Geely Auto Financial Report: Car Sales in China Barely Profitable
93% of the automaker's profit came from exports
Chinese automotive giant Geely Auto has published its financial results for the third quarter of 2026. The company's revenue reached 99 billion yuan ($14.8 billion), while its underlying net profit amounted to 5.21 billion yuan ($777.6 million).
The financial report highlighted the automaker's critical dependence on foreign markets for profitability. Domestic sales in China have nearly stopped generating profit due to fierce price competition among local manufacturers.
Geely's overseas shipments contributed 4.84 billion yuan ($722.4 million) in net profit over the three months. This accounts for 92.9% of the company's total profit. Meanwhile, international markets represented only 39.8% of total sales volume (323,700 vehicles out of 812,500 units). Over 60% of Geely's sales within China generate just 7% of the total net profit.
Against the backdrop of high profitability abroad, Geely raised its annual export target from 640,000 to 920,000 vehicles. The main driver of international expansion has been new energy vehicles (NEVs): their exports surged by 531% over nine months, reaching 484,000 units.
China's largest NEV manufacturer, BYD, also released its financial report. The giant's revenue for the third quarter grew by 13.6% to 221.49 billion yuan ($33.1 billion), while net profit increased by 28.1% to 10.02 billion yuan ($1.5 billion). In September, BYD's exports jumped by 153.6%, exceeding 180,700 vehicles for the month.
Market analysts note that the intensification of dumping wars in China has already led to the bankruptcy and exit of several brands (including Neta, Weltmeister, HiPhi, and Aiways). However, the remaining players continue to subsidize domestic sales through the high margins of export shipments.
