On April 18, BYD released its first quarter 2022 results forecast. The report shows that the net profit attributable to shareholders of listed companies in the first quarter is expected to reach 650 million to 950 million yuan, an increase of 174% to 300% year-on-year.
In the first quarter of this year, due to the impact of rising raw material prices, BYD has raised prices twice. On January 22, BYD announced that the price of its new energy models increased by 1,000-7,000 yuan, which officially took effect on February 1; on March 16, it again announced the adjustment of the official guidance price of new energy models related to Dynasty Network and Ocean Network, ranging from 3,000 to 6,000 yuan.
For the reasons for the increase in net profit, BYD also said that it is mainly due to the overall continuation of the rapid growth momentum of the new energy automobile industry, and bydir's new energy vehicle sales share has increased, driving the improvement of profitability.
According to the latest production and sales data, BYD sold 291378 new vehicles in the first quarter of 2022, an increase of 179.78% year-on-year. In terms of new energy vehicles, BYD's sales of new energy vehicles in the first quarter reached 286329 units, a substantial increase of 422.97% year-on-year.
Among them, the cumulative sales of pure electric passenger cars reached 143223, an increase of 271.05% year-on-year; BYD's plug-in hybrid passenger cars sold 141514 new cars, an increase of 857.4% year-on-year. The two accounted for 49.16% and 48.57% of YAD's sales in the first quarter, respectively.
In addition to the automotive business, BYD's operating income structure also includes mobile phone components and assembly business, rechargeable batteries and photovoltaic business.
In March this year, BYD's new energy vehicle power batteries and energy storage batteries installed a total of about 5.353GWh, and the cumulative installed capacity in the first quarter was about 14.738GWh.
However, officials said that in the first quarter, the mobile phone components and assembly business was affected by weak industry demand, resulting in low capacity utilization, and the profitability of the business segment was under pressure.
This may mean that the mobile phone components and assembly business, which is the backbone of BYD's profitability, will be less profitable in the first quarter than in the same period last year. In contrast, the scale effect brought about by the growth of new energy vehicle sales has begun to be reflected in profitability.
In April, BYD announced that it had stopped production of fuel vehicles from March this year. In the future, in the automotive segment, it will focus on pure electric and plug-in hybrid vehicles. At the same time, the production and supply of fuel vehicle parts will continue.
Industry insiders believe that abandoning fuel vehicles may have a certain impact on BYD's performance in the short term, but in the long run, the impact is not large.