appConfigEntityId

bodyType

customContents

entityId

entityUuid

isVideo

articlePageQuery

article

articleSchemaContent

content

hooksArticlePageAdvertisementConfigArticle

hooksArticlePageFloatingButtonConfigArticle

appConfig

filter

json

liveArticle

Daniel Ren

China’s electric vehicle (EV) giant BYD saw its earnings jump 30 per cent in the three months from April to June, ending a five-quarter losing streak as buoyant overseas sales and premium models enhanced its net margin and profitability.
The Shenzhen-based carmaker, also the world’s largest EV builder, posted a net income of 8.2 billion yuan (US$1.2 billion) in the second quarter, up 30 per cent year on year. The quarterly performance beat a consensus estimate of 8 billion yuan in a Bloomberg survey of analysts. Revenue dipped 3 per cent to 194.6 billion yuan.
The second-quarter data was derived by comparing figures in its interim earnings report, published on Friday, with its first-quarter results, according to its Hong Kong stock exchange filings.
“BYD’s quarterly profit would boost the Chinese auto industry’s confidence despite weak sales at home,” said Ivan Li, a researcher at Loyal Wealth Management in Shanghai. “They could increase sales abroad, banking on their technological and production strength.”
From April to June, BYD recorded sales of 471,091 vehicles outside mainland China, up 82.5 per cent year on year.
On the mainland, carmakers’ average net profit margin per vehicle is only about 5,000 yuan (US$744), according to Nick Lai, head of auto research for Asia-Pacific at JPMorgan. But the margin in overseas markets could be four times higher at 20,000 yuan, as Chinese cars are often sold at higher prices abroad, he added.
For the first half of 2026, BYD reported its first interim earnings drop in six years, as the firm’s strong second-quarter performance failed to offset a big fall in the preceding three months. Net profit for the first half of the year reached 12.3 billion yuan, down 20.5 per cent from a year ago. Revenue fell 7.1 per cent to 344.8 billion yuan.


BYD said the profit decline resulted from weaker domestic demand and higher raw material costs, which outweighed a 67.8 per cent surge in overseas sales.
“Consumers remained cautious about automobile purchases,” BYD said in the report. “Sustained price increases in bulk commodities, raw materials and chips further squeezed the profit margins of carmakers, testing the overall industry profitability.”
BYD’s first-half car sales worldwide slumped 15.7 per cent to 1.81 million units.
Buoyed by technological advances and pricing advantages, Chinese-developed EVs have reported sizzling overseas sales this year, but higher revenues abroad were still not enough to help most of China’s carmakers generate a net profit.
Among the nearly 30 Chinese carmakers that only make EVs, only BYD and Stellantis-backed Leapmotor were profitable in the first half of the year. Their counterparts struggled to break even, battered by high research and development costs and price competition that ate into their profit margins.
EV deliveries in China dropped 3.9 per cent to 951,000 units in July, data from the China Passenger Car Association (CPCA) showed, extending their decline to a seventh consecutive month amid fading government incentives and weaker consumer demand.
During the first seven months of 2026, Chinese carmakers handed over a total of 5.67 million EVs – comprising pure electric and plug-in hybrid cars – to domestic customers, down 12.5 per cent from a year earlier, the industry consortium added.


Tesla revives China discounts; Iran war drives shift to electric cars: 7 EV reads

China’s five-year plan for the new-energy vehicle sector

No pit stops: Chinese coal mine makes big upgrade with autonomous electric trucks

‘Key pillar’: the 5-year powerhouse plan for China’s car industry

Electric & new energy vehicles

BYD posts US$1.2 billion profit in second quarter on surging global demand

Visitors inspect a BYD Atto 2 electric vehicle during the Big Motor Sale 2026 automotive showcase in Bangkok, Thailand, on August 21. Photo: EPA

After gaining EV dominance, Chinese carmakers shift goal to take on full-hybrid behemoths

Technicians work at a Geely Auto plant in Zhejiang province. Photo: Getty Images

China’s new traffic safety law set to clarify liability for fully automated cars

Visitors view an autonomous-driving rental car during the 2025 World New Energy Vehicle Congress in Haikou, south China’s Hainan province. Photo: Xinhua

China’s EV sales slide again amid fading incentives, weak demand and persistent price war

Electric vehicles made by Volkswagen are seen on a production line in China’s Anhui province earlier this year. Photo: Reuters

Components crunch: China’s carmakers face rising costs to keep intelligence edge

Printed circuit boards are inspected at a factory in Dongguan, Guangdong province, China. Photo: Reuters

Geely’s Li Shufu hands over reins to younger generation for ‘healthy’ growth

Li Shufu, founder of Geely Auto, arrives for a session of the Chinese People’s Political Consultative Conference National Committee in Beijing on March 4. Photo: EPA

An electric vehicle is charged at a Geely showroom in Lagos, Nigeria, on June 18. Photo: Reuters

Business

China EVs

China Business

Markets

Money

News

China Future Tech

Economy

China Economy

Global Economy

The Chinese EV giant beat market estimates in the second quarter, as booming exports helped offset a prolonged decline in the domestic market


The Chinese EV giant beat market estimates in the second quarter, as booming exports helped offset a prolonged decline in the domestic market.


BYD posts US$1.2 billion profit in second quarter on surging global demand

.css-1c6uqr6{color:inherit;font-weight:inherit;font-size:inherit;font-family:inherit;line-height:inherit;overflow-wrap:break-word;}The Chinese EV giant beat market estimates in the second quarter, as booming exports helped offset a prolonged decline in the domestic market

The Chinese EV giant beat market estimates in the second quarter, as booming exports helped offset a prolonged decline in the domestic market