--- title: "Leapmotor (1Q25 Minutes): How can the 'most competitive player' in new energy make a successful counterattack?" description: "Below is the earnings call $LEAPMOTOR(09863.HK) FY25Q1 Minutes. For the Quick Interpretation of the earnings report, please refer to《Leapmotor: Competing with Strength, A 'Real Deal' in the New Energy" type: "topic" locale: "en" url: "https://longbridge.com/en/topics/29831416.md" published_at: "2025-05-20T02:45:57.000Z" author: "[Dolphin Research](https://longbridge.com/en/news/dolphin.md)" --- # Leapmotor (1Q25 Minutes): How can the 'most competitive player' in new energy make a successful counterattack? **The following is**$LEAPMOTOR(09863.HK) **FY25Q1 earnings call minutes. For earnings analysis, please refer to《**[**Leapmotor: Competing with Strength, a 'Real Deal' in the Chaotic New Energy Era!**](https://longportapp.cn/zh-CN/topics/29820736?app_id=longbridge&utm_source=longbridge_app_share&channel=t29820736&invite-code=4NOXYT&locale=zh-CN&community_badge=1&profile_following_followers_activities=1)**》** **I. Key Earnings Highlights** **II. Detailed Earnings Call Content** **2.1 Core Information from Management** **1\. Products:** a. B10 Model: Equipped with Qualcomm 8650 autonomous driving chip and 8295 smart cockpit chip, featuring stable control and premium luxury configurations, setting a new benchmark for 120,000 RMB SUVs. Users prefer mid-to-high trim models and LiDAR versions, attracting younger demographics. b. B01 Model: Debuted at the Shanghai Auto Show in April 2025, offering class-leading 650 km range and top-tier smart features, targeting young consumers with a stylish, long-range, and intelligent sedan. c. Upgraded C10 Model: Built on the new LEAP 3.5 architecture, the only pure EV in its class with 600 km range and full 800V high-voltage fast charging. Upgraded chassis hardware and 220kWh high-voltage electric drive enhance driving dynamics and comfort. **2\. R&D Breakthroughs:** a. Leap 3.5 architecture launched on March 10 integrates hardware and software, featuring Qualcomm 8650 autonomous driving chip and 8295 cockpit chip for a unified smart cockpit experience. Centralized domain control upgrades autonomous driving, electric drive, battery, thermal management, and chassis systems. **b. Full-stack in-house R&D amplifies competitive advantages in efficiency:** Completed Qualcomm 8650 chip integration into LEAP 3.5 in 6 months. Combined with Hesai LiDAR, it supports urban memory navigation and NOA features slated for H2 2025 and H1 2026. Planned 2025 R&D investment exceeds 800 million RMB for autonomous driving, alongside talent acquisition. **3\. Sales & Service:** a. As of March, 756 sales outlets and 449 service centers cover 279 cities. The "1+N" store model shows early success with 289 Leapmotor Centers and 467 experience stores. Single-store efficiency rose 50% YoY in Q1 2025. Expansion into lower-tier cities will add 80 new counties by year-end, achieving 90% prefecture-level coverage. b. Retail metrics: Effective lead follow-up +4%, test drive conversion +9.3%, and order lock-in +1.5% vs. Dec 2024. Daily consultations hit 15,000; test drives average 3,300/day. c. Service: 15-minute response rate 99.4% (+0.4% QoQ), first-time repair rate 97.8% (+2.1%), 48-hour parts delivery 90.8% (+5.2%). **4\. Overseas Expansion:** a. Jan-Apr 2025 exports: 13,632 units (Q1: 7,546), leading among Chinese EV startups. b. Global footprint: 450+ European and 50 Asia-Pacific outlets as of March, net adding 100 stores QoQ. **c. Localization:** Malaysia: C10 assembly at Stellantis plant starts late 2025. Europe: Local production begins 2026 to accelerate market penetration. **5\. Orders:** 18,000+ orders during May 1-5 (single-day peak: 3,700 on May 5), including 1,099 C11 orders. **6\. Battery Certification:** Leapmotor batteries meet China's new mandatory standards one year early. **2.2 Q&A** **Q: Q1 gross margin beat expectations. Outlook for Q2? Any full-year margin guidance revision?** A: Strong Q1 with 87,000 deliveries (exceeding H1 2024 total). Margin growth stemmed from strategic partnerships, though slightly below Q4 2024. Q2 may dip due to product transitions (upgraded C10/C16/C11 launches) but targets 130,000-140,000 deliveries and breakeven. Maintains 2025 guidance: 500,000-600,000 units, 10%-12% margin. **Q: Revenue share from strategic partnerships? Spare parts revenue?** A: **Confidential per agreements.** Excluding partnerships, Q1 margin was flat QoQ. Promotions offset by cost optimizations. Additional collaborations underway. **Q: Aggressive C10 pricing—can margin exceed legacy models?** C10 upgrades (600km range, 800V charging) came with price cuts. Margin may dip temporarily but recover post-transition. **Q: Details on strategic partnerships?** A: Q1 collaborations focused on joint product development, boosting margin. Future terms vary by partner. **Q: Export margin?** Currently prioritizes volume over margin, covering R&D costs. No near-term profit focus. **Q: Autonomous driving investment feedback? Response to competitor subsidies?** A: Strong B10 orders; safety takes precedence over price adjustments. **Q: SUV model overlap (C10/C11/C16)?** A: Differentiated positioning drives "1+1+1>3" effect—all three topped 10,000 monthly sales in April 2024. **Q: Overseas plant timeline? Tariff strategy?** Malaysia production starts late 2025; Europe mid-2026. Pricing balances brand building and market share. Minimal profit expectations initially. **Q: April export sales?** A: 6,000+ wholesale (3,000 retail), led by upgraded C10. **Q: Local market adaptations?** A: Minor tweaks (e.g., Middle East AC, Brazil emissions) via Stellantis' global expertise. **Q: Partnership gross margin range?** A: Varies by collaboration model. Focus on long-term synergies over short-term margins. **Q: Store expansion plan?** 1,000+ stores targeted by 2025 (800+ in Q1). Prioritizes dealer profitability. **Q: B10 production constraints?** A: Battery supply issues resolved by May end. No material shortages for B01 launch. **Q: European pricing regulations?** Monitoring evolving policies. Localization mitigates tariff risks. **Q: Leap 3.5 cost savings?** A: **30%-40% reduction vs. Leap 3** via higher integration and 8650 chip adoption. **Q: Leapmotor International's model?** A: **Currently sales-focused**. Future may include manufacturing. Early-stage profits reinvested in market expansion. **Disclosures:** [**Dolphin Research Disclaimer**](https://support.longbridge.global/topics/misc/dolphin-disclaimer) ### Related Stocks - [09863.HK - LEAPMOTOR](https://longbridge.com/en/quote/09863.HK.md) --- > **Disclaimer**: This article is for reference only and does not constitute any investment advice.