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Chinese EV giant BYD set for surge in 2022 profit as sales jump

Published 01/30/2023, 08:33 AM
Updated 01/30/2023, 09:11 AM
© Reuters. FILE PHOTO: The logo of BYD is pictured at the 2022 Paris Auto Show in Paris, France October 17, 2022. REUTERS/Stephane Mahe/
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(Reuters) - China's BYD Co (OTC:BYDDF), the world's biggest seller of battery electric vehicles (BEVs) and plug-in hybrids, expects its 2022 net profit to be more than five times the amount it booked a year earlier, it said on Monday.

With sales of 1.86 million cars, it expects a net profit of 16-17 billion yuan ($2.37-$2.52 billion) versus 3 billion in 2021, an exchange filing showed.

The company said it had it achieved strong sales growth and significantly improved profitability and had "effectively relieved the cost pressure brought about by the rising upstream

raw material prices".

The Shenzhen-based automaker stopped producing combustion engine vehicles last April.

Sales of its Qin and Han sedans, BYD's best-selling models, increased by 82.6% and 132.2%, respectively, in 2022, while those of Tesla (NASDAQ:TSLA)'s Model 3 fell by 17.5%, according to the China Passenger Car Association.

© Reuters. FILE PHOTO: Chinese EV maker BYD's Seal is displayed at Tokyo Auto Salon 2023 at Makuhari Messe in Chiba, east of Tokyo, Japan, January 13, 2023. REUTERS/Kim Kyung-Hoon/File Photo

BYD still trails Tesla in terms of global sales of fully electric cars by almost 400,000 units, though the Chinese company is planning to ramp up sales quickly at home and abroad with its new series of BEV products such as its Seal model.

($1 = 6.7498 Chinese yuan renminbi)

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