Geely Automobile (175) Q4 2024 earnings summary

Executive summary

• Achieved record sales of 2.177 million vehicles in 2024, up 32% year-over-year, with NEV sales up 92% to 888,000 units and NEV penetration reaching 58.6% in December.

• Revenue reached RMB 240.2 billion, a 34% increase, driven by product mix optimization and higher average selling prices.

• Net profit attributable to equity holders was RMB 16.6 billion, up 213% year-over-year; excluding extraordinary items, profit rose 52% to RMB 8.5 billion.

• Export sales grew 57% to 415,000 vehicles, with global expansion to over 80 countries and new overseas factories operational.

• Achieved profitability in the NEV segment in Q4, signaling a successful strategic transformation.

Financial highlights

• Gross profit rose to RMB 38.2 billion, with gross margin up 0.6 percentage points to 15.9%.

• Operating cash flow reached RMB 26.5 billion; total cash at year-end was RMB 40.9 billion.

• Dividend per share increased 50% year-over-year to HKD 0.33.

• Average unit price increased to RMB 107,376.

• EBIT nearly doubled to RMB 9.77 billion (+97% YoY); profit after tax rose 240% to RMB 16.8 billion.

Outlook and guidance

• 2025 sales target set at 2.71 million units, with NEV sales target of 1.5 million and 10 new NEV models planned.

• Plans to launch multiple new and facelifted NEV and ICE models across brands, expanding global presence.

• Export target for 2025 is 467,000 units, focusing on key international markets.

• R&D expense ratio expected to drop to 6% post-integration of Zeekr and Lynk & Co.

• Budgeted capital expenditures of RMB 15 billion for 2025, focused on R&D and production upgrades.