Geely Auto H1 net profit likely shoot up over 50% year on year

Shanghai (Gasgoo)- Geely Auto's net profit in the first half of 2018 would surge over 50% compared with the corresponding period in 2017, the automaker announced on July 11.

Last year, Geely Auto's net profit totaled RMB 4.34 billion for the first six months. Therefore, it can be estimated that the company earned more than RMB 6.5 billion of net profit for the first half.

According to the announcement, Geely Auto attributed its net profit growth to the overall sales jump and the products’ portfolio improvement. From January to June, the Hangzhou-based automaker delivered 766,630 vehicles in total with a violent year-on-year growth of 44%. To be specific, the year-to-date sales of the Boyue and the Borui reached 159,325 units in total. The sales aggregate of the Emgrand family and the Vision family were up to 287,602 units and 260,552 units by the end of June. Meanwhile, the sales of the Lynk & Co 01 has been constantly climbing month over month. Its cumulative sales reached 46,252 units for the first two quarters.

Last year, Geely Auto's annual sales zoomed 63% year on year to 1,247,116 units, which outnumbered its 2017 sales target of 1.1 million units. Thanks to the robust sales performance and successful implementation of several major strategies, including some significant mergers and acquisitions, the company's market valuation has been successively hitting new highs and even surpassed BYD and GAC Group around July last year, ranking second among Chinese automakers. Geely Auto witnessed its total revenue in 2017 surging 73% to RMB 92.76 billion. Meanwhile, its annual net profits skyrocketed 108% year on year to RMB 10.74 billion. 

Inspired by the blooming sales momentum last year and the competitive new model's launching planning, Geely Auto elevated its sales goal in 2018 to 1.58 million units. By the end of June, the automaker has already completed 49% of the goal, which was basically consistent with its planned development process.