« Éliminatoires » ! BYD « augmentation des revenus sans augmentation des bénéfices » La somme totale des dividendes en numéraire prévue pour l'année a fortement diminué

【Introduction】BYD “increase revenue without increasing profit” in 2025, Wang Chuanfu says the industry is undergoing a “淘汰赛”

After four years, BYD has once again delivered an annual report of “increase revenue without increasing profit”!

On the evening of March 27, BYD disclosed its 2025 annual report, showing that the company’s operating income for 2025 was 803.965 billion yuan, a year-on-year increase of 3.46%; the net profit attributable to shareholders was 32.619 billion yuan, a year-on-year decrease of 18.97%.

Wang Chuanfu, chairman of BYD, stated in the chairman’s speech section of the 2025 annual report that competition in the new energy vehicle industry has become intense, and it is undergoing a brutal “淘汰赛”.

As of the close on March 27, BYD’s A-share stock price was 105.30 yuan/share, with a total market value of 918.8 billion yuan.

After four years, once again “increase revenue without increasing profit”

Fourth quarter performance decline intensifies in 2025

BYD’s last “increase revenue without increasing profit” was in 2021.

The annual report shows that BYD’s operating income in 2021 was 216.142 billion yuan, a year-on-year increase of 38.02%; the net profit attributable to shareholders was 3.045 billion yuan, a year-on-year decrease of 28.08%.

Source: BYD 2021 annual report

In 2025, BYD once again “increased revenue without increasing profit”, and the gross profit margins of its two core businesses both decreased year-on-year, with the gross profit margin of the automotive and automotive-related products and other products business (hereinafter referred to as automotive business) decreasing by 1.82 percentage points to 20.49%.

Comparatively, BYD’s automotive business gross profit margin in 2025 is close to the level of 2022.

From 2022 to 2024, BYD’s automotive business gross profit margins were 20.39%, 23.02%, and 22.31%, respectively.

BYD is mainly engaged in new energy vehicle business, mobile phone components and assembly business, secondary charging batteries and photovoltaic business, and simultaneously expands into the urban rail transit business with its technological advantages, where the automotive business revenue accounted for more than 80% of total revenue in 2025.

In the third and fourth quarters of 2025, BYD’s operating income decreased by 3.05% and 13.52% year-on-year, and the net profit attributable to shareholders decreased by 32.60% and 38.16% year-on-year, respectively.

In the second half of 2025, BYD’s monthly sales were overall poor, especially with multiple year-on-year declines in monthly sales domestically.

Taking the fourth quarter of 2025 as an example, BYD failed to break through monthly sales of 500,000 units for three consecutive months, with sales in October, November, and December being 441,700 units, 480,200 units, and 420,400 units, respectively.

Since October 2024, BYD’s monthly sales exceeded 500,000 units for three consecutive months and showed a continuous upward trend.

BYD’s sales mainly come from domestic and overseas markets. In the fourth quarter of 2025, BYD’s overseas monthly sales continued to hit new highs, but domestic monthly sales all saw year-on-year declines.

In October, November, and December 2025, BYD’s domestic sales decreased by 24.11%, 26.81%, and 37.24% year-on-year, respectively.

Annual proposed cash dividend total significantly shrinks

Proportion of net profit during the same period is less than 30%

Wang Chuanfu stated that BYD will always place the long-term interests of shareholders and users at the core of its strategy, responding to every entrusted trust with long-term value creation.

The profit distribution plan proposed by BYD for 2025 shows that the company will distribute a cash dividend of 3.58 yuan (including tax) for every 10 shares to all shareholders based on the current total share capital of 9.117 billion shares.

Based on this estimate, BYD’s total cash dividends for 2025 are projected to be 3.264 billion yuan, while the total cash dividends for 2023 and 2024 were 9.012 billion yuan and 12.077 billion yuan, respectively.

At the same time, the total cash dividend amount from BYD accounted for 30% of the net profit attributable to shareholders in both 2023 and 2024, but for 2025, it is 10.01%.

Source: BYD announcement

Wang Chuanfu stated that this is based on the actual situation of BYD’s operating cash flow and future development needs.

By the end of 2025, BYD’s net cash flow from operating activities was 59.136 billion yuan, a year-on-year decrease of 55.69%.

BYD stated in related announcements that the total cash dividend for 2025 is less than 30% of the net profit attributable to shareholders for the same period, in order to seize the historic opportunity of new energy vehicles accelerating penetration globally, speed up the layout of production capacity in multiple locations worldwide, and enhance the construction of the channel system, accelerating the popularization and promotion of the new generation of “flash charging” energy replenishment facilities.

(Source: China Fund News)