Product structure optimization drives the growth of the average price of bicycles Great Wall Motor's revenue in the first quarter exceeded 33.6 billion yuan

Chen Maoli, a reporter of this newspaper, reported from Beijing

Recently, Great Wall Motor Co., Ltd. (601633. SH, hereinafter referred to as "Great Wall Motor") released its first quarter report for 2022. Great Wall Motor's operating income in the first quarter of 2022 reached 33.6 billion yuan, an increase of 8.04% year-on-year, and net profit reached 1.6 billion yuan.

For revenue growth, Great Wall Motors said: "Through product structure optimization, continuous strengthening of new energy and intelligent development, the company has realized brand upward and global two-wheel drive, established a strong endogenous power, and maintained stable and upward operating performance." ”

"China Business Daily" reporter learned from Great Wall Motors that in the first quarter of 2022, the proportion of models built by Great Wall Motors based on the three major technology brands of lemon, tank and coffee intelligence has reached 70.4%, and the proportion of intelligent models has reached 84.5%.

Continuous optimization of product structure is good for revenue. In the first quarter, the sales share of high-profit models such as the Tank 300, Haval Divine Beast, and Great Wall Gun continued to increase. The average price of bicycles in the first quarter reached 119,000 yuan, an increase of 29.12% year-on-year.

However, due to the impact of the epidemic in many places in China, many parts suppliers of Great Wall Motors have been affected, resulting in limited production capacity of factories and declining sales of Great Wall Motors. In the first quarter of this year, Great Wall Motor sold 283,500 units and overseas sales of 29,300 units.

The reporter learned from Great Wall Motors that it faces problems such as insufficient supply of parts. The company is working with supply chain partners to proactively address related issues in an attempt to minimize the impact.

"We believe that the shortage of chips and the epidemic have led to the company's production capacity not being fully released, the scale effect has weakened, and the company's profitability is expected to further improve as factors such as missing cores and rising raw material prices are improved." Dongxing Securities pointed out in the research report.

Specifically, among the brands of Great Wall Motors, based on "category innovation", the products under the tank brand have performed well.

Positioned as a smart luxury off-road SUV, the tank 300 has maintained a hot selling momentum since its listing, during which supply was in short supply, and Great Wall Motors had to suspend orders and renovate the factory to increase production capacity. As of the first quarter of 2022, the cumulative number of users has exceeded 100,000.

Following the Tank 300, Great Wall Motors has successively opened up new categories of markets. On March 18, the first product of the tank brand business luxury series - Tank 500 was launched, and the Tank 500 was positioned as a medium and large business luxury SUV, which can meet the needs of users for business, home, travel, off-road and other scenarios.

Thanks to the deep insight into the needs of users, Euler Good Cat, which meets the needs of contemporary women's cars, sold 19,500 vehicles in the first quarter, an increase of 240% year-on-year.

With the powerful technical support of intelligent DHT, Weipai has successively launched Macchiato DHT, Macchiato DHT-PHEV, Latte DHT and Mocha DHT-PHEV, and continuously improved the coffee series matrix. Sales of the Weipai latte DHT continued to rise, reaching 2,576 units in March, an increase of 8% month-on-month.

Mocha DHT-PHEV, which was listed in March this year, lays out a high-end new energy market of more than 300,000 yuan, and creates a new category of "0 anxiety intelligent electric" with NOH high-end intelligent driving and 204km WLTC ultra-long pure electric endurance.

It is worth mentioning that the mileage of assisted driving users exceeded 7 million kilometers under the Great Wall Group, and the monthly growth rate of HPilot in the first quarter of 2022 exceeded 200%. Its large-scale mass-produced urban auxiliary driving product "NoH of Milli-Mo City" will be officially listed recently, further laying a solid foundation for the intelligent technology of Great Wall Motors.

Great Wall Motor's revenue growth is inseparable from its overseas market help. The reporter paid attention to the fact that with the landing of global models in overseas markets, the influence of Great Wall Motors in overseas markets has continued to strengthen.

According to the report of the National Automobile Association of Chile (ANAC), in February 2022, Great Wall Motors sold 1131 pickup trucks in Chile, an increase of 38% month-on-month, with a market share of more than 19%, and won the overall sales champion of the pickup truck category that month.

During the 43rd International Auto Show in Bangkok, Thailand, Great Wall Motors brought haval H6 HEV, Haval H6 PHEV, HAVAL JOLION HEV and Euler Good Cat on stage, and exhibited the Euler Good Cat GT and Tank 300 HEV concept car for the first time in the Thai market. Comprehensively demonstrated the creative thinking and youthful vitality of the GWM brand under the new ecology of intelligent technology.

It is reported that this year, Great Wall Motors will launch a number of new energy models in the Thai market, while expanding and improving sales and charging service outlets to provide users with more valuable multi-category new energy models.

As an important market for global models, Great Wall Motors has also achieved good results in South Africa. In January and February 2022, Great Wall Motor's third-generation Haval H6 had a 15% share in the South African compact SUV segment, ranking first in local segment sales for two consecutive months. Haval JOLION went public in April 2021 and won the market segment sales champion in its first month, with Haval JOLION's cumulative sales exceeding 8,000 units in South Africa as of March 2022.

"In terms of global layout, Great Wall Motors has accelerated its layout in Brazil, Southeast Asia, Western Europe and other places. At present, Great Wall Motors has taken over the Plant in Iracemapolis, Brazil, and is expected to start production in 2023; in the Southeast Asian market, Great Wall Motors actively accelerates the layout of the '4+4 ASEAN Strategy'; in addition, Great Wall Motors actively promotes the development of the WEY brand in Europe. Driven by intelligence and globalization, it has ushered in a new stage of rapid development. Minsheng Securities pointed out in the research report.

(Editor: Zhang Shuo Proofreader: Yan Jingning)