CATL Earnings Drop as Battery Giant Posts Large Derivatives Position

  • Income slides 24% in first quarter, underlying profit down 41%
  • EV battery maker battered by rapidly rising input costs

Vehicle batteries on display at the CATL headquarters in Ningde, Fujian Province, China.

Photographer: Qilai Shen/Bloomberg
Lock
This article is for subscribers only.

Contemporary Amperex Technology Co. Ltd. posted its sharpest-ever drop in quarterly earnings and disclosed a sizable derivatives liability, the first time since listing that it’s recorded such a large charge.

Net income fellBloomberg Terminal 24% to 1.49 billion yuan ($226 million) for the three months ended March 31 from a year earlier, CATL, as the Chinese battery giant is better known, said in an exchange filing Friday. First-quarter underlying profit tumbled 41% to 977 million yuan.