SAIC Motor’s Q3 financial report is released, with revenue exceeding 211.4 billion yuan, but losses are increasing?

Before you know it, there are only two months left in 2022, and car companies have announced their third-quarter results. Data show that SAIC Motor sold 1.536 million vehicles in the third quarter, a year-on-year increase of 16.2%, maintaining a stable performance. However, judging from the financial report, the loss seems to have increased. So, what is the specific situation? Let’s take a look together.

According to official data, SAIC Motor achieved a total operating income of 211.42 billion yuan in the third quarter, a year-on-year increase of 13.29%. Of course, such good results are inseparable from the help of various models. The company sold 1.536 million vehicles, a year-on-year increase of 16.2%.

According to the editor’s understanding, independent brands, new energy vehicles, and overseas markets have formed a “new troika”, and they are exerting force in the entire automobile market. Among them, the sales of self-owned brands exceeded 794,000 units, a year-on-year increase of 17.5%; the sales of new energy vehicles were 306,000 units, a year-on-year increase of 66.7%; the sales in overseas markets were 307,000 units, a year-on-year increase of 67.2%.

Obviously, self-owned brands account for more than 50% of the company’s total sales, and this is due to the good results of the Roewe i5, MG ZS, and MG5 series, and the monthly sales exceeded 10,000 in July. Not only that, in order to meet the needs of different consumers, both Roewe and MG have launched new cars. Among them, the new third-generation Roewe RX5/super-hybrid eRX5 has received tens of thousands of orders within 2 hours of starting the pre-sale; the Roewe iMAX8 EV has a high cost performance, and more than 60% of users choose the first-class airline seat with the second row. version; MG also launched a new car, the new MG7 has been fully upgraded.

In terms of new energy, SAIC Motor is also developing a more comprehensive product layout. SAIC-GM-Wuling continues to maintain its advantages and has won the sales champion of the new energy market segment for many times. After all, it is very tempting for consumers to have a car of their own for 28,800 yuan. Moreover, the Hongguang MINIEV convertible version and the Xingchen hybrid version have been launched, which may help Wuling automobile sales in the future; The electric family achieved sales of more than 10,000 units in July, which is also a big improvement.

Looking at sales volume alone, SAIC Motor’s market performance is good, but its financial loss gap in the third quarter increased, and the net profit attributable to shareholders of listed companies was 5.74 billion yuan, down 18.43% year-on-year. Why are losses increasing while deliveries continue to grow? On the one hand, the price of the main models is low, such as the price range of MG5 and Roewe RX5 in the range of 60,000 to 150,000 yuan; on the other hand, the delivery of new mid-to-high-end smart electric vehicles has just started, Zhiji L7, Feifan R7 and Cadillac LYRIQ and other models have not been truly recognized by consumers.

In fact, in addition to product research and development, SAIC is also working on accelerating electrification and electrification. According to the official introduction, it will cooperate with Sinopec, PetroChina and Ningde Times to jointly carry out the power exchange business of separation of vehicles and electricity. The first model suitable for this strategy is the Feifan R7, which has just been launched. With the blessing of the patented QUICK CLICK reinforced battery quick-change technology, the entire process from pit stop to battery replacement will only take 2 minutes and 30 seconds. Weilai’s 5-minute power exchange efficiency is even higher. As for the actual situation, we still need to wait for the market’s approval. In terms of intelligence, we will work with Horizon to build a high-performance Chinese chip and intelligent driving computing platform. Audi Q5, Volkswagen ID family, Cadillac and other brand-new electric vehicles will be launched in the future. Smart connected products.

Cheers Observation: Can SAIC Group turn losses into profits in the fourth quarter?

According to the current situation, SAIC Group is still in a very severe situation. Whether it is the unfavorable factors of repeated epidemics, rising raw materials, or the difficulty of brand high-end, it needs to overcome. However, with the upgrading of products and the improvement of the matrix, SAIC may have a good performance in the fourth quarter. What’s more, the delivery of new mid-to-high-end smart electric vehicles such as Zhiji L7, Feifan R7 and Cadillac LYRIQ will accelerate the promotion of products and brands.

Finally, although it is currently in a state of loss, from the perspective of delivery volume and new car planning, there is still hope for SAIC to turn losses into profits. We may as well wait and see.