ZEEKR Intelligent Technology Holding Limited

ZEEKR Group reported first-quarter 2025 vehicle deliveries of 414,011, up 21% year over year. Revenue reached about RMB22 billion, including vehicle revenue of RMB19.1 billion; vehicle revenue was up 16.1% year over year. Vehicle gross margin was 16.5%, up 3.4 percentage points year over year, and gross margin was 19.1% versus 16.3% in Q1 2024 and 18% in Q4 2024. ZEEKR brand margin was 21.2% and Lynk & Co margin was 11.4%. R&D expense was RMB2.9 billion, up 25% year over year and down 25.6% quarter over quarter; SG&A was about RMB2.65 billion, down 9.2% year over year and 35.8% quarter over quarter. Net loss narrowed 60% year over year to RMB763 million. For 2025, management reiterated a sales target of over 320,000 vehicles for ZEEKR and 390,000 for Lynk & Co, or 710,000 combined. Management also said the new super electric hybrid powertrain project has an internal target of contributing 150,000 to 200,000 vehicles per year in the future.

CEO Conghui An framed the quarter as evidence that the ZEEKR and Lynk & Co integration is creating scale benefits, better profitability, and more product synergy. He emphasized a broader strategy built around products, technology, and channel expansion, with a growing premium lineup and a push into global markets. His tone was confident and promotional, especially around the new super electric hybrid models, ADAS platform, and fast-charging battery technology.

CFO Yuan Jing highlighted the financial improvement from the first full quarter after the strategic integration, pointing to RMB22 billion in revenue, RMB19.1 billion in vehicle revenue, and a 16.5% vehicle gross margin. He said gross margin improved to 19.1%, R&D was RMB2.9 billion, SG&A was about RMB2.65 billion, and net loss narrowed to RMB763 million. He also noted that vehicle margin beat the company’s earlier 15% guidance and that cost discipline plus scale helped drive the profit improvement. On capital allocation and transaction matters, he said the company would not comment on the pending privatization offer and that a special committee of independent directors would handle it.

Analysts asked whether sales through the first four months were tracking expectations, whether the company would update its 2025 volume target, and how the pending privatization/GDR-related matters should be viewed. Management said April performance was in line with expectations despite no new product launches in Q1 and no change in sales policies, and it reaffirmed the 710,000 combined sales target for 2025. On the transaction questions, management repeatedly declined to comment, saying a special committee of independent directors is evaluating the offer and that the company will disclose updates only in accordance with legal requirements. Analysts also pressed on the new super hybrid technology; management said it offers strong performance whether the battery is charged or depleted, fast charging, and lower maintenance costs, and said the internal target is 150,000 to 200,000 vehicles per year in the future.