The balance sheet shows a strategic shift from capital preservation to funding operational needs, with cash reserves declining by over $50 billion from their 2023Q4 peak to $40.1B and total debt nearly doubling to $30.0B, pushing the debt-to-equity ratio to 0.45.
Li Auto Inc. (LI) balance sheet — 8-year assets, liabilities & shareholders' equity history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 |
|---|
| Total Current Assets | 98.5B | 115.29B | 126.31B | 114.53B | 66.99B | 52.38B | 31.39B | 5.07B | 2.29B |
| Cash & Short-Term Investments | 85.64B | 101.02B | 112.81B | 103.26B | 56.51B | 47.52B | 28.64B | 3.57B | 930.11M |
| Cash Only | 40.15B | 56.69B | 65.9B | 91.33B | 38.48B | 27.85B | 8.94B | 1.3B | 70.19M |
| Short-Term Investments | 45.49B | 44.33B | 46.9B | 11.93B | 18.03B | 19.67B | 19.7B | 2.27B | 859.91M |
| Accounts Receivable | 206.66M | 119.82M | 135.11M | 143.52M | 48.38M | 120.54M | 115.55M | 8.3M | 0 |
| Days Sales Outstanding | 0.49 | 0.39 | 0.34 | 0.42 | 0.38 | 1.65 | 4.72 | 10.69 | - |
| Inventory | 8.34B | 8.75B | 8.19B | 6.87B | 6.8B | 1.62B | 1.05B | 518.09M | 155K |
| Days Inventory Outstanding | 32.75 | 34.98 | 26.01 | 26.04 | 66.63 | 27.98 | 50.64 | 496.68 | 0.63 |
| Other Current Assets | 4.32B | 5.39B | 5.18B | 4.25B | 1.94B | 3.12B | 1.56B | 902.61M | 1.36B |
| Total Non-Current Assets | 42.22B | 39.01B | 36.04B | 28.94B | 19.55B | 9.47B | 4.98B | 4.45B | 3.49B |
| Property, Plant & Equipment | 30.79B | 30.37B | 29.46B | 20.43B | 14.73B | 6.56B | 3.76B | 3.13B | 2.12B |
| Fixed Asset Turnover | 3.34x | 3.70x | 4.90x | 6.06x | 3.13x | 4.06x | 2.38x | 0.09x | - |
| Goodwill | 5.49M | 5.48M | 5.48M | 5.48M | 5.48M | -289.81M | -181.5M | 0 | 0 |
| Intangible Assets | 1.17B | 2.7B | 2.44B | 864.18M | 832.62M | 1.04B | 864.79M | 857.25M | 850.5M |
| Long-Term Investments | 6.67B | 848.67M | 922.9M | 1.6B | 1.48B | 156.31M | 162.85M | 126.18M | 177.14M |
| Other Non-Current Assets | 3.52B | 1.76B | 667.78M | 4.79B | 2.42B | 1.98B | 321.18M | 33.84M | 43.32M |
| Total Assets | 140.73B | 154.3B | 162.35B | 143.47B | 86.54B | 61.85B | 36.37B | 9.51B | 5.78B |
| Asset Turnover | 0.70x | 0.73x | 0.89x | 0.86x | 0.53x | 0.43x | 0.25x | 0.03x | - |
| Asset Growth % | -29.82% | -4.96% | 13.16% | 65.79% | 39.92% | 70.04% | 282.34% | 64.57% | - |
| Total Current Liabilities | 54.5B | 63.55B | 69.22B | 72.74B | 27.37B | 12.11B | 4.31B | 4.68B | 1.75B |
| Accounts Payable | 23.46B | 23.71B | 40.04B | 34.84B | 15.41B | 7.09B | 2.99B | 633.91M | 342.25M |
| Days Payables Outstanding | 122.37 | 94.77 | 127.25 | 131.99 | 150.89 | 122.59 | 144.55 | 607.72 | 1.39K |
| Short-Term Debt | 17.17B | 6.22B | 281.1M | 6.98B | 390.75M | 37.04M | 0 | 931.48M | 20M |
| Deferred Revenue (Current) | 5.81B | 1.63B | 1.29B | 1.61B | 579.73M | 315.35M | 271.51M | 87.44M | 1.58B |
| Other Current Liabilities | 12.66B | 151.55M | 114.79M | 10.3B | -1.55B | -570.88M | -193.03M | 2.26B | -301.06M |
| Current Ratio | 1.81x | 1.81x | 1.82x | 1.57x | 2.45x | 4.33x | 7.28x | 1.08x | 1.31x |
| Quick Ratio | 1.65x | 1.68x | 1.71x | 1.48x | 2.20x | 4.19x | 7.04x | 0.97x | 1.31x |
| Cash Conversion Cycle | -89.14 | -59.41 | -100.9 | -105.53 | -83.88 | -92.96 | -89.19 | -100.35 | - |
| Total Non-Current Liabilities | 20.25B | 17.61B | 21.81B | 10.15B | 13.98B | 8.68B | 2.26B | 252.57M | 6.43B |
| Long-Term Debt | 6.87B | 3.3B | 8.15B | 1.75B | 9.23B | 5.96B | 511.64M | 0 | 644.6M |
| Capital Lease Obligations | 25.6B | 6.61B | 6.38B | 3.68B | 1.95B | 1.37B | 1.39B | 241.11M | 583.7M |
| Deferred Tax Liabilities | 2.5B | 691.65M | 865M | 200.88M | 77.81M | 153.72M | 0 | 0 | 0 |
| Other Non-Current Liabilities | 6.19B | 5.95B | 5.25B | 3.28B | 2.14B | 802.26M | 356.68M | 11.46M | 5.2B |
| Total Liabilities | 74.74B | 81.16B | 91.03B | 82.89B | 41.35B | 20.78B | 6.57B | 4.93B | 8.18B |
| Total Debt | 30.01B | 17.81B | 16.34B | 13.55B | 12.26B | 7.84B | 2.11B | 1.71B | 1.36B |
| Net Debt | -10.14B | -38.88B | -49.56B | -77.78B | -26.21B | -20.01B | -6.82B | 414.68M | 1.29B |
| Debt / Equity | 0.45x | 0.24x | 0.23x | 0.22x | 0.27x | 0.19x | 0.07x | 0.37x | - |
| Debt / EBITDA | -9.76x | 4.33x | 1.74x | 1.51x | - | - | - | - | - |
| Net Debt / EBITDA | 3.30x | -9.45x | -5.26x | -8.69x | - | - | - | - | - |
| Interest Coverage | -24.14x | 8.72x | 50.62x | 122.18x | -19.31x | -1.42x | -1.78x | -25.95x | -16.80x |
| Total Equity | 65.98B | 73.14B | 71.32B | 60.58B | 45.19B | 41.06B | 29.8B | 4.58B | -2.4B |
| Equity Growth % | -1.37% | 2.55% | 17.74% | 34.06% | 10.04% | 37.78% | 550.57% | 291.22% | - |
| Book Value per Share | 65.52 | 68.27 | 66.99 | 57.27 | 46.55 | 44.31 | 32.93 | 5.06 | -2.65 |
| Total Shareholders' Equity | 65.98B | 72.62B | 70.87B | 60.14B | 44.86B | 41.06B | 29.8B | 4.58B | -2.4B |
| Common Stock | 0 | 1.46M | 1.45M | 1.45M | 1.42M | 1.41M | 1.25M | 165K | 165K |
| Retained Earnings | 0 | 11.18B | 10.92B | 2.44B | -8.82B | -6.81B | -6.48B | -5.69B | -2.41B |
| Treasury Stock | 0 | -73K | -74K | -90K | -84K | -89K | 0 | 0 | 0 |
| Accumulated OCI | 0 | 41.53M | -171.75M | 219.71M | -194.11M | -1.52B | -1.01B | 15.54M | 12.69M |
| Minority Interest | 0 | 520.49M | 445.5M | 432.6M | 327.61M | 0 | 0 | 0 | 0 |
Quick answers to the most common questions about buying LI stock.
As of 2025, Li Auto Inc. (LI) had total assets of $154.30B including $115.29B in current assets.
Li Auto Inc. (LI) carries total debt of $17.81B, offset by $101.02B in cash and short-term investments. Comparing total debt to cash helps evaluate the company's debt burden and net leverage.
Li Auto Inc. (LI) has total shareholders' equity (book value) of $72.62B ($68.27 book value per share). Book value represents the net worth of the company belonging to common stock holders.
Li Auto Inc. (LI) reported a current ratio of 1.81x. A current ratio above 1.0x indicates that the company has more current assets than current liabilities, suggesting sufficient short-term liquidity.
Key Metrics
Top Statement Risk
Rapid cash burn amid revenue contraction
Asset Base Contracts as Cash Reserves Decline
Li Auto's total assets have contracted by 8.8% from a peak of $162.3B in 2024Q4 to $140.7B in 2026Q2, driven primarily by a $25.8B reduction in cash holdings, suggesting a strategic shift from capital preservation to funding operational losses and investments.
The balance sheet trajectory shows a clear inflection point after 2024Q4, with assets shrinking for two consecutive quarters. This contraction is not driven by debt reduction but by a significant drawdown of cash reserves, which fell from $91.3B in 2023Q4 to $40.1B in 2026Q2. This pattern implies the company is now consuming its fortress balance sheet to fund operations and capital expenditures during a period of negative free cash flow, a material shift from its prior cash-generative state.
Cash Runway Shortens Amid Operational Burn
Despite a stable current ratio of 1.81, Li Auto's cash position has eroded by over $50 billion from its 2023Q4 peak, with the $40.1B remaining as of 2026Q2 now representing a finite buffer against ongoing negative free cash flow.
The headline liquidity metrics appear adequate, but the underlying trend is concerning. The company's cash burn rate has accelerated, with free cash flow turning negative in recent quarters. The current ratio's stability masks the composition change within current assets, where cash is being replaced by other, potentially less liquid, assets. Investors should monitor the quarterly cash burn rate to estimate the remaining runway before the company may need to access capital markets or significantly curtail investments.
Leverage Doubles as Strategic Debt Increases
Li Auto's total debt has nearly doubled from $16.3B in 2024Q4 to $30.0B in 2026Q2, pushing the debt-to-equity ratio from 0.23 to 0.45, which suggests a deliberate move to bolster liquidity as operating cash flows deteriorate.
The increase in leverage appears strategic rather than distress-driven, as it coincides with a period of negative free cash flow and revenue contraction. The company is likely using debt to preserve its cash runway for R&D and manufacturing investments during the transition to pure BEVs. However, this shift alters the capital structure from a net-cash position to a more leveraged one, increasing interest expense and reducing financial flexibility if the operational downturn persists.
Retained Earnings Volatility Distorts Equity Quality
Equity growth has stalled, with retained earnings fluctuating between $0 and $12.7B quarterly, indicating that reported profits are not consistently translating into book value accumulation due to potential dividend payments or other equity adjustments.
The erratic pattern in retained earnings, which drop to zero in several quarters despite the company reporting net income, suggests significant cash distributions or accounting adjustments that are not clearly disclosed. This volatility makes it difficult to assess the true organic growth of shareholder equity. The quality of equity is further questioned by the minimal goodwill balance, which implies the company's asset base is primarily tangible, but the lack of consistent retained earnings growth is a red flag for long-term value creation.
Deferred Revenue Decline Signals Weakening Demand
Deferred revenue has fallen from $2.9B in 2023Q4 to $1.9B in 2026Q2, a 34.5% decline that may indicate weakening pre-orders or a shift in customer payment terms, potentially foreshadowing further revenue pressure.
This forward-looking indicator is particularly concerning given the concurrent revenue contraction. A decline in deferred revenue typically suggests fewer customer prepayments or a reduction in advance orders, which could be an early warning of sustained demand weakness. When viewed alongside the negative revenue growth and margin compression, this trend implies that the company's future revenue visibility is deteriorating, and the current operational challenges may extend beyond a single quarter.