The leading position is hard to shake! BYD will sell 593,700 new energy passenger vehicles in 2021

【EV Vision Report】2021 BYD ended perfectly, and annual sales continued to set new records.

BYD announced on the 3rd that the cumulative sales of new energy passenger vehicles in 2021 reached 593,700 units, an increase of 231.6% year-on-year, creating a new record for sales of New Energy Vehicle Companies in China. A total of 92,800 units were sold in December, up 3% month-on-month, exceeding 90,000 units for two consecutive months, another record high.

Sales of pure electric EV and hybrid DM-i product lines are close to the same, with 320,810 EV models sold in 2021 and DM-i models sold 272935 units, up 144.9% and 467.6% year-on-year, respectively.

In December, Han's sales reached 13,701 units, a record high, of which Han EV sales of 10,300 units, once again exceeded 10,000 units, the annual cumulative sales of more than 117,000 units, in the medium and large car segment has surpassed the Audi A6, ranking third.

Dolphin sales climbed to 10,016 units, breaking through 10,000 for the first time, and are forming an alternative to the same level of fuel vehicles of the same price. The Yuan family sold 8,577 units in December, with cumulative sales of more than 41,000 units in the whole year.

The annual sales volume of the Qin and Song series were 25,943 units and 223.86 million units respectively, with abundant orders in hand and the production capacity is climbing smoothly. With the resumption of normal production at the Xi'an plant and the subsequent easing of the epidemic, sales are expected to continue to pick up and hit new highs.

BYD ushered in rapid development in 2021, of which the unit price of passenger cars has exceeded 150,000 yuan in 2021. Driven by the hot sales of models, BYD has become the fourth largest car company in the world with a market value of 772.035 billion yuan, only lagging behind Tesla, Toyota and Volkswagen.

In 2022, BYD Dynasty series, marine series, warship series will have a number of blockbuster models on the market, according to the latest forecast of Essence Securities, BYD this year's new energy passenger car sales are expected to exceed 1.4 million units, an increase of more than 130% year-on-year.

In addition, during the Guangzhou Auto Show, BYD revealed that it plans to release a new high-end brand in the first half of 2022, the company's internal code name is "R" (Revolution), which has a revolutionary meaning, will have an independent sales network and team, and the first product will be a hardcore off-road pure electric SUV, with a price of 500,000-900,000 yuan. At the same time, BYD will increase its shareholding in the joint venture company Denza, and eventually achieve 90% of the shares.

BYD in the next few years is very worth looking forward to. In the case of a substantial increase in sales, BYD after 2023 will accelerate the replacement of new energy vehicles with fuel vehicles. In addition, according to Tianyancha, in the third quarter of 2021, BYD has registered four battery subsidiaries (grandchildren) companies such as Anhui Wuwei, Jiangsu Yancheng, Shandong Jinan and Zhejiang Shaoxing, and the power battery production capacity is expected to accelerate its expansion, and the external supply of blade batteries is expected to exceed expectations.

Citi raised BYD's 2022-2024 new energy vehicle sales forecast to 1.3 million units, 1.75 million units and 2 million units, respectively, and raised its A-share and H-share targets to RMB504 and HK$587.

Citi pointed out that due to BYD's strong backlog of orders in December and the resumption of production at the Xi'an plant, it is expected that sales and production on effective working days in January will continue to increase month-on-month, with the cumulative undelivered volume exceeding 200,000 in 2021, while the shipments of key models such as Han still exceeded market expectations in december when supply was restricted.

Minsheng Securities Research Report maintains BYD's recommended rating, mainly for reasons such as: short-term sales have basically ended due to the impact of the epidemic, and the demand for new energy vehicles has continued to be strong; the Dynasty series has accelerated iteration, the Ocean series has opened increments, and the product matrix has accurately card slots; electric intelligent research and development, and multi-dimensional technology has built core barriers. DM-i super hybrid technology and e-platform 3.0 bring core competitiveness, power battery and semiconductor technology lead the industry with strong competitive advantages, and a full range of technology empowers products.

Recently, BYD revealed in the investor conference call that the company's new energy vehicle sales target in 2022 is about 1.1-1.2 million units, of which pure electric vehicles are expected to sell 600,000 units per year, plug-in hybrid vehicles are expected to sell 500,000-600,000 units per year, is expected to become the second automobile company after Tesla to sell 1 million units per year, which shows that BYD's leading position in new energy is difficult to shake.