Today, Zhu Jiangming, the founder of Leap Motor, responded on social media regarding the recent restriction on his high consumption. He stated that the “high consumption limit” has been lifted today after three days. This incident also revealed some shortcomings within the team, and there is still a need for further improvement in their capabilities. However, this experience has strengthened his confidence in Leap Motor. “You can’t see the rainbow without going through the storm. Running a business is not easy and requires more supervision and support from all sectors of society.”
On September 25, according to the China Enforcement Information Public Network, Leap Motor’s subsidiary, Lingpao Automobile Trading Co., Ltd., was involved in a contractual dispute with Guangzhou Shouqi Automobile Service Co., Ltd. The court ruled that Leap Motor needed to pay approximately 3.6181 million yuan, including rent, vehicle purchase fees, penalties, and attorney fees. Later, due to the failure to fulfill the obligations outlined in the effective legal documents, Leap Motor was listed as a “dishonest person subject to enforcement” by the Baiyun District People’s Court in Guangzhou, and Zhu Jiangming, the founder, was thus restricted from high consumption.
Yesterday, in response to Leap Motor being listed as an “untrustworthy party” and the restriction on its founder’s high consumption, Leap Motor issued an urgent statement. The company confirmed that it had paid the full amount of 3,618,085.25 yuan in a single payment within the time frame specified in the mediation agreement. The company also emphasized that its operations are normal, and discussions with Guangzhou Shouqi regarding the outstanding vehicle transfer issues are ongoing.
Leap Motor, founded in December 2015, has been established for nearly ten years. The company offers a variety of models, including the Leap C11, T03, C16, C10, C01, B10, and B01, covering sedan, SUV, and MPV categories. Since last year, Leap Motor’s sales growth has accelerated. In 2024, Leap Motor’s cumulative sales reached 293,700 units, a 103.8% year-on-year increase, exceeding the 250,000-unit sales target for the year.
To further boost sales, Leap Motor introduced the new B series this year. On April 10, Leap Motor launched the all-new compact SUV, the B10, with a price range of 99,800 to 129,800 yuan. On July 24, the company introduced a new model in the B series, the B01, a pure electric compact sedan, with a price range of 89,800 to 119,800 yuan. The launch of these B series models has further driven Leap Motor’s sales growth.
According to the latest data, Leap Motor’s sales in August reached 57,066 units, a year-on-year increase of 88%. From January to August this year, the total sales were 328,859 units. The significant sales growth enabled Leap Motor to achieve a positive net profit for the first time in the first half of the year. In the first half of the year, the company’s revenue reached 24.25 billion yuan, a 174.1% increase compared to 8.845 billion yuan in the same period last year. The company earned a net profit of 33 million yuan, reversing a loss of 2.2 billion yuan during the same period last year. According to official plans, the sales target for this year is 500,000 to 600,000 units. With the current sales trend, achieving the 500,000-unit target should be within reach.
Regarding Leap Motor’s rapid sales growth in the past two years, Zhu Jiangming, the founder, stated in an interview that the growth is attributed to a coordinated strategy in multiple areas. On the product front, the company has continuously optimized existing models and expanded new product lines, particularly the B series. Next year, Leap Motor plans to launch the A series, targeting models priced below 100,000 yuan, covering a broader price range. This strategy is expected to drive new growth while maintaining the increase in existing product sales. Zhu Jiangming also revealed that the primary sales target for next year is 1 million units.
