Chinese EV manufacturer BYD has said it expects net profits in 2023 to rise by 75-86pc next year on 2022 levels, boosted by rapid growth in overseas sales volume and cost cutting.
The firm forecast that profits will rise to RMB29bn - 31bn ($4.05- $4.34bn) in its estimated results.
“Despite the increasingly fierce competition in the industry, the company achieved significant improvement in profitability and demonstrated strong resilience by virtue of the continuous improvement in brand power, rapid growth in overseas sales volume, continuously expanding scale advantage and strong cost control capability in the industrial chain,” says the BYD statement.
BYD sold 1.57mn BEVs in 2023, up from 0.91mn in 2022. In the plug-in electric hybrid market BYD sold 1.43mn BEVs during the year, up from 0.95mn in 2022. Both were record highs for the company.
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Overseas sales of 'new energy vehicles' have been growing steadily throughout the year and reached 36,095 in December, more than three times the level of 11,320 in December 2022.
In total BYD sold 242,765 new energy vehicles overseas during 2023, over 8pc of its total new energy vehicle sales. It did not report overseas sales figures for most of 2022.
BYD recently announced it will invest $1.3bn in an EV factory in Indonesia, which would be the firm’s sixth outside China. It has existing facilities in Brazil, Hungary, Mexico, Thailand and Uzbekistan.
The firm is also targeting other major EV markets: Japan, the US and the EU.
The Financial Times has reported that BYD is also evaluating manufacturing sites in Mexico aimed at the US EV market. BYD estimates it now has approximately 150.909 GWh of batteries on the world’s roads.
Tom is an experienced business writer, specialised in the energy transition
Tom is passionate about Electric Vehicles and how Tesla, BYD, Rivian, Lucid and others are transforming automotive
