Chinese NEV maker BYD expects profit to jump over four times in Q3

China's leading new-energy vehicle (NEV) maker BYD expects net profit to hit 5.5 billion to 5.9 billion yuan ($760 million to $820 million) in the third quarter of 2022, surging over fourfold in value from the same period last year, the company said in a late Monday stock exchange release.

It made 1.26 billion yuan in profit in the third quarter last year.

BYD said its NEV sales sustained strong growth in the third quarter, driving profitability and effectively mitigating profit pressures caused by rising raw material prices.

The company projected net profit for the first nine months of the year will reach between 9.1 billion yuan to 9.50 billion yuan.

Its Shenzhen listed shares gained almost 5 percent at market close on Tuesday.

BYD continued to lead China's electric vehicle (EV) market with 200,973 units sold in September, a 15-percent jump from August, data from the China Passenger Car Association (CPCA) showed earlier this month. Its major competitor Tesla, meanwhile, delivered 83,135 China-made EVs in September to hit another monthly record.

BYD overtook Tesla to become the world's biggest EV producer by sales in the first half of 2022.

CPCA said higher oil prices and government subsidies continue to encourage more consumers to choose EVs.

China has extended the purchase tax exemption for NEVs until the end of 2023 in a bid to support the auto sector and boost sales.

(CGTN)