HK Stock Market Move | LEAPMOTOR(09863) has opened over 3% higher, expected annual operating income to increase by no less than 80% year on year, and achieved positive net profit in the fourth quarter.

LEAPMOTOR (09863) opened more than 3% higher after profit delight, rising 3.67% to HK$31.1 as of the close, with a turnover of HK$5,915.2 million. On the news front, LEAPMOTOR announced that the Group's sales volume for the year ended December 31, 2024 reached 293,724 units, representing a 104% increase compared to 144,155 units for the year ended December 31, 2023. The Group is expected to achieve operating income of not less than RMB 30.5 billion for the year ended December 31, 2024, an increase of not less than 80% compared to 2023. The improvement in operating income is mainly due to a 104% year-on-year increase in sales volume in 2024 compared to 2023. At the same time, the Group is expected to achieve a gross profit margin of not less than 8% for the year ended December 31, 2024, a significant increase compared to the full year 2023. The improvement in gross profit margin is mainly attributed to the scale effect brought about by sales volume growth, continuous optimization of product sales structure, and ongoing cost management efforts. In the fourth quarter of 2024, the Group achieved positive net profit, achieving the goal of positive net profit for a single quarter one year ahead of schedule. The positive net profit in the fourth quarter of 2024 is mainly due to the continuous growth in sales volume in the fourth quarter, with an average monthly sales exceeding 40,000 units; the optimization of product structure, with sales of the higher-priced C-series models accounting for over 77%; and effective cost control and operational efficiency within the company.