Chinese EV giant BYD posts half-year net profit rise of 24.4%

Leading Chinese automaker BYD announced Wednesday 24.4 percent growth in net profit for the first half of 2024, boosted by continuing strong demand for electric cars in its home and overseas markets.

From EnergyDaily

Leading Chinese automaker BYD announced Wednesday 24.4 percent growth in net profit for the first half of 2024, boosted by continuing strong demand for electric cars in its home and overseas markets.

The firm posted a net profit of $1.91 billion in the January-June period, up from $1.54 billion in the same period last year, according to results published at the Hong Kong Stock Exchange where BYD is listed.

Sales during the period stood at $42.3 billion, said the firm, up 15.8 percent year-on-year.

The Shenzhen-based firm -- which adopts the English slogan "Build Your Dreams" -- is the most prominent EV manufacturer in China, the world's largest automotive market.

Leaders in Beijing are aiming for car sales to be mainly made up of electric and hybrid models by 2035.

In July, such vehicles accounted for more than half of all domestic sales, passing the threshold for the first time, according to the Chinese Association of Automobile Manufacturers.

Generous purchasing subsidies from the central government initially helped sales take off but since such policies were phased out in late 2022, the market now appears to be reaching maturity.

But local EV firms have since been locked in a cut-throat price war as they fight to remain competitive, weighing on their profitability.

BYD has "effectively dealt with challenges brought by intensified industrial competition", it said in the filing.