Gasgoo Munich-Great Wall Motor projected a nearly 60% plunge in first-half net profit, citing delayed subsidy recoveries and currency swings. In a filing on July 14, the automaker forecast earnings attributable to shareholders of 2.35 billion yuan to 2.60 billion yuan, down 58.97% to 62.92% from a year earlier. The company attributed the drop primarily to deferred recognition of overseas tax subsidies and foreign exchange volatility.
Image Source: @Wei Jianjun
Chairman Wei Jianjun took to Weibo the same day to address the profit swing, noting that both overall sales and revenue actually climbed in the first half. He pointed to robust overseas growth and stronger sales of high-value models at home. Wei reiterated that the profit dip was driven largely by the timing of subsidy recognition and currency shifts. Prioritizing long-term health over short-term financials, he highlighted the company’s "sell more, ship less" inventory strategy, which has kept domestic inventory levels below the industry average to support dealers. Great Wall Motor also plans to repurchase H-shares, he added, signaling confidence in its future.
Image Source: Great Wall Motor
Earlier this month, the automaker released its June production and sales report. Total sales slipped 2.36% year-on-year to 108,100 units, bringing the first-half tally to 583,900 — a modest 2.48% increase. Overseas deliveries remained a bright spot, hitting 60,200 units in June and 291,400 for the half. New energy vehicle sales reached 34,700 units in June, with a six-month total of 144,600.
Performance varied significantly across brands. Haval sales edged down 3.38% to 60,300 units, while the WEY brand slumped 29.48% to 7,200. GWM Pickup bucked the trend with a 6.05% rise to 14,000 units. ORA delivered a standout performance, surging 229.15% to 10,800 units, whereas TANK sales fell 27.16% to 15,700.
While Great Wall Motor managed to grow sales and revenue in the first half, profits took a hit from external policy shifts and currency volatility. The company said it remains committed to a strategy of "long-termism," prioritizing healthy operations and transparent data over short-term gains.
