On April 25, with the sharp decline in A-shares and the automobile sector, Great Wall Motor's stock price also refreshed the "lower limit" again.
As of the close of the day, Great Wall Motors plunged 7.31% to 22.58 yuan / share, and hit a new low in more than a year in the intraday, with a total market value of only 208.5 billion yuan. From the high point of 69.8 yuan per share in October last year, Great Wall Motors plunged 68% in half a year, the market value evaporated by 436 billion yuan, and made Wei Jianjun, the actual controller who held 34.5% of the shares, lose 150 billion yuan of his shareholding.
In fact, just on the evening of April 22, Great Wall Motor just released the first quarter report of 2022, showing that although it achieved revenue of 33.619 billion yuan, an increase of 8.04% year-on-year; but the net profit attributable to the mother was 1.634 billion yuan, down 0.34% year-on-year. It is worth noting that in Great Wall Motor's non-recurring profit and loss project, there is also a government subsidy of 800 million, which is close to half of the profit.
Of course, this is not the most difficult problem that Wei Jianjun needs to face, and perhaps the more difficult topic is still to come.
The Association said that due to the shortage of parts and components, the vehicle production bases in central China, south China and other places have been stopped one after another. The average daily retail sales volume of major automakers in the first and second weeks of April fell by 32% and 39% respectively year-on-year. In the third week, the market recovered under the impetus of the resumption of work and production, with a year-on-year decline of about 35%, and the fourth week of the decline shrank to about 26%. As a result, retail sales will reach 1.1 million units in April, down 31.9% year-on-year.
It is worth mentioning that Wei Jianjun's current focus on the field of new energy vehicles is the one with the most crotch. It should be known that according to his plan, Great Wall Motors will achieve the goal of global annual sales of 4 million vehicles in 2025, of which new energy accounts for 80% and the total revenue exceeds 600 billion yuan.
According to data from the Association, in March 2022, the sales volume of the domestic new energy passenger car market increased by 137.6% year-on-year to 445,000 units. Among them, BYD soared 334% year-on-year, reaching 103,000 vehicles, with a market share of 23.2%, but Great Wall Motors ranked 7th with only 15,000 vehicles, not only the market share was only 3.4%, the increase was only 14.9%, which was the lowest year-on-year growth rate among the 15 car companies on the list.
Born in 1964, Wei Jianjun is now 58 years old, as the son of the first generation of entrepreneurs in Baoding, Hebei Province, as a rich second generation, with the advantage of standing on the shoulders of his father, he led Great Wall Motors to make countless achievements, not only becoming the pride of Baoding, a city known as the "Gate of Gyeonggi", but also making Wei Jianjun the new richest man in Hebei.
However, the capital market will not stay for anyone, backwardness means abandonment, the transformation of new energy vehicles is a huge challenge for all traditional car companies, but to see who can grit their teeth and persevere, so as to get the affirmation of investors.
(Author 丨Shijie Feng Chenchen Editor 丨Liao Ying)