BYD: New energy vehicles will be the turning point

Shenzhen-based private equity company BYD Baffiat Co., Ltd., BYD, announced its midnight report last night. The transcript shows that income rose by 15% in the first half of the year. The auto business seems to have signs of gradual recovery, with sales growth of nearly 25%, which is higher than the growth rate of the industry. The group recorded a net profit of 427 million yuan, much higher than last year's 16.29 million yuan.

According to BYD's interim report, overall sales revenue in the first half of the year exceeded RMB 26 billion, an increase of 15.32% year-on-year, of which automotive business revenue was approximately RMB 13.7 billion, an increase of 17.89% year-on-year; mobile phone parts and assembly business growth was 7.33%; secondary rechargeable batteries and New energy business grew by 9.37%.

Automotive industry remains unstable in the second half of the year

Yesterday, the reporter saw BYD selling 250,000 vehicles in the first half of this year, an increase of 24.72% year-on-year, more than 12.3% of the overall domestic sales growth in the first half of the year.

The company looked ahead to the second half of yesterday and pointed out that in the second half of the year, the development of the auto industry is still uncertain due to the adverse impact of the slowdown in macroeconomic growth and the government's restriction of purchase restrictions.

The recent media enthusiasm compares Tesla, an American electric vehicle company, with BYD. The former has announced plans to enter the Chinese market one after another. Wang Chuanfu earlier remarked that "As soon as household consumption starts, BYD can create Tesla at any time." The latter CEO Musk responded by referring to all electric vehicles and Tesla "not a level".

“The next two years will be the turning point for the development of new energy vehicles.” Yesterday, BYD Zhongfang Bao said that currently the pure electric vehicle taxi e6 operates about 800 units in Shenzhen, and the Group will accelerate the expansion of new energy vehicles in the domestic and overseas markets, including in May. The United States announced the establishment of two factories that produce "iron batteries" and electric buses. In the second half of the year, it will introduce second-generation dual-mode electric vehicles in China.