BYD, Great Wall, geely can be described as a traditional car troika, in 2021, the three companies in order to meet the opportunity of new energy vehicles, go all out to seek the road to change, but the results are not the same.
AMONG THE THREE CAR COMPANIES, BYD has the largest new energy transformation and the most obvious results.
01 Market level
The data shows that in 2021, bydir's cumulative sales of automobiles in the whole year 740131 vehicles, an increase of 73.34% year-on-year. Among them, the sales volume of new energy vehicles is 603783, the sales volume of fuel vehicles is 136348, and the proportion of new energy vehicles is 81.58%.
One of BYD's biggest achievements in 2021 is that the rice bowl of new energy vehicles has stabilized, and the contribution to revenue is greater than that of fuel vehicles. This is beyond the reach of the Great Wall and Geely.
Great Wall Motors previously announced that by 2025, Great Wall Motors will achieve 80% of new energy vehicles; Geely Automobile released the "Smart Geely 2025" strategy on October 31, 2021 - new energy vehicle sales will reach 900,000 in 2025, plus the Extreme Krypton brand, the overall proportion of more than 40%, to know that 6 years ago, Geely's plan is that new energy products will account for 60%, and now it has shrunk by 20%.
Recently, at the 26th United Nations Climate Change Conference, BYD announced that it will achieve zero-emission vehicles and trucks by 2040 or earlier to reach 100% of sales, which means that BYD will stop producing fuel vehicles (including plug-in hybrid models) by 2040 or earlier.
The sales data of the Great Wall and Geely for the whole year of 2021 has not yet been announced, but from the data from January to November 2021, it is also good on the surface, but the sales of Geely and The Great Wall are still mainly fuel vehicles, and the contribution of new energy vehicles is very weak.
Geely Automobile previously announced that it will hit its sales target of 1.53 million units in 2021. In the first 11 months of 2021, Geely Automobile sold a total of 1.1693 million units, an increase of 0.28% year-on-year, basically the same as the previous year. In order to achieve the target, it is necessary to complete the monthly sales of more than 360,000 units in December, which is difficult to imagine.
The same is true of Great Wall Motors, which was originally set at 1.21 million units in 2021 and later raised to 1.49 million units. If you follow the original goal, Great Wall Motors is still very easy to complete the goal, but according to the adjusted goal, Great Wall Motors is still about 370,000 vehicles away from the annual sales target, and the goal is still arduous.
02 Strategic level
The reason why BYD's new energy passenger car performed well in 2021 is due to the strategic breakthrough in the three major technical fields of blade battery, DM-i super hybrid and e platform 3.0, relying on the situation of "EV pure electricity and DM hybrid", "two legs, walking in tandem", forming its own unique competitiveness.
In 2021, bydir's cumulative sales of EV models and DM models reached 320,810 units and 272935 units, respectively, an increase of 144.9% and 467.6% year-on-year, respectively. In terms of new energy passenger cars, BYD is expected to top the annual sales championship of China's new energy passenger cars for the ninth time.
From the perspective of models, the flagship model of the Dynasty car series, Han, sold 13,701 vehicles in December 2021, with a cumulative sales of more than 117,000 vehicles for the whole year; the new generation of Tang, which is also the flagship model, sold 54,204 vehicles in 2021; the BYD Qin family sold 194,220 vehicles in 2021, an increase of 136.3% compared with 2020; the BYD Yuan family sold a total of 41,402 vehicles in 2021, of which 8,577 units were sold in December. This is an increase of 707.6% compared to December 2020.
In addition, BYD's Dolphin series also performed well, from the official listing in August 2021 to December, a total of 29,598 units were sold in five months, of which 10,016 units were sold in December, which was also the first time that the monthly sales of the model exceeded 10,000.
BYD's 1 millionth new energy vehicle also officially rolled off the production line on May 19, 2021, becoming the first Chinese brand to enter the "Millions Club" of new energy vehicles.
In order to transform new energy in 2021, Great Wall Motors is also constantly moving, from "combination" to "point", with equity incentives, Great Wall Motors will carry out organizational innovation of "strong backstage, large middle office, small front desk", project + process as the leader, and combat units with the role of captain, and promote the transformation of employees from "migrant workers" to "partners".
Great Wall Motors' best play is the SUV. In the first half of 2021, Great Wall Motors opened the road of coupe. Euler Lightning Cat became the first coupe under the Great Wall. The Euler brand sold 114,100 units in the first 11 months of 2021, an increase of 162.21% year-on-year, which is ok.
However, there was still a moth, Euler suffered a "crisis of trust" in December, and the owner found that the Euler model was equipped with an Intel quad-core 3940 chip released in 2016, which was inconsistent with the advertised.
At present, the Great Wall has hatched four major brands: Haval, Weipai, Euler, Tank and Great Wall Gun. From January to November, Weipai sold 48,298 vehicles; the sales of the Great Wall Gun exceeded 10,000 in 17 months. The cumulative sales of Great Wall pickup trucks exceeded 20,000 units in 15 months; the cumulative delivery of tanks from January to November was 72,630 units.
In order to ensure the supply of upstream sandy parts, Great Wall Motors has increased its support for Hive Energy in 2021, continuous financing, and increased the scale of expansion.
Geely Automobile is the three car companies in the new energy transformation encountered the most resistance, although has launched a lot of new energy models, but the overall performance is still tepid, which is also one of the reasons affecting Geely Automobile's "stride forward".
In the first month of 2021, Geely made three big moves: established a joint venture with Baidu Foxconn, pulled up Tencent's cooperation in digital cockpit and automatic driving, and discussed the possibility of OEM with Jia Yueting's FF. In September, Li Shufu engaged in "reverse crossover" and announced his entry into the field of mobile phones.
In the dimension of new energy, Geely got up early and rushed to a late set. As early as 2015, Li Shufu announced the "Blue Geely Action" in a high profile, saying that in 2020, the sales of new energy vehicles accounted for more than 90% of Geely's overall sales, and after the defeat, Geely had to think about the way to break through and tear the hole from the system.
In 2021, the most important thing for Geely Automobile is to establish Krypton Automobile and give it a very highly independent operation system, from the supply chain to internal employees, the operation mode is completely different from that of Lynk & Co. and so on.
Unfortunately, JiKr Automobile, a new smart pure electric brand built by Geely Group with high expectations, did not reflect strong competitiveness and general market influence, and Geely's Extreme Kr 001 pure electric car delivered 3796 units in December 2021.
Geely has no way back, and Extreme Krypton Automobile is its desperate choice, and can only increase its shareholding ratio and continue to support it.
Recently, extreme krypton is also a moth, after the New Year's Day, extreme Kr in order to attract more bookings but gave a greater discount, this behavior angered the owners of the order before the New Year's Day, the recent krypton official self-media account, full of unsubscribes, complaints and other negative comments - for example, "New Year's Day before the booking is even more expensive than after the New Year's Day, this operation, God."
In the research and development of three electrics, BYD is the most complete layout of domestic independent car companies, with Fordi batteries and Fordi power, and also launched blade batteries, followed by the Great Wall, which has hive energy and hive easy to create, Geely has no highlights in the layout of sandian.
In fact, Geely has also considered self-developed batteries, and has tried to support "Hengyuan" to ensure future supply, but it is not successful, and currently mainly relies on external companies such as Ningde Times, Sunwoda, And Fu Neng Technology, and because new energy sales have not improved much, the right to speak upstream is too weak.
03 Capital market level
In the secondary market, the most eye-catching performance in 2021 is BYD, BYD's stock price in 2021 has experienced a rollercoaster shock, and on October 26, it hit a record high of 333.33 yuan / share, and its market value also exceeded 910 billion yuan. On December 31, 2021, its closing price was 268.12 yuan per share, and its market value was 780.5 billion yuan.
Looking at 2022, if BYD's performance at the industrial and market levels continues to maintain the trend of 2021, can its market value exceed the trillion yuan mark? That's a big point of expectation.
Great Wall Motors is slightly inferior, Great Wall Motors on March 9, the lowest price in the Great Wall Motors intraday was 26.72 yuan, the stock price touched the lowest point of the year, and then began to rise steadily in the following months, the highest stock price on October 26 was 69.80 yuan, and the highest point was 87.31% compared with the maximum increase at the beginning of the year.
As of the close of trading on December 31, 2021, Great Wall Motor closed at 48.54 yuan, up 30.26% from 37.26 yuan (former reinstatement price) at the end of 2020. On that day, the stock market value of Great Wall Motor's Shanghai and Shenzhen Stock Connect was 2.841 billion yuan, an increase of 1.735 billion yuan over the beginning of the period; the shareholding of Shanghai and Shenzhen Stock Connect accounted for 0.96% of the A-share ratio, higher than the 0.48% at the beginning of the period, which was still favored by large funds.
Great Wall Motors in 2021 a total of 6 times up and down close, 2 times down stop close, the total market value of January 4, 2022 441.3 billion yuan, the current Great Wall in the automotive sector market value ranking second only to BYD, ranked second.
The expectations of Great Wall Motors may lie more in whether the breakthrough of the coupe is smooth and shorten the gap with BYD.
Geely Automobile's performance in the secondary market is relatively average, which is due to its lack of outstanding achievements in the transformation of new energy and the lack of sufficient valuation space.
From 2016 to 2018, Geely's sales increased from 800,000 to 1.5 million, the passenger car market share rose from 3.2% to 5.8%, and the average price of bicycles (including Lynk & Co) increased by 9,500 yuan. A wave of stock price rises, pushing Geely to the position of "independent brother".
Geely Automobile's highest share price in Hong Kong in 2021 was HK$35.50/HKD, and the closing price on January 4, 2022 was HK$21.250/share, with a market capitalization of HK$212.9 billion.
Whether Geely Automobile can regain its former glory depends on the performance of Extreme Krypton Automobile.
The electrification transformation of the automotive industry is not a 100-meter race, but a marathon, the three musketeers of traditional car companies, who laugh at the end is the real winner.
Author: Hui Ze Lee