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BYD Profit Drops One-Third as China EV Slowdown Offsets Overseas Gains

Price cuts in a soft China market undercut earnings despite accelerating exports.

Overview

  • Net profit fell about 33% to roughly 7.8 billion yuan in the third quarter, with revenue down around 3% to about 195 billion yuan, missing analyst estimates.
  • BYD delivered approximately 1.11 million new-energy vehicles in the quarter, slightly lower year on year and quarter on quarter.
  • European momentum strengthened, with 24,963 September registrations reported by ACEA, narrowing the gap with Tesla’s 39,837 as Tesla’s sales declined 10.5% year on year.
  • The company is expanding its European footprint, targeting 2,000 showrooms in 2026 and building a local supply chain for regional production.
  • Management has trimmed the 2025 sales target to 4.6 million vehicles as domestic demand softens, even as overseas sales grew about 160% year on year in the quarter.