On February 21, Great Wall Motor Company Limited (hereinafter referred to as “GWM”) released its 2019 PEA (Preliminary Earnings Annoucement). A total revenue of 96.455 billion yuan was achieved in 2019, with a net profit of 4.526 billion yuan. In the second half of 2019, net profit reached 2.975 billion yuan, up 94.3% YOY, maintaining its strong resilience.
In the increasingly adverse environment of the auto market, the achievement above benefits from the steady growth of sales of the four brands of GWM, increase in brand investment, as well as the comprehensive construction of the competitiveness of the global system.
2nd half see GWM’s revenue and net profit increase with strong resilience of its four brands
Strong enterprises withstand severe market environment.
In 2019, in the adverse domestic auto market, GWM continued to strengthen its brand and product strength. Its business performance remains strong, achieving a total revenue of 96.455 billion yuan. Among them, the net profit attributable to shareholders of the parent company after deducting non-recurring profit and loss was 3.982 billion yuan, with a YOY increase of 2.4%. Meanwhile, starting from the second quarter of 2019, the net profit continued to improve from the previous quarter. The net profit of the third quarter achieved 1.4 billion yuan, with an increase of 84.7% than the previous quarter, and the net profit of the fourth quarter achieved 1.575 billion yuan, with an increase of 12.5% than the previous quarter. In the second half of the year, both revenue and net profit rose. The total revenue increased by 9.0% YOY and 33.1% than the previous half, and the net profit increased by 94.3% YOY and 91.8%.
In the past year, GWM has made breakthrough with its efforts in brand building, product structure and product iteration. The annual sales volume exceeded 1.06 million units, with a YOY increase of 0.69%. GWM has exceeded the sales volume of one million units for the fourth consecutive year, contributing to improvement of the company’s performance.
As the “global SUV leader born in China”, HAVAL brand sold 769,000 units in 2019, maintaining the top 1 in SUV sales in China for 10 consecutive years. The annual sales volume of WEY brand exceeded 100,000 units again, and the cumulative sales volume since the birth of the brand exceeded 320,000 units. ORA brand sold 39,000 new vehicles, achieving the highest sales growth rate in the A00 segment. Great Wall Pickup achieved annual sales of 149,000 units, with a YOY increase of 7.85%, maintaining the first place in domestic and export sales for 22 consecutive years.
During the transition period of auto market, the competition among enterprises has shifted from product competition to brand competition, and the value of marketing has become more prominent. In the past year, GWM has changed from “product thinking” to “user thinking” in marketing. With a series of innovative marketing measures, such as cooperating with CASC, building smart factory marathon IP, and investing in the movie The Captain, GWM has established a real emotional connection with users and facilitated its brand promotion.
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SOURCE: GWM
