Chinese electric-vehicle start up BYD Co. Ltd.
What Happened: BYD said its first-quarter BEV sales came in at 300,114, up 13.40% year-over-year, the Warren Buffett-backed company said in a filing with the Hong Kong stock exchange. On a quarter-over-quarter basis, BEV sales slumped 43% from the 526,409 units it sold for the fourth quarter of 2023.
Including plug-in hybrid EVs, BYD sold 624,398 cars in the first quarter, up about 14% from the 547,917 units it sold a year ago, but down 33.8% from the 942,651 units sold in the fourth quarter of 2023.
In March alone, BYD sold 139,902 BEVs and 161,729 PHEVs, taking its total passenger vehicle sales to 301,631 units.
BYD produced 291,730 BEVs and 318,720 PHEVs in the fourth quarter, while the numbers for March stood at 134,352 units and 161,073 units, respectively.
A Reuters report said BYD aims to sell 3.6 million new-energy vehicles in 2024, a 20% increase from its record 2023 sales. Last week, at an investor meeting, BYD's Chairman Wang Chuanfu reportedly announced the company's aim to achieve overseas sales of approximately 500,000 units.
Why It's Important: BYD's announcement comes at a time when the Street is downbeat about Tesla's deliveries, which is widely expected to be released Tuesday. Issuing his final estimate, Tesla number cruncher Troy Teslike said he expects the Elon Musk-led company to report first-quarter deliveries of 409,000 units compared to the consensus estimate of 431,125. He estimates production of 429,954 units for the quarter.
Fund manager Gary Black said in a post on X on Sunday that despite the 15-20% price cuts, a $7,500 up-front EV credit and Cybertruck's halo effect, Tesla is priming to report its first year-over-year drop in deliveries since COVID-19.
Despite lower projections, Tesla may still surpass BYD in BEV sales. In Q4, Tesla sold 461,538 units, trailing BYD by roughly 12%, thereby relinquishing its lead.
For 2023, Tesla still held the pole position, selling 1,739,707 EVs compared to BYD's 1,574,822 units.
The weak numbers from EV players come amid slowing adoption of these green-energy vehicles due to an uncertain economic environment and the cut-throat competition in the industry. The price wars to boost sales have only backfired by eroding margins and impacting profitability.
At last check, Tesla shares fell 1.7% to $172.79 and BYD ADRs, which trade over the counter in the U.S., added 1.47% to $51.52, according to Benzinga Pro data.
