AutoBeta(AutoBeta.net)03/31 Report--

Recently, a number of domestic automobile enterprises announced their performance in 2019. Due to changes in the industry environment and decline in sales volume, profits declined to varying degrees. Geely, Great Wall, BYD three independent automobile enterprises performance report comparison shows, BYD annual net profit fell 42%, In these three first-line independent brands fell the biggest.

BYD: Caused by policy changes, etc.

On the evening of March 31, BYD released its 2019 annual performance flash report. The company realized operating income of 127.739 billion yuan in the current period, down 1.78% year-on-year; the net profit attributable to shareholders of listed companies was 1.612 billion yuan, down 42.03% year-on-year. Both operating income and net profit declined from the previous year.

As for the reasons for the decline in net profit, BYD said that it was mainly due to industry, policy changes and the impact of rising R & D expenses in the current period.

BYD's net profit grew by more than 200% in the first half of 2019, but declined sharply in the second half of the year, with little profit growth, accompanied by a sharp drop in sales of new energy vehicles.

In terms of new energy vehicles, BYD's sales declined across the board in the second half of 2019. In the first half of 2019, BYD's new energy vehicles still had a year-on-year increase of 95%. Due to the rapid decline in sales caused by changes in the industry environment and the sharp reduction of subsidies in the second half of 2019, the sales volume of new energy vehicles for the whole year was 223,000, down 7.4% year-on-year.

BYD insiders said, Affected by the macroeconomic situation, Last year's automobile industry overall market demand is still weak, Superimposed fuel vehicle price system changes impact and new energy vehicle subsidies significantly decline impact, New energy automobile industry sales fell short of expectations, BYD new energy automobile business profits therefore have a certain decline.

Great Wall Motor: Net profit of 4.5 billion yuan

According to the annual performance report released by Great Wall Motor, the revenue of Great Wall Motor in 2019 totaled 96.211 billion yuan, down 3.04% compared with the same period last year; the net profit attributable to shareholders of the company was 4.497 billion yuan, down 13.64% year-on-year.

The reasons for the decline in performance are that Great Wall Motors said it was affected by the weak environment of the automobile market; continued strengthening of brand building, launching ultra-long warranty and other services to enhance brand image and improve brand loyalty; and continued increase of R & D investment and other measures, which will also have an impact on the net profit of Great Wall Motors.

The performance of Great Wall Motor last year has been relatively stable among the large vehicle enterprises. At present, the Great Wall has formed Haval, WEY, Euler, gun pickup and other brands. In terms of sales volume, Great Wall Motor sold more than 1.05 million vehicles in the whole year, up 0.69% year-on-year, exceeding one million vehicles for the fourth consecutive year.

However, by 2020, due to the continuous winter and epidemic situation in the automobile market, Great Wall Motors has lowered its annual target, with sales plan lowered from 1.11 million vehicles to 1.02 million vehicles and net profit reduced from 4.7 billion yuan to 4.05 billion yuan.

Geely Automobile: Profit drops 35%

Geely Automobile released its performance report on March 30, showing that the annual revenue was 97.401 billion yuan, down 9% year-on-year; the net profit (profit attributable to equity holders of the company) was 8.19 billion yuan, down 35% year-on-year, lower than the market expectation of 8.72 billion yuan.

The Group's profit decreased due to a larger-than-expected decline in overall sales volume during the year, coupled with pricing pressures caused by weak demand and fierce market competition, the announcement said. In 2019, Geely sold 1.36 million vehicles (including Linkages brand), down 9.3% year-on-year, achieving the adjusted annual sales target.

At the sales level, Geely still ranks first in the independent camp. Among them, SUV sales accounted for 52% of Geely's overall sales; new energy vehicles also continued to make efforts, with 113,000 vehicles sold throughout the year.

At the performance conference, Geely said it would not adjust its sales target of 1.41 million vehicles in 2020, and that Geely would not lay off workers, reduce wages or delay paying employees during the epidemic.

On the whole, the automobile market continues to winter and the new energy automobile industry encounters difficulties, which makes it difficult for independent automobile brands to strive to increase market share. The premium and brand advantage of the joint venture brand will be pressed step by step, which will also bring pressure to the self-owned brand automobile business in the stock market.

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