Great Wall Motors reports 10.2% YoY drop in H1 net profit

Great Wall Motors reports 10.2% YoY drop in H1 net profit

Great Wall Motors (GWM) reported a 10.2% year-over-year (YoY) decline in its first-half (H1) net profit for 2025. The company's earnings for the period ended June 30, 2025, were CNY 14.5 billion, down from CNY 16.1 billion in the same period last year. This drop in profitability comes amidst a challenging global economic environment and increased competition in the automotive sector.

The company attributed the decline to higher raw material costs and a slowdown in sales in key markets. Additionally, GWM has been investing heavily in new technology and electric vehicle (EV) production, which has put pressure on its earnings in the short term. The company has been proactive in addressing these challenges by implementing cost-cutting measures and focusing on strategic partnerships to enhance its market position.

In contrast, China Great Wall Securities Co., Ltd. reported a robust H1 performance with a net profit up 85-95% YoY [2]. This highlights the varied performance within the broader Chinese automotive sector, with some companies experiencing significant growth while others face headwinds.

Looking ahead, GWM remains optimistic about its long-term prospects, particularly in the EV market. The company is committed to expanding its EV production capabilities and has set ambitious targets for the coming years. Investors are advised to closely monitor GWM's progress and its ability to navigate the current economic challenges.

References:
[1] https://www.tradingview.com/news/reuters.com,2025:newsml_L4N3TB0RR:0-bbmg-sees-h1-net-loss-at-1-3-1-6-billion-yuan/
[2] https://www.marketscreener.com/quote/stock/CHINA-GREAT-WALL-SECURITI-64309913/news/China-Great-Wall-Securities-sees-H1-net-profit-up-85-95-Y-Y-50496564/