Chinese automaker Geely's premium electric vehicle (EV) subsidiary, Zeekr Intelligent Technology Holding Limited, has officially filed for an initial public offering (IPO) in New York, making it the fourth Chinese car manufacturer to seek a listing in the United States. The filing, disclosed in a prospectus on the US Securities and Exchange Commission's website, outlines Zeekr's intention to trade on the New York Stock Exchange under the ticker symbol ZK.
Formally established in March 2021, Zeekr delivered 6,007 vehicles in its debut year, followed by a substantial increase to 71,941 deliveries in 2022. As of October 2023, the company has delivered a total of 92,105 vehicles this year.
Financial details presented in the prospectus reveal Zeekr's revenues, recording RMB 3.185 billion ($437 million) in 2020, RMB 6.528 billion in 2021, and a significant surge to RMB 31.9 billion in 2022. The first half of 2023 saw revenue reaching RMB 21.27 billion, reflecting a 136.07 percent growth compared to the same period in the previous year.
Zeekr's gross margins were reported at 15.9 percent and 7.7 percent in 2021 and 2022, respectively, with an uptick to 10.5 percent in the first half of 2023. Vehicle sales revenue for 2021 and 2022 was RMB 1.54 billion and RMB 19.67 billion, respectively, while the first half of 2023 saw RMB 13.18 billion in revenue from vehicle sales.
Despite revenue growth, Zeekr has reported losses since its inception, with RMB 4.51 billion and RMB 7.65 billion in losses for 2021 and 2022, respectively. The first half of 2023 showed a loss of RMB 3.87 billion, up 25.24 percent from the corresponding period in 2022.
Zeekr's commitment to research and development is evident, with RMB 3.19 billion spent on R&D in the first half of 2023, marking a 56.09 percent year-on-year increase. Cumulative R&D expenses for the period spanning the first half of 2021 to 2023 amounted to RMB 11.8 billion.
Li Shufu, also known as Eric Li, the founder and chairman of Zhejiang Geely Holding, serves as the chairman of Zeekr. An Conghui, or Andy An, is the co-founder and CEO of Zeekr, with two other co-founders, Li Donghui and Gui Shengyue.
As of now, Geely Auto holds a 54.7 percent stake in Zeekr, Geely International (Hong Kong) Limited owns 13.2 percent, and GHGK Innovation Limited holds 9.8 percent.