB 25.7 billion, down 15.1% YoY, with deliveries at 98,330 vehicles, a 11.5% YoY decline. Vehicle margin fell to 9.4% from 19.4% YoY, leading to a net loss of RMB 1.7 billion. Q3 guidance: 95,000-100,000 deliveries and RMB 26.6-28.0 billion revenue. Cash position was RMB 87.5 billion. Management cited model refresh and market competition as challenges, with long-term gross margin targets at 15-20%.

Chinese automakers reported mixed August 2026 delivery results. BYD (1211) sold 440,293 NEVs, up 17.84% YoY, with overseas sales driving growth. Leapmotor (9863) delivered over 100,000 vehicles for the second straight month. Xpeng (XPEV) and Li Auto (LI) returned to sequential growth, while Nio (NIO) stayed above 35,000 deliveries. Huawei HIMA saw declines. Zeekr set a new record, and Xiaomi (1810) exceeded 30,000 deliveries.

Li Auto delivered 37,679 vehicles in August, a 32% year-on-year increase, ending a three-month decline. Total deliveries for the first 8 months were 261,619, down 0.6% year-on-year. The company guided for 95,000 to 100,000 deliveries in Q3, with new product launches expected to drive sales.

Li Auto's CEO, Li Xiang, previewed the next-gen MEGA MPV, launching Sept. 2. He claimed the electric vehicle sector is at a pivotal point, comparing it to the 'Nokia vs. iPhone' shift. The new MEGA features advanced technologies for improved handling and comfort, with a 710 km range and 5C fast charging. The vehicle will be unveiled at 19:30 on Sept. 2, with orders opening immediately after.