Buoyed by growing sales and profits, Leapmotor has raised its annual target to 580,000-650,000 vehicles and is aiming for one million units by 2026.
On November 4, media reports claimed that FAW Group would gradually acquire equity in Leapmotor through a private placement, ultimately becoming its largest shareholder. The related plan was reportedly approved by regulatory authorities and scheduled for official announcement on November 17.
In response to these market rumors, a Leapmotor representative told the Shanghai Securities News: “This information is inaccurate.” Leapmotor also issued the same statement to other media, officially denying the acquisition rumors.
Although Leapmotor denied the equity acquisition rumors, the company has a long-standing cooperative relationship with FAW Group.
As early as March 2025, the two parties signed a Memorandum of Understanding on Strategic Cooperation. According to the agreement, their collaboration spans two dimensions: first, joint development of new energy passenger vehicles and components cooperation; second, further exploration of the feasibility of deepening capital cooperation.
Currently, Leapmotor has won the bid for the Hongqi G117 model vehicle development project. Based on its LEAP 3.5 architecture, the premium electric model developed for Hongqi is expected to enter production in the second half of 2026, with plans for export to markets including Europe, the UK, and Australia.
Financially, Leapmotor recently delivered what has been described as the “fastest profitability turnaround among emerging EV makers.” In the first half of 2025, the company delivered 221,700 vehicles (up 155.7% YoY), generated revenue of RMB 24.25 billion (surging 174% YoY), and achieved a net profit of RMB 33.03 million—marking its first half-year profit. Its gross margin rose to 14.1%, with cash and equivalents on hand reaching RMB 29.58 billion, and free cash flow turning positive at RMB 860 million.
The simultaneous improvements in both deliveries and profitability prompted Leapmotor to raise its full-year target to 580,000–650,000 vehicles, with plans to challenge the one-million-vehicle scale in 2026.
On the product front, the company will launch two new platforms—A and D—next year, covering segments from mini vehicles to full-size models. Meanwhile, localized production in Europe has been added to the agenda, with operations expected to begin by the end of 2026, laying the foundation for increasing the export share to 60%.
Cao Li, Senior Vice President of Leapmotor, stated that profitability is just the starting point; globalization is the end goal.
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