BYD’s Q1 results reveal healthy profits, but sequential drop

BYD has posted its first quarter results, reporting $596.56 million in profit for the first three months of this year. That up 410.9% compared to the same period last year suggesting staggering growth. Revenue stood at $17.4 billion and was 79.8% higher than it was in Q1 2022.

The sequential comparisons aren't as rosy - as profits are actually 43.5% lower than those in Q4 of 2022. The first quarter of this year is the first quarter that BYD’s profits dropped since Q1 last year. Revenue is also down 32.1 QoQ.

Analysts claim that the recent price war is mostly to blame - customers are postponing their purchases as they wait for the prices to stabilize first. Tesla's price-cutting campaign was unleashed in January and its effect is strongly felt in the final results. The US maker paid a price as well, missing analysts expectation in its own Q1 performance.

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