GWM’s 2016 profit reaches RMB 10.5b, with annual sales volume exceeding 1m units

Shanghai February 8th, 2017 Gasgoo-According to GWM’s financial report released on the night of February 6th, its operating revenue reaches RMB 98.62b in 2016, increasing 29.7%. The net profit reaches RMB 10.55b, showing growth of 30.87%. The growing performance mainly is mainly resulted by the increasing auto sales, and rising SUV sales proportion.

Official data shows that GWM has an annual sales volume of 1.07m units in 2016, increasing 26.01% with the data in 2015. It has overfilled the annual sales target of 950,000 units, the first time when GWM sells more than 1m units during a year. SUV sells 938,000 units, increasing 34.19% and occupying for 87% of total sales. Domestic SUV sales champion Haval H6 sells 580,800 units, accounting for total’s half.

H7’s 480,000 units’ sales volume, together with its selling price larger than RMB 150,000, plays an important role in supporting the growing revenue and profit. Besides, pickups have a sales volume of 105,600 units, which increases 6019%. Cars still face a large decrease in sales of 43.09% to 30,800 units. High-end models H9 and H9 also show tightening sales volumes.

High proportion of SUV sales is the main reason that GWM achieves such a good performance. GWM has led the SUV market since the 2002 for 14 years. Haval became and independent brand since the year 2013 when GWM’s annual sales exceeded 1m units for the first time, starting a two-brand strategy period. But car business got stranded since then, the once pillar model C30 faced continuously decreasing sales volumes.

GWM’s profitability also catches wide attention. Analyses believe that cost-saving mechanism and accurate market position guarantee GWM’s high profits.