In the first half of this year, Geely Automobile made breakthrough progress in its new energy transformation and intelligence, with revenue exceeding 100 billion yuan for the first time, steady sales growth, and further profitability improvement.

On August 21, Geely Automobile Holdings Limited released its financial report for the first half of 2024, achieving a revenue of 107.3 billion yuan, a year-on-year increase of 46.6%, improved operating profitability, and a non shareholder attributable profit of 3.37 billion yuan, a year-on-year increase of 114%. The net cash level increased by 25.4% year-on-year to 35.7 billion yuan.

Thanks to significant economies of scale and product structure optimization during the performance period, Geely Automobile's gross profit increased by 53.9% year-on-year to 16.2 billion yuan. Despite the rapid increase in the penetration rate of new energy, the gross profit margin still increased by 0.7 percentage points to 15.1% compared to the same period last year. With the continuous optimization of product structure, the sales revenue of bicycles increased by 4.2% year-on-year to 105000 yuan, and the total revenue in the first half of the year exceeded a historical high.

Geely Automobile firmly adheres to the pace of electrification and intelligent transformation, with a cumulative total sales volume of 956000 vehicles in the first half of the year, a year-on-year increase of 41%. Sales exceeded expectations and achieved the target, with both oil and electricity lines rising, and the growth rate outperforming the trend. The sales of new energy products (including Geely, Lynk&Co, and Jike) reached 320000 units, a year-on-year increase of 117%. The penetration rate of new energy products increased from 21.8% in the same period last year to 33.5%, with continuous year-on-year and month on month growth for three consecutive months, ranking first among new energy brands.

Gan Jiayue, CEO of Geely Automobile Group and Executive Director of Geely Automobile Holdings Limited, stated at the performance conference that the automotive industry is still in a highly competitive period. Geely Automobile has made it clear that it will strengthen industry self-discipline and prevent vicious competition in the form of internal competition, as proposed by the Political Bureau of the CPC Central Committee at its meeting on July 30th. Geely has always believed that a simple price war is not conducive to the long-term development of the automotive industry, nor can it bring innovation to the automotive industry. Geely Automobile insists on technological innovation, high safety, high value, high quality, and high service. The bottom line is to ensure that customers' interests are protected in the long run and not harmed. Without technological innovation and product innovation, sustainable development is impossible. Geely Automobile still insists on technological leadership and product supremacy. 2024 is a big year for Geely Automobile's products, and the growth of new energy transformation is approaching a critical point of explosive growth. The Galaxy New Energy series will launch three new models in the second half of the year, and the Lynk&Co brand will have two new models launched in the market in the second half of this year. Jike has new products, Jike 7X and Jike MIX, which will be launched successively.

In 2024, Geely Automobile's annual sales target has been raised to 2 million vehicles, with new energy sales increasing by 70% year-on-year and export sales increasing by 45% year-on-year. Looking ahead to the future, Geely will continue to focus on new energy and intelligent transformation, build a stable technological fortress, and strengthen the technology ecosystem to empower intelligent driving and intelligent travel.

The transition of new energy towards explosive "critical point" highlights the advantages of brand synergy strategy

Since the beginning of this year, Geely's new energy transformation has been accelerating comprehensively. In the first half of the year, the cumulative sales of Geely Galaxy series reached 81000 units, a year-on-year increase of 742%, and the monthly average sales exceeded 10000 units. This series gathers the cutting-edge technology ecosystem of Geely's entire system. The first pure electric SUV, Geely Galaxy E5, was launched in August, equipped with new high-value technology applications such as Aegis short blade battery, GEA global intelligent new energy architecture, and Galaxy 11 in 1 intelligent electric drive. Together with the other three models, it forms Geely Galaxy's product layout of "pure electric+hybrid, sedan+SUV".

The Lynk&Co brand continues to lead the upward development of Chinese automotive brands, achieving a total sales volume of 126000 units in the first half of the year, a year-on-year increase of 53.6%. As of the end of June this year, Lynk&Co has sold over 1.17 million units, setting a new record for high-end Chinese automotive brands. Among them, the cumulative sales of Lynk&Co's new energy in the first half of 2024 reached 64072 units, accounting for a record high of 50.9%.

In the first half of 2024, Jike delivered a total of 87870 units, a year-on-year increase of 106%, and won the title of China's pure electric brand sales champion with over 200000 units in 2024. Its annual sales target achievement rate ranks first among new forces. Among them, 20106 units were delivered in June, breaking the 20000 mark for the first time in a single month and setting a new historical high. As of the end of June this year, Jike has delivered over 280000 units, continuously breaking delivery records.

The expansion of the Jike product matrix and the acceleration of internationalization have entered nearly 30 national markets. Jike 001 and Jike X have started overseas delivery. An Conghui, President of Geely Holding Group and CEO of Jike Intelligent Technology, stated at the performance conference that Jike, as a luxury high-end new energy brand, is positioned as high-end and luxurious, and is a global brand. Facing the global market, more than 30 countries and regions have confirmed distributor partners, and it is expected that more countries and regions will start selling Jike brand products in the future, and the distribution model will be determined according to the actual situation of different countries around the world.

Jike's overseas strategy is fully coordinated and promoted with various brands under Geely Holding, accelerating the progress of Jike's overseas strategy. At the same time, it is actively exploring overseas localization production plans and releasing them to the public at appropriate times.

When asked about the recent hot topic about the facelift of Jike 001, An Conghui responded that after the release of the 2025 Jike 001 and 007, they received high attention and discussion. The rapid iteration of Jike products broke industry conventions, and the original intention was to hope that users could quickly use the latest technology and have a better product experience. Jike brand aims to be an innovative and technology driven company. The management team fully recognizes that it is a difficult and correct thing to solve the relationship between product iteration and old users in the future, and must face and solve it correctly.

An Conghui confirms that the all-new Extreme Krypton 009, as well as the 2025 Extreme Krypton 001 and Extreme Krypton 007, cannot be iterated within one year from the date of product release, and it is not ruled out that there may be changes in product color and optional configurations. The hardware engineering has been laid out, and the focus for the next year will be on rapid software iteration to provide users with better intelligent driving and cabin experiences. The Extreme Krypton Thor chip for intelligent driving will be first integrated into the Extreme Krypton flagship SUV and is expected to be released in the fourth quarter of next year. Among the two new products of Jike Future, the 7X is a mid to large size pure electric SUV, which will make its global debut at the Chengdu Auto Show at the end of August and is expected to be launched at the end of September. Another Jike MIX is expected to be launched around the end of October, and both new cars will be fully equipped with Jike Intelligent Driving 2.0 self-developed system.

In addition, Jike continues to develop and iteratively maintain the Mobileye intelligent driving system, while retaining products of the Mobileye intelligent driving system in China and using it in overseas markets. To further strengthen the Mobileye system, Jike has established a dedicated team to collaborate with Mobileye. Jike is a responsible enterprise and will continue to iterate and upgrade its products for old users who use the Mobileye system in the future.

Increase investment in intelligent electrification research and development, open up a new era of AI for new energy vehicles

In the increasingly clear logic of Geely's new energy mainline, various brands actively participate in market competition by focusing on user needs and clear brand positioning. By establishing basic technology research, infrastructure development and application, and collaborative cooperation in supply chain and manufacturing, they can leverage Geely Holding's scale effect and systematic advantages.

According to Dai Yong, Deputy CFO of Geely Automobile Group, Geely's total R&D investment in the first half of this year increased by 17.9% year-on-year to 6.97 billion yuan. At the same time, the improvement of R&D efficiency led to a 1.6 percentage point decrease in R&D investment, further strengthening the competitiveness of its core products. Geely Automobile will continue to increase its investment in intelligent electrification research and development, further accelerating technological innovation in the field of new energy intelligence.

With the comprehensive development and acceleration of the "Intelligent Geely Technology Ecological Network", the implementation of "Intelligent Geely 2025" is accelerating. In terms of intelligent driving, Jike's self-developed Haohan Intelligent Driving has obtained L3 autonomous driving test licenses in Shanghai and Ningbo, and the high-speed NZP function is available nationwide. The Lingke high-precision map covers all areas of the country except for Hong Kong, Macau, and Taiwan. NOA highways and elevated roads have been boarded. In terms of intelligent cockpit, on May 30th of this year, Geely Automobile released the "Flyme Auto" intelligent cockpit system jointly created by Xingji Meizu and Galaxy. In terms of artificial intelligence, the self-developed basic big model based on the Geely Xingrui Computing Center has been officially released, making Geely the first car company in the industry to have the full system capability of "using AI framework to construct AI cars".

The first self-developed 7nm intelligent cockpit chip in China, "Longying No.1", is applied to multiple car models. In addition, Geely has independently developed high-value technologies, focused on new energy security management, continuously strengthened the safety standards of three electrical products, and built a new energy security system.

Core technologies such as Aegis Short Blade Battery, Galaxy 11 in 1 Intelligent Electric Drive, and GEA Global Intelligent New Energy Architecture have achieved breakthroughs in safety, durability, efficiency, and intelligence. Gan Jiayue stated that since the release of the two blue plans in 2023, Geely has invested heavily in the three electricity sectors, with batteries being a very important part of them and playing a significant role in promoting Geely's new energy transformation. Geely's SHIELD short knife battery combines high safety, high integration, and higher low-temperature endurance achievement rate. Its various indicators comprehensively surpass those of long knife batteries on the market, especially in terms of cycle life, safety performance, low-temperature discharge, etc. It has great advantages, with an energy density of 192wh/kg, and has good performance in product charging and discharging time and power.

Overseas exports reach new highs, ESG actions continue to leverage international influence

In the first half of this year, Geely Group's cumulative export sales reached 197428 vehicles, a year-on-year increase of over 67%, and its overseas market growth rate continued to lead the industry. Geely brand has deepened its layout in multiple regions such as the Middle East, Asia Pacific, Africa, Latin America, and Europe, and completed the launch of 12 products in 30 overseas countries in the first half of the year. At present, over 650 sales and service outlets have been established in 76 countries.

In the first half of 2024, Lynk&Co steadily advanced its layout in the European and Asia Pacific markets. During the performance period, Lynk&Co officially entered the markets of Azerbaijan and the Philippines. As of now, Lynk&Co has opened 12 experience stores in 7 European countries, and has landed 10 Lynk&Co centers and 2 Lynk&Co space stores in the Asia Pacific market. As of June 30th, Jike has also entered nearly 30 international mainstream markets, including Sweden, the Netherlands, the United Arab Emirates, Mexico, and right-hand drive markets such as Thailand, Malaysia, and Indonesia.

The sales volume of Geely owned Proton reached a new high, with sales of 78000 vehicles in the first half of the year and a net profit of 126 million yuan. Geely imported models X50 and S70 with sales exceeding 10000 yuan, ranking first in the local segmented market.

Gan Jiayue stated that Geely Automobile's international business development plan is being promoted from three dimensions: business model, brand, and channel. Geely has raised its export sales target from 330000 vehicles to 380000 vehicles in July this year. In the future, we will expand comprehensively from new markets and channels, especially in emerging markets.

Speaking about the progress of Geely Renault strategic cooperation and the establishment of HORSE, Li Donghui, CEO of Geely Holding Group, Vice Chairman and Executive Director of Geely Automobile Holding Co., Ltd., stated at the performance conference that the cooperation between Geely and Renault is based on win-win and mutual trust. The joint venture company HORSE jointly established by the two parties is committed to becoming a leader in the global powertrain field, with an annual production capacity of 5 million sets of powertrains. At the same time, HORSE successfully introduced strategic investor Saudi Aramco, which acquired 10% of the company's equity. Saudi Aramco, Geely, and Renault all agree that the comprehensive decarbonization and reduction of carbon emissions in the automotive industry requires the implementation of diverse technological strategies, including efficient internal combustion engines, transmissions, hybrid powertrain systems, low-carbon synthetic fuels such as green methanol, alternative fuels such as hydrogen, and vehicle electrification, to support the orderly transformation of global energy and transportation.

As a benchmark for "going global" car companies deeply involved in the construction of global industrial and value chains, Geely Automobile is also continuously leveraging its international influence through ESG actions. As of the end of June 2024, the company has achieved a 14% reduction in carbon emissions throughout the entire lifecycle of a single vehicle compared to 2020, and has been selected for multiple ESG honor lists, including ranking eighth on the "China ESG Listed Company Pioneer 100" list, maintaining its position as the top Chinese automotive company, and being the only enterprise in the automotive industry to receive a "five-star" excellent evaluation; Continuously ranked first among Chinese car companies in the S&P Global Sustainability Assessment; And it has become the only Chinese car company selected for the Hang Seng Sustainable Development Enterprise Index. (Text: Wu Yue Picture: Geely Automobile)

Editor in Chief: Zheng Siwen