(Yicai) Aug. 29 — Chinese auto and battery giant BYD said its net profit rose more than 24 percent in the first half, driven by solid performance of its electric vehicle components and assembly and mobile phone businesses.

Net profit topped CNY13.6 billion (US$1.9 billion) in the six months ended June 30, compared with CNY11 billion a year earlier, according to the Shenzhen-based company’s half-year report released yesterday. Revenue rose 16 percent to CNY301.1 billion (US$42.4 billion).

Sales of mobile phone components and assembly rose 42 percent to CNY 72.8 billion during the period, accounting for 24 percent of total sales, up 4 percentage points year-on-year, BYD said. Sales of automobiles and related products rose 9.3 percent to CNY 228.3 billion, accounting for 76 percent of total sales.

BYD’s electric vehicle sales rose 28 percent year-on-year to 1.6 million units in the first half of the year, including over 203,000 units sold overseas, up 174 percent, according to data from the China Association of Automobile Manufacturers. The company remained China’s largest seller of electric vehicles during the period.

As of June 30, BYD was present in 77 countries and regions, including Brazil, Germany, Japan and Thailand. The new factories in Uzbekistan and Thailand began operations in the first half of the year. At the same time, the company is preparing to build additional factories in Mexico, Turkey and Cambodia.

BYD’s cash and cash equivalents fell 294 percent to CNY 54.3 billion in the first six months compared to the same period last year. Net cash flow from operating activities fell 83 percent to CNY 14.2 billion, mainly due to increased costs for goods and labor.

BYD employed around 750,000 people in the first half of the year, with total labor costs accounting for almost 18 percent of sales.

BYD’s share price (SHE: 002594) closed 0.8 percent lower at CNY 234.85 (USD 33) in Shenzhen today.

Publisher: Futura Costaglione