Geely Automobile Holdings Limited · HKEX:175
Geely Automobile — H1 2017 Earnings Presentation
14 slides from Geely Automobile's earnings presentation, Aug 16, 2017
Slide 1: 2017 Interim Results
2017 Interim Results 16 August 2017
Slide 2: Important Notice
Important Notice The information contained herein is meant for presentation purposes only and may not be used and relied upon by any other party. It is not to be taken in substitution for the exercise of judgement. You shall be solely responsible for making your own independent investigation of the
Slide 3: 2017 First Half Results
2017 First Half Results • Attributable profit up 128% to RMB 4.3billion • Sales volume up 89% • Average selling price up 16% • Revenue up 118% • Improved profitability • FD EPS up 120% to RMB 47.68 cents 3
Slide 4: Interim Highlights
2017 Interim Highlights • Strong Sales of “Boyue” SUV & “Emgrand GS” Crossover continued • Strong sales of existing sedan models continued • Significant mix improvement & higher ASP driven by more SUV sales 4
Slide 5: Interim Highlights
2017 Interim Highlights • Strong operation cash flow and thus financial position • Well controlled selling and administrative expenses • Net FX gain of RMB 89m • Net profit up 136% after excluding one-off items 5
Slide 6: Sales Volume Breakdown
Sales Volume Breakdown (6M to June) 2017 2016 YoY Change Total 530,627 280,337 +89% -Domestic 526,779 269,669 +95% -Exports 3,848 10,668 -64% Key Models: New Emgrand 117,718 106,959 +10% Boyue 116,932 19,211 +509% Vision 81,227 67,925 +20% Vision SUV/GX7 58,290 14,086 +314% Emgrand GS 58,260 7,400 +
Slide 7: 2017 Interim Results
2017 Interim Results 6M to June (RMB m) 2017 2016 YoY change Sales volume (units) 530,627 280,337 +89% Turnover/Revenue 39,424 18,089 +118% Gross profit margin ratio* 19.2% 17.7% +8% Operating margin ratio** 13.4% 13.4% - Profit after tax 4,386 1,930 +127% Attributable profit 4,344 1,907 +128% Dilut
Slide 8: Financial Analysis
Financial Analysis 6M to June 2017 2016 YoY change Sales of vehicles (RMB m) 38,776 17,599 +120% Average unit price (RMB) 73,077 62,776 +16% Return on equity* 31.0% 15.6% +99% EBIT 5,298 2,417 +119% EBITDA 6,172 3,091 +100% Selling expenses (% of T/O) 4.4% 4.5% -3% Admin. expenses (% of T/O) 3.0% 3.
Slide 9: Financial Summary
Financial Summary • Improved profitability & margins • Subsidy income down 6% • Improved operational efficiency • Capex in line with budget to support technology/product upgrade • Genius AFC achieved profitability 9
Slide 10: Profitability
Profitability 25.0% 7.0% 6.0% 20.0% 5.0% 15.0% 4.0% 3.0% 10.0% 1H Gross Margin 2.0% 1H Selling Exp % T/O 5.0% 1H Operating Margin 1.0% 1H Admin Exp % T/O 0.0% 0.0% 2009 2010 2011 2012 2013 2014 2015 2016 2017 2009 2010 2011 2012 2013 2014 2015 2016 2017 10
Slide 11: Operational Summary
Operational Summary • New product cycle well received • Market shares of Sedan and SUV both exceed 5% in China • Baoji and Jinzhong plants ramped up accordingly • Formation of JV to operate LYNK & CO business • NEVs sales volume more than doubled to 8,382 units • Customer service satisfaction improv
Slide 12: 2017 Outlooks
2017 Outlooks • More new models in the next 12 months • Raised target sales volume by 10% to 1,100,000 units, +44% YoY • Sales of products under the new LYNK & CO brand starts in 4Q 2017 • YTD (first 7 months) total sales volume +89% YoY to 621,731 units 12
Slide 13: New Products
New Products 2H 2017 • New compact SUVs (Vision X3) • New hybrid-electric version and plugin-hybrid-electric version of Emgrand series sedans • LYNK & CO 01 • Upgraded versions of current models 13
Slide 14: www.geelyauto.com.hk
Ma GEELY www.geelyauto.com.hk a
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