Latest news with #GeelyAutomobileHoldings
Business Times
27-05-2025
- Automotive
- Business Times
BYD shares extend losses as price cuts throw spotlight on sales
[HONG KONG] BYD shares extended losses in Hong Kong trading on Tuesday (May 27) – taking their two-day slide to more than 10 per cent – as last week's sweeping price cuts stoked concern of another wave of discounting in China's cutthroat electric car market. The stock fell as much as 4 per cent in morning trading, following Monday's 8.6 per cent drop. The sell-off was sparked after the electric vehicle giant announced cuts of as much as 34 per cent on 22 electric and plug-in hybrid models in China until the end of June. The move came after the company last month posted its slowest year-on-year growth in vehicle deliveries in more than four years. While April sales rose 21 per cent from a year earlier, that was the smallest monthly gain since August 2020, except for a drop in deliveries in February last year, when the Chinese New Year holiday saw nationwide industry sales contract 22 per cent. Rival Geely Automobile Holdings's compact hatchback Xingyuan last month became the top-selling model in China, overtaking BYD's popular Seagull, according to data from the China Automotive Technology and Research Center. Morgan Stanley analysts said the price competition sparked by BYD is likely to drag on, with ripple effects into the second half of the year. The steep price cuts have taken some of the gloss off what has so far been a stellar year for BYD. The stock hit a record high last week, it posted its best month of sales in China and outsold Tesla in Europe for the first time in April, and raised HK$43.5 billion (S$5.5 billion) in a Hong Kong share sale in March. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up Before this week's slide, BYD Hong Kong-traded shares had surged almost 75 per cent this year, and with a market value equal to around US$158 billion, is bigger than Ford Motor, General Motors and Volkswagen combined. On the technology front, it has unveiled a lineup of cars it says can charge in five minutes, and started to make its God's Eye advanced driver-assistance system standard in vehicles priced from 100,000 yuan (S$13,900) and include it in several lower-cost models such as the popular Seagull hatchback. Some of the recently discounted models include those equipped with God's Eye. Investors will get more insight into how BYD is tracking when monthly sales for May are released on Sunday. BLOOMBERG
Business Times
15-05-2025
- Automotive
- Business Times
Geely profits surge on record sales as reshuffle underway
[HONG KONG] Geely Automobile Holdings, the Hong Kong-listed unit of billionaire Li Shufu's sprawling auto empire, said that first-quarter profit surged as sales climbed and it continued on a cost-cutting drive to stay on top of China's ultra-competitive car market. Net income more than tripled to 5.67 billion yuan (S$1 billion) in the three months ended Mar 31, from 1.56 billion yuan a year earlier, the company said on Thursday (May 15). That was broadly in line with guidance the company provided last month following a change in its accounting policy. Revenue rose 25 per cent to 72.5 billion yuan. 'The group achieved record-high sales and experienced strong growth in its new energy business,' it said. 'This led to significant scale effects and a substantial increase in overall profitability.' Geely Auto earlier this month announced a bid to take the premium electric car brand Zeekr private. The move, which came almost exactly a year after Zeekr started trading in New York, values Zeekr at about US$6.4 billion and is part of Li's drive to streamline his business empire – which also includes a stake in Volvo Car, iconic UK sportscar brand Lotus, and the maker of London's ubiquitous black taxis. Separately, Zeekr on Thursday reported a first-quarter net loss of 718 million yuan, narrowing 63 per cent from last year. Total revenue was largely flat, increasing just 1.1 per cent to 22 billion yuan. Zeekr merged with the Lynk & Co connected car brand earlier this year, and the period was the first quarter with the full integration of the two marques, Zeekr Group chief executive officer Andy An said. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up 'The two brands' initial technological consolidation has already boosted profitability through optimised R&D and shared platforms,' An said. Geely recorded net current liabilities of 11.3 billion yuan, but said that after a comprehensive assessment, this has no significant impact on its ability to continue, because the business continues to generate stable cash flows, has good relationships with financial institutions and is carrying out plans to improve liquidity, it said. Geely continues to enjoy strong growth in China, with deliveries rising 48 per cent in the first three months of this year. Popular models such as the electric Xingyuan hatchback and Xingyue L sport utility vehicle are among the best-selling vehicles in the world's largest auto market. But like other Chinese automakers, Geely is facing stiff trade headwinds. The European Union's tariffs on Chinese electric vehicles and the increase in taxes on car imports and weak consumer sentiment in Russia – where Geely is a top seller, are impacting exports. Overseas deliveries grew just small 2 per cent in the first quarter, compared with a 66 per cent surge in a year earlier, according to a separate company filing in April. BLOOMBERG
Business Times
07-05-2025
- Automotive
- Business Times
Geely plans bid to take Zeekr private at value of US$6.4 billion
[HONG KONG] Billionaire Li Shufu is ramping up a push to streamline his sprawling business empire, with his Hong Kong-listed Geely Automobile Holdings offering to take premium electric vehicle brand Zeekr private. The proposal would see Geely buy all shares in US-listed Zeekr Intelligent Technology Holding that it does not already own for US$2.566 per share, or US$25.66 per American Depositary Share – a premium of about 13.6 per cent to its last closing price. The deal, should it go ahead, would value Zeekr at about US$6.4 billion. Investors may elect to receive either cash or 1.23 newly issued shares, based on the volume-weighted average price of the shares of HK$16.14. Li has charted a new strategy for his Geely group, with a focus on consolidation, synergies and cost cutting to stem the losses at several of his carmakers. After more than a decade of expansion that saw Geely acquire brands such as Volvo Car and the UK's Lotus Cars, the Chinese automaker is shoring up resources to catch up to domestic rivals like BYD. 'The continued integration of Geely's automotive business gives rise to greater technological synergies, improve innovation capabilities, and increase profitability for all its holdings,' Li said in a statement on Wednesday (May 7). The move will strengthen Geely as a world-leading smart EV group, he said. The move comes just a year after Zeekr had listed in the US and follows the recent merger of the EV maker with another of Geely's smart car brands, Lynk&Co. Geely holds about 65.7 per cent of the total issued and outstanding share capital of Zeekr. Zeekr shares have slumped about 20 per cent this year as tariffs against Chinese EV and auto exports, and uncertainty over US President Donald Trump's trade policies weigh on the sector. BLOOMBERG
Yahoo
02-04-2025
- Automotive
- Yahoo
Geely sales gather speed behind EV demand
New-vehicle sales at Geely Automobile Holdings, China's second-largest private carmaker after BYD Co., spiked 54 percent to 232,177 in March. The sales surge was driven by the company's electrified models, according to data Geely released April 1. March deliveries of full-electric vehicles at the company soared 204 percent to 86,329. Geely mainly markets electric models under the premium Zeekr brand and the mass-market Galaxy marque. Sign up for the weekly Automotive News China newsletter, including commentary by journalist Yang Jian and highlights from top manufacturers and supplier news from China and Asia. Last month, Zeekr sales rose 19 percent to 15,422 while Galaxy deliveries shot up 290 percent to 90,032. The Galaxy Xingyuan, a subcompact sedan that hit the domestic market in October 2024, remained the top-selling EV model at Geely in March, generating volume of 32,490. Geely's March sales of plug-in hybrids more than doubled from a year earlier to 33,367. Overall, deliveries of EVs and plug-in hybrids reached 119,696 in March, rallying 167 percent from a year earlier and reflecting 52 percent of Geely's total sales in the month. In the first quarter, Geely's vehicle sales climbed 48 percent to 703,824 on stronger EV and plug-in hybrid volume. The sales growth largely reflected robust demand for the company's vehicles in China. Geely's March exports edged up just 1 percent year on year to 37,047, with year-to-date exports rising 2 percent from a year earlier to 89,953. Have an opinion about this story? Tell us about it and we may publish it in print. Click here to submit a letter to the editor.
South China Morning Post
20-03-2025
- Automotive
- South China Morning Post
Chinese carmaker Geely's 2024 profit soars 213% driven by EVs, asset sales
Profit at Geely Automobile Holdings , China's second-largest carmaker, more than tripled last year on the back of a surge in electric vehicle (EVs) sales and an investment gain from asset disposals. Advertisement The company's 2024 profit jumped 213 per cent from a year earlier to 16.6 billion yuan (US$2.3 billion), with sales increasing 34 per cent to 240.2 billion yuan, Geely said in a filing to the Hong Kong stock exchange on Thursday. The full-year profit beat analysts' estimates of 14.6 billion yuan tracked by Bloomberg. The company booked a gain of 9.1 billion yuan from the disposal of subsidiaries, the statement said. Excluding the one-off gain, profit increased 52 per cent. It proposed a dividend payout of HK$0.33, up from HK$0.22 in 2023. 'By leveraging on the successful transformation in electrification and 'intelligentisation', the group launched multiple new energy vehicle (NEV) models during the year, resulting in a substantial increase in NEV sales volume,' Geely said. 'The group accelerated its electrification transformation, while implementing a balanced development strategy to pursue both internal-combustion engine vehicles and NEVs.' The Geely EX5 is displayed at the Indonesia International Motor Show in Jakarta in February. Photo: Xinhua Geely's shares rose 1.5 per cent to HK$18.24 in Hong Kong on Thursday, taking its gain to 23 per cent this year. The benchmark Hong Kong Index has advanced 20 per cent in 2025.
