BYD posts 30% second-quarter profit gain, first increase in five quarters

BYD, the world’s largest electric vehicle maker, reported second-quarter net profit of 8.2 billion yuan, or about $1.2 billion, up 30% from a year earlier. It was the company’s first quarterly profit increase in five quarters. The figure was derived from BYD’s first-half earnings released on Friday and came in slightly above the average analyst estimate compiled by Bloomberg. Revenue for the same period unexpectedly fell about 3% to 194.6 billion yuan. According to the report cited by ChainCatcher, profit growth was supported by a surge in exports and demand for some higher-priced models. Those factors helped offset weakness in China’s domestic market. The update points to a split in BYD’s quarterly performance: stronger earnings on one side, softer top-line revenue on the other. The company’s results, as presented in the source report, show that overseas sales and product mix played a key role in lifting profitability during the quarter.