With the release of sales data in June, the competition in the auto market in the first half of 2022 has finally come to an end. It is true that affected by the epidemic in Changchun and Shanghai, the two "auto powerhouses", the domestic auto market once encountered considerable difficulties in parts supply and vehicle production; but fortunately, it gradually returned to normal at the end of the second quarter. While the year-on-month increase in June , a good start for the auto market in the second half of the year.
Speaking of the most noteworthy brands in the first half of the year, BYD definitely has to be mentioned. Data shows that since March this year, BYD's terminal retail sales have increased instead of falling. Sales have exceeded 100,000 units for four consecutive months, firmly ranking among the top three manufacturers; from January to June, BYD's cumulative sales There are more than 640,000 units, second only to the FAW-Volkswagen . It is within easy reach to achieve the goal of “annual sales of 1.2 million units”.
However, following the sales data, BYD also recently released a performance forecast for the first half of 2022. It is expected that the net profit in the first half of the year will reach 2.8 billion-3.6 billion yuan, a year-on-year increase of 138.59%-206.76%; excluding non-recurring gains and losses The final net profit was 2.5 billion-3.3 billion yuan, a year-on-year increase of 578.11%-795.11%. Judging from the sales of more than 640,000 vehicles in the first half of the year, BYD's average profit per model is about 5,000 yuan.
In comparison, in the latest first quarter financial report, Tesla ’s total revenue in the first quarter was US$18.756 billion, net profit attributable to ordinary shareholders was US$3.318 billion, and total delivery volume reached 310,048 vehicles. Not only did it hit an industry-high gross profit margin of 32.9%, the average net profit per model also reached US$10,700. It can be seen that BYD sells a lot today, but it is difficult to make money. The reasons behind it reveal the current development status of independent new energy brands.
At the beginning of this year, the new energy market ushered in a "price increase" for raw materials. Although the increase in manufacturing costs can be passed on to consumers to a certain extent, in order to stabilize sales, BYD continues to compress profit margins. For now, BYD's best-selling products are mainly focused on the household market of 100,000-300,000 yuan. These models have rich configurations, high cost performance, and adopt the development route of "small profits but quick turnover"; even if the supply of terminals exceeds demand, the price increase of BYD terminals is not too high. .
In addition, compared with the continuous improvement of Tesla's localization rate, production costs continue to decrease; BYD uses most of its own parts, and before it reaches scale, it will also encounter certain difficulties in making profits. BYD's establishment of an internal supply chain has many benefits. First, it can resist market risks and reduce dependence on external companies; second, it can supply other car companies and have a greater say in the market. In the future, as supply chain demand continues to increase, BYD will reach a profit point earlier, and the average profit of bicycles will reach a higher level.
In addition, for new energy vehicle companies in the early stages of research and development, they often need to invest a lot of money in R&D, talent, construction, etc. Even the new forces that are in full swing have not yet achieved "turning losses into profits." Therefore, it is not easy for BYD to both expand market share and achieve terminal profitability; as the new energy market gradually expands, BYD's advantages will increase.
Conclusion : To describe BYD at this stage in one sentence, "accumulation and accumulation" must be the most appropriate word. At this time, BYD is like wheat seedlings in winter or bamboo shoots before the rainy season. While it continues to accumulate energy, it is also waiting for an opportunity to explode. Whether in terms of technology accumulation, product lineup, development strategy, or industry reputation, BYD has reached the best level in history. Its performance in the second half of the year is worth waiting and watching.
