Changan Auto boasts 230.98% year-on-year surge in Q1-Q3 net profit

Shanghai (Gasgoo)- Chongqing Changan Automobile Co., Ltd. (Changan Auto) said its net profit attributable to shareholders amounted to 3.486 billion yuan ($520.318 million) for the first three quarters, shooting up 230.98% over a year ago.

The revenue for the same period leapt 23.77% year on year to 55.842 billion yuan ($8.335 billion). Meanwhile, the net cash flow generated by operating activities was 7.019 billion yuan ($1.048 billion), surging 86.8% from a year ago.

In the third quarter of 2020, Changan Auto's revenue and net profit vigorously grew 51.32% and 309.7% year over year respectively to 23.06 billion yuan ($3.442 billion) and 883.807 million yuan ($131.917 billion).

The substantial growth in the net profit should be mainly thanks to the increase in company's auto sales, the optimization in product structure and the improvement in the profitability of its self-owned and joint-venture businesses, said Changan Auto.

The automaker also announced non-recurring items brought nearly 5.6 billion yuan ($835.858 million) to the Q1-Q3 net profit attributable to shareholders.

With 205,543 vehicles sold, Changan Auto reported a 28.65% year-on-year leap in Sept. sales, achieving growth for six consecutive months.

Thanks to the incessant increase, Changan Auto's year-to-date sales jumped 12.01% compared to the year-ago period to 1,370,881 units, 2.49 percentage points higher than the growth in Jan.-Aug. sales.

From July 1 to October 30, Changan Auto sold a total of 22,999,600 shares it holds in the battery supplier CATL through centralized bidding, representing 4.259 billion yuan ($635.7 million) in turnover, according to another file released on the same day. The company said the transaction will bring roughly 1.971 billion yuan ($294.192 million) to its full-year net profit.