During the midday market close on August 22, Geely revealed its 2023 interim results report to the HKEx。

Performance data show that in the six months ended June 30, 2023, Geely's total sales increased by 13% year-on-year to 69% due to "rapid growth in the proportion of new energy vehicles.".40,000 vehicles; as a result, Geely's second-quarter revenue also rose 26% year-on-year, recording 731.8.2 billion yuan (RMB, the same below)。

During the period, Geely's net profit attributable to its parent company increased 1% year-on-year to 15.7.1 billion yuan; gross profit of 105.400 million yuan, up 3% year-on-year; profit for the period was 1.2.7.4 billion yuan, compared with 1.2 billion yuan in the same period last year..$7.8 billion; diluted earnings per share 14.75 points, compared with 14 in the same period last year.71 points。

The group noted that the company is currently financially healthy and has successfully achieved double growth in sales revenue.。Total cash level of 336.400 million yuan, a record high, and strong cash flow, operating cash flow rose 9..1% to $10.7 billion。

According to the announcement, Geely's steady performance is inseparable from its steady attitude and practice, and its generous capital investment for intelligent transformation, such a gratifying growth thanks to Geely's grasp of the logic of the main line of new energy, as well as its brands to give full play to the advantages of synergy, committed to creating a "smart boutique car for everyone."。

               

Without fear of price competition tide, Geely clever "take advantage"

               

According to the announcement, Geely's sales performance in the first half of 2023 was basically in line with management's expectations。Despite a slightly lower demand recovery, it coincides with competitive pricing trends in the automotive industry。Moreover, according to the China Association of Automobile Manufacturers (CAAM), China's passenger car market sales increased by 8 in the first half of the year..8%。

Geely Automobile Chairman and President An Conghui said at the results conference that the new energy vehicle industry is highly competitive and the price war is expected to continue in the future, in which the market segment with a price of 200,000 yuan will be more competitive, but at the same time the market capacity will be higher.。Increased competition has slightly affected Geely's Q2 gross margin, but the expansion of market capacity is more conducive to a higher market share。

Based on this trend, Geely's total sales during the period reached 69.40,000 vehicles, up 13% year-on-year; 23% of which were contributed by new energy vehicles (including Geely, Lynk & Co, Polar Krypton, and Ruilan), up 15.80,000 vehicles, up 44% from the same period last year.。Coupled with the continued strength of the export side, exports in the first half of the year reached 12.More than 10,000 vehicles, up 38% year-on-year。It should not be overlooked that the increase in sales was driven not only by the price war, but also by Geely's good brand influence and new models.。

The group said that although the growth rate of the new energy vehicle market has slowed down, it still has huge development potential and opportunities.。In the first half of 2023, Geely brand launched a new exclusive new energy "Galaxy" series, strong entry into the new energy market。CEO Gan Jiayue said that the polar krypton brand will launch a new smart pure electric car to increase the luxury market share; and Geely "Galaxy" series of new models will be launched in the second half of 2023, is expected to promote sales growth in the second half of the year。

              

Increase investment in intelligent electrification research and development, and sound the clarion call for new energy transformation

                

Geely's R & D investment continues to focus on the research and development of new energy vehicles and key technologies, especially the innovation of forward-looking technologies such as intelligent interconnection and digitization.。In the first half of the year, the decline in lithium carbonate prices reduced battery prices, which had a positive impact on controlling the cost of new energy vehicles。During the same period, Geely Automobile increased its investment in intelligent electrification research and development, with total investment in research and development increasing by 62% year-on-year..8% to 59.100 million yuan。

The group pointed out that it is currently in a critical period of transition to new energy sources, and the operating level is still facing various challenges in the transition period, but the overall profitability is still sound and is actively responding to various challenges in order to maintain the sustained and healthy development of the business.。

Geely's R & D investment continues to focus on the research and development of new energy vehicles and key technologies, especially the innovation of forward-looking technologies such as intelligent interconnection and digitization.。The Group will continue to increase investment in research and development to further enhance its core competitiveness and consolidate its leading position in the industry.。In the second half of the year, the Group will continue to innovate in the three major areas of intelligent driving, intelligent cockpit and artificial intelligence to strengthen the competitive barriers of Geely technology.。

Gui Shengyue, CEO of Geely Automobile Holdings Limited, said: "With the launch of Geely Galaxy products, all brands under Geely Automobile have sounded the clarion call for a comprehensive transition to new energy sources.。At present, Geely Automobile has fully completed the basic investment and ecological construction of the transformation to new energy, and its products have also completed the intelligent transformation.。In the new market competition pattern, Geely is expected to usher in the development of the second take-off。"

                

Full sprint new energy track leading the way to the future

               

Despite market demand and macroeconomic uncertainty, Geely's management remains optimistic about meeting its full-year sales target of 1.65 million vehicles.。The company will launch a number of hybrid and pure electric models in the second half of the year, and will continue to optimize its fuel vehicle portfolio and launch a small number of strategically upgraded models to stimulate market demand.。At the same time, we will continue to strengthen cost control to ensure sustained and stable performance.。

CFO Dai Qing said, Geely brand will be full speed to promote the "Galaxy column" layout, the listing of Galaxy L6 and E8; extreme krypton brand will launch a new intelligent pure electric car, enhance the luxury market share; Lynk & Co brand fully open the brand electric transformation。

It is worth mentioning that in July this year, Geely Holding Group, Geely Automobile and Renault signed a binding joint venture agreement to establish a power joint venture company to develop, manufacture and supply advanced hybrid powertrains and efficient hybrid powertrains worldwide. Fuel powertrain, reduce the proportion of internal combustion engine powertrain product production business, and accelerate the transformation to the new energy field。

Geely Automobile's new energy main line logic is becoming more and more clear, and each brand actively participates in market competition by focusing on user needs and clear brand positioning.。Full sprint new energy track, through collaboration with all parties, to play Geely's scale effect and systematic advantages。