Author: Less words
On March 23, Geely Automobile (00175. HK) disclosed its financial report, recording revenue of 101.611 billion yuan in fiscal 2021, an increase of 10% year-on-year; annual profit of 4.353 billion yuan, down 22% year-on-year; profit attributable to shareholders after deducting share payments of 6.06 billion yuan, an increase of 9.4% year-on-year; and basic earnings per share of 0.48 yuan per share, down 15% year-on-year.
Source: Geely Automobile earnings report
In terms of cash flow, in fiscal 2021, Geely Automobile's total cash level reached 28 billion yuan, a record high, and net cash reached 20.8 billion yuan.
In fiscal 2021, Geely Automobile's revenue exceeded 100 billion yuan for the first time, but its net profit fell year-on-year. In this regard, Geely Automobile said in the financial report that in fiscal 2021, due to the continuous improvement of the product portfolio, the average ex-factory price of products increased by 8% year-on-year, including the Lynk & Co brand, the average ex-factory price of Geely Automobile's products increased by 9% year-on-year; in fiscal 2021, Geely Automobile faced the challenge of chip shortage, and the wholesale volume of automobiles (including Lynk & Co) in China was 1.213 million units, down 3% year-on-year, and the annual automobile sales were 1.328 million units, an increase of 1% year-on-year.
Geely Automobile has set a sales target of 1.65 million units in fiscal 2022, an increase of 24% over its total sales in 2021. However, the financial report shows that the current market competition is intensifying, rising raw material prices, the impact of the epidemic and the shortage of global chip supply are not weakening, which has put pressure on Geely Automobile's sales target and performance in 2022.
(This article is for reference only and does not constitute investment advice, and you do so at your own risk)