March is about to end, and it’s time for BYD to hand over its March report card.
But this time, it will hand over the 2022 report card first.
On the evening of March 28, BYD officially announced its 2022 financial report, with net income of 424.061 billion yuan, a year-on-year increase of 96.2%; net profit of 16.622 billion yuan, a year-on-year increase of 445.86%.
There is no doubt that this is another big devil after Huawei.
So, how should we interpret this financial report?
What are the key information in the financial report?
From the perspective of sales and net profit, this financial report is BYD’s best report card in the 12 years since it went public.
Moreover, this financial report is even more flavorful when combined with the news that Weilai, Ideal, and Xpeng will suffer a combined loss of more than 20 billion in 2022.
But in many cases, net profit does not prove all the problems.
In addition to sales and net profit, some other highlights of this financial report may be more worthy of attention.
First of all, the gross profit margin is 20.39, a year-on-year increase of 3.69 percentage points. At the same time, the price of an electric vehicle is about 157,000 yuan (excluding tax). This number is in the first echelon of non-luxury brands.
If nothing else happens, this number will continue to soar in 2023, because both momentum and looking up are currently taking off.
Secondly, BYD's net profit in 2022 will increase quarter by quarter, with net profit in the fourth quarter reaching 7.311 billion yuan, equivalent to twice the net profit for the whole year of 2021.
At the same time, its bicycle profits are also increasing, among which, in the fourth quarter, it reached 9,800 yuan.
For comparison, BYD's net profit from bicycles in the first half of 2021 was only 828 yuan.
In other words, BYD’s strength has just begun.
In 2023, the price of raw materials for lithium iron phosphate will fall, the scale of production capacity will expand, and the scale effect will lead to further reductions in costs. BYD's financial report in 2023 will be even more eye-catching.
Third, BYD’s operating cash flow in 2022 is 140 billion yuan, equivalent to the total of the past five years. With a huge capital of 140 billion yuan, it shows that BYD can afford large investments and withstand strong winds and waves.
Fourth, research and development expenses reached 20.223 billion yuan, a year-on-year increase of 90.31, accounting for 4.77% of operating income.
This number is incomparable with that "lunatic" Huawei, because Huawei spent 25% of its operating income on R&D in 2022, but BYD's R&D investment is equivalent to NIO, Ideal, and Xpeng. , the total investment in research and development of Leipao is also quite strong.
Fifth, BYD received a financial subsidy of 10.438 billion yuan in 2022.
Looking at it this way, BYD’s real net profit is actually not high.
National subsidies for new energy will be canceled in 2023, but judging from the current situation, BYD's revenue and net profit will not be affected by this factor at all.
What other growth points will BYD have in 2023?
BYD is now the global new energy sales champion. It is difficult for anyone to make further progress. However, BYD still has many growth points in 2023 to support the rapid development of its automobile business. .
The first thing that deserves attention is that the two high-end sub-brands Denza and Yangwang will make great achievements in 2023.
Dengza has been established for more than ten years. It has evolved from a "godson" to a "real son". Subsequently, its sales have skyrocketed. The monthly sales of its first model Denza D9 are about to exceed 10,000 yuan. The first SUV model Denza is about to exceed 10,000 yuan. Shi N7 is also about to debut.
For BYD, it is completely an "increment" in 2023.
Look up again.
This brand has a high positioning and is unlikely to become a popular model.
However, the Yi Sifang platform technology that debuted with the Yangwang brand is expected to be transferred to other BYD models to promote the improvement of overall quality. Moreover, the emergence of the Yangwang brand will further enhance BYD's presence in the high-end market. appeal, which is more valuable than how much it sells for.
The second is the overseas export market.
BYD can be regarded as the vanguard of domestically produced cars going overseas, but for a long time in the past, BYD's export models were mainly commercial vehicles such as electric buses, and its exports of passenger cars were almost negligible.
However, from January to February 2023, BYD’s cumulative exports of passenger cars reached 25,000 units. Many institutions believe that BYD’s export volume in 2023 is expected to reach 300,000 units, equivalent to three leading car manufacturers. The sum of forces.
In addition, the existing Dynasty series models will continue to be updated, and the Ocean Network models will also continue to expand, both of which are expected to maintain rapid growth.
Take BYD Seagull, which is about to debut, as an example. This is another "magic car" that can be reserved for popular seats.
According to the BYD new car planning map circulated on the Internet some time ago, models such as Corvette 05, Destroyer 07, and Hiace are expected to debut in 2023.
BYD's production capacity problems will be greatly alleviated in 2023, and these models will be able to contribute to sales soon after they are launched.
How sure is BYD of becoming China's largest automaker?
At the performance conference on March 28, Wang Chuanfu put forward the goal: to become China’s largest automobile manufacturer by the end of 2023. The first here refers to all manufacturers ranking together. Seats include traditional fuel vehicle manufacturers.
According to the insurance volume ranking compiled by the authoritative media, BYD's insurance volume every week in March exceeded that of North and South Volkswagen and North and South Toyota. Both giants were at a disadvantage, not to mention other small and medium-sized manufacturers. .
So, how many sales are needed to achieve this goal?
Recently, "Daily Economic News" learned from relevant staff of BYD: BYD's internal sales target for 2023 is 4 million vehicles.
It is not easy to achieve this goal.
At this conference, Wang Chuanfu confirmed that BYD has no plans to enter the US market for the time being.
Back then, Huawei's mobile phone business was to win the world's first place without the US market. Now, BYD needs to hit the annual sales target of 4 million vehicles without the US market.
A simple calculation, assuming that BYD’s exports in 2023 are 300,000 vehicles, then domestic sales must reach at least 300,000 vehicles per month. But the fact is that BYD sold 300,000 vehicles per month in the first two months. 320,000 vehicles.
Objectively speaking, BYD's annual sales target of 4 million vehicles is not easy. The market growth rate is slowing down and competition is becoming increasingly fierce.
However, if there is a manufacturer that can really achieve annual sales of 4 million new energy vehicles despite the downturn in the auto market, then this manufacturer will definitely be BYD.
Conclusion
With nine months left in 2023, it is not important whether BYD can achieve its goal of 4 million vehicles. What is important is that this time, it is the domestic manufacturers that have succeeded. a global industry leader.
This article comes from the author of Yichehao, the second brother who plays with cars. The copyright belongs to the author. Please contact the author for any form of reprinting. The content only represents the author's opinion and has nothing to do with Bitauto