Core Viewpoint - Beijing Automotive's net profit for 2024 has fallen below 1 billion RMB for the first time, marking a ten-year low, with multiple brands under pressure and transformation challenges ahead [2][4][6]. Financial Performance - In Q1 2024, Beijing Automotive reported total revenue of 42.44 billion RMB, a year-on-year decrease of 8.77%, and a net profit of 9.29 billion RMB, down 10.2% year-on-year [2]. - For the full year 2024, total revenue was 192.50 billion RMB, a decline of 2.76%, with fuel vehicle revenue at 184.97 billion RMB (up 1.2%) and new energy vehicle revenue at 7.53 billion RMB (down 50.7%) [4][6]. - The company's gross profit for 2024 was 30.89 billion RMB, a decrease of 19.4%, with fuel vehicle gross profit at 35.33 billion RMB (down 16%) and new energy vehicle gross loss at 4.44 billion RMB [7][19]. Brand Performance - Beijing Automotive's wholesale vehicle sales totaled 946,000 units in 2024, a decline of 9.21% year-on-year [4]. - Beijing Benz's revenue for 2024 was 21.75 billion euros (approximately 177.84 billion RMB), down 3.36%, with a net profit of 2.44 billion euros (approximately 19.98 billion RMB), down 18.54% [8][10]. - The losses from Beijing Modern and Beijing brand are significant contributors to the overall profit decline, with Beijing Modern reporting cumulative losses of 13.08 billion RMB from 2022 to the first nine months of 2024 [15][13]. Market Dynamics - Despite the profit decline, Beijing Automotive's stock price rose by 5.52% on April 30, 2024, following the Q1 earnings release [2]. - The company has seen a significant increase in export sales, with a combined total of 120,000 units exported by Beijing Modern and Beijing brand, marking a year-on-year increase of approximately 103% [17]. Investment and Future Outlook - Capital expenditures for 2024 reached 53.80 billion RMB, up 9.8%, while R&D expenditures increased by 20.2% to 4.29 billion RMB, primarily for new energy vehicle development [19]. - The company maintains a healthy cash flow with cash and cash equivalents of 33.60 billion RMB and unused bank credit of 15.63 billion RMB, indicating manageable debt levels [21]. - The company is at a critical transformation juncture, needing to balance its fuel vehicle base with breakthroughs in new energy vehicles while addressing the losses from its joint venture, Beijing Modern [22].
奔驰失速“拖累”北京汽车