China BYD: Profit tripled in 1H: Expected to slow in 3Q

China BYD: Profit tripled in 1H: Expected to slow in 3Q

Guangzhou

August 30, 2019

Major Chinese NEV: BYD

On August 21, we announced the interim financial report for 2019.

First half sales:

RMB 61,284,260,000 (up 14.8% from the previous year) (approximately 93,763.9 million yen, 1 yuan = 15 yen)

Net income attributable to parent company shareholders increased by 1,455.77 million.

Sales by segment:

Automotive and related products increased by 16.3% to 33,882 million yuan.

Among them, NEV increased by 38.8% to 25,448 million yuan.

Third quarter (July to September): Business forecast

According to the decrease in NEV demand and subsidy reduction, the profit amount is expected to decrease significantly from the previous year.

At the same time, net profit for January-September is expected to increase by 1.8-14.9% year-on-year. Decrease significantly from the first half.

First half of BYD: vehicle type

Auto sales: 228,072 units, up 1.6% from the previous year.

NEV vehicles: 145,653 units, up 94.5%

Gasoline vehicles: 82,419 units, down 44.9% from the previous year.

First half of BYD: NEV breakdown

EV: 95,779 units, four times the previous year

PHV: 44,982 units down 5.2% year on year

EV transition: (See Figure 1)

Extremely high continued until June, but suddenly slowed to 16.4% in July.

PHV transition: (See Figure 2)

Since February, the year-on-year decline continued, and it slowed down significantly.

-JETRO