Geely Annual Profit Exceeds Analyst Estimates as Exports DoubleBloomberg News
Geely Automobile Holdings Ltd., the publicly traded unit of China’s biggest independent automaker, reported annual profit beat analyst estimates after exports doubled.
Net income climbed 32 percent to 2.04 billion yuan ($328 million), or 0.26 yuan a share, the company said in a statement to the Hong Kong Stock Exchange today. That exceeded the 1.86 billion average of 23 analyst estimates compiled by Bloomberg.
Geely, which seeks at least half of its sales coming from overseas by 2015, more than doubled its exports last year, compared with a decline in local deliveries. Chinese automakers have lost market share on continued concerns over quality and as foreign automakers introduce lower-priced models.
The automaker, a unit of Zhejiang Geely Holding Group Co., rose as much as 4.3 percent. It gained 3.8 percent to HK$3.85 as of 2:08 p.m. in Hong Kong trading, headed for the biggest gain since Feb. 28. The benchmark Hang Seng Index rose 0.6 percent.
Revenue rose 17 percent to 24.6 billion yuan. That exceeded the 24.4 billion yuan average of 30 analysts’ estimates compiled by Bloomberg. Geely is projecting vehicle sales to rise 16 percent to 560,000 units this year, it said in January.
Geely’s parent company, which owns Volvo Cars, said last month it will invest 100 million pounds ($151 million) in London black cab maker Manganese Bronze Holdings Plc in the next five years to help turn the company profitable. Geely wants to have Manganese Bronze export its black cabs to other countries, spokesman Victor Yang said last month.
— With assistance by Tian Ying