Byd Company Limited(002594) ( Byd Company Limited(002594) ) released the performance forecast on April 18. It is estimated that the net profit attributable to the parent company in the first quarter of 2022 will be 650950 million yuan, with a year-on-year increase of 174% – 300%. In the first quarter of 2022, despite the adverse effects of macroeconomic downturn, epidemic spread and other factors, the new energy vehicle industry generally continued the momentum of rapid growth. The group’s sales volume of new energy vehicles reached a record high, the market share continued to rise, achieved rapid growth year-on-year, led to a significant improvement in profits, and hedged the profit pressure caused by the rise in the price of upstream raw materials to a certain extent. In terms of mobile phone parts and assembly business, due to the weak demand of the industry, the capacity utilization rate is low, and the profitability of this business segment is under pressure
Byd Company Limited(002594) first quarter net profit increased by 174% – 300% in advance, and sales of new energy vehicles increased
Thanks to the steady growth of sales volume, Byd Company Limited(002594) ( Byd Company Limited(002594) ) made a “double profit” in the first quarter of 2022.
On April 18, Byd Company Limited(002594) released the performance forecast. It is estimated that the net profit attributable to the parent company in the first quarter of 2022 will be 650950 million yuan, with a year-on-year increase of 174% – 300%.
For the reasons for the sharp increase in net profit, Byd Company Limited(002594) said in the announcement that it was mainly due to the higher sales volume of the group’s new energy vehicles and the continuous rise in market share, which led to a significant improvement in profits.
sales volume soared, driving performance improvement
On April 6, Byd Company Limited(002594) disclosed the production and marketing express in March 2022. According to the announcement, in March this year, the sales volume of Byd Company Limited(002594) new energy vehicles exceeded 100000, reaching 104900, a year-on-year increase of 333%, ranking first in the sales volume of Shanxi Guoxin Energy Corporation Limited(600617) automobile enterprises in China. From January to March, Byd Company Limited(002594) new energy vehicles sold 286300 vehicles, up 422.97% year-on-year.
Among them, the sales volume of Byd Company Limited(002594) pure electric passenger vehicles in the first quarter was 143200, with a year-on-year increase of 271.05%; The cumulative sales volume of plug-in hybrid passenger vehicles was 141500, up 857.40% year-on-year, and the growth rate has exceeded that of pure electric vehicles.
The substantial growth of sales volume has driven the improvement of Byd Company Limited(002594) profit Byd Company Limited(002594) said in the announcement that in the first quarter of 2022, despite the adverse impact of macroeconomic downturn, epidemic spread and other factors, the new energy vehicle industry generally continued the momentum of rapid growth. The sales volume of the company’s new energy vehicles has reached a record high, the market share has continued to rise, and achieved rapid growth year-on-year, which has led to a significant improvement in profits, and hedged the profit pressure caused by the rise in the price of upstream raw materials to a certain extent.
However, in the first quarter of this year, Byd Company Limited(002594) mobile phone parts and assembly business suffered a lot of pressure. Affected by the weak demand of the industry, the company’s capacity utilization rate was low and the profitability of the business sector was under pressure.
Recently, Byd Company Limited(002594) is sorting out and focusing on various business segments of the company. The most typical measure is to completely suspend the production of fuel vehicles, Byd Company Limited(002594) has therefore become the first vehicle enterprise in the industry to completely stop the production of fuel vehicles.
Hongta Securities Co.Ltd(601236) analysis said that the fuel vehicles of Byd Company Limited(002594) have been in the decline channel in the past few years. In general, the company’s complete abandonment of fuel vehicles may have a certain impact on Byd Company Limited(002594) performance in the short term, but the impact will not be too great. The follow-up Byd Company Limited(002594) will be able to fully focus on the field of new energy vehicles, which will also play a positive role in its brand value.
Cui Yan, chief analyst of Huaxi Securities Co.Ltd(002926) automobile, also judged that Byd Company Limited(002594) comprehensive transformation of new energy is the only way to deep decarbonization, which also reflects the company’s confidence and confidence in its own products.
Facts have proved that the product power of Byd Company Limited(002594) new energy vehicles is gradually released and has significantly contributed to the company’s performance.
supply chain advantages highlight
In addition to the particularly eye-catching sales volume, Byd Company Limited(002594) in the face of the impact of uncertain factors such as the epidemic situation, the system ability is also an important factor supporting the continuous rise of performance.
At present, affected by the rising price of raw materials in the upstream, the price of power battery is generally rising, which brings great cost pressure to the downstream vehicle enterprises. At the same time, the supply of chips also continues to affect the production capacity of many enterprises. In addition, the recent epidemic in many places in China has led to the shutdown of some core parts enterprises, logistics obstruction, and even short-term supply interruption.
In this context, Byd Company Limited(002594) ‘s supply chain advantages began to highlight. Ye Shengji, chief engineer and Deputy Secretary General of China Automobile Industry Association, said in an interview with the reporter of securities times · e company that Byd Company Limited(002594) not only lays out power batteries, but also independently develops semiconductors, which has obvious advantages in the supply level of new energy automobile industry chain. In the context of the rising price of upstream materials, the company can balance the price through its layout in the whole industrial chain.
Kaiyuan securities also believes that Byd Company Limited(002594) is a new energy vehicle enterprise that has basically realized the comprehensive self supply of the three electricity system in China. Relying on its Freddy company and Byd Company Limited(002594) semiconductor, which will be split and listed soon, it has realized the self-development and self-production of midstream components and formed a deep technical reserve. At the upstream material level, Byd Company Limited(002594) through the means of joint venture, the upstream lithium and phosphate resources are distributed, which actively improves the resource supply capacity and reduces the cost. For this reason, Byd Company Limited(002594) in the face of the crisis and challenges generally faced by the industry, it showed a better than expected market performance, and its premium ability in the terminal market is also gradually improving. (source: Securities Times)
