Technology

Chinese EV battery maker CATL expects 2023 profit to jump as much as 48 per cent as it maintains huge advantage over rivals

0
Please log in or register to do it.
Chinese EV battery maker CATL expects 2023 profit to jump as much as 48 per cent as it maintains huge advantage over rivals


The company, based in Ningde in southeastern Fujian province, said in a filing to the Shenzhen Stock Exchange on Tuesday evening that earnings for last year would reach 42.5 billion yuan (US$6 billion) to 45.5 billion yuan, up by between 38.3 per cent and 48.1 per cent.

Its fourth-quarter profit, which is derived by comparing the full-year earnings estimate and its nine-month results published in October, would be 11.35 billion yuan to 14.35 billion yuan, an increase of 8.9 per cent to 37.6 per cent from the previous three months.

“Rising sales volume in tandem with lower production costs boosted its profitability in the fourth quarter,” Soochow Securities said in a research note on Wednesday. “CATL has maintained its advantage over smaller domestic rivals.”

The EV battery maker reported an unexpected quarter-on-quarter profit drop of 4.3 per cent in the three months ending September 30, owing to a currency exchange loss caused by a volatile Chinese yuan.

03:15

China-made battery plant upsets local residents in Hungary, triggering protests

China-made battery plant upsets local residents in Hungary, triggering protests

CATL, which had a 37.4 per cent share of the global market with an output of 233.4 gigawatt-hours (GWh) of batteries in the first 11 months of 2023, sold 40 per cent of its products outside mainland China.

Technically, 1GWh of batteries is enough to power about 13,000 electric cars with a driving range of 500 kilometres.

According to Seoul-based SNE Research, BYD, the world’s largest electric car builder, was the nearest rival to CATL, with a share of 15.7 per cent of the global market between January and November last year.

In the world’s largest EV market, about two out of every five new cars taking to the streets are powered by battery.

But the sales momentum of battery-powered vehicles in mainland China will slow to 20 per cent this year, compared with 37 per cent growth recorded in 2023, according to a forecast by Fitch Ratings in November.

Deliveries of electric cars in the mainland account for about 60 per cent of the global total.

The Shenxing battery can offer a 400km driving range after just 10 minutes of charging and reach 100 per cent capacity in just 15 minutes as a result of its so-called 4C charging capabilities.



Source link

Blind man arrested for talking back
Beyond The 9-6 Job. Lau Jun Wen Shares His Experience In Building His Own Army-Themed Card Game To Diversify His Income Sources