Chinese automaker Geely Auto released strong first-half 2022 results today, showing a massive surge in EV sales. The automaker continues growing its electric segment, with pure electric vehicle sales surging 520% from 2021.
Although Geely Auto is not a fully electric automaker, it’s aggressively expanding its EV market. The company has two electric divisions – Geometry, its mass-market EV unit, and Zeekr, its premium intelligent EV line. On top of this, Geely is also part of a 50/50 venture with Lifan, which offers battery swap products and services.
Geely (Zeekr) is part of the Sustainable, Experience, Architecture (SEA) ecosystem along with Volvo, Polestar, Lotus, and Jidu. The ecosystem aims to cover the entire auto market segment (A-E) with a pure electrical modular architecture. In other words, they are creating an open-source EV platform for scaling production.
Meanwhile, Geely is making massive strides toward its sustainability goals in the first half of 2022. Most importantly, the automaker is seeing strong demand for its EV models.
Geely’s pure EV sales are its fastest-growing segment, with close to 520% growth from the first half of 2021. The automaker sold 85,820 EVs in the first half of 2022 compared to 13,851 last year.
Zeekr, its high end EV unit, delivered over 30,000 in 22H1. The Zeekr 001 reached 24,032 deliveries, 22% of Geely’s overall BEV sales.
The rising EV demand is evident in Geely’s first half of 2022 earnings, as BEVs made up 69% of the automaker’s new electric vehicle sales. Like most automakers, Geely is feeling the impact of higher material costs. That said, Covid lockdowns in China contributed to a drop in overall sales volume.
Geely Auto’s first half 2022 earnings review
Despite overall sales volume dropping 2.6% in the first half of 2022, revenue still climbed 23.1% YOY.
The sales strength is thanks to higher vehicle prices and growth of the Zeekr EV line and Livian, the automaker’s battery swap business. The impact of raw material prices contributed to a 34.8% drop in net income.
However, Geely is seeing strong overseas demand, with export volumes soaring 64% to 87,628. Export sales gained 5.8% compared to overall sales volume.
Geely ended the first half of 2022 with 34% higher cash and equivalents YOY of 37.5 million RMB (roughly $5.5 million).
Looking ahead, Geely expects sales of its premium EV line, Zeekr, to reach 70,000 in 2022. Zeekr’s EV lineup currently consists of the Zeekr 001, its first luxury EV model, and the Zeekr 009, a premium multi-purpose vehicle (MPV).
Although not currently offered in the US, Zeekr has plans to enter the North American market after 2022.
Geely plans to launch five new BEV models to hit 200,000 EV sales by 2025. With almost 86,000 EV sales in the first half of 2022, Geely is well on its way.
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