Li Auto Shares Fall In Pre-market After Cutting Outlook For Q1 Vehicle Deliveries

(RTTNews) - Shares of Li Auto Inc. (LI) were down more than 9 percent in pre-market on Thursday at $31.00, after the Chinese electric vehicle maker cut its outlook for first-quarter vehicle deliveries citing lower-than-expected order intake.

The company now expects vehicle deliveries to be between 76,000 and 78,000 for the first quarter, lower than the previous outlook of 100,000 - 103,000.

Also, chairman and chief executive officer of Li Auto Xiang Li commented, "We want to acknowledge that the operating strategy of Li MEGA was mis-paced. We planned operations of Li MEGA as if the model had already entered the 1-to-10 scaling phase, while in fact, we were still in the nascent 0-to-1 business validation period. Similar to Li ONE and our EREV technologies, Li MEGA and our BEV technologies will also need to undergo this 0-to-1 validation process."

Li Auto shares had closed at $34.08, up 3.71 percent on Wednesday. The stock has been trading in the range of $21.48 - $47.33 in the last 1 year.