Chinese vehicle maker BYD has posted a 26% drop in its third quarter profit (at 22.8 million yuan) and forecast that full-year 2014 profit could be down by over 20%.
The company has been hit by slower demand for its petrol cars, although sales of its electric vehicles are up.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
However, Q3 revenue rose 8.1% to 13.69 billion yuan from 12.66 billion yuan a year earlier.
“The domestic auto market is still competitive, putting pressure on sales of traditional vehicles,” BYD said in an exchange filing.
In the first six months of the year, BYD’s revenue from new energy vehicles (NEVs) , which include electric and plug-in hybrid cars and buses, surged more than ten-fold to 2.7 billion yuan.
However, BYD predicted that 2014 net profit may fall to between 430 million yuan and 500 million yuan, compared with last year’s 553 million, according to Reuters.
