Despite aggressive discounts on its electric cars in China, BYD’s bottom line nearly doubled in the second quarter compared to Q1 2024. BYD credited the Q2 profit surge to rebounding vehicle sales, which reached a new record.
BYD record vehicle sales lead to higher Q2 profits
BYD announced net income reached RMB 9.06 billion, or about $1.27 billion, in the second quarter, up 33% year-over-year.
The EV leader posted revenue of RMB 176 billion ($24.7 billion) in Q2, up 41% from the first quarter and nearly topping its record RMB 180 billion ($25.3 billion) in Q4 2023.
Despite slashing prices and launching more affordable EVs, BYD’s bottom line nearly doubled from the first three months of 2023 (+98%). It was also the highest net income total behind the RMB 10.41 billion ($1.46 billion) generated in Q3 2023.
BYD’s Q2 profit surge was largely thanks to the record 986,720 new energy vehicles (NEVs), including EVs and hybrids sold, up 57% from the 626,263 sold in Q1.
Despite the profit growth, BYD’s gross margins slipped 3% from Q1 (21.88%) to 18.69% amid China’s intensifying EV price war.
Meanwhile, gross margins for the first half of 2024 reached 20%, up from about 18% last year. BYD reported first half 2024 revenue of RMB 301.1 billion ($42.2 billion), up 15% YOY.
BYD’s first-half net income also rose 24% to RMB 13.36 billion ($1.9 billion), driven by higher vehicle sales.
Low-cost EVs, overseas expansion fueling growth
BYD’s auto (and related) sales accounted for 76% of revenue, generating RMB 228.3 billion ($32 billion). Cell Phones and other businesses generated RMB 72.78 billion ($10.2 billion).
Although most of BYD’s sales are still in China, the company is quickly expanding overseas. To speed up the progress, BYD is opening several overseas plants for localized development.
BYD opened its first plant in Thailand, a key auto hub and growing EV market, last month. It’s also planning to open facilities in Mexico, Hungary, Brazil, Turkey, and Pakistan.
Despite Canada’s decision to impose a 100% tariff on Chinese EV imports, BYD has been eyeing selling vehicles there. It has already met with government officials and dealers.
With BYD already among the leading EV brands in Mexico, entering Canada could drastically shake up the North American auto market. American automakers like Ford and GM continue delaying EV plans, which could set them even further behind.
With record NEV sales in Q2, BYD surged past Nissan and Honda to become the seventh-largest automaker globally. Will it top Ford and GM?
Electrek’s Take
BYD continues gaining market share with its low-cost EVs, such as the Dolphin, Atto 3, and Seal. Its cheapest, the BYD Seagull EV, starts at just $9,700 (69,800 yuan) in China.
Ford is quickly shifting its focus on smaller, more profitable EVs as it looks to keep pace in the global auto race. Ford’s CEO Jim Farley warned that if automakers fail to keep up with Chinese OEMs, revenue and global market share will be at risk.
We are already seeing it play out, with BYD topping Honda and Nissan in Q2. BYD is quickly closing in on Ford and America’s big three as it takes over in key overseas markets.
BYD is also heavily investing in self- and smart-driving tech. It signed a deal with tech giant Huawei to use its new driver-assist tech for new “hard-core” EVs.
The new 2025 Seal EV, BYD’s answer to the Tesla Model 3, now features LiDAR on the roof for added smart driving features. Starting at 175,800 yuan, or about $24,500, BYD’s Seal is about $8,000 cheaper than the Model 3 (231,900 yuan) in China.
Although best known for its affordable EVs, BYD is expanding its market with new pickup trucks, mid-size smart SUVs, and electric supercars. It’s also advancing new smart driving tech to help drive future profits as buyers look for the latest features.
National Grid Renewables has broken ground on its 100 MW Apple River Solar Project in Polk County, Wisconsin.
The Wisconsin solar farm, which will use US-made First Solar Series 6 Plus bifacial modules, will be constructed by The Boldt Company, creating 150 construction and service jobs. Apple River Solar will generate over $36 million in direct economic benefits over its first 20 years.
Once it comes online in late 2025, Apple River Solar will supply clean energy to Xcel Energy, which serves customers throughout the Upper Midwest. According to National Grid Renewables, the solar farm will generate enough energy to power around 26,000 homes annually. It will also offset about 129,900 metric tons of carbon dioxide emissions each year – equivalent to taking 30,900 cars off the road.
“We are excited to see this project begin as it underscores our dedication to delivering clean, reliable and affordable energy to our customers,” said Karl Hoesly, President, Xcel Energy-Wisconsin and Michigan. “This project is an important step in those goals while bringing significant economic benefits to Polk County and the local townships.”
Electrekreported in February that Xcel Energy, Minnesota’s largest utility, expects to cut more than 80% – and possibly up to 88% – of its emissions by 2030, putting it on track to hit Minnesota’s goal of net zero by 2040. It also says it’s on track to achieve its clean energy goals for all the Upper Midwest states it serves – Minnesota, Wisconsin, North Dakota, South Dakota, and Michigan.
To limit power outages and make your home more resilient, consider going solar with a battery storage system. In order to find a trusted, reliable solar installer near you that offers competitive pricing, check outEnergySage, a free service that makes it easy for you to go solar. They have hundreds of pre-vetted solar installers competing for your business, ensuring you get high-quality solutions and save 20-30% compared to going it alone. Plus, it’s free to use and you won’t get sales calls until you select an installer and you share your phone number with them.
Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisers to help you every step of the way. Get startedhere. –trusted affiliate link*
FTC: We use income earning auto affiliate links.More.
Tesla has announced that it will finally deliver 500 kW charging as it is about to install its long-awaited V4 Supercharger cabinets.
The rollout of Supercharger V4 has been a strange one, to say the least.
Tesla has been deploying the new charging stations for two years and calling them “Supercharger V4”, but it has only been deploying the charging stalls.
Supercharger stations are made of two main parts: the stalls, which are where the charging cable is located, and the cabinets, which are generally located further back and include all the power electronics.
For all these new “Supercharger V4”, Tesla was actually using Supercharger V3 cabinets. This has been limiting the power output of the charging stations to 250 kW – although
Today, Tesla officially announced its “V4 Cabinet”, which the automaker claims will enable of “delivering up to 500kW for cars and 1.2MW for Semi.”
Here are the main features of the V4 Cabinet as per Tesla:
Faster charging: Supports 400V-1000V vehicle architectures, including 30% faster charging for Cybertruck. S3XY vehicles enjoy 250kW charge rates they already experience on V3 Cabinet — charging up to 200 miles in 15 minutes.
Faster deployments: V4 Cabinet powers 8 posts, 2X the stalls per cabinet. Lower footprint and complexity = more sites coming online faster.
Next-generation hardware: Cutting-edge power electronics designed to be the most reliable on the planet, with 3X power density enabling higher throughput with lower costs.
Tesla reports that its first sites with the new V4 Cabinets are going into permitting now. The company expects its first sites to open next year.
We recently reported about Tesla’s new Oasis Supercharger project, which includes larger solar arrays and battery packs to operate the charging station mostly off-grid.
Early in the deployment of the Supercharger network, Tesla promised to add solar arrays and batteries to all Supercharger stations, and Musk even said that most stations would be able to operate off-grid.
While Tesla did add solar and batteries to a few stations, the vast majority of them don’t have their own power system or have only minimal solar canopies.
Back in 2016, I asked Musk about this, and he said that it would now happen as Tesla had the “pieces now in place” with Supercharger V3, Powerpack V2, and SolarCity:
It took about 8 years, but it sounds like the pieces are now getting actually in place with Supercharger V4, Megapacks, and this new Oasis project.
FTC: We use income earning auto affiliate links.More.
Hyundai has a new secret weapon it’s about ready to unleash. To revamp the brand in China and counter BYD’s surge, Hyundai is launching a new AI-powered EV next year. The new model will be Hyundai’s first dedicated electric car for the world’s largest EV market.
With the help of Haomo, a Chinese autonomous startup, Hyundai will launch its first EV equipped with generative AI. It will also be its first model designed specifically for China.
A Hyundai Motor official said (via The Korea Herald) the company is “working to load the software” onto the new EV model, “which will be released in the Chinese market next year.” The spokesperson added, “The level of autonomous driving is somewhere between 2 and 2.5.”
In comparison, Tesla’s Autopilot is considered a level 2 advanced driver assistance system (ADAS) on the SAE scale (0 to 5), meaning it offers limited hands-free features.
With Autopilot, you still have to keep your eyes on the road and hands on the steering wheel, or the system will notify you and eventually disengage.
Haomo’s system, DriveGPT, unveiled last spring, takes inspiration from the OpenAI’s popular ChatGPT.
The system can continuously update in real-time to optimize decision-making by absorbing traffic data patterns. According to Haomo, DriveGPT is used in around 20 models as it looks to play a bigger role in China.
Hyundai hopes new AI-powered EV boosts sales in China
Electric vehicle sales continue surging in China. According to Rho Motion, China set another EV sales record last month with 1.2 million units sold, up 50% from October 2023.
Over 8.4 million EVs were sold in China in the first ten months of 2024, a notable 38% increase from last year.
BYD continues to dominate its home market. According to Autovista24, BYD accounted for 32.9% of all PHEV and EV (NEV) sales in China through September, with over half of the top 20 best-selling EV models.
Tesla was second with a 6.5% share of the market, but keep in mind these numbers only include plug-in models (PHEV).
Like most foreign automakers, Hyundai is struggling to keep up with the influx of low-cost electric models in China. Beijing Hyundai’s sales have been slipping since 2017. Through September, Korean automaker’s share of the Chinese market fell to just 1.2%.
According to local reports, Hyundai is partnering with other local tech companies like Thundersoft, a smart cockpit provider, and others in China to power up its next-gen EVs
With its first AI-powered EV launching next year, Hyundai hopes to turn things around in the region quickly. The new model will be one of five to launch in China through 2026.
FTC: We use income earning auto affiliate links.More.