Core Viewpoint - Beijing Automotive's revenue for the first half of 2025 decreased by 12.6% year-on-year, primarily due to price competition and declining sales [1][2] Group 1: Financial Performance - The company's revenue reached 82.398 billion RMB, showing a significant decline compared to the previous year [1] - Profit attributable to equity holders was 360 million RMB, down 81.8% year-on-year, with basic earnings per share at 0.04 RMB [1] Group 2: Strategic Focus - The company is guided by the principles of "survival, reform, and development," focusing on both domestic and international markets [1] - The company aims to enhance operational efficiency and improve business quality while maintaining a stable sales base [1] Group 3: Product Development - Beijing Automotive is committed to the development of new energy vehicles, continuously improving its product matrix [2] - The Beijing brand launched the BJ30 and BJ40 extended-range models, combining off-road capabilities with new energy technology [2] - Beijing Benz is expanding its product lineup with the new all-electric long-wheelbase CLA, showcased at the 2025 Shanghai International Auto Show [2] - Beijing Hyundai unveiled its first pure electric SUV, marking a new phase in its new energy strategy [2] - Fujian Benz has initiated the construction of the Mercedes-Benz new energy commercial vehicle platform (VAN.EA) in China, progressing towards a new luxury pure electric MPV project [2]

Core Viewpoint - Beijing Automotive reported a significant decline in revenue and net profit for the first half of 2025, primarily due to price competition and decreased sales [1] Financial Performance - The company achieved revenue of RMB 82.3985 billion, representing a year-on-year decrease of 12.6% [1] - Net profit attributable to equity holders was RMB 360 million, down 81.8% year-on-year [1] - Gross profit for the first half was RMB 11.9205 billion, reflecting a year-on-year decline of 32.2% [1]

格隆汇8月26日丨北京汽车(01958.HK)发布公告，集团2025年上半年实现收入人民币82,398.5百万元，同 比下降12.6%，主要由于价格竞争及销量下降变动影响。集团2025年上半年录得公司权益持有人应占净 利润人民币360.0百万元，较2024年同期下降81.8%；2025年上半年实现基本每股收益人民币0.04元。 ...

Core Insights - Beijing Automotive reported a revenue of 82.398 billion RMB for the six months ending June 30, 2025, representing a year-on-year decline of 12.6% [1] - The profit attributable to equity holders was 360 million RMB, down 81.8% year-on-year, with basic earnings per share at 0.04 RMB [1] Group 1: Financial Performance - The decline in revenue was primarily due to price competition and a decrease in sales volume [2] - The total wholesale volume for Beijing brand, Beijing Benz, Beijing Hyundai, and Fujian Benz reached 421,000 units, while retail sales were 427,000 units during the reporting period [1] Group 2: Strategic Initiatives - The company is committed to the direction of new energy development, continuously improving its new energy product matrix [2] - Beijing brand launched the BJ30 and BJ40 extended-range models, focusing on both off-road and new energy technologies [2] - Beijing Benz is enhancing its "dual fuel" product lineup, showcasing the new all-electric long-wheelbase CLA at the 11th Shanghai International Auto Show [2] - Beijing Hyundai unveiled its first pure electric SUV, marking a new phase in its comprehensive new energy strategy [2] - Fujian Benz has initiated the construction of the Mercedes-Benz new energy commercial vehicle platform (VAN.EA) in China, progressing on a new luxury pure electric MPV project [2]

[Financial Statements](index=2&type=section&id=Financial%20Statements) Presents the Group's H1 2025 financial performance and position, showing revenue and profit declines, and changes in assets and liabilities [Interim Condensed Consolidated Statement of Comprehensive Income](index=2&type=section&id=Interim%20Condensed%20Consolidated%20Statement%20of%20Comprehensive%20Income) In H1 2025, the Group's revenue decreased by 12.6% to RMB 82,398.5 million, gross profit fell 32.2% to RMB 11,920.5 million, and net profit attributable to equity holders significantly dropped 81.8% to RMB 360.0 million, with basic EPS of RMB 0.04 Interim Condensed Consolidated Statement of Comprehensive Income (For the six months ended June 30) | Indicator | 2025 (RMB in thousands) | 2024 (RMB in thousands) | Change (%) | | :--- | :--- | :--- | :--- | | Revenue | 82,398,455 | 94,322,292 | -12.6% | | Cost of sales | (70,477,919) | (76,749,697) | -8.2% | | Gross profit | 11,920,536 | 17,572,595 | -32.2% | | Operating profit | 6,202,257 | 10,750,177 | -42.3% | | Profit before income tax | 6,155,053 | 10,233,035 | -39.9% | | Profit for the period | 3,774,388 | 6,866,298 | -45.0% | | Attributable to equity holders of the Company | 359,961 | 1,978,021 | -81.8% | | Attributable to non-controlling interests | 3,414,427 | 4,888,277 | -30.2% | | Basic and diluted earnings per share (RMB) | 0.04 | 0.25 | -84.0% | [Interim Condensed Consolidated Statement of Financial Position](index=4&type=section&id=Interim%20Condensed%20Consolidated%20Statement%20of%20Financial%20Position) As of June 30, 2025, total assets were RMB 164,710.6 million, a 4.3% decrease from year-end 2024, with significant reduction in cash and cash equivalents, and negative net current assets Interim Condensed Consolidated Statement of Financial Position (As of June 30, 2025) | Indicator | June 30, 2025 (RMB in thousands) | December 31, 2024 (RMB in thousands) | Change (%) | | :--- | :--- | :--- | :--- | | **Assets** | | | | | Total non-current assets | 88,071,013 | 90,358,033 | -2.5% | | Total current assets | 76,639,540 | 81,686,235 | -6.2% | | **Total Assets** | **164,710,553** | **172,044,268** | **-4.3%** | | **Liabilities** | | | | | Total current liabilities | 76,834,884 | 84,289,737 | -8.8% | | Total non-current liabilities | 9,632,992 | 9,273,058 | +3.9% | | **Total Liabilities** | **86,467,876** | **93,562,795** | **-7.6%** | | **Equity** | | | | | Capital and reserves attributable to equity holders of the Company | 57,509,439 | 57,314,818 | +0.3% | | Non-controlling interests | 20,733,238 | 21,166,655 | -2.0% | | **Total Equity** | **78,242,677** | **78,481,473** | **-0.3%** | | **Net current assets** | **(195,344)** | **(2,603,502)** | **+92.5%** | [Notes to the Interim Condensed Consolidated Financial Information](index=6&type=section&id=Notes%20to%20the%20Interim%20Condensed%20Consolidated%20Financial%20Information) Provides detailed explanations on the Group's general information, accounting policies, going concern, segment data, revenue, operating profit items, income tax, dividends, earnings per share, and receivables/payables [General Information](index=6&type=section&id=General%20Information) The Group primarily manufactures and sells passenger vehicles in China, controlled by BAIC Group, with its ordinary shares listed on the HKEX - The Group primarily engages in the manufacturing and sales of passenger vehicles within China [8](index=8&type=chunk) - The Company's direct controlling company is Beijing Automotive Group Co., Ltd., beneficially owned by the Beijing Municipal People's Government State-owned Assets Supervision and Administration Commission [9](index=9&type=chunk) - The Company's ordinary shares were listed on the Main Board of The Stock Exchange of Hong Kong Limited on December 19, 2014 [9](index=9&type=chunk) [Basis of Preparation and Accounting Policies](index=6&type=section&id=Basis%20of%20Preparation%20and%20Accounting%20Policies) This condensed financial information is prepared in accordance with IAS 34 and should be read in conjunction with the annual financial statements for the year ended December 31, 2024 - This condensed financial information is prepared in accordance with International Accounting Standard 34 "Interim Financial Reporting" and does not include all notes from the annual consolidated financial statements [11](index=11&type=chunk) - This condensed financial information should be read in conjunction with the Group's annual financial statements for the year ended December 31, 2024 [11](index=11&type=chunk) [Changes in Accounting Policies](index=6&type=section&id=Changes%20in%20Accounting%20Policies) Accounting policies are consistent with the prior year, except for IFRS 21 (amended) "Lack of Exchangeability" effective January 1, 2025, which had no significant impact - The accounting policies adopted in preparing this condensed financial information are consistent with those applied in the Group's annual financial statements for the year ended December 31, 2024, except for new standards effective from January 1, 2025 [12](index=12&type=chunk) - International Accounting Standard 21 (amended) "Lack of Exchangeability" was first applied in 2025 but had no significant impact on the Group's financial statements [13](index=13&type=chunk) [Going Concern](index=7&type=section&id=Going%20Concern) Despite current liabilities exceeding current assets by RMB 195.3 million as of June 30, 2025, management assesses sufficient financial resources, including operating cash inflows and unused bank facilities, support a going concern basis - As of June 30, 2025, the Group's current liabilities exceeded current assets by approximately **RMB 195.3 million** [14](index=14&type=chunk) - Management assesses that the Group has sufficient financial resources, including continuous net cash inflows from operating activities and approximately **RMB 33,819 million** in unused bank financing facilities, thus preparing financial statements on a going concern basis [14](index=14&type=chunk)[18](index=18&type=chunk) [Segment Information](index=7&type=section&id=Segment%20Information) The Group's business operations are reviewed as a single segment related to automotive manufacturing, sales, R&D, and services, with China contributing approximately 96.4% of revenue and 98.7% of non-current assets - The Group has optimized its business structure, with all operations related to the manufacturing and sales of automobiles and auto parts, R&D, and related technical services, thus reviewed as a single business segment [15](index=15&type=chunk) - For the six months ended June 30, 2025, revenue from external customers within mainland China accounted for approximately **96.4%** of the Group's total revenue (H1 2024: 98.8%) [16](index=16&type=chunk) - As of June 30, 2025, approximately **98.7%** of the Group's non-current assets, excluding financial instruments and deferred income tax assets, were located in mainland China (December 31, 2024: 98.4%) [16](index=16&type=chunk) [Revenue](index=7&type=section&id=Revenue) Total revenue for H1 2025 was RMB 82,398,455 thousand, a decrease from RMB 94,322,292 thousand in H1 2024, primarily from customer contracts with a small portion from leasing Revenue Composition | Revenue Source | 2025 (RMB in thousands) | 2024 (RMB in thousands) | | :--- | :--- | :--- | | Revenue from contracts with customers | 82,359,285 | 94,279,526 | | Lease income | 39,170 | 42,766 | | **Total** | **82,398,455** | **94,322,292** | [Disaggregation of Revenue from Contracts with Customers](index=8&type=section&id=Disaggregation%20of%20Revenue%20from%20Contracts%20with%20Customers) Revenue from contracts with customers is disaggregated by type of goods/services (vehicle sales, other), geographic market (mainland China, other), and timing of recognition (point in time, over time) Disaggregation of Revenue from Contracts with Customers (H1 2025) | Disaggregation Category | Amount (RMB in thousands) | | :--- | :--- | | **Type of goods or services** | | | Sales of vehicles | 79,051,240 | | Others | 3,308,045 | | **Geographical markets** | | | Mainland China | 80,249,568 | | Other countries/regions | 2,109,717 | | **Timing of revenue recognition** | | | Goods transferred at a point in time | 81,646,023 | | Services transferred over time | 713,262 | Disaggregation of Revenue from Contracts with Customers (H1 2024) | Disaggregation Category | Amount (RMB in thousands) | | :--- | :--- | | **Type of goods or services** | | | Sales of vehicles | 90,715,703 | | Others | 3,563,823 | | **Geographical markets** | | | Mainland China | 93,239,724 | | Other countries/regions | 1,039,802 | | **Timing of revenue recognition** | | | Goods transferred at a point in time | 93,297,251 | | Services transferred over time | 982,275 | [Items Included in Operating Profit](index=9&type=section&id=Items%20Included%20in%20Operating%20Profit) Operating profit includes depreciation, employee benefits, warranty costs, and impairment provisions; H1 2025 saw a significant increase in non-financial asset impairment and a decrease in government grants Debit/Credit Items Included in Operating Profit | Item | 2025 (RMB in thousands) | 2024 (RMB in thousands) | | :--- | :--- | :--- | | Depreciation and amortization | 4,281,433 | 4,427,650 | | Staff welfare expenses | 2,138,710 | 2,904,720 | | Warranty expenses | 1,199,577 | 1,112,811 | | Impairment provision for trade receivables | 16,348 | 11,509 | | Impairment provision for non-financial assets | 764,101 | 332,898 | | Foreign currency exchange losses/(gains) | 92,755 | 297,214 | | Losses/(gains) on forward foreign exchange contracts at fair value through profit or loss | (136,253) | 22,881 | | Loss on disposal of property, plant and equipment | 532 | 32,055 | | Government grants | (163,172) | (198,907) | [Income Tax](index=9&type=section&id=Income%20Tax) Some Group entities enjoy a 15% preferential income tax rate as high-tech enterprises, others are taxed at 25%; total income tax expense for H1 2025 was RMB 2,380,665 thousand, a decrease from the prior year - Some Group entities are recognized as high-tech enterprises, enjoying a preferential income tax rate of **15%** [21](index=21&type=chunk) - Other entities calculate income tax at the statutory income tax rate of **25%** in accordance with relevant Chinese enterprise income tax rules and regulations [21](index=21&type=chunk) Income Tax Expense Composition | Item | 2025 (RMB in thousands) | 2024 (RMB in thousands) | | :--- | :--- | :--- | | Current income tax expense | 1,574,179 | 3,286,791 | | Deferred income tax expense | 806,486 | 79,946 | | **Total** | **2,380,665** | **3,366,737** | [Dividends](index=10&type=section&id=Dividends) The Board of Directors did not propose an interim dividend for the six months ended June 30, 2025, consistent with the prior year - The Board of Directors did not propose an interim dividend for the six months ended June 30, 2025 (H1 2024: nil) [23](index=23&type=chunk) [Earnings Per Share](index=10&type=section&id=Earnings%20Per%20Share) Basic earnings per share for H1 2025 was RMB 0.04, a significant decrease from RMB 0.25 in H1 2024, primarily due to reduced profit attributable to ordinary equity holders Earnings Per Share Calculation | Indicator | 2025 (RMB in thousands/per share) | 2024 (RMB in thousands/per share) | | :--- | :--- | :--- | | Profit attributable to ordinary equity holders of the Company | 359,961 | 1,978,021 | | Weighted average number of ordinary shares in issue (in thousands) | 8,015,338 | 8,015,338 | | **Basic earnings per share (RMB)** | **0.04** | **0.25** | - There were no potential dilutive ordinary shares for the six months ended June 30, 2025 and 2024, thus diluted earnings per share equal basic earnings per share [25](index=25&type=chunk) [Trade and Bills Receivables](index=10&type=section&id=Trade%20and%20Bills%20Receivables) As of June 30, 2025, total trade receivables were RMB 12,713,226 thousand with an impairment provision of RMB 1,505,439 thousand, and total bills receivables were RMB 6,234,494 thousand; most trade receivables are current to 1 year, but a high proportion is over 3 years old Trade Receivables and Impairment Provision as of June 30, 2025 | Item | June 30, 2025 (RMB in thousands) | December 31, 2024 (RMB in thousands) | | :--- | :--- | :--- | | Gross trade receivables | 12,713,226 | 12,518,966 | | Less: Impairment provision | (1,505,439) | (1,457,105) | | **Net** | **11,207,787** | **11,061,861** | Aging Analysis of Trade Receivables as of June 30, 2025 | Aging | June 30, 2025 (RMB in thousands) | December 31, 2024 (RMB in thousands) | | :--- | :--- | :--- | | Current to 1 year | 7,467,071 | 7,218,606 | | 1 to 2 years | 45,062 | 44,780 | | 2 to 3 years | 280,872 | 455,414 | | Over 3 years | 4,920,221 | 4,800,166 | | **Total** | **12,713,226** | **12,518,966** | - As of June 30, 2025, total bills receivables were **RMB 6,234,494 thousand**, of which **RMB 4,754,910 thousand** were pledged as collateral [27](index=27&type=chunk) [Trade and Bills Payables](index=12&type=section&id=Trade%20and%20Bills%20Payables) As of June 30, 2025, total trade and bills payables were RMB 39,255,117 thousand, comprising RMB 28,587,980 thousand in trade payables and RMB 10,667,137 thousand in bills payables, with most trade payables being current to 1 year Trade and Bills Payables as of June 30, 2025 | Item | June 30, 2025 (RMB in thousands) | December 31, 2024 (RMB in thousands) | | :--- | :--- | :--- | | Trade payables | 28,587,980 | 32,033,789 | | Bills payables | 10,667,137 | 7,274,630 | | **Total** | **39,255,117** | **39,308,419** | Aging Analysis of Trade Payables as of June 30, 2025 | Aging | June 30, 2025 (RMB in thousands) | December 31, 2024 (RMB in thousands) | | :--- | :--- | :--- | | Current to 1 year | 28,410,381 | 31,954,999 | | 1 to 2 years | 126,559 | 41,582 | | 2 to 3 years | 21,454 | 17,721 | | Over 3 years | 29,586 | 19,487 | | **Total** | **28,587,980** | **32,033,789** | [Business Overview](index=13&type=section&id=Business%20Overview) Details the Group's core business activities, including passenger vehicle brands, component production, auto finance, and international operations, emphasizing new energy and intelligent transformation [Main Business Activities](index=13&type=section&id=Main%20Business%20Activities) The Group's main business encompasses R&D, manufacturing, sales, and after-sales services for passenger vehicles, core component production, auto finance, and international operations, accelerating transformation towards new energy and intelligence - The Group's main business covers passenger vehicle R&D, manufacturing, sales and after-sales services, core passenger vehicle component production, auto finance, international business, and other related activities [29](index=29&type=chunk) - The Group is accelerating its transformation towards new energy and intelligence, with passenger vehicle products covering both fuel and new energy models [30](index=30&type=chunk) [Passenger Vehicles](index=13&type=section&id=Passenger%20Vehicles) The Group operates passenger vehicle businesses through four brands: Beijing, Beijing Benz, Beijing Hyundai, and Fujian Benz, covering both fuel and new energy vehicles, accelerating transformation towards new energy and intelligence - The Group operates passenger vehicle businesses through four brands: Beijing Brand, Beijing Benz, Beijing Hyundai, and Fujian Benz [30](index=30&type=chunk) - Product types cover both fuel and new energy vehicles, accelerating transformation and upgrading towards new energy and intelligence [30](index=30&type=chunk) [Beijing Brand](index=13&type=section&id=Beijing%20Brand) The Beijing Brand, an independent brand, offers fuel and new energy sedans, SUVs, and off-road vehicles, focusing on off-road electrification with innovative models like BJ30 and BJ40 - The Beijing Brand is an independent brand, with products covering fuel and new energy models of sedans, SUVs, and off-road vehicles [31](index=31&type=chunk) - It focuses on the off-road/general off-road segment, achieving breakthrough innovations in off-road electrification through deep integration of off-road genes and new energy technologies [31](index=31&type=chunk) - Products include BJ30 Magic Core (leader in 100,000-level hybrid square SUVs), BJ40 Extended Range (camping vehicle), BJ40 Fuel Version (professional off-road fuel-efficient king), and BJ60 (luxury off-road SUV) [31](index=31&type=chunk) - Future product lineup will include over ten models across fuel, pure electric, and hybrid categories [32](index=32&type=chunk) [Beijing Benz](index=14&type=section&id=Beijing%20Benz) Beijing Benz, a 51.0% owned subsidiary and joint venture with Mercedes-Benz Group, is a global leader in producing front-wheel drive, rear-wheel drive, and electric vehicle platforms, including engine and power battery factories - Beijing Benz is a **51.0%** owned subsidiary of the Company, a joint venture with Mercedes-Benz Group [33](index=33&type=chunk) - It is the only joint venture globally within the Mercedes-Benz Group that simultaneously possesses three vehicle platforms (front-wheel drive, rear-wheel drive, electric vehicles) and engine and power battery factories [33](index=33&type=chunk) - It has put into production fuel vehicles such as the long-wheelbase E-Class sedan and long-wheelbase GLC SUV, and launched multiple pure electric and hybrid models including EQE, EQE SUV, E350 e L, and GLC 350 e L [33](index=33&type=chunk) [Beijing Hyundai](index=14&type=section&id=Beijing%20Hyundai) Beijing Hyundai, a 50.0% owned joint venture with Hyundai Motor Company, boasts industry-leading quality and manufacturing, producing and selling compact, mid-size sedans, and SUVs - Beijing Hyundai is a **50.0%** owned joint venture of the Company, with Hyundai Motor Company [34](index=34&type=chunk) - It possesses an industry-leading quality operation system and manufacturing plants, producing and selling compact, mid-size sedans, and SUVs [34](index=34&type=chunk) - Key models include the 7th generation Elantra, Festa N-line, 11th generation Sonata, 5th generation Tucson L, Mufasa, 5th generation Santa Fe, and Custo [34](index=34&type=chunk) [Fujian Benz](index=14&type=section&id=Fujian%20Benz) Fujian Benz, a 35.0% owned joint venture, has produced and sold Mercedes-Benz multi-purpose passenger vehicles since 2010, maintaining a leading position in the joint venture luxury commercial vehicle segment - Fujian Benz is a **35.0%** owned joint venture of the Company, with Fujian Motor Industry Group Co., Ltd. and Mercedes-Benz Light Commercial Vehicles Hong Kong Limited [35](index=35&type=chunk) - It has produced and sold Mercedes-Benz brand multi-purpose passenger vehicles since 2010, with main products being the V-Class and new Vito [35](index=35&type=chunk) - It maintains a leading advantage in the joint venture luxury commercial vehicle segment [35](index=35&type=chunk) [Core Passenger Vehicle Components](index=15&type=section&id=Core%20Passenger%20Vehicle%20Components) The Group produces core components like engines, powertrains, and power batteries through its production bases, utilizing a combination of cooperative and independent R&D for mass production of various fuel and hybrid components - The Group produces core passenger vehicle components such as engines, powertrains, and power batteries through the production bases of Beijing Brand, Beijing Benz, and Beijing Hyundai [36](index=36&type=chunk) - It adopts a combination of cooperative development and independent R&D to achieve mass production of multiple fuel and hybrid engines, range extenders, and transmissions [36](index=36&type=chunk) - Beijing Benz has built two modern engine production bases and the first power battery factory outside Germany [36](index=36&type=chunk) - Beijing Hyundai primarily produces Gamma II series 1.5/1.6 displacement engines [36](index=36&type=chunk) [Auto Finance](index=15&type=section&id=Auto%20Finance) The Group conducts auto finance and after-market businesses for Beijing, Mercedes-Benz, and Hyundai brands through associates and joint ventures, collaborating with various financial institutions to offer diverse financial products - The Group conducts auto finance and after-market related businesses for Beijing Brand, Mercedes-Benz Brand, and Hyundai Brand through its associates and joint ventures [37](index=37&type=chunk) - It collaborates with multiple auto finance companies, commercial banks, and financial leasing companies to provide financial products covering all in-market models and diverse customer needs [37](index=37&type=chunk) [International Business](index=15&type=section&id=International%20Business) The Group's international market operations are managed by Beijing Automotive International Development Co., Ltd., driving rapid global expansion through overseas sales, KD technical cooperation, and vehicle distribution, including a production base in South Africa - The Group's international market marketing business is managed by its wholly-owned subsidiary, Beijing Automotive International Development Co., Ltd [38](index=38&type=chunk) - It promotes rapid development of international business through overseas sales companies, KD technical cooperation, and complete vehicle distribution [38](index=38&type=chunk) - Its joint venture, BAIC South Africa Automotive Co., Ltd., is responsible for the production operations and related marketing in the South African production base [38](index=38&type=chunk) [Operational Review and Outlook](index=16&type=section&id=Operational%20Review%20and%20Outlook) Reviews H1 2025 industry trends and Group operations, highlighting new energy development, marketing, user-centric strategies, overseas expansion, and outlines H2 2025 outlook [H1 2025 Industry Development](index=16&type=section&id=H1%202025%20Industry%20Development) In H1 2025, the automotive industry maintained positive momentum with rapid growth in new energy vehicles, resilient exports, and increased market share for Chinese brands, supported by national policies - In H1 2025, the automotive industry continued its positive trend, with rapid growth in new energy vehicles, sustained resilience in automotive exports, and an increased market share for Chinese brand passenger vehicles [40](index=40&type=chunk) - In H1 2025, passenger vehicle sales reached **13.531 million units**, a **13% year-on-year increase**, with **2.581 million units** exported [40](index=40&type=chunk) - National policies from the National Development and Reform Commission and the Ministry of Finance were released, continuously boosting end-market demand for automobiles and promoting industry development [40](index=40&type=chunk) [H1 2025 Group Operations](index=16&type=section&id=H1%202025%20Group%20Operations) In H1 2025, guided by "survival, reform, development," the Group focused on domestic and international markets and star product portfolios, achieving 421 thousand wholesale and 427 thousand retail vehicle sales, improving operational efficiency and quality - In H1 2025, the Group was guided by the policy of "survival, reform, and development," focusing on both "domestic and international" strategic markets [41](index=41&type=chunk) - During the reporting period, Beijing Brand, Beijing Benz, Beijing Hyundai, and Fujian Benz collectively achieved **421 thousand** wholesale vehicle sales and **427 thousand** retail vehicle sales [41](index=41&type=chunk) [New Energy Development Direction](index=16&type=section&id=New%20Energy%20Development%20Direction) The Group is committed to new energy development, continuously improving its new energy product matrix and achieving breakthroughs in its new energy strategy - The Group firmly adheres to the new energy development direction, continuously improving its new energy product matrix and promoting in-depth breakthroughs in its new energy strategy [42](index=42&type=chunk) - Beijing Brand created the BJ30 and BJ40 extended-range twin products, integrating off-road and new energy technologies [42](index=42&type=chunk) - Beijing Benz unveiled its first model based on the Mercedes-Benz Modular Architecture (MMA), the new pure electric long-wheelbase CLA [42](index=42&type=chunk) - Beijing Hyundai's first pure electric SUV was publicly unveiled, and Fujian Benz initiated the construction of the Mercedes-Benz New Energy Commercial Vehicle Platform (VAN.EA) in China [42](index=42&type=chunk) [New Marketing Channels](index=17&type=section&id=New%20Marketing%20Channels) The Group fully embraces new media, building a new media communication matrix and quality content ecosystem to integrate R&D, production, supply, sales, and service - The Group fully embraces new media, building a new media communication matrix and a quality content ecosystem to facilitate the integration of R&D, production, supply, sales, and service [44](index=44&type=chunk) - Beijing Brand's "Western Frontier Off-road" plan integrates western characteristics with off-road advantages, promoting both brand and market enhancement [44](index=44&type=chunk) - Beijing Benz created a "hit IP" through its "Anchors Take You to Explore BBAC" project to boost marketing [44](index=44&type=chunk) - Beijing Hyundai expanded brand awareness and drove sales growth through live streaming and co-creation with car owners [44](index=44&type=chunk) [User-Centric Enterprise Building](index=17&type=section&id=User-Centric%20Enterprise%20Building) Beijing Auto adheres to a user-centric development philosophy, adapting to market changes and user needs, evolving brand value, product layout, and user experience - Beijing Auto adheres to its original intention of "user-centric" development, actively adapting to market changes and user needs [45](index=45&type=chunk) - Beijing Brand achieved a full-dimensional evolution from brand value and product layout to user experience [45](index=45&type=chunk) - Beijing Benz specifically created the new pure electric long-wheelbase CLA for the Chinese market, expanding choices for pure electric luxury travel [45](index=45&type=chunk) - In the future, it will continuously improve user satisfaction through multi-dimensional strategies including perfecting the product system, upgrading brand services, and optimizing the ecosystem experience [45](index=45&type=chunk) [Overseas Business Expansion](index=18&type=section&id=Overseas%20Business%20Expansion) The Group continues to deepen overseas business expansion, comprehensively enhancing its systematic capabilities, accelerating product development and certification, and refining channel construction - The Group continues to promote in-depth breakthroughs in overseas business, comprehensively enhancing its systematic capabilities for international operations [46](index=46&type=chunk) - Beijing Brand accelerates overseas product development and certification, promoting multiple popular products to overseas markets and refining channel construction [46](index=46&type=chunk) - Beijing Hyundai actively expands overseas markets, enriching export models and regions, striving to improve operational quality through a "domestic sales + export" dual-driven approach [46](index=46&type=chunk) [Sales Network and Channels](index=18&type=section&id=Sales%20Network%20and%20Channels) Each brand maintains independent sales channels, focusing on enhancing product service systems and upgrading sales networks through channel innovation, digital marketing, and optimized layouts - Each brand has independent sales channels, committed to improving the product service system and providing timely, efficient, accurate, and high-quality service guarantees [47](index=47&type=chunk) - Beijing Brand drives sales network upgrades through channel innovation and user operations, adding multiple stores and building new channel partnerships [47](index=47&type=chunk) - Beijing Benz continuously promotes its network upgrade plan, enhancing the image, functions, processes, and service teams of offline touchpoints, and focusing on digital marketing [47](index=47&type=chunk) - Beijing Hyundai actively promotes network layout optimization, stabilizes channel operations, and enhances brand awareness and customer value conversion through hot-spot marketing and new media matrix [48](index=48&type=chunk) [Production Facilities and Quality Management](index=19&type=section&id=Production%20Facilities%20and%20Quality%20Management) The Group operates specialized production facilities with flexible production lines, equipped with advanced digital and intelligent quality management systems to ensure high automation and product quality - The Group possesses specialized production facilities for manufacturing and assembling products, all equipped with flexible production lines capable of adapting production plans and quickly responding to market demand changes [49](index=49&type=chunk) - Beijing Brand's Zhuzhou and Guangzhou factories adopt advanced digital and intelligent production quality management systems, continuously improving product quality [49](index=49&type=chunk) - Beijing Benz has built the "most comprehensive and strongest production base globally" for Mercedes-Benz, characterized by "digitalization, flexibility, efficiency, and sustainability," and was listed among Beijing's advanced intelligent factories in 2025 [49](index=49&type=chunk) - Beijing Hyundai adheres to a "green, quality, intelligent, and efficient" production philosophy, relying on intelligent production equipment and an international management system to ensure high automation rates and product quality [49](index=49&type=chunk) [Supply Chain Synergy](index=19&type=section&id=Supply%20Chain%20Synergy) In H1 2025, the Group deepened industrial-financial synergy and cooperation, refining the entire R&D, production, supply, and sales chain to strengthen core competitiveness - In H1 2025, the Group continued to deepen industrial-financial synergy and industrial cooperation, refining the entire R&D, production, supply, and sales chain to strengthen core competitiveness [50](index=50&type=chunk) - Moving forward, guided by the overall operational strategy, it will unleash internal and external synergistic potential, link all aspects of the industrial chain, and continuously solidify its competitive foundation in the industry [50](index=50&type=chunk) [Employee Information](index=20&type=section&id=Employee%20Information) As of June 30, 2025, the Group's total number of employees was 31,885, a slight increase from 31,705 as of December 31, 2024 - As of June 30, 2025, the Group's total number of employees was **31,885** (December 31, 2024: 31,705) [51](index=51&type=chunk) [H2 2025 Outlook](index=20&type=section&id=H2%202025%20Outlook) H2 2025 outlook anticipates increased auto consumption driven by national policies and new product launches, despite complex external environment and intense competition; the Group will focus on marketing, cost control, and quality to expand market share - Looking ahead to H2, the orderly implementation of "two new" policies and continuous enrichment of new product offerings by enterprises are expected to boost automotive consumption, yet the external environment remains complex, severe, and uncertain, with intense industry competition [52](index=52&type=chunk) - In H2 2025, the Group will focus on "marketing empowerment, cost control, and quality improvement" as its operational core, aiming to expand market share and enhance investment efficiency [52](index=52&type=chunk) - Each brand will specifically cultivate target markets, consolidate its leading position in the high-end luxury car market, improve operational quality, and deepen practices of quality enhancement and efficiency improvement [52](index=52&type=chunk) [Management Discussion and Analysis](index=21&type=section&id=Management%20Discussion%20and%20Analysis) Analyzes H1 2025 financial results, including revenue, net profit, gross profit, liquidity, investments, R&D, foreign exchange, asset pledges, and contingent liabilities [Revenue and Net Profit Attributable to Equity Holders](index=21&type=section&id=Revenue%20and%20Net%20Profit%20Attributable%20to%20Equity%20Holders) In H1 2025, Group revenue decreased by 12.6% to RMB 82,398.5 million due to price competition and lower sales, while net profit attributable to equity holders significantly dropped 81.8% to RMB 360.0 million, resulting in basic EPS of RMB 0.04 - The Group's revenue for H1 2025 was **RMB 82,398.5 million**, a **12.6% decrease** from H1 2024, primarily due to price competition and changes in sales volume [53](index=53&type=chunk) - The Group recorded a net profit attributable to equity holders of the Company of **RMB 360.0 million** in H1 2025, an **81.8% decrease** from H1 2024 [53](index=53&type=chunk) - Basic earnings per share for H1 2025 was **RMB 0.04** [53](index=53&type=chunk) [Gross Profit](index=21&type=section&id=Gross%20Profit) In H1 2025, the Group's gross profit decreased by 32.2% to RMB 11,920.5 million, primarily due to intense price competition and lower sales volume - The Group's gross profit for H1 2025 was **RMB 11,920.5 million**, a **32.2% decrease** from H1 2024, primarily due to price competition and changes in sales volume [54](index=54&type=chunk) [Liquidity and Financial Resources](index=21&type=section&id=Liquidity%20and%20Financial%20Resources) H1 2025 net cash inflow from operating activities decreased by 83.0% to RMB 1,961.0 million; as of June 30, 2025, the Group held RMB 25,540.8 million in cash and equivalents and RMB 33,819 million in unused bank facilities, with a liability-to-asset ratio of 52.5% and a net debt-to-equity ratio of negative 28.2%, up 18.6 percentage points due to reduced cash - The Group's net cash generated from operating activities in H1 2025 was **RMB 1,961.0 million**, an **83.0% decrease** from H1 2024, primarily due to reduced net cash inflow from operating activities [55](index=55&type=chunk) - As of June 30, 2025, the Group held cash and cash equivalents of **RMB 25,540.8 million** and had unused short-term and long-term bank financing facilities of approximately **RMB 33,819 million** [55](index=55&type=chunk) - As of June 30, 2025, the Group's liability-to-asset ratio was **52.5%**, a **1.9 percentage point decrease** from year-end 2024 [56](index=56&type=chunk) - As of June 30, 2025, the Group's net debt-to-equity ratio was **negative 28.2%**, an **18.6 percentage point increase** from year-end 2024, primarily due to a significant decrease in cash and cash equivalents [56](index=56&type=chunk) [Significant Investments and R&D Expenses](index=22&type=section&id=Significant%20Investments%20and%20R%26D%20Expenses) H1 2025 capital expenditure increased to RMB 2,464.1 million, while R&D expenses decreased to RMB 1,372.3 million, primarily for product development activities - The Group's total capital expenditure in H1 2025 was **RMB 2,464.1 million**, compared to **RMB 2,214.1 million** in H1 2024 [57](index=57&type=chunk) - The Group's total R&D expenses in H1 2025 were **RMB 1,372.3 million**, compared to **RMB 1,802.3 million** in H1 2024 [57](index=57&type=chunk) - R&D expenses were primarily for the Group's product development activities, with amounts meeting capitalization criteria being capitalized [57](index=57&type=chunk) [Significant Acquisitions and Disposals](index=22&type=section&id=Significant%20Acquisitions%20and%20Disposals) The Group had no significant acquisitions or disposals of subsidiaries, associates, or joint ventures in H1 2025 - The Group had no significant acquisitions or disposals of subsidiaries, associates, or joint ventures in H1 2025 [58](index=58&type=chunk) [Foreign Currency Exchange Gains/Losses](index=23&type=section&id=Foreign%20Currency%20Exchange%20Gains%2FLosses) In H1 2025, the Group recorded foreign currency exchange gains of RMB 43.5 million, a turnaround from a loss of RMB 320.1 million in H1 2024, attributed to effective hedging with forward contracts and RMB appreciation against the Euro - The Group generated foreign currency exchange gains of **RMB 43.5 million** in H1 2025, compared to exchange losses of **RMB 320.1 million** in H1 2024 [59](index=59&type=chunk) - This was primarily due to effective hedging of exchange rate risks through forward foreign exchange contracts and increased exchange gains from Euro-denominated payables due to changes in the RMB to Euro exchange rate [59](index=59&type=chunk) - The Group employs a mature foreign exchange management strategy, continuously and orderly hedging exchange rate risks, primarily using forward foreign exchange contracts as hedging instruments [59](index=59&type=chunk) [Pledge of Assets](index=23&type=section&id=Pledge%20of%20Assets) As of June 30, 2025, the Group had pledged bills receivables totaling RMB 4,754.9 million - As of June 30, 2025, the Group had pledged bills receivables totaling **RMB 4,754.9 million** [60](index=60&type=chunk) [Contingent Liabilities](index=23&type=section&id=Contingent%20Liabilities) As of June 30, 2025, the Group had no significant contingent liabilities - As of June 30, 2025, the Group had no significant contingent liabilities [61](index=61&type=chunk) [Significant Litigation and Arbitration](index=23&type=section&id=Significant%20Litigation%20and%20Arbitration) As of June 30, 2025, the Company had no significant litigation or arbitration matters, nor were directors aware of any material adverse litigation or claims - As of June 30, 2025, the Company had no significant litigation or arbitration matters [62](index=62&type=chunk) - The directors were also unaware of any pending significant litigation or claims that would have a material adverse effect on the Company [62](index=62&type=chunk) [Events After Reporting Period](index=23&type=section&id=Events%20After%20Reporting%20Period) No events with significant impact on the Group occurred after the reporting period - No events with significant impact on the Group occurred after the reporting period [63](index=63&type=chunk) [Interim Dividends](index=23&type=section&id=Interim%20Dividends) The Board of Directors did not propose an interim dividend for H1 2025 - The Board of Directors did not propose an interim dividend for H1 2025 [64](index=64&type=chunk) [Corporate Governance and Other Information](index=24&type=section&id=Corporate%20Governance%20and%20Other%20Information) Covers compliance with corporate governance codes, changes in board and supervisory committees, audit committee review, and publication details [Purchase, Sale or Redemption of Listed Securities](index=24&type=section&id=Purchase%2C%20Sale%20or%20Redemption%20of%20Listed%20Securities) During the reporting period, neither the Company nor its subsidiaries purchased, sold, or redeemed any of the Company's listed securities, and no treasury shares were held as of June 30, 2025 - Neither the Company nor its subsidiaries purchased, sold, or redeemed any of the Company's listed securities during the reporting period [66](index=66&type=chunk) - As of June 30, 2025, the Company held no treasury shares [67](index=67&type=chunk) [Compliance with Corporate Governance Code](index=24&type=section&id=Compliance%20with%20Corporate%20Governance%20Code) The Group is committed to high corporate governance standards, adopting the Corporate Governance Code in Appendix C1 of the Listing Rules, and has consistently complied with its provisions during the reporting period - The Group is committed to establishing and maintaining high standards of corporate governance to protect shareholders' interests and enhance corporate value and responsibility [68](index=68&type=chunk) - The Company has adopted the Corporate Governance Code set out in Appendix C1 of the Listing Rules and established a modern corporate governance structure with effective checks and balances and independent operations among the general meeting, Board of Directors, Supervisory Committee, and senior management [68](index=68&type=chunk) - The Company has consistently complied with the provisions of the Corporate Governance Code during the reporting period [69](index=69&type=chunk) [Compliance with Standard Securities Trading Code](index=24&type=section&id=Compliance%20with%20Standard%20Securities%20Trading%20Code) The Company adopted the Standard Securities Trading Code for Directors of Listed Issuers (Appendix C3 of Listing Rules) for all directors, supervisors, and senior management, who confirmed strict compliance during the reporting period - The Company has adopted the "Standard Securities Trading Code for Directors of Listed Issuers" set out in Appendix C3 of the Listing Rules as the code of conduct for all directors, supervisors, and senior management when dealing in the Company's securities [70](index=70&type=chunk) - Following the Company's inquiry, all directors, supervisors, and senior management confirmed strict compliance with the Standard Code during the reporting period [71](index=71&type=chunk) [Changes in Board and Committees](index=24&type=section&id=Changes%20in%20Board%20and%20Committees) On March 13, 2025, Mr. Chen Wei resigned as Chairman, and Mr. Wang Hao was appointed Executive Director, Chairman, and head of the Strategy and Nomination Committees; no other changes occurred in the Board or committees during the period - On March 13, 2025, Mr. Chen Wei ceased to be Chairman, Non-executive Director, Chairman of the Strategy Committee, and Chairman of the Nomination Committee due to work changes [72](index=72&type=chunk) - On the same day, Mr. Wang Hao was appointed as a Non-executive Director and, at the Board meeting, was appointed as an Executive Director, Chairman, Chairman of the Strategy Committee, and Chairman of the Nomination Committee [72](index=72&type=chunk) - Except for the aforementioned disclosures, there were no other changes in the composition of the Board, Strategy Committee, Audit Committee, Nomination Committee, or Remuneration Committee during the period from January 1, 2025, to the date of this announcement [73](index=73&type=chunk) [Changes in Supervisory Committee](index=25&type=section&id=Changes%20in%20Supervisory%20Committee) Ms. Zhu Yan resigned as non-employee representative supervisor on January 16, 2025, and Mr. Xia Peng was appointed to the role on March 13, 2025 - On January 16, 2025, Ms. Zhu Yan ceased to be a non-employee representative supervisor due to work adjustments [74](index=74&type=chunk) - On March 13, 2025, Mr. Xia Peng was appointed as a non-employee representative supervisor [74](index=74&type=chunk) [Audit Committee](index=25&type=section&id=Audit%20Committee) The Company's Audit Committee, comprising Mr. Xue Lipin (Chairman), Mr. Hu Hanjun, and Mr. Tang Jun (two independent non-executive directors), has reviewed the Group's unaudited interim financial statements and results for H1 2025 - The Company has established an Audit Committee and formulated its written terms of reference [75](index=75&type=chunk) - The Audit Committee members are Mr. Xue Lipin (Chairman), Mr. Hu Hanjun, and Mr. Tang Jun, two of whom are independent non-executive directors [75](index=75&type=chunk) - The Audit Committee has reviewed the Group's unaudited interim financial statements, H1 2025 interim results, and H1 2025 interim report [75](index=75&type=chunk) [Publication of Report](index=25&type=section&id=Publication%20of%20Report) This interim results announcement will be published on the HKEX and Company websites, with the full 2025 interim report to follow, containing all information required by the Listing Rules - This interim results announcement will be published on the website of The Stock Exchange of Hong Kong Limited (www.hkex.com.hk) and the Company's website (www.baicmotor.com) [76](index=76&type=chunk) - The Company will timely publish the 2025 interim report, containing all information required by the Listing Rules, on the Company's and HKEX websites [76](index=76&type=chunk)

Core Viewpoint - Beijing Automotive (01958.HK) has entered into a Financial Services Framework Agreement with BAIC Group, which will provide financial services through its subsidiaries starting from January 1, 2026, until December 31, 2028 [1]. Group 1 - The Financial Services Framework Agreement was signed on August 26, 2025 [1]. - BAIC Group will utilize its subsidiaries with relevant financial business qualifications to offer services to the group [1]. - The agreement is set to be effective for a period of three years [1].

主要及持續關連交易 (1)重續與北汽集團之持續關連交易 (2)與梅賽德斯－奔馳集團之持續關連交易的年度上限 (3)與北汽集團訂立《金融服務框架協議》 重續持續關連交易 鑒於(i)《物業及設備租賃框架協議》、(ii)《產品購買和服務接受框架協議》、(iii)《產品銷售和服務 提供框架協議》及(iv)《商標使用許可框架協議》各自期限以及其項下進行的持續關連交易的適用年 度上限將於2025年12月31日屆滿，董事會於2025年8月26日議決重續上述各期限即將屆滿的框架 協議，為期三年，自2026年1月1日起至2028年12月31日止。 與梅賽德斯－奔馳集團之持續關連交易的年度上限 香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其準確性或完 整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部份內容而產生或因倚賴該等內 容而引致之任何損失承擔任何責任。 北京汽車股份有限公司 BAIC MOTOR CORPORATION LIMITED* （於中華人民共和國註冊成立的股份有限公司） （股份代號：1958） 鑒於北京奔馳向梅賽德斯－奔馳集團及其聯繫人銷售汽車之持續關連交易的年度上限將於 ...

Economic Overview - In the first seven months of 2023, Beijing's industrial added value above designated size grew by 6.1% year-on-year in comparable prices [1] - The export delivery value of industrial enterprises above designated size reached 119.59 billion yuan, an increase of 4.6% [1] Key Industries Performance - The computer, communication, and other electronic equipment manufacturing industry saw a significant growth of 24.2% [1] - The automotive manufacturing industry grew by 11.5% [1] - The electricity and heat production and supply industry increased by 4.7% [1] - The pharmaceutical manufacturing industry experienced a decline of 9.3% [1] - The five major equipment manufacturing industries collectively grew by 9.5% [1] High-tech and Strategic Emerging Industries - The added value of strategic emerging industries and high-tech manufacturing increased by 17.2% and 9.5% respectively [1] - Notable growth in production for high-end or emerging products included lithium batteries (increased by 2.6 times), new energy vehicles (1.5 times), wind turbine units (38.6%), and integrated circuits (17.8%) [1]

Group 1 - The company, Beijing Automotive, announced a board meeting scheduled for August 26, 2025, to consider and approve its interim results for the six months ending June 30, 2025, along with other matters [1]

北京汽車股份有限公司 承董事會命 董事會會議通告 北京汽車股份有限公司（「本公司」）謹此宣佈，本公司將於二零二五年八月二十六日（星期二）舉行董事 會會議，藉以（其中包括）考慮及通過本公司及其附屬公司截至二零二五年六月三十日止六個月之中 期業績以及處理其他事項。 香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其準確性或完 整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部份內容而產生或因依賴該等內 容而引致的任何損失承擔任何責任。 北京汽車股份有限公司 BAIC MOTOR CORPORATION LIMITED* （於中華人民共和國註冊成立的股份有限公司） （股份代號：1958） 中國北京，二零二五年八月十四日 於本公告日期，董事會包括董事長兼執行董事王昊先生；非執行董事胡漢軍先生及陳宏良先生； 執行董事宋瑋先生；非執行董事彭進先生、葉芊先生、高旭先生、Kevin Walter Binder先生、 顧鐵民先生及孫力先生；以及獨立非執行董事尹援平女士、徐向陽先生、唐鈞先生、薛立品先生及 紀雪洪先生。 * 僅供識別 董事會秘書及公司秘書 于丹 ...