CHINESE electric vehicle battery giant CATL reported a 26 per cent year-on-year rise in third-quarter profit, a stock filing showed on Friday (Oct 18), accelerating from the previous quarter as it maintains a lead over smaller rivals.
CATL made a net profit of 13.14 billion yuan (S$2.4 billion) in July-to-September quarter, while its revenue fell 12.5 per cent year on year to 92.3 billion yuan.
The profit increase followed a 13.4 per cent rise in the second quarter, while revenues have now fallen for four consecutive quarters.
CATL had a 44 per cent market share as measured by batteries in Chinese-made EVs in September, down 0.4 percentage points from the previous month. The combined market share of second-ranked BYD and third placed CALB shrank by 1.4 percentage points to 30.9 per cent, according to data from the China Automotive Battery Innovation Alliance.
CATL is also gaining traction in building out overseas capacity, including its lucrative LRS model, Jefferies said in a research report last month, referring to the company sharing battery technology through licensing, royalty and service.
“CATL will be in a position to begin booking LRS revenues as quick as end 2024,” the investment bank said.
CATL opened an international research and development centre in Hong Kong on Tuesday, its sixth R&D facility globally, seven months after its chairman Robin Zeng revealed such plans to underpin technology exports. REUTERS
