What is Zeekr Technology Group?
The company is a world’s leading premium new energy vehicle group from Geely Holding Group. Through developing and offering next-generation premium battery electric vehicles (BEVs) and technology-driven solutions, the company aspires to lead the electrification, intelligentization, and innovation of the automobile industry. Since its inception, the company has focused on innovation in BEV architecture, hardware, software, and application of new technologies. The company strategically spearheaded the premium intelligent BEV market with unique positioning, featuring a strong sense of technology, in-house research and development capabilities, stylish design, high-caliber performance, and premium user experience. Together, these features enable fast product development, launch, and iteration, and a series of customer-oriented products and go-to-market strategies. Thus, the company is able to rapidly expand even with a limited operating history. Powered by SEA, an open-source modular platform from Geely Holding, the company's new energy vehicles benefit from streamlined research and development, cost efficiency, and seamless technology integration. As a premium battery electric vehicle brand incubated by Geely Group, the company leverages Geely's engineering expertise, supply chain strength, and manufacturing capacity to scale production efficiently. The company's in-house technology hubs in Sweden and China drive innovation in intelligent mobility, battery, and energy solutions, enabling rapid product iteration and external engineering services. The company elevates the customer experience with a vast network of offline touchpoints, integrated online communities, and comprehensive charging solutions, while strategically expanding into international markets to foster growth and innovation. The company’s vehicle design is led by the pioneering design team in Gothenburg, Sweden. The company also leverages Geely Group’s advanced and well-established manufacturing capacity, which helps retain effective oversight over key steps in procurement, manufacturing, and product quality control with minimal capital outlay. At the same time, the company's BEVs are manufactured at the ZEEKR Factory or the Chengdu Factory, which are owned and operated by Geely Group, and Geely Holding was the company's largest supplier for 2022 and the nine months ended September 30, 2023. Furthermore, before the launch of ZEEKR 001, a significant portion of the company's revenue has historically been derived from the sales of batteries and other components and research and development services to Geely Group. The company has strong in-house technological capabilities focusing on electrification and intelligentization. The company's in-house design, engineering, and R&D enable the company to achieve high product development efficiency and rapid product iteration, as well as to provide engineering services to external parties. In particular, the company's in-house capabilities are also supported by (i) the Sweden-based R&D center CEVT in the research and development of intelligent mobility solutions, and (ii) Ningbo Viridi, the company's PRC subsidiary focused on products and systems relating to battery, motor and electric control, power solutions, and energy storage. Leveraging the company's in-house E/E Architecture design and operating system, ZEEKR OS, the company continuously updates its BEV functions through effective and efficient FOTA. The company deploys cutting-edge autonomous driving technology into its BEVs by world-leading players such as Mobileye and has also announced plans to integrate NVIDIA DRIVE Thor, the 2,000 TOPS AV superchip, into its centralized vehicle computer for the next generation of intelligent BEVs. The company also leverages Geely Group’s advanced and well-established manufacturing capacity, which helps retain effective oversight over key steps in procurement, manufacturing, and product quality control with minimal capital outlay. At the same time, the company's BEVs are manufactured at the ZEEKR Factory or the Chengdu Factory, which are owned and operated by Geely Group, and Geely Holding was the company's largest supplier for 2022 and the six months ended June 30, 2023. Furthermore, before the launch of ZEEKR 001, a significant portion of the company's revenue has historically been derived from the sales of batteries and other components and research and development services to Geely Group. The company has strong in-house technological capabilities focusing on electrification and intelligentization. The company's in-house design, engineering, and R&D enable it to achieve high product development efficiency and rapid product iteration, as well as to provide engineering services to external parties. In particular, the company's in-house capabilities are also supported by (i) the company's Sweden-based R&D center CEVT in the research and development of intelligent mobility solutions, and (ii) Ningbo Viridi, the company's PRC subsidiary focused on the products and systems relating to battery, motor and electric control, power solutions, and energy storage. Leveraging the company's in-house E/E Architecture design and operating system, ZEEKR OS, the company continuously updates its BEV functions through effective and efficient FOTA. These competitive advantages enable the company to quickly incorporate customer needs and concepts into its products and manage the complex operation process to achieve the fast ramp-up of production and deliveries. The company also leverages Geely Group’s advanced and well-established manufacturing capacity, which helps retain effective oversight over key steps in procurement, manufacturing, and product quality control with minimal capital outlay. At the same time, the company's BEVs are manufactured at the ZEEKR Factory, the Chengdu Factory, and the Meishan Factory, which are owned and operated by Geely Group, and Geely Holding was the company's largest supplier for 2022 and 2023. Furthermore, before the launch of ZEEKR 001, a significant portion of the company's revenue has historically been derived from sales of batteries and other components and research and development services to Geely Group. The company has strong in-house technological capabilities focusing on electrification and intelligentization. The company's in-house design, engineering, and R&D enable it to achieve high product development efficiency and rapid product iteration, as well as to provide engineering services to external parties. In particular, the company's in-house capabilities are also supported by (i) the Sweden-based R&D center CEVT in the research and development of intelligent mobility solutions, and (ii) Ningbo Viridi, the company's PRC subsidiary focused on products and systems relating to batteries, motors, electric control, power solutions, and energy storage. Leveraging the company's in-house E/E Architecture design and operating system, ZEEKR OS, it continuously updates its BEV functions through effective and efficient FOTA. These competitive advantages enable the company to quickly incorporate customer needs and concepts into its products and manage the complex operation process to achieve the fast ramp-up of production and deliveries. The company also leverages Geely Group’s advanced and well-established manufacturing capacity, which helps retain effective oversight over key steps in procurement, manufacturing, and product quality control with minimal capital outlay. At the same time, the company's BEVs are manufactured at the ZEEKR Factory, the Chengdu Factory, and the Meishan Factory, which are owned and operated by Geely Group, and Geely Holding was the company's largest supplier for 2022 and 2023. Furthermore, before the launch of ZEEKR 001, a significant portion of the company's revenue has historically been derived from sales of batteries and other components and research and development services to Geely Group. The company has strong in-house technological capabilities focusing on electrification and intelligentization. The company's in-house design, engineering, and R&D enable the company to achieve high product development efficiency and rapid product iteration, as well as to provide engineering services to external parties. In particular, the company's in-house capabilities are also supported by (i) the Sweden-based R&D center CEVT in the research and development of intelligent mobility solutions, and (ii) Ningbo Viridi, the company's PRC subsidiary focused on products and systems relating to batteries, motors, electric control, power solutions, and energy storage. Leveraging the company's in-house E/E Architecture design and operating system, ZEEKR OS, the company continuously updates its BEV functions through effective and efficient FOTA. Together with the company's proprietary advanced battery solutions and highly efficient electric drive system, the extended range version is expected to be the world’s first pure-electric MPV model with an over 800 km CLTC range and the longest all-electric range in the MPV market, according to Frost & Sullivan. As a premium BEV brand incubated by Geely Group, the company inherits unique competitive edges from Geely Group that are developed through years of execution experience at the frontier of the industry, such as innovative and agile engineering capabilities, robust R&D capabilities, deep industry expertise, extreme attention to safety, top-notch professionals, strong supply chain and manufacturing management capabilities, and operational know-how. Geely Group’s powerful and world-class brand equity also echoes product innovation, performance, and reliability in its broad customer base, which, in turn, contributes to the significant consumer interest and demand for the brand. These competitive advantages enable the company to quickly incorporate customer needs and concepts into its products and manage the complex operation process to achieve the fast ramp-up of production and deliveries. The company also leverages Geely Group’s advanced and well-established manufacturing capacity, which helps retain effective oversight over key steps in procurement, manufacturing, and product quality control with minimal capital outlay. At the same time, the company's BEVs are manufactured in the factory, which is owned and operated by Geely Holding, and Geely Holding was the company's largest supplier for 2022. Together with the company's proprietary advanced battery solutions and highly efficient electric drive system, the extended range version of the 009 model is expected to be the world’s first pure-electric MPV model with an over 800 km CLTC range and the longest all-electric range in the MPV market, according to Frost & Sullivan. As a premium BEV brand incubated by Geely Group, the company inherits unique competitive edges from Geely Group that are developed through years of execution experience at the frontier of the industry, such as innovative and agile engineering capabilities, robust R&D capabilities, deep industry expertise, extreme attention to safety, top-notch professionals, strong supply chain and manufacturing management capabilities, and operational know-how. Geely Group’s powerful and world-class brand equity also echoes product innovation, performance, and reliability in its broad customer base, which, in turn, contributes to the significant consumer interest and demand for the brand. These competitive advantages enable the company to quickly incorporate customer needs and concepts into its products and manage the complex operation process to achieve the fast ramp-up of production and deliveries. The company also leverages Geely Group’s advanced and well-established manufacturing capacity, which helps retain effective oversight over key steps in procurement, manufacturing, and product quality control with minimal capital outlay. At the same time, the company's BEVs are manufactured in a factory owned and operated by Geely Holding, and Geely Holding was the company's largest supplier for the nine months ended September 30, 2022. The company is a fast-growing BEV technology company. Through developing and offering next-generation premium BEVs and technology-driven solutions, the company aspires to lead the electrification, intelligentization, and innovation of the automobile industry. Since its inception, the company has focused on innovation in BEV architecture, hardware, software, and application of new technologies. The company's efforts are backed by strong in-house R&D capabilities, a deep understanding of products, high operational flexibility, and a flat, efficient organizational structure. Together, these features enable fast product development, launch, and iteration, as well as a series of customer-oriented products and go-to-market strategies. Thus, the company is able to rapidly expand even with a limited operating history. The company strategically spearheaded the premium intelligent BEV market with unique positioning, featuring a strong sense of technology, in-house R&D capabilities, stylish design, high-caliber performance, and a premium user experience. The company's current product portfolio primarily includes ZEEKR 001, ZEEKR 009, and ZEEKR X. The current and future BEV models will define the company's success. • ZEEKR 001. With an unwavering commitment to its mission, the company released ZEEKR 001 in April 2021, a five-seater, cross-over hatchback vehicle model with superior performance and functionality. Targeting the premium BEV market, ZEEKR 001 is the company's first vehicle model and the world’s first mass-produced pure electric shooting brake, according to Frost & Sullivan. ZEEKR 001 is also the first mass-produced BEV model with over $1,000 km CLTC range, according to Frost & Sullivan. The company began the delivery of ZEEKR 001 in October 2021. • ZEEKR 009. The company is a fast-growing BEV technology company. Through developing and offering next-generation premium BEVs and technology-driven solutions, the company aspires to lead the electrification, intelligentization, and innovation of the automobile industry. Since its inception, the company has focused on innovation in BEV architecture, hardware, software, and application of new technologies. The company's efforts are backed by strong in-house R&D capabilities, a deep understanding of products, high operational flexibility, and a flat, efficient organizational structure. Together, these features enable fast product development, launch, and iteration, as well as a series of customer-oriented products and go-to-market strategies. Thus, the company is able to rapidly expand even with a limited operating history. The company strategically spearheaded the premium intelligent BEV market with unique positioning, featuring a strong sense of technology, in-house R&D capabilities, stylish design, high-caliber performance, and a premium user experience. The company's current product portfolio primarily includes ZEEKR 001, ZEEKR 001 FR, ZEEKR 009, ZEEKR X, and an upscale sedan model. • ZEEKR 001. With an unwavering commitment to its mission, the company released ZEEKR 001 in April 2021, a five-seater, cross-over hatchback vehicle model with superior performance and functionality. Targeting the premium BEV market, ZEEKR 001 is the company's first vehicle model and the world’s first mass-produced pure electric shooting brake, according to Frost & Sullivan. ZEEKR 001 is also the first mass-produced BEV model with over $1,000 km CLTC range, according to Frost & Sullivan. The company began the delivery of ZEEKR 001 in October 2021. In February 2024, the company released an upgraded model of ZEEKR 001, or ZEEKR 001 (2024 model). The company is a fast-growing BEV technology company. Through developing and offering next-generation premium BEVs and technology-driven solutions, the company aspires to lead the electrification, intelligentization, and innovation of the automobile industry. Since its inception, the company has focused on innovation in BEV architecture, hardware, software, and application of new technologies. The company's efforts are backed by strong in-house R&D capabilities, a deep understanding of products, high operational flexibility, and a flat, efficient organizational structure. Together, these features enable fast product development, launch, and iteration, as well as a series of customer-oriented products and go-to-market strategies. Thus, the company is able to rapidly expand even with a limited operating history. The company strategically spearheaded the premium intelligent BEV market with unique positioning, featuring a strong sense of technology, in-house R&D capabilities, stylish design, high-caliber performance, and a premium user experience. The current product portfolio primarily includes ZEEKR 001, ZEEKR 001 FR, ZEEKR 009, and ZEEKR X. ZEEKR 001. With an unwavering commitment to its mission, the company released ZEEKR 001 in April 2021, a five-seater, cross-over hatchback vehicle model with superior performance and functionality. Targeting the premium BEV market, ZEEKR 001 is the company's first vehicle model and the world’s first mass-produced pure electric shooting brake, according to Frost & Sullivan. ZEEKR 001 is also the first mass-produced BEV model with over 1,000 km CLTC range, according to Frost & Sullivan. The company began the delivery of ZEEKR 001 in October 2021. In October 2023, the company released ZEEKR 001 FR, its latest cross-over hatchback vehicle model based on ZEEKR 001. The company is a fast-growing BEV technology company. Through developing and offering next-generation premium BEVs and technology-driven solutions, the company aspires to lead the electrification, intelligentization, and innovation of the automobile industry. Since its inception, the company has focused on innovation in BEV architecture, hardware, software, and application of new technologies. The company's efforts are backed by strong in-house R&D capabilities, a deep understanding of products, high operational flexibility, and a flat, efficient organizational structure. Together, these features enable fast product development, launch, and iteration, as well as a series of customer-oriented products and go-to-market strategies. Thus, the company is able to rapidly expand even with a limited operating history. The company strategically spearheaded the premium intelligent BEV market with unique positioning, featuring a strong sense of technology, in-house R&D capabilities, stylish design, high-caliber performance, and a premium user experience. The current product portfolio primarily includes ZEEKR 001, ZEEKR 001 FR, ZEEKR 009, and ZEEKR X. ZEEKR 001. With an unwavering commitment to its mission, the company released ZEEKR 001 in April 2021, a five-seater, cross-over hatchback vehicle model with superior performance and functionality. Targeting the premium BEV market, ZEEKR 001 is the company's first vehicle model and the world’s first mass-produced pure electric shooting brake, according to Frost & Sullivan. ZEEKR 001 is also the first mass-produced BEV model with over $1,000 km CLTC range, according to Frost & Sullivan. The company began the delivery of ZEEKR 001 in October 2021. In October 2023, the company released ZEEKR 001 FR, its latest cross-over hatchback vehicle model based on ZEEKR 001. Company is a fast-growing BEV technology company. Through developing and offering next-generation premium BEVs and technology-driven solutions, company aspires to lead the electrification, intelligentization, and innovation of the automobile industry. Since its inception, company has focused on innovation in BEV architecture, hardware, software, and application of new technologies. Company's efforts are backed by strong in-house R&D capabilities, deep understanding of products, high operational flexibility, and a flat, efficient organizational structure. Together, these features enable fast product development, launch, and iteration, and a series of customer-oriented products and go-to-market strategies. Thus, company is able to rapidly expand even with a limited operating history. Company strategically spearheaded the premium intelligent BEV market with unique positioning, featuring a strong sense of technology, in-house R&D capabilities, stylish design, high-caliber performance, and a premium user experience. Company's current product portfolio includes ZEEKR 001 and ZEEKR 009. Company's current and future BEV models will define the company's success. ZEEKR 001. With an unwavering commitment to its mission, company released ZEEKR 001 on April 15, 2021, a five-seater, cross-over hatchback vehicle model with superior performance and functionality. Targeting the premium BEV market, ZEEKR 001 is company's first vehicle model and the world’s first mass-produced pure electric shooting brake, according to Frost & Sullivan. Company began the delivery of ZEEKR 001 on October 23, 2021. • ZEEKR 009. On November 1, 2022, company launched its second model, ZEEKR 009, a luxury six-seater MPV model providing a comfortable, ultra-luxury mobility experience for both families and business uses. The company is a fast-growing BEV technology company. Through developing and offering next-generation premium BEVs and technology-driven solutions, the company aspires to lead the electrification, intelligentization, and innovation of the automobile industry. Since its inception, the company has focused on innovation and technological advancement in BEV architecture, hardware, software, and application of new technologies. The company's efforts are backed by strong in-house R&D capabilities, high operational flexibility, and a flat, efficient organizational structure. Together, these features enable fast product development, launch, and iteration, and a series of customer-oriented products and go-to-market strategies. Thus, the company is able to rapidly expand even with a limited operating history. The company's total revenue from vehicle sales amounted to RMB1,544.3 million and RMB19,671.2 million (US$2,852.1 million) in 2021 and 2022, respectively, with a gross profit margin of 1.8% and 4.7%, respectively. In addition to vehicle sales, the company generated revenues from research and development services, as well as other services and sales of batteries and other components. The company's total revenue amounted to RMB6,527.5 million and RMB31,899.4 million (US$4,625.0 million) in 2021 and 2022, respectively, with a gross profit margin of 15.9% and 7.7%, respectively. The company recorded a net loss of RMB4,514.3 million and RMB7,655.1 million (US$1,109.9 million) in 2021 and 2022, respectively. The development of the company's BEV models is powered by SEA, a set of open-source, electric and modularized platforms owned by Geely Holding compatible with A segment to E segment, covering sedan, SUV, MPV, hatchback, roadster, pickup truck, and robotaxi, which have a wheelbase mainly between 1,800 mm to 3,300 mm. The company is a fast-growing BEV technology company. Through developing and offering next-generation premium BEVs and technology-driven solutions, the company aspires to lead the electrification, intelligentization, and innovation of the automobile industry. Since its inception, the company has focused on innovation in BEV architecture, hardware, software, and application of new technologies. The company's efforts are backed by strong in-house R&D capabilities, a deep understanding of products, high operational flexibility, and a flat, efficient organizational structure. Together, these features enable fast product development, launch, and iteration, as well as a series of customer-oriented products and go-to-market strategies. Thus, the company is able to rapidly expand even with a limited operating history. The company strategically spearheaded the premium intelligent BEV market with unique positioning, featuring a strong sense of technology, in-house R&D capabilities, stylish design, high-caliber performance, and a premium user experience. The company's current product portfolio primarily includes ZEEKR 001, ZEEKR 001 FR, ZEEKR 009, ZEEKR X, and an upscale sedan model. ZEEKR 001. With an unwavering commitment to its mission, the company released ZEEKR 001 in April 2021, a five-seater, cross-over hatchback vehicle model with superior performance and functionality. Targeting the premium BEV market, ZEEKR 001 is the company's first vehicle model and the world’s first mass-produced pure electric shooting brake, according to Frost & Sullivan. ZEEKR 001 is also the first mass-produced BEV model with over $1,000 km CLTC range, according to Frost & Sullivan. The company began the delivery of ZEEKR 001 in October 2021. In February 2024, the company released an upgraded model of ZEEKR 001, or ZEEKR 001 (2024 model). Company is a fast-growing BEV technology company developing and offering next generation premium BEVs and technology-driven solutions to lead the electrification, intelligentization, and innovation of the automobile industry. Company is an independently-run startup-style company relying on its in-house R&D capabilities and self-owned sales and marketing network, among others. Company adopts a flat and efficient organizational structure led by key management with diversified backgrounds. Since inception, Company has been managed and directed by its executive officers, and save for Conghui An, who is currently an executive director of Geely Auto, none of Company's executive officers are members of management of Geely Auto. Additionally, Mr. An is expected to not hold any positions in Geely Auto prior to or upon the completion of the offering. While Company's chairman, Shufu Li, is also the chairman of Geely Auto, upon the completion of the offering, the directors that Company shares in common with Geely Auto will not have executive roles at Company. Company has been dedicated to serving its customers leveraging top-notch technology, advanced product concepts, and an enriched entrepreneurial spirit that embraces creativity and innovation. Company is strategically positioned as a premium BEV brand that delivers an ultimate experience covering driving, charging, after-sale service, and customer community engagement. Company’s product family meets a wide spectrum of customer needs in different mobility and travel scenarios and is highly customized with a wide selection of vehicle configurations. The company is a fast-growing BEV technology company. Through developing and offering next-generation premium BEVs and technology-driven solutions, the company aspires to lead the electrification, intelligentization, and innovation of the automobile industry. Since its inception, the company has focused on innovation in BEV architecture, hardware, software, and application of new technologies. The company's efforts are backed by strong in-house R&D capabilities, a deep understanding of products, high operational flexibility, and a flat, efficient organizational structure. Together, these features enable fast product development, launch, and iteration, as well as a series of customer-oriented products and go-to-market strategies. Thus, the company is able to rapidly expand even with a limited operating history. The company strategically spearheaded the premium intelligent BEV market with unique positioning, featuring a strong sense of technology, in-house R&D capabilities, stylish design, high-caliber performance, and a premium user experience. The company's current product portfolio includes Model A and Model B. The company's current and future BEV models will define the company's success. Model A. With an unwavering commitment to its mission, the company released Model A on April 15, 2021, a five-seater, crossover hatchback vehicle model with superior performance and functionality. Targeting the premium BEV market, Model A is the company's first vehicle model and the world’s first mass-produced pure electric shooting brake, according to Frost & Sullivan. The company began the delivery of Model A on October 23, 2021. • Model B. On November 1, 2022, the company launched its second model, Model B, a luxury six-seater MPV model providing a comfortable, ultra-luxury mobility experience for both families and business uses. The company is a fast-growing BEV technology company. Through developing and offering next-generation premium BEVs and technology-driven solutions, the company aspires to lead the electrification, intelligentization, and innovation of the automobile industry. Since its inception, the company has focused on innovation and technological advancement in BEV architecture, hardware, software, and application of new technologies. The company's efforts are backed by strong in-house R&D capabilities, high operational flexibility, and a flat, efficient organizational structure. Together, these features enable fast product development, launch, and iteration, and a series of customer-oriented products and go-to-market strategies. Thus, the company is able to rapidly expand even with a limited operating history. The development of the company's BEV models is powered by SEA, a set of open-source, electric and modularized platforms owned by Geely Holding compatible with A segment to E segment, covering sedan, SUV, MPV, hatchback, roadster, pickup truck, and robotaxi, which have a wheelbase mainly between 1,800 mm to 3,300 mm. The company depends on Geely Holding to allow the company to continue to utilize SEA, which is currently the most suitable platform for the company. The widely compatible SEA enables robust R&D capabilities, execution efficiency, cost efficiency, and control consistency in the vehicle development process, giving the company's BEVs significant advantages. competitive advantages in the market. The SEA platform also offers the flexibility to quickly adopt and accommodate the latest and most advanced technology improvements. For example, the company was able to equip the ZEEKR 009 with CATL’s latest Qilin battery thanks to the structural flexibility of the SEA platform.
Company Company B ZEEKR Intelligent Technology Holding Limited (the “Company” or “company”) was incorporated under the laws of the Cayman Islands on March 31, 2021. The company, together with its subsidiaries (collectively, the “Group”), is principally engaged in the commercialization and sales of electric vehicles and batteries, as well as the provision of automotive-related research and development services. Prior to the establishment of the company, the Group’s businesses were conducted through the following entities: (i) ZEEKR Automobile (Shanghai) Co., Ltd., previously known as Shanghai Maple Guorun Automobile Company Ltd. (“company Shanghai”); (ii) ZEEKR Automobile (Ningbo Hangzhou Bay New Zone) Co., Ltd. (“company Hangzhou Bay”); (iii) Viridi E-Mobility Technology (Ningbo) Co., Ltd. (“Ningbo Viridi”); (iv) ZEEKR Technology Europe AB (“ZTE”, previously known as China-Euro Vehicle Technology Aktiebolag or “CEVT”). In 2021, in an effort to establish an independent Battery Electric Vehicles (BEV) business to obtain investment from outside investors and in preparation for an overseas listing, Zhejiang Geely Holding Group Co., Ltd. (“Geely Holding”), the controlling shareholder of Geely Automobile Holdings Limited (“Geely Auto”), undertook a series of contemplated reorganizations (the “Reorganization”). The main purpose of the Reorganization was to establish the company as the overseas holding company for the above BEV-related businesses that were originally operated within Geely Holding and Geely Auto. Subsequent to the establishment of the company in March 2021, the above businesses were transferred to the company by Geely Holding and Geely Auto as part of the Reorganization. As these entities being transferred are all under the common control of Geely Holding, these transfers were accounted for as a restructuring of entities under common control as follows: In July 2021, the company established Zhejiang ZEEKR Intelligent Technology Co., Ltd (“Zhejiang company”) in the People’s Republic of China (“PRC”), a wholly-owned subsidiary. In July 2021, the company Shanghai, a subsidiary of Geely Auto, acquired 100% equity interest in the company Hangzhou Bay from Geely Holding for a cash consideration of RMB485.3 million. The net book value of the company Hangzhou Bay at the time of acquisition was RMB500 million. The corresponding difference between acquisition consideration paid and the entity’s net book value of RMB14,671 was recognized in additional paid-in capital. In August 2021, the Group, through Zhejiang company, acquired 100% equity interest in the company Shanghai (99% from Geely Auto and 1% from Geely Holding) for a cash consideration of RMB980.4 million. The net book value of the company Shanghai was RMB970.4 million at the time of acquisition. The corresponding difference between acquisition consideration paid and the entity’s net book value of RMB10,032 loss was recognized in additional paid-in capital. In October 2021, the Group, through the company Shanghai, acquired 51% equity interest in Ningbo Viridi, a subsidiary of Geely Holding, by injecting capital contribution of RMB860.7 million in Ningbo Viridi. As a result of this transaction, Ningbo Viridi became a subsidiary of the Group with a 49% non-controlling interest in the amount of RMB743,088 recognized at the date of acquisition. In February 2022, the Group, through Zhejiang company, acquired 100% equity interest in ZTE from Geely Holding for a cash consideration of Swedish Krona (“SEK”) 1,057.8 million (RMB741.3 million). The net book value of ZTE was RMB728.1 million at the time of acquisition. The corresponding difference between acquisition consideration paid and the entity’s net book value of RMB13,130 loss was recognized in additional paid-in capital. Upon the completion of the above transactions, company Shanghai, company Hangzhou Bay, Ningbo Viridi, and company Technology Europe AB became operating subsidiaries of the Group. In May 2024, company successfully listed on the New York Stock Exchange (NYSE). • In August 2021, the Group, through Zhejiang company, acquired 100% equity interest in company Shanghai (99% from Geely Auto and 1% from Geely Holding) for a cash consideration of RMB980.4 million. The net book value of company Shanghai was RMB970.4 million at the time of acquisition. The corresponding difference between acquisition consideration paid and the entity’s net book value of RMB10,032 loss was recognized in additional paid-in capital. [Table Level]
- Table Title: Entities within the company Intelligent Technology Holding Limited group
- Table Summary: This table lists the entities within the company group, their places of incorporation, and their principal activities. Each entity plays a distinct role in company's ecosystem, from investment holding to manufacturing and research.
- Context: The table provides information regarding entities previously part of Geely Holding and Geely Auto, which were reorganized under company to establish a focused Battery Electric Vehicles business for overseas listing.
- Special Notes: None

[Row Level]
Row 1: company Automobile (Shanghai) Co., Ltd., previously known as Shanghai Maple Guorun Automobile Company Ltd., referred to as "company Shanghai," is incorporated in The People's Republic of China and serves as an investment holding company.
Row 2: company Automobile (Ningbo Hangzhou Bay New Zone) Co., Ltd., referred to as "company Hangzhou Bay," is incorporated in The People's Republic of China and is responsible for managing the production and commercialization of electric vehicles.
Row 3: Viridi E-Mobility Technology (Ningbo) Co., Ltd., known as "Ningbo Viridi," is incorporated in The People's Republic of China and focuses on the production and sales of electric powertrain and battery packs for electric vehicles.
Row 4: China-Euro Vehicle Technology Aktiebolag, or "CEVT," is incorporated in Sweden and specializes in providing research and development services. In 2021, in an effort to establish an independent Battery Electric Vehicles (BEV) business to obtain investment from outside investors and in preparation for an overseas listing, Zhejiang Geely Holding Group Co., Ltd. (“Geely Holding”), the controlling shareholder of Geely Automobile Holdings Limited (‘‘Geely Auto’’), undertook a series of contemplated reorganizations (the “Reorganization”). The main purpose of the Reorganization is to establish company as the overseas holding company for the above BEV-related businesses that were originally operated within Geely Holding and Geely Auto. Subsequent to the establishment of company in March 2021, the above businesses were transferred to company by Geely Holding and Geely Auto as part of the Reorganization. As these entities being transferred are all under the common control of Geely Holding, these transfers were accounted for as a restructuring of entities under common control as follows: • In July 2021, company Intelligent Technology Holding Limited established Zhejiang company Intelligent Technology Co., Ltd. (“Zhejiang company”) in the People’s Republic of China (“PRC”), a wholly-owned subsidiary. • In July 2021, company Shanghai, a subsidiary of Geely Auto, acquired 100% equity interest in company Hangzhou Bay from Geely Holding for a cash consideration of RMB485.3 million. The net book value of company Hangzhou Bay at the time of acquisition was RMB500 million. The corresponding difference between acquisition consideration paid and the entity’s net book value of RMB14,671 was recognized in additional paid-in capital. The company 009 is the world’s first premium MPV based on a pure-electric platform, according to Frost & Sullivan. The company 009 has enjoyed wide popularity since launch, and the company started to deliver the company 009 to its customers in January 2023. Going forward, the company plans to capture the extensive potential of the premium BEV market globally through an expanding portfolio of vehicles. For instance, the company plans to launch SUV and sedan models targeting tech-savvy adults and families in the future. The company and Waymo are collaborating on the development of a purpose-built TaaS vehicle built on SEA-M, which will be deployed in the United States over the coming years. SEA-M is an advanced version of SEA that is a high-tech mobility solution to support a range of future mobility products including robotaxis and logistics vehicles, laying a solid and flexible foundation for global autonomous driving technology or ride-sharing companies to develop. Through these future models, the company intends to provide premium mobility solutions of innovation, comfort, and intelligence, as well as a spacious and luxurious high-tech experience with enhanced performance. As a testament to the popularity of the company's current products and capabilities, the company has achieved a total delivery of 10,000 units of the company 001 in less than four months after the initial delivery, which, according to Frost & Sullivan, sets a new record among the major mid- to high-end NEV models and premium BEV models in China. In October 2022, the company delivered 10,119 units of ZEEKR 001 to the market, making it the first pure-electric premium vehicle model manufactured by a Chinese BEV brand with over 10,000 units of single-month delivery volume, according to Frost & Sullivan. The company has delivered a cumulative 86,519 units of ZEEKR vehicles as of February 28, 2023, and achieved among the fastest delivery in the premium BEV market in China from October 2021 to December 2022, according to Frost & Sullivan. The development of the company's BEV models is powered by SEA, a set of open-source, electric and modularized platforms owned by Geely Holding compatible with A segment to E segment, covering sedan, SUV, MPV, hatchback, roadster, pickup truck, and robotaxi, which have a wheelbase mainly between 1,800 mm to 3,300 mm. The company depends on Geely Holding to allow it to continue to utilize SEA, which is currently the most suitable platform for the company. The widely compatible SEA enables robust R&D capabilities, execution efficiency, cost efficiency, and control consistency in the vehicle development process, giving the company's BEVs significant competitive advantages in the market. SEA also offers the flexibility to quickly adopt and accommodate the latest and most advanced technology improvements. For example, the company was able to equip ZEEKR 009 with CATL’s latest Qilin battery thanks to the structural flexibility of SEA. Furthermore, before the launch of ZEEKR 001, a significant portion of the company's revenue has historically been derived from the sales of batteries and other components and research and development services to Geely Group. The company has strong in-house technological capabilities focusing on electrification and intelligentization. The company's in-house design, engineering, and R&D enable it to achieve high product development efficiency and rapid product iteration, as well as to provide engineering services to external parties. In particular, the company's in-house capabilities are also supported by (i) the company's Sweden-based R&D center CEVT in the research and development of intelligent mobility solutions, and (ii) Ningbo Viridi, the company's PRC subsidiary focused on the products and systems relating to battery, motor and electric control, power solutions, and energy storage. Leveraging the company's in-house E/E Architecture design and operating system, ZEEKR OS, the company continuously updates its BEV functions through effective and efficient FOTA. The company deploys cutting-edge autonomous driving technology into its BEVs by world-leading players such as Mobileye and has also announced plans to integrate NVIDIA DRIVE Thor, the 2,000 TOPS AV superchip, into its centralized vehicle computer for the next generation of intelligent BEVs. The company also offers an intelligent cockpit to deliver interactive, immersive, and enjoyable driving experiences. To successfully achieve the company's mission, the company assembled a top-notch management team with diversified yet complementary backgrounds and experiences. The company's management team possesses entrepreneurial spirit, deep automotive and technology sector expertise along with customer-centric operation experience, which are essential to driving the company's future development. The company's co-founder and CEO Conghui An has over 25 years’ experience in multiple executive management positions in Geely Group and accumulated profound industry insights and senior management experience with an excellent track record. In addition to the company, Mr. An has successfully established, developed, and operated both Geely and Lynk&Co, two well-established vehicle brands of Geely Group. The company is guided by its customer-oriented principle to provide customers with service and experience in every aspect of their journey with the company. The company adopts a customer-oriented DTC sales model with a focus on innovative and interactive engagement with its customers. The company has established extensive customer touchpoints including 15 centers, 195 spaces, 26 delivery centers, and 24 houses as of December 31, 2022. In addition, the company closely interacts with customers through building an integrated online and offline customer community to provide a holistic experience that goes beyond the purchase of intelligent BEVs. Within the app, customers can enjoy one-stop car purchase, charging solutions, financial services, roadside assistance, intelligent car control, online shopping of lifestyle products, social interaction, and seamless communication with the customer services team. The company also holds a variety of offline customer events to nurture a vibrant user community. The company's customer engagement efforts enable it to better understand customer needs to be incorporated into future product design and continuously strengthen customer loyalty and stickiness. Underpinned by the company's superior capability in supply chain and manufacturing planning and management, the company is also able to offer a wide range of customized options in terms of vehicle designs and functionalities, which are highly appreciated by its customers. The company has established a comprehensive charging network and provided hassle-free charging services through at-home charging solutions, on-the-road charging solutions, and 24/7 charging fleets. The ultra charging stations, in particular, provide users with an ultimate charging experience through the company's proprietary ultra-fast charging technology developed by Ningbo Viridi. As of December 31, 2022, there were 607 charging stations with different charging capabilities, including 200 ultra charging stations, 292 super charging stations, and 115 light charging stations, covering 113 cities in China, further supported by third-party charging stations that cover 336 cities in China with approximately 380 thousand charging piles in total. The company has established in-depth partnerships with a number of internationally renowned smart mobility companies, laying a solid foundation for the company's business development and global expansion. For example, the company collaborates with Mobileye, a subsidiary of Intel and one of the company's strategic investors, for consumer-ready autonomous driving solutions. The company and Waymo are collaborating on the development of a purpose-built TaaS vehicle built on the SEA-M platform which will be deployed in the United States over the coming years. Furthermore, the company has deep relationships with a range of leading suppliers, such as CATL, Bosch, and Aptiv. The company operates in a rapidly growing market with extensive potential. Driven by improving battery and smart technologies, supportive regulatory policies, and enhancement of charging infrastructure, China’s BEV market has substantial room for growth in both volume and BEV penetration. China’s BEV sales volume is expected to be more than quadrupled to 11.3 million units in 2026 from 2021, according to Frost & Sullivan. The premium BEV market is expected to experience even faster growth, almost increasing to five times the volume in 2021 by 2026, according to Frost & Sullivan. The European BEV market has significant size and growth potential, which is expected to reach 4.4 million units in sales volume in 2026, representing a CAGR of 29.4% from 2022 to 2026, according to Frost & Sullivan. In the future, the company also plans to tap into the BEV market in Europe and the robotaxi market in the United States. The company started to deliver its first model, ZEEKR 001, in October 2021. The company's revenue from vehicle sales amounted to RMB1,544.3 million and RMB19,671.2 million (US$2,852.1 million) in 2021 and 2022, respectively, with a gross profit margin of 1.8% and 4.7%, respectively. In addition to vehicle sales, the company generated revenues from research and development services, as well as other services and sales of batteries and other components. The company's total revenue amounted to RMB6,527.5 million and RMB31,899.4 million (US$4,625.0 million) in 2021 and 2022, respectively, with a gross profit margin of 15.9% and 7.7%, respectively. The company recorded a net loss of RMB4,514.3 million and RMB7,655.1 million (US$1,109.9 million) in 2021 and 2022, respectively. The company depends on Geely Holding to allow the company to continue to utilize SEA, which is currently the most suitable platform for the company. The widely compatible SEA enables robust R&D capabilities, execution efficiency, cost efficiency, and control consistency in the vehicle development process, giving the company's BEVs significant advantages. competitive advantages in the market. The SEA platform also offers the flexibility to quickly adopt and accommodate the latest and most advanced technology improvements. For example, the company was able to equip a model with CATL’s latest Qilin battery thanks to the structural flexibility of the SEA platform. Together with the company's proprietary advanced battery solutions and highly efficient electric drive system, the extended range version of the model is expected to be the world’s first pure-electric MPV model with an over 800 km CLTC range and the longest all-electric range in the MPV market, according to Frost & Sullivan. The company is guided by its customer-oriented principle to provide customers with service and experience in every aspect of their journey with the company. The company adopts a customer-oriented direct-to-consumer (DTC) sales model with a focus on innovative and interactive engagement with its customers. The company has established extensive customer touchpoints including 15 centers, 195 spaces, 26 delivery centers, and 24 houses as of December 31, 2022. In addition, the company closely interacts with customers by building an integrated online and offline customer community to provide a holistic experience that goes beyond the purchase of intelligent battery electric vehicles (BEVs). Within the company APP, customers can enjoy one-stop car purchase, charging solutions, financial services, roadside assistance, intelligent car control, online shopping of company lifestyle products, social interaction, and seamless communication with the customer services team. The company also holds a variety of offline customer events to nurture a vibrant user community. The company's customer engagement efforts enable it to better understand customer needs to be incorporated into future product design, and continuously strengthen customer loyalty and stickiness. Underpinned by the company's superior capability in supply chain and manufacturing planning and management, it is also able to offer a wide range of customized options in terms of vehicle designs and functionalities, which are highly appreciated by its customers. The company's revenue from vehicle sales amounted to RMB1,544.3 million and RMB19,671.2 million (US$2,852.1 million) in 2021 and 2022, respectively, with a gross profit margin of 1.8% and 4.7%, respectively. In addition to vehicle sales, the company generated revenues from research and development services, as well as other services and sales of batteries and other components. The company's total revenue amounted to RMB6,527.5 million and RMB31,899.4 million (US$4,625.0 million) in 2021 and 2022, respectively, with a gross profit margin of 15.9% and 7.7%, respectively. The company recorded a net loss of RMB4,514.3 million and RMB7,655.1 million (US$1,109.9 million) in 2021 and 2022, respectively. [Table Level]
- Table Title: Key Entities Under company
- Table Summary: The table outlines key entities within company Intelligent Technology Holding Limited, providing details on each entity's former name, incorporation location, and primary business activities. This helps illustrate the scope of operations and geographical footprint of company.
- Context: Initially, company was formed via a restructuring involving Geely Holding and Geely Auto to centralize its battery electric vehicle operations under a single international holding entity.
- Special Notes: company's establishment aimed to attract external investments and was part of a strategic effort for overseas listing.

[Row Level]
Row 1: company Automobile (Shanghai) Co., Ltd., which was previously known as Shanghai Maple Guorun Automobile Company Ltd. and referred to as "company Shanghai", is incorporated in The People’s Republic of China. Its principal activity is as an investment holding company.

Row 2: company Automobile (Ningbo Hangzhou Bay New Zone) Co., Ltd., also known as "company Hangzhou Bay", is based in The People’s Republic of China. This entity manages the production and commercialization of electric vehicles.

Row 3: Viridi E-Mobility Technology (Ningbo) Co., Ltd., often called "Ningbo Viridi", is located in The People’s Republic of China. Its main focus is on the production and sales of electric powertrains and battery packs for electric vehicles.

Row 4: company Technology Europe AB, previously known as "China-Euro Vehicle Technology Aktiebolag" or "CEVT", is incorporated in Sweden. This entity provides research and development services. In 2021, in an effort to establish an independent Battery Electric Vehicles (BEV) business to obtain investment from outside investors and in preparation for an overseas listing, Zhejiang Geely Holding Group Co., Ltd. (“Geely Holding”), the controlling shareholder of Geely Automobile Holdings Limited (‘‘Geely Auto’’), undertook a series of contemplated reorganizations (the “Reorganization”). The main purpose of the Reorganization is to establish the company as the overseas holding company for the above BEV-related businesses that were originally operated within Geely Holding and Geely Auto. Subsequent to the establishment of the company in March 2021, the above businesses were transferred to the company by Geely Holding and Geely Auto as part of the Reorganization. As these entities being transferred are all under the common control of Geely Holding, these transfers were accounted for as a restructuring of entities under common control as follows: • In July 2021, the company established Zhejiang company Intelligent Technology Co., Ltd. (“Zhejiang company”) in the People’s Republic of China (“PRC”), a wholly-owned subsidiary. • In July 2021, company Shanghai, a subsidiary of Geely Auto, acquired 100% equity interest in company Hangzhou Bay from Geely Holding for a cash consideration of RMB485.3 million. The net book value of company Hangzhou Bay at the time of acquisition was RMB500 million. The corresponding difference between acquisition consideration paid and the entity’s net book value of RMB14,671 was recognized in additional paid-in capital. In August 2021, the Group, through Zhejiang ZEEKR, acquired 100% equity interest in ZEEKR Shanghai (99% from Geely Auto and 1% from Geely Holding) for a cash consideration of RMB980.4 million. The net book value of ZEEKR Shanghai was RMB970.4 million at the time of acquisition. The corresponding difference between acquisition consideration paid and the entity’s net book value of RMB10,032 loss was recognized in additional paid-in capital. [Table Level]  
- Table Title: Entities and their Principal Activities within company Group  
- Table Summary: The table provides an overview of four entities under the company Group, detailing their names, places of incorporation, and principal activities. It highlights the diverse functions these entities perform, from investment holding to research and development.  
- Context: The table is part of the notes to the combined and consolidated financial statements of company Intelligent Technology Holding Limited for the years ended December 31, 2021, 2022, and 2023. The context describes the incorporation of company in the Cayman Islands and its subsequent development, including the transfer of relevant subsidiaries under a reorganization.  
- Special Notes: The content involves entities operating under the common control of Geely Holding, with transfers accounted for as a restructuring under common control.  

[Row Level]  
Row 1: The entity named company Automobile (Shanghai) Co., Ltd., which was previously known as Shanghai Maple Guorun Automobile Company Ltd. ("company Shanghai"), is incorporated in the People’s Republic of China and primarily functions as an investment holding company.  

Row 2: company Automobile (Ningbo Hangzhou Bay New Zone) Co., Ltd., known as "company Hangzhou Bay," is based in the People’s Republic of China and is tasked with managing the production and commercialization of electric vehicles.  

Row 3: Viridi E-Mobility Technology (Ningbo) Co., Ltd., referred to as "Ningbo Viridi," operates within the People’s Republic of China, focusing on the production and sales of electric powertrain and battery packs for electric vehicles.  

Row 4: company Technology Europe AB, previously named "China-Euro Vehicle Technology Aktiebolag" or "CEVT," is incorporated in Sweden and specializes in providing research and development services. [Table Level]
- Table Title: Entities Comprising company Intelligent Technology Holding Limited 
- Table Summary: This table identifies the key entities involved in company Intelligent Technology Holding Limited, providing details on their location of incorporation and principal activities. The table highlights entities focused on manufacturing, commercialization, and research in the electric vehicle sector.
- Context: Prior to the establishment of company Intelligent Technology Holding Limited in March 2021, the business operations were facilitated by several entities, each with specific roles in investment holding, vehicle production, or research and development.
- Special Notes: The table incorporates information within a broader discussion on company's establishment and its strategic realignment under common control through restructuring by Geely Holding.

[Row Level]
Row 1: company Automobile (Shanghai) Co., Ltd., previously known as Shanghai Maple Guorun Automobile Company Ltd. (“company Shanghai”), is incorporated in the People's Republic of China and primarily functions as an investment holding company. 
Row 2: company Automobile (Ningbo Hangzhou Bay New Zone) Co., Ltd. (“company Hangzhou Bay”) is also incorporated in the People's Republic of China and is engaged in managing the production and commercialization of electric vehicles.
Row 3: Viridi E-Mobility Technology (Ningbo) Co., Ltd. (“Ningbo Viridi”), located in the People's Republic of China, focuses on the production and sales of electric powertrains and battery packs for electric vehicles.
Row 4: company Technology Europe AB, which was previously known as China-Euro Vehicle Technology Aktiebolag (“CEVT”), is incorporated in Sweden, and its principal activity involves the provision of research and development services. The company has established a comprehensive charging network and provided hassle-free charging services through at-home charging solutions, on-the-road charging solutions, and 24/7 charging fleets. The ultra charging stations, in particular, provide users with an ultimate charging experience through the company's proprietary ultra-fast charging technology developed by Ningbo Viridi. As of December 31, 2023, there were 882 company charging stations with different charging capabilities, including 436 ultra charging stations, 330 super charging stations, and 116 light charging stations, covering over 130 cities in China, further supported by over 54 thousand third-party charging stations that cover over 340 cities in China with approximately 610 thousand charging piles in total. The company has established in-depth partnerships with a number of internationally renowned smart mobility companies, laying a solid foundation for the company's business development and global expansion. For example, the company collaborates with Mobileye, a subsidiary of Intel and one of the company's strategic investors, for consumer-ready autonomous driving solutions. The company is working with Waymo, a leader in L4 autonomous driving technology, to supply vehicles for the Waymo One Fleet. The vehicles are purpose-built TaaS vehicles based on SEA-M, which is an advanced version of SEA and a high-tech mobility solution that supports a range of future mobility products including robotaxis and logistics vehicles. Furthermore, the company has deep relationships with a range of leading suppliers, such as CATL, Bosch, and Aptiv. In addition, the company has a relationship with Onsemi, a leader in intelligent power and sensor technologies. The company started to deliver ZEEKR 001 (2024 model) in March 2024. In October 2023, the company released ZEEKR 001 FR, a cross-over hatchback vehicle model based on ZEEKR 001. Featuring unique exterior and interior design and proprietary technologies, ZEEKR 001 FR is designed to offer outstanding vehicle performance with various driving modes. The company started to deliver ZEEKR 001 FR in November 2023. • ZEEKR 009. In November 2022, the company launched its second model, ZEEKR 009, a luxury six-seater MPV model providing a comfortable, ultra-luxury mobility experience for both families and business uses. ZEEKR 009 is the world’s first premium MPV based on a pure-electric platform, according to Frost & Sullivan. ZEEKR 009 has enjoyed wide popularity since launch, and the company started to deliver ZEEKR 009 to its customers in January 2023. In April 2024, the company launched ZEEKR 009 Grand, a luxury version of ZEEKR 009 featuring enhanced safety, privacy, and intelligence. The company also released ZEEKR MIX, its MPV model, in the same month. • ZEEKR X. In April 2023, the company released ZEEKR X, a compact SUV model featuring spacious interior design, advanced technology, and superior driving performance. The company began to deliver ZEEKR X in June 2023. • ZEEKR Upscale Sedan Model. In November 2023, the company launched its first upscale sedan model targeting tech-savvy adults and families. Powered by 800V architecture and multi-link suspension. Structure, the company's upscale sedan model is expected to achieve a $2.84 \mathrm{s} ~ 0{ \cdot }100 \mathrm{km/h}$ acceleration and a 688km maximum CLTC range. The company began the delivery of its first upscale sedan model in January 2024. The company's current and future BEV models will define the company's success. Going forward, the company plans to capture the extensive potential of the premium BEV market globally through an expanding portfolio of vehicles. For instance, the company plans to launch vehicles for the next generation mobility lifestyle. Through these future models, the company intends to provide premium mobility solutions of innovation, comfort, and intelligence, as well as a spacious and luxurious high-tech experience with enhanced performance. As a testament to the popularity of the company's current products and capabilities, the company has achieved a total delivery of 10,000 units of its first model in less than four months after the initial delivery, which, according to Frost & Sullivan, is one of the fastest among the major mid- to high-end NEV models and premium BEV models in China. In October 2022, the company delivered 10,119 units of its first model to the market, making it the first pure-electric premium vehicle model manufactured by a Chinese BEV brand with over 10,000 units of single-month delivery volume, according to Frost & Sullivan. As of December 31, 2023, the company delivered a total of 196,633 vehicles since the first vehicle delivery in October 2021, including 192,441 delivered in China. This is among the fastest delivery growth in the premium BEV market in China, according to Frost & Sullivan. The company has strong in-house technological capabilities focusing on electrification and intelligentization. The company's in-house design, engineering, and R&D enable the company to achieve high product development efficiency and rapid product iteration, as well as to provide engineering services to external parties. In particular, the company's in-house capabilities are also supported by (i) the Sweden-based R&D center CEVT in the research and development of intelligent mobility solutions, and (ii) Ningbo Viridi, the company's PRC subsidiary focused on the products and systems relating to battery, motor and electric control, power solutions, and energy storage. Leveraging the company's in-house E/E Architecture design and operating system, ZEEKR OS, the company continuously updates its BEV functions through effective and efficient FOTA. The company deploys cutting-edge autonomous driving technology into its BEVs, utilizing world-leading players such as Mobileye, and has also announced plans to integrate NVIDIA DRIVE Thor, the 2,000 TOPS AV superchip, into its centralized vehicle computer for the next generation of intelligent BEVs. The company also offers an intelligent cockpit to deliver interactive, immersive, and enjoyable driving experiences. To successfully achieve the company's mission, the company assembled a top-notch management team with diversified yet complementary backgrounds and experiences. The company's management team possesses entrepreneurial spirit, deep automotive and technology sector expertise along with customer-centric operation experience, which are essential to driving the company's future development. The company's co-founder and CEO Conghui An has over 25 years’ experience in multiple executive management positions in Geely Group and accumulated profound industry insights and senior management experience with an excellent track record. The company began the delivery of its first upscale sedan model in January 2024. As a testament to the popularity of the company's current vehicle models and its capabilities, the company has achieved a total delivery of 10,000 units of ZEEKR 001 in less than four months after the initial delivery, which, according to Frost & Sullivan, is one of the fastest among the major mid- to high-end new energy vehicle models. premium BEV models in China. In October 2022, the company delivered 10,119 units of ZEEKR 001 to the market, making it the first pure-electric premium vehicle model manufactured by a Chinese BEV brand with over 10,000 units of single-month delivery volume, according to Frost & Sullivan. As of December 31, 2023, the company delivered a total of 196,633 ZEEKR vehicles since the first vehicle delivery in October 2021, including 192,441 delivered in China. This is among the fastest delivery growth in the premium BEV market in China, according to Frost & Sullivan. As a premium BEV brand incubated by Geely Group, the company inherits unique competitive edges from Geely Group that are developed through years of execution experience at the frontier of the industry, such as innovative and agile engineering capabilities, robust R&D capabilities, deep industry expertise, extreme attention to safety, top-notch professionals, strong supply chain and manufacturing management capabilities, and operational know-how. Geely Group’s powerful and world-class brand equity also echoes product innovation, performance, and reliability in its broad customer base, which, in turn, contributes to the significant consumer interest and demand for the ZEEKR brand. Within less than three years since the company’s inception, the company has launched multiple commercialized electric vehicle models, namely Model A, Model B, Model C, Model D, and an upscale sedan model. Model A is a five-seater crossover shooting brake BEV model targeting the premium market and mainly addressing the customer need for practical yet stylish traveling. The company released Model A (2024 model) in February 2024 and started vehicle delivery in March 2024. Model C is a luxury six-seater MPV addressing the customer need for luxury mobility. In April 2023, the company released Model D, the compact SUV model, and began to deliver Model D in June 2023. The company also started to deliver Model B in November 2023 and began to deliver the first upscale sedan model in January 2024. In addition to major upgrades such as the release of Model A (2024 model), the company has also been continuously fine-tuning and improving the performance of its other BEV models. For example, the company updated the interior configurations of Model C and improved the chassis system of Model D in 2024. In April 2024, the company launched Model E, a luxury version of Model C featuring enhanced safety, privacy, and intelligence. The company also released Model F, the MPV model, in the same month. The company's products have been well received by the market, achieving a total delivery of 10,000 units of MODEL 001 in less than four months since its initial delivery in October 2021, which, according to Frost & Sullivan, is one of the fastest among the major mid- to high-end NEV models and premium BEV models in China. The company's current and future models will be primarily based on Geely Holding’s proprietary SEA, which is highly agile, compatible, and enables the company to quickly build and launch a wide range of vehicle models catering to different demands in the premium BEV segment. Developed based on SEA, the company's vehicles embody impressive vehicle performance, FOTA-enabled upgrades, superior driving and riding experiences, as well as striking and trendy designs that provide a comprehensive smart mobility experience to the company's customers. • Outstanding battery and range performance. The up-to- $100 \mathrm{kWh}$ battery supports a maximum CLTC range of $741 \mathrm{km}$ on MODEL 001 and $750 \mathrm{km}$ on MODEL 001 (2024 model), respectively, which is ahead of most of the BEV models of the company's peers, according to Frost & Sullivan. According to Frost & Sullivan, MODEL 009 is the world’s first pure-electric MPV model with over $800 \mathrm{km}$ CLTC range, and it has the longest all-electric range in the MPV market by the end of February 2024. • State-of-the-art autonomous driving expertise. MODEL 001, MODEL 009, and MODEL 001 FR are equipped with 7nm Mobileye EyeQ5H high-performance chips and Falcon Eye Vidar systems, all of which bring out the full potential of the company’s autonomous driving suite. The upscale sedan model adopts the NVIDIA DRIVE Orin platform to power the company's proprietary intelligent autonomous driving systems. In addition, the 2024 model incorporates the latest Mobileye EVO domain control platform, which enables bolstered performance and heightened system stability. • Extensive customization options with fast launch pace enabled by SEA. The company offers customers a large number of different setup combinations and customization options.  
• Maverick driving performance that stands out among its peers. Equipped with industry-leading driving metrics, the company's BEVs hold the leading position in the industry based on key performance metrics, according to Frost & Sullivan. See “Industry Overview — Competitive Landscape.”  
• Premium in-vehicle configurations and distinct exterior design to enhance user experience and meet demands for individuality. The company offers drivers and passengers a suite of in-vehicle configurations featuring comfort and pleasure. According to Frost & Sullivan, the 2024 model offers more competitive specifications compared with BEVs of similar price ranges. The 2024 model also embodies a stylish exterior, which is suitable for customers with bold and expressive lifestyles. For instance, the Grand model offers two separate rear seats, each equipped with electric adjustments, heating and massage functions, ensuring comprehensive comfort for passengers. Additionally, the Grand model features a 43-inch ultra-large 4K screen and an 8-inch smart control screen running the company's OS 6.0, which is paired with a 31-speaker YAMAHA premium sound system. Such setup not only satisfies passengers’ entertainment needs but also supports quality online conferencing. COMPANY 009 is the world’s first premium MPV based on a pure-electric platform, according to Frost & Sullivan. COMPANY 009 has enjoyed wide popularity since launch, and COMPANY expects to start the delivery of COMPANY 009 to the market in the first quarter of 2023. Going forward, COMPANY plans to capture the extensive potential of the premium BEV market globally through an expanding portfolio of vehicles. For instance, COMPANY plans to launch SUV and sedan models targeting tech-savvy adults and families in the future. COMPANY and Waymo are collaborating on the development of a purpose-built TaaS vehicle built on the SEA-M platform, which will be deployed in the United States over the coming years. SEA-M is an advanced version of SEA that is a high-tech mobility solution to support a range of future mobility products including robotaxis and logistics vehicles, laying a solid and flexible foundation for global autonomous driving technology or ride-sharing companies to develop. Through these future models, COMPANY intends to provide premium mobility solutions of innovation, comfort, and intelligence, as well as a spacious and luxurious high-tech experience with enhanced performance. As a testament to the popularity of COMPANY's current products and capabilities, COMPANY has achieved a total delivery of 10,000 units of COMPANY 001 in less than four months after the initial delivery, which, according to Frost & Sullivan, sets a new record among the major mid- to high-end NEV models and premium BEV models in China. In October 2022, company delivered 10,119 units of ZEEKR 001 to the market, making ZEEKR 001 the first pure-electric premium vehicle model manufactured by a Chinese BEV brand with over 10,000 units of single-month delivery volume, according to Frost & Sullivan. company has delivered a cumulative 66,611 units of ZEEKR 001 as of November 30, 2022, which is among the fastest deliveries in the premium BEV market in China from October 2021 to November 2022, according to Frost & Sullivan. The development of company's BEV models is powered by SEA, a set of open-source, electric and modularized platforms owned by Geely Holding compatible with A segment to E segment, covering sedan, SUV, MPV, hatchback, roadster, pickup truck, and robotaxi, which have a wheelbase mainly between 1,800 mm to 3,300 mm. company depends on Geely Holding to allow the company to continue to utilize SEA, which is currently the most suitable platform for company. The widely compatible SEA enables robust R&D capabilities, execution efficiency, cost efficiency, and control consistency in the vehicle development process, giving company's BEVs significant competitive advantages in the market. SEA also offers the flexibility to quickly adopt and accommodate the latest and most advanced technology improvements. For example, company was able to equip ZEEKR 009 with CATL’s latest Qilin battery thanks to the structural flexibility of SEA. Furthermore, before the launch of ZEEKR 001, a significant portion of the company's revenue has historically been derived from the sales of batteries and other components and research and development services to Geely Group. The company has strong in-house technological capabilities focusing on electrification and intelligentization. The company's in-house design, engineering, and R&D enable it to achieve high product development efficiency and rapid product iteration, as well as to provide engineering services to external parties. In particular, the company's in-house capabilities are also supported by (i) the Sweden-based R&D center CEVT in the research and development of intelligent mobility solutions, and (ii) Ningbo Viridi, the company's PRC subsidiary focused on the products and systems relating to battery, motor and electric control, power solutions, and energy storage. Leveraging the company's in-house E/E Architecture design and operating system, ZEEKR OS, the company continuously updates its BEV functions through effective and efficient FOTA. The company deploys cutting-edge autonomous driving technology into its BEVs by world-leading players such as Mobileye and has also announced plans to integrate NVIDIA DRIVE Thor, the 2,000 TOPS AV superchip, into its centralized vehicle computer for the next generation of intelligent BEVs. The company also offers an intelligent cockpit to deliver interactive, immersive, and enjoyable driving experiences. To successfully achieve the company's mission, the company assembled a top-notch management team with diversified yet complementary backgrounds and experiences. The company's management team possesses entrepreneurial spirit, deep automotive and technology sector expertise along with customer-centric operation experience, which are essential to driving the company's future development. The company's co-founder and CEO Conghui An has over 25 years’ experience in multiple executive management positions in Geely Group and accumulated profound industry insights and senior management experience with an excellent track record. In addition to the company, Mr. An has successfully established, developed, and operated both Geely and Lynk&Co, two well-established vehicle brands of Geely Group. The company is guided by its customer-oriented principle to provide customers with service and experience in every aspect of their journey with the company. The company adopts a customer-oriented DTC sales model with a focus on innovative and interactive engagement with its customers. The company has established extensive customer touchpoints including seven company Centers, 171 company Spaces, 22 company Delivery Centers and one company House as of September 30, 2022. In addition, the company closely interacts with customers through building an integrated online and offline customer community to provide a holistic experience that goes beyond the purchase of intelligent BEVs. Within the company APP, customers can enjoy one-stop car purchase, charging solutions, financial services, roadside assistance, intelligent car control, online shopping of company lifestyle products, social interaction, and seamless communication with the customer services team. The company also holds a variety of offline customer events to nurture a vibrant company user community. The company's customer engagement efforts enable the company to better understand customer needs to be incorporated into future product design, and continuously strengthen customer loyalty and stickiness. Underpinned by the company's superior capability in supply chain and manufacturing planning and management, the company is also able to offer a wide range of customized options in terms of vehicle designs and functionalities, which are highly appreciated by customers. The company has established a comprehensive charging network and provided hassle-free charging services through at-home charging solutions, on-the-road charging solutions, and 24/7 charging fleets. The ultra charging stations, in particular, provide users with an ultimate charging experience through the company's proprietary ultra-fast charging technology developed by Ningbo Viridi. As of September 30, 2022, there are 512 charging stations with different charging capabilities, including 149 ultra charging stations, 249 super charging stations, and 114 light charging stations, covering 102 cities in China, further supported by third-party charging stations that cover 335 cities in China with approximately 350 thousand charging piles in total. The company has established in-depth partnerships with a number of internationally renowned smart mobility companies, laying a solid foundation for the company's business development and global expansion. For example, the company collaborates with Mobileye, a subsidiary of Intel and one of the company's strategic investors, for consumer-ready autonomous driving solutions. The company and Waymo are collaborating on the development of a purpose-built TaaS vehicle built on the SEA-M platform which will be deployed in the United States over the coming years. Furthermore, the company has deep relationships with a range of leading suppliers, such as CATL, Bosch, and Aptiv. The company operates in a rapidly growing market with extensive potential. Driven by improving battery and smart technologies, supportive regulatory policies, and enhancement of charging infrastructure, China’s BEV market has substantial room for growth in both volume and BEV penetration. China’s BEV sales volume is expected to be more than quadrupled to 11.3 million units in 2026 from 2021, according to Frost & Sullivan. The premium BEV market is expected to experience even faster growth, almost increasing to five times the volume in 2021 by 2026, according to Frost & Sullivan. The European BEV market has significant size and growth potential, which is expected to reach 4.4 million units in sales volume in 2026, representing a CAGR of 29.4% from 2022 to 2026, according to Frost & Sullivan. In the future, the company also plans to tap into the BEV market in Europe and the robotaxi market in the United States. The company's revenue from vehicle sales amounted to RMB1,544.3 million and RMB10,820.2 million (US$1,521.1 million) in 2021 and the nine months ended September 30, 2022, respectively, with a gross profit margin of 1.8% and 4.6%, respectively. In addition to vehicle sales, the company generated revenues from research and development services and sales of batteries and other components. The company's total revenue amounted to RMB6,527.5 million and RMB18,467.5 million (US$2,596.1 million) in 2021 and the nine months ended September 30, 2022, respectively, with a gross profit margin of 15.9% and 8.4%, respectively. The company recorded a net loss of RMB4,514.3 million and RMB5,317.2 million (US$747.5 million) in 2021 and the nine months ended September 30, 2022, respectively. Together with the company's proprietary advanced battery solutions and highly efficient electric drive system, the ZEEKR 009’s extended range version is expected to be the world’s first pure-electric MPV model with an over 800 km CLTC range and the longest all-electric range in the MPV market, according to Frost & Sullivan. The company is guided by its customer-oriented principle to provide customers with service and experience in every aspect of their journey with the company. The company adopts a customer-oriented direct-to-consumer (DTC) sales model with a focus on innovative and interactive engagement with its customers. The company has established extensive customer touchpoints including seven ZEEKR Centers, 171 ZEEKR Spaces, 22 ZEEKR Delivery Centers, and one ZEEKR House as of September 30, 2022. In addition, the company closely interacts with customers by building an integrated online and offline customer community to provide a holistic experience that goes beyond the purchase of intelligent battery electric vehicles (BEVs). Within the ZEEKR APP, customers can enjoy one-stop car purchase, charging solutions, financial services, roadside assistance, intelligent car control, online shopping of ZEEKR lifestyle products, social interaction, and seamless communication with the customer services team. The company also holds a variety of offline customer events to nurture a vibrant ZEEKR user community. The company's customer engagement efforts enable the company to better understand customer needs to be incorporated into future product design, and continuously strengthen customer loyalty and stickiness. Underpinned by the company's superior capability in supply chain and manufacturing planning and management, the company is also able to offer a wide range of customized options in terms of vehicle designs and functionalities, which are highly appreciated by its customers. [Table Level]
- Table Title: Entities of company Intelligent Technology Holding Limited
- Table Summary: The table lists the different entities that make up company Intelligent Technology Holding Limited, providing information about their names, places of incorporation, and principal activities. It demonstrates the structure of the group and diversification of its operations across various regions and segments of the electric vehicle industry.
- Context: company Intelligent Technology Holding Limited was established in 2021 to manage and internationalize the battery electric vehicle business once under Geely Holding. Surrounding contextual information details the group's incorporation, principal activities, and the reorganization processes to streamline operations and attract investment.
- Special Notes: All entities are under common control by Geely Holding and play specific roles in electric vehicle production and commercialization.

[Row Level]
Row 1: company Automobile (Shanghai) Co., Ltd., previously known as Shanghai Maple Guorun Automobile Company Ltd. or "company Shanghai", is incorporated in the People's Republic of China and primarily functions as an investment holding company.
Row 2: company Automobile (Ningbo Hangzhou Bay New Zone) Co., Ltd., referred to as "company Hangzhou Bay", operates in the People's Republic of China, managing the production and commercialization of electric vehicles.
Row 3: Viridi E-Mobility Technology (Ningbo) Co., Ltd., known as "Ningbo Viridi", is based in the People's Republic of China and focuses on the production and sales of electric powertrain and battery packs for electric vehicles.
Row 4: China-Euro Vehicle Technology Aktiebolag, abbreviated as "CEVT", is incorporated in Sweden, providing research and development services for the group. In 2021, in an effort to establish an independent Battery Electric Vehicles (BEV) business to obtain investment from outside investors and in preparation for an overseas listing, Zhejiang Geely Holding Group Co., Ltd. (“Geely Holding”), the controlling shareholder of Geely Automobile Holdings Limited (‘‘Geely Auto’’), undertook a series of contemplated reorganizations (the “Reorganization”). The main purpose of the Reorganization is to establish the company as the overseas holding company for the above BEV-related businesses that were originally operated within Geely Holding and Geely Auto. Subsequent to the establishment of the company in March 2021, the above businesses were transferred to the company by Geely Holding and Geely Auto as part of the Reorganization. As these entities being transferred are all under the common control of Geely Holding, these transfers were accounted for as a restructuring of entities under common control as follows: • In July 2021, the company Intelligent Technology Holding Limited established Zhejiang the company Intelligent Technology Co., Ltd. (“Zhejiang the company”) in the People’s Republic of China (“PRC”), a wholly-owned subsidiary. • In July 2021, the company Automobile (Shanghai) Co., Ltd., a subsidiary of Geely Auto, acquired 100% equity interest in the company Automobile (Ningbo Hangzhou Bay New Zone) Co., Ltd. from Geely Holding for a cash consideration of RMB485.3 million. The net book value of the company Hangzhou Bay at the time of acquisition was RMB500 million. The corresponding difference between acquisition consideration paid and the entity’s net book value of RMB14,671 was recognized in additional paid-in capital. • In August 2021, the Group through Zhejiang ZEEKR, acquired 100% equity interest in company Shanghai (99% from Geely Auto and 1% from Geely Holding) for a cash consideration of RMB980.4 million. The net book value of company Shanghai was RMB970.4 million at the time of acquisition. The corresponding difference between acquisition consideration paid and the entity’s net book value of RMB10,032 loss was recognized in additional paid-in capital. The Group categorizes leases with contractual terms longer than twelve months as either operating or finance leases at the commencement date of a lease. All the leases of the Group are operating leases. The Group also elected the short-term lease exemption for all contracts with an original lease term of 12 months or less. Lease payments on short-term leases are recognized as an expense on a straight-line basis over the lease term and are not included in lease liabilities. The Group’s lease agreements do not contain any significant residual value guarantees or restricted covenants. ROU assets represent the Group’s right to use an underlying asset for the lease term, and lease liabilities represent the Group’s obligation to make lease payments arising from the lease. ROU assets are recognized as the amount of the lease liability, adjusted for lease incentives received. Lease liabilities are recognized at the present value of the future lease payments at the lease commencement date. The discount rate used to determine the present value of the future lease payments is the Group’s incremental borrowing rate (“IBR”) or the rate implicit in the lease if available. The IBR is a hypothetical rate based on the Group’s understanding of what its credit rating would be to borrow and the resulting interest the Group would pay to borrow an amount equal to the lease payments in a similar economic environment over the lease term on a collateralized basis. Lease payments may be fixed or variable, and variable lease payments depend on a rate or ROU assets are recognized as the amount of the lease liability, adjusted for lease incentives received. Lease liabilities are recognized at the present value of the future lease payments at the lease commencement date. The discount rate used to determine the present value of the future lease payments is the Group’s incremental borrowing rate (“IBR”) or the rate implicit in the lease if available. The IBR is a hypothetical rate based on the Group’s understanding of what its credit rating would be to borrow and the resulting interest the Group would pay to borrow an amount equal to the lease payments in a similar economic environment over the lease term on a collateralized basis. Lease payments may be fixed or variable; however, only fixed payments or insubstance fixed payments are included in the Group’s lease liability calculation. Variable lease payments are recognized in operating expenses in the period in which the obligation for those payments is incurred. The land use rights are operating leases with a term of 50 years. Other than the land use rights, the lease terms of other leases vary from more than one year to eleven years. Operating lease assets are included within operating lease right-of-use assets, and the corresponding operating lease liabilities are included within operating lease liabilities on the combined and consolidated balance sheets. ROU assets represent the Group’s right to use an underlying asset for the lease term, and lease liabilities represent the Group’s obligation to make lease payments arising from the lease. ROU assets are recognized as the amount of the lease liability, adjusted for lease incentives received. Lease liabilities are recognized at the present value of the future lease payments at the lease commencement date. The discount rate used to determine the present value of the future lease payments is the Group’s incremental borrowing rate (“IBR”) or the rate implicit in the lease if available. The IBR is a hypothetical rate based on the Group’s understanding of what its credit rating would be to borrow and the resulting interest the Group would pay to borrow an amount equal to the lease payments in a similar economic environment over the lease term on a collateralized basis. Lease payments may be fixed or variable; however, only fixed payments or insubstance fixed payments are included in the Group’s lease liability calculation. Variable lease payments are recognized in operating expenses in the period in which the obligation for those payments is incurred. The land use rights are operating leases with a term of 50 years. Other than the land use rights, the lease terms of other leases vary from more than one year to eleven years. Operating lease assets are included within operating lease right-of-use assets, and the corresponding operating lease liabilities are included within operating lease liabilities on the combined and consolidated balance sheets. The relationship between company Intelligent Technology and Geely Group may subject company Intelligent Technology to various risks. In particular, potential conflicts of interest may arise between Geely Group and company Intelligent Technology in a number of areas, such as disputes around the manufacturing of company Intelligent Technology's battery electric vehicles (BEVs). company Intelligent Technology may choose not to bring a legal claim against Geely Group in the event of contractual breaches in consideration of the close relationship with Geely Group, notwithstanding company Intelligent Technology's contractual rights under the relevant agreements. company Intelligent Technology has also historically provided batteries and other components and research and development services to Geely Group. To the extent company Intelligent Technology cannot maintain cooperative relationships with Geely Group at reasonable terms, or at all, company Intelligent Technology will need to source other business partners to obtain the relevant services and other customers for its products and services. Finally, Geely Group may offer products or services that directly compete with those of company Intelligent Technology. The inability to maintain a cooperative relationship with Geely Group or if Geely Group does not maintain its cooperation framework agreement with company Intelligent Technology, or if Geely Group competes directly with company Intelligent Technology, company Intelligent Technology's business, growth, and prospects could be materially and adversely affected. Additionally, Geely Holding is a controlling shareholder of Geely Auto and company Intelligent Technology is dependent on Geely Holding for the continued use of SEA and the manufacturing of its battery electric vehicles (BEVs), which are both critical to its business. The relationship between company Intelligent Technology and Geely Group may subject company Intelligent Technology to various risks. In particular, potential conflicts of interest may arise between Geely Group and company Intelligent Technology in a number of areas, such as disputes around the manufacturing of company Intelligent Technology's battery electric vehicles (BEVs). company Intelligent Technology may choose not to bring a legal claim against Geely Group in the event of contractual breaches in consideration of the close relationship with Geely Group, notwithstanding company Intelligent Technology's contractual rights under the relevant agreements. company Intelligent Technology has also historically provided batteries and other components and research and development services to Geely Group. To the extent company Intelligent Technology cannot maintain cooperative relationships with Geely Group at reasonable terms, or at all, company Intelligent Technology will need to source other business partners to obtain the relevant services and other customers for its products and services. Finally, Geely Group may offer products or services that directly compete with those of company Intelligent Technology. company Intelligent Technology's inability to maintain a cooperative relationship with Geely Group could adversely affect its business. Additionally, Geely Holding is a controlling shareholder of Geely Auto and company Intelligent Technology is dependent on Geely Holding for the continued use of SEA and the manufacturing of its BEVs, which are both critical to its business. company Intelligent Technology's relationship with Geely Group may subject company Intelligent Technology to various risks. In particular, potential conflicts of interest may arise between Geely Group and company Intelligent Technology in a number of areas, such as disputes around the manufacturing of company Intelligent Technology's BEVs. company Intelligent Technology may choose not to bring a legal claim against Geely Group in the event of contractual breaches in consideration of company Intelligent Technology's close relationship with Geely Group, notwithstanding company Intelligent Technology's rights. contractual rights under the relevant agreements. company Intelligent Technology has also historically provided batteries and other components and research and development services to Geely Group. To the extent company Intelligent Technology cannot maintain its cooperative relationships with Geely Group at reasonable terms, or at all, company Intelligent Technology will need to source other business partners to obtain the relevant services and other customers for its products and services. Finally, Geely Group may offer products or services that directly compete with those of company Intelligent Technology. with contractual terms longer than twelve months as either operating or finance lease at the commencement date of a lease. All the leases of the Group are operating leases. The company also elected the short-term lease exemption for all contracts with an original lease term of 12 months or less. Lease payments on short-term leases are recognized as an expense on a straight-line basis over the lease term, not included in lease liabilities. The Group’s lease agreements do not contain any significant residual value guarantees or restricted covenants. ROU assets represent the company's right to use an underlying asset for the lease term, and lease liabilities represent the company's obligation to make lease payments arising from the lease. ROU assets are recognized as the amount of the lease liability, adjusted for lease incentives received. Lease liabilities are recognized at the present value of the future lease payments at the lease commencement date. The discount rate used to determine the present value of the future lease payments is the company's incremental borrowing rate (“IBR”) or the rate implicit in the lease if available. The IBR is a hypothetical rate based on the company's understanding of what its credit rating would be to borrow and the resulting interest the company would pay to borrow an amount equal to the lease payments in a similar economic environment over the lease term on a collateralized basis. Lease payments may be fixed or variable; however, only fixed payments or insubstance fixed payments are included in the company's lease liability calculation. Additionally, Geely Holding is a controlling shareholder of Geely Auto and company Intelligent Technology is dependent on Geely Holding for the continued use of SEA and the manufacturing of its battery electric vehicles (BEVs), which are both critical to company Intelligent Technology's business. The relationship between company Intelligent Technology and Geely Group may subject company Intelligent Technology to various risks. In particular, potential conflicts of interest may arise between Geely Group and company Intelligent Technology in a number of areas, such as disputes around the manufacturing of company Intelligent Technology's battery electric vehicles (BEVs). company Intelligent Technology may choose not to bring a legal claim against Geely Group in the event of contractual breaches in consideration of its close relationship with Geely Group, notwithstanding company Intelligent Technology's interests. contractual rights under the relevant agreements. company Intelligent Technology has also historically provided batteries and other components and research and development services to Geely Group. To the extent company Intelligent Technology cannot maintain its cooperative relationships with Geely Group at reasonable terms, or at all, company Intelligent Technology will need to source other business partners to obtain the relevant services and other customers for its products and services. Finally, Geely Group may offer products or services that directly compete with those of company Intelligent Technology. 5. The company notes that it purchases vehicles for resale from Geely Holding at a price made up of the purchase cost of direct materials and a pre-agreed markup. Please describe the manufacturer’s warranty provided by Geely Holding for these vehicles and to what extent the manufacturer’s warranties have an impact on the company's accounting for warranty expenses, if material. In response to the Staff’s comment, the company has revised the disclosure on page 90 of the Revised Draft Registration Statement. The company respectfully advises the Staff that under the cooperation framework agreement between the company and Geely Holding, the company Factory provides an assurance-type product warranty for all product quality problems caused by its manufacturing, with a warranty period no less than what the company offers to its customers. In the event where the product defect is caused by raw material suppliers, the company is entitled to seek damages from the company Factory, which in turn could seek damages from the responsible suppliers. The company further advises the Staff that when estimating warranties, the accrual is established based on estimates of the nature, frequency, and average costs of future claims, net of estimated warranty cost recoveries, to the extent that is estimable and probable. To the extent company Intelligent Technology cannot maintain cooperative relationships with Geely Group at reasonable terms, or at all, company Intelligent Technology will need to source other business partners to obtain the relevant services and other customers for company Intelligent Technology's products and services. Finally, Geely Group may offer products or services that directly compete with company Intelligent Technology's offerings. company Intelligent Technology's inability to maintain a cooperative relationship with Geely Group could adversely affect company Intelligent Technology's business. relationship with Geely Group or if Geely Group does not maintain its cooperation framework agreements with company Intelligent Technology, or if Geely Group competes directly with company Intelligent Technology, company Intelligent Technology's business, growth, and prospects could be materially and adversely affected. You should carefully consider all of the information in this prospectus before making an investment in the ADSs, especially the risks and uncertainties discussed under “Risk Factors,” and information contained in “Management’s Discussion and Analysis of Financial Condition and Results of Operations.” Please find below a summary of the principal risks and uncertainties company Intelligent Technology faces, organized under relevant headings. These risks are discussed more fully in “Risk Factors.”