NEW YORK: BYD Co is projecting an increase in annual sales, fuelled by a more optimistic domestic outlook and an aggressive global expansion that aims to defy cooling demand in the broader electric vehicle market, says JPMorgan Chase & Co.
The Shenzhen-based automaker now expects domestic sales to reach between 3.5 million and four million units this year, the bank’s analysts said in a note.
The guidance represents growth of up to 13% in its home market, exceeding analyst estimates that had largely expected flat volumes or even a moderate decline.
The company’s bullishness is bolstered by a massive overseas offensive, with management reiterating a target of 1.5 million vehicle sales abroad, a 50% jump from the previous year.
When combined, BYD is effectively aiming for total global deliveries of five million units to 5.5 million units, an up to 20% increase from the previous year.
The analysts noted that management’s growing confidence stems from “solid order flow” for newly launched models equipped with ultra-fast charging solutions, including the Great Tang six-seater sport utility vehicle that debuted during last month’s Beijing Auto show.
BYD is also shifting its overseas product mix. — Bloomberg
