China's BYD shows effects of price war with weaker first-quarter earnings
Business
China's BYD shows effects of price war with weaker first-quarter earnings
BEIJING (Reuters) - Chinese electric vehicle (EV) maker BYD (002594.SZ), opens new tab posted its weakest quarterly profit growth since 2022 on Monday while its revenue growth slowed to the lowest level in nearly four years, hit by slowing EV demand and a bruising price war in the world's largest auto market.
First-quarter net profit was up 10.6% at 4.57 billion yuan ($631.08 million) while revenue grew by 4% to 124.94 billion yuan, BYD said in a stock market filing.
The quarterly results suggest BYD still pulled ahead of Tesla (TSLA.O), opens new tab which reported its first quarterly revenue fall since 2020 when the COVID-19 pandemic hampered production and deliveries.
The biggest Chinese rival to Tesla handed back the world's top EV seller title to the U.S. giant in the first quarter after winning it last year.
With a brand portfolio at different price points, BYD has ramped up efforts to move upmarket while doubling down on discounts to vie for cautious consumers amid a sputtering economic recovery.
