BYD Joins Nio and Xpeng in China EV car sales boom.
The Chinese electric vehicle companies are having a great time as their sales are increasing swiftly. BYD Company Limited (BYDDF) joins fellow China EV car stocks Nio (NIO), Xpeng Motors (XPEV), and Li Auto (LI) in recording strong sales in October.
With the EV market growing rapidly, BYD stands among its counterparts to expect robust growth in the coming years.
BYD has sold around 23,217 “new energy vehicles” (NEVs) during October, which is almost 85% higher than year-over-year. NEVs include hybrid and electric vehicles. According to local Chinese media outlets, the total sales increased 16% to 47,732 vehicles in October.
Recently, the company reported its third quarter results which showed significant improvements as the Warren Buffett-backed automaker benefitted from the growth of electric-car demand in China and rising sales at its new face-mask business.
The net income inclined to 1.75 billion yuan in Q3 compared to 120 million yuan during the same period last year. The sales increased by 41% to 44.5 billion yuan during the three months period, whereas, the profit surpassed the 1.66 billion yuan from the first half of 2020.
Since the pandemic impact has lessened during the last couple of months, car buyers are returning to showrooms and the demand for EV cars is increasing in particular. The new BYD models including Tang DM and Han are the leading models of the company competing for the EV market leadership in China. The company has recorded over 40,000 orders for Han over the last two months.
BYD, in which Buffett’s Berkshire Hathaway Inc. has held a stake since 2008, is also reaping the rewards from swiftly expanding to face-mask production after the virus broke out.
A New EV Product
The senior vice president of BYD, Lian Yubo on Tuesday highlighted that BYD will be launching a new EV product and manufacturing platform in 2021. He added that through their new EV platform, BYD will produce new models with less cost and the cars will have a longer driving range per charge.
The growing market place has seen a massive increase in BYD shares during this year as the stock price has more than quadrupled to a record high.
The future awaits big things for BYD and being the biggest Chinese EV by market value, it has to prove much more with its upcoming programs.
As we write this at 10:39 A.M. EDT, BYD Company Limited (BYDDF) was trading at $22.71 soaring by 1.65%.