news

한어Русский языкEnglishFrançaisIndonesianSanskrit日本語DeutschPortuguêsΕλληνικάespañolItalianoSuomalainenLatina

China Fund News reporter heard

On the evening of July 26, CATL handed in its report card for the first half of 2024.

First, CATL achieved a net profit attributable to shareholders of RMB 22.865 billion in the first half of 2024, a year-on-year increase of 10.37%. Among them, the company's net profit attributable to shareholders in the second quarter was RMB 12.36 billion, continuing to grow beyond expectations.

It can be seen from the conversion that in the first half of 2024, CATL achieved an average daily net profit attributable to its parent company of 126 million yuan.

At the same time, northbound funds increased their holdings of CATL by 60.3135 million shares in the first half of 2024, and became the second largest shareholder at the end of the second quarter of 2024, from the third largest shareholder at the end of the first quarter of 2024.

"Increased profits but not revenues" in the first half of the year

In the first half of 2024, CATL achieved operating income of 166.767 billion yuan, a year-on-year decrease of 11.88%; net profit attributable to shareholders of the parent was 22.865 billion yuan, a year-on-year increase of 10.37%; net profit after deducting non-recurring items was 20.054 billion yuan, a year-on-year increase of 14.25%.

CATL is mainly engaged in the research and development, production and sales of power batteries, energy storage batteries and battery recycling products. In terms of products, it consists of four parts, namely power battery systems, energy storage battery systems, battery materials and recycling, and battery mineral resources.

In the first half of 2024, CATL's operating income from power battery systems and battery mineral resources businesses decreased by 19.20% and 7.84% year-on-year respectively; the operating income from energy storage battery systems and battery materials and recycling businesses increased by 3% and 13.02% year-on-year respectively.

In this regard, CATL mentioned in its 2024 semi-annual report that the company has two main performance drivers, namely the continued growth of its industry and the further enhancement of its own competitive advantages.

In terms of the industry's continued growth, the growth in global new energy vehicle sales has driven the continued growth in demand for power batteries. According to SNE Research data, global new energy vehicle sales in the first five months of 2024 were 5.642 million units, a year-on-year increase of 21.5%; global power battery usage reached 285.4GWh, a year-on-year increase of 23.0%.

In terms of energy storage batteries, with the increase in the proportion of wind power and photovoltaic power installed capacity, the increase in the flexibility requirements of the power system, the advancement of energy storage technology and the reduction of system costs, the market demand for energy storage batteries continues to grow rapidly. According to statistics from relevant agencies, global energy storage battery shipments reached 130GWh in the first half of 2024, a year-on-year increase of 35%.

In terms of further enhancing its own competitive advantages, CATL cited data from third-party institutions, showing an increase in market share in its multiple businesses.

In the first five months of 2024, CATL's global market share in power battery usage was 37.5%, an increase of 2.3 percentage points year-on-year, ranking first in the world; in the first half of 2024, CATL's energy storage battery shipments continued to maintain the world's first market share.

Some projects postponed

CATL released its 2024 semi-annual report and also revealed that the capacity utilization rate of its battery system in the first half of 2024 was 65.33%.

In comparison, CATL's capacity utilization rate in 2023 was 70.47%.

On July 26, CATL held a board meeting to review and pass a proposal to postpone the date for the 2022 stock issuance to specific objects to raise funds for the project "Guangdong Ruiqing Times Lithium-ion Battery Production Project Phase I" (hereinafter referred to as the Ruiqing Times Project) to reach the scheduled usable state to December 31, 2026.

Previously, CATL raised approximately 45 billion yuan in its private placement, and the net amount of funds raised after deducting issuance expenses was 44.87 billion yuan. As of June 30, 2024, the balance that has not yet been put into use is 9.312 billion yuan (including interest income).

Among them, the Ruiqing Times project plans to invest 11.7 billion yuan in raised funds, and as of June 30, 2024, 6.175 billion yuan in raised funds has been invested.

CATL announced that the construction and implementation cycle of lithium battery production capacity is relatively long. The company conducts forward-looking capacity planning and phased construction based on industry development, market conditions, customer needs, product technology routes, etc., and makes dynamic adjustments based on actual conditions.

It is reported that due to the changes in the power and energy storage market environment and industry development in recent years, CATL has optimized and upgraded some products of the Ruiqing Times project in combination with actual customer needs in order to better meet the needs of downstream customers and improve product competitiveness, and has dynamically adjusted related production line equipment accordingly. Therefore, the company expects that the date for the second phase of the fundraising project to reach a usable state will be delayed.

The Ruiqing Times project is one of CATL's major production bases for power and energy storage batteries in South China. Currently, the first phase of production capacity has been put into production and the second phase of the factory has started construction.

As of the close of July 26, CATL's share price was 189.35 yuan per share, with a total market value of 832.9 billion yuan.

Editor: Captain

Audit: Wooden Fish

Copyright Notice

"China Fund News" enjoys the copyright to the original content published on this platform. Reproduction without authorization is prohibited, otherwise legal liability will be pursued.

Contact person for authorized reprint cooperation: Mr. Yu (Tel: 0755-82468670)