The results extended the Shenzhen-based company’s streak of profit drops to four quarters as it faced intensifying competition from the likes of Xiaomi Corp and Geely Automobile Holdings Ltd. That’s prompted the industry leader to slash prices to stay ahead, with discounts in March climbing to the highest level in two years, and eroding profits that BYD generates from each car.
(April 28): BYD Co’s quarterly profit tumbled to its lowest level in more than three years as the world’s largest maker of electric vehicles (EVs) offered more discounts on its cars to fend off mounting competition.
Net income fell 55% to 4.08 billion yuan in the three months ended March 31, the Shenzhen-based automaker said on Tuesday. That’s in line with the 4.1 billion yuan average of five analyst estimates compiled by Bloomberg. Revenue fell 12% to 150.2 billion yuan.
