Today, Geely Automobile (0175.HK) released its 2022 financial report. The report shows that the company achieved a cumulative total sales volume of 1,432,988 vehicles in 2022, an increase of 8% year-on-year, and revenue of CNY 148 billion, a year-on-year increase of 45.6%. Sales of new energy vehicles increased by 300%, with sales accounting for 22.9% of total sales, up from 6.2% in the same period last year. Export sales accounted for 13.8%, an increase of 5.1 percentage points. The net profit attributable to shareholders increased by 8.5% year-on-year to CNY 5.26 billion, and the total cash level increased by 20.4% to CNY 33.7 billion.
Geely Automobile’s single vehicle sales revenue in 2022 was CNY 103,000, an increase of 29.6% year-on-year, and the average gross profit per vehicle was CNY 17,500, an increase of 11.1% year-on-year. The “Lynk & Co” high-end series achieved a total sales volume of 252,787 vehicles, accounting for nearly 23% of Geely (including Geometry) brands, with a maximum monthly sales of 30,000 vehicles and an average selling price of CNY 150,000 per vehicle.
Lynk & Co’s global sales in 2022 were 180,127 vehicles, and the cumulative total sales exceeded 850,000 vehicles as of February 2023. Its product lines cover the medium and high-end markets, and Lynk & Co 09 entered the CNY 300,000 price range.
The Zeekr brand delivered 71,941 units in 2022, exceeding the annual target of 70,000 units. The average order amount for Zeekr 001 exceeded CNY 336,000. Zeekr 009 started delivery in January 2023, with an average order amount of CNY 527,000.
In 2022, the sales of Geely’s new energy products (including Geely, Geometry, Lynk & Co, Zeekr, and Yuan Cheng) reached 328,727 vehicles, an increase of more than 300% year-on-year, and the monthly penetration rate of new energy vehicles exceeded 30% multiple times.
Regarding intelligent driving, Geely is advancing its “Earth-Sky Integration” three-dimensional travel technology ecosystem and focusing on the layout of L2+ and L3 intelligent driving technologies. The “NOA Advanced Intelligent Driving Assistance System” has been applied to Borui L and will be applied to Lynk & Co and Geely’s latest products in the future. In June 2022, the “Geely Future Travel Constellation” successfully launched its first nine satellites into orbit and will complete a network of 72 low-orbit satellites in the future.
In the field of intelligent cabins, the “Dragon Eagle-1” chip developed by Xinqing Technology, a strategic investment of Yikatong Technology, is a 7nm automotive-grade intelligent cabin chip that will be mass-produced in 2023, debuting in Lynk & Co vehicles.
Geely’s overseas product matrix continues to expand. In 2022, Geely Auto’s annual export sales reached 198,242 vehicles, a year-on-year increase of 72.4\%, exceeding the industry growth rate of 56.7\%. The Coolray (Binyue), Azkarra (Borui Pro), and Tugella (Xingyue) are among the top-ranked cars in various segmented markets in each country.
In 2022, Lynk & Co shipped a total of 35,588 vehicles, with 97\% being new energy models. As of March 2023, Lynk & Co has opened 11 experience centers in countries such as the Netherlands, Sweden, Belgium, Germany, Italy, and Spain. In November 2022, on the first anniversary of the “Asia-Pacific Strategy,” Lynk & Co landed in Kuwait and then successively expanded into the Israeli and Saudi Arabian markets. Lynk & Co will continue to develop new markets in the Middle East and Southeast Asia.
From product output to technology output, Geely Auto achieved a total of 1.66 billion yuan in authorized revenue in 2022, a year-on-year increase of 29.9\%. In November 2022, Geely Auto acquired Renault Samsung Motors, and will introduce new hybrid technology and models to the Korean market. The new products will use the CMA modular architecture and Geely’s hybrid technology and are expected to go into production in 2024.
As of 2020, Geely Auto’s single vehicle full life cycle carbon emissions decreased by 8\% in 2022, and it promises to reduce single vehicle full life cycle carbon emissions by more than 25\% by 2025, achieving carbon neutrality by 2045. Geely Auto’s MSCI ESG rating was upgraded from BBB to A, and it was selected for many international recognitions, such as the “Hang Seng ESG 50 Index”.
In 2023, Geely Auto aims to sell 1.65 million vehicles annually, and the proportion of new energy vehicle sales will double that of 2022.
This article is a translation by ChatGPT of a Chinese report from 42HOW. If you have any questions about it, please email bd@42how.com.