Revenue of 17.65 billion, gross profit margin of 20%, and IDEAL Automotive released Q4 2022 financial report.

Ideal Quarterly Report Released in Q4 2022

I. Financial Data in Q4 2022

  • Total revenue was RMB 17.65 billion, up 66% year-on-year and 89% quarter-to-quarter;

  • Automobile business revenue was RMB 17.27 billion, up 66% year-on-year and 91% quarter-to-quarter;

  • Total gross profit was RMB 3.57 billion, up 50% year-on-year and 203% quarter-to-quarter;

  • The overall gross profit margin was 20%, down from last year’s 22% and up from last quarter’s 13%;

  • The gross profit margin per vehicle was 20%, up from last quarter’s 12%;

  • Sales costs were RMB 14.08 billion, up 71% year-on-year and 73% quarter-to-quarter;

  • Net profit was RMB 265 million, up from a net loss of RMB 1.65 billion in the previous quarter;

  • The company’s cash balance (including cash and cash equivalents, restricted cash, and balances of term deposits and short-term investments) was RMB 58.45 billion, up from RMB 55.83 billion in the previous quarter;

  • The R&D expenses of Ideal in the fourth quarter were RMB 2.07 billion, up 15% quarter-to-quarter, accounting for 12% of the quarter’s total revenue;

  • Sales and management expenses were RMB 1.63 billion, up 44% year-on-year and 8% quarter-to-quarter.

II. Business Expectations for Q1 2023

  • An estimated delivery of 52,000 to 55,000 vehicles, an increase of approximately 64% to 73% compared to Q1 2022;

  • Expected total revenue between RMB 17.45 billion and RMB 18.45 billion, an increase of approximately 83% to 93% compared to Q1 2022.

This article is a translation by ChatGPT of a Chinese report from 42HOW. If you have any questions about it, please email bd@42how.com.