CATL’s web revenue fell 4.3 p.c within the third quarter from the second quarter, as its share in China slipped and fell in September to a brand new low since April final yr.
CATL, China’s largest energy battery maker, noticed its third-quarter web revenue droop from the second quarter, because it continued to lose share in its house market.
CATL posted income of RMB 105.43 billion ($14.4 billion) within the third quarter, up 8.3 p.c from a yr earlier and up 5.2 p.c from the earlier quarter, in keeping with its monetary report launched right now.
The corporate reported web revenue of RMB 10.43 billion within the third quarter, up 10.7 p.c year-on-year however down 4.3 p.c from the second quarter.
It noticed a gross margin of twenty-two.42 p.c within the third quarter, up 0.46 proportion factors from the second quarter and considerably decrease than its gross margin of practically 30 p.c for many of 2020 by way of 2021.
CATL stays the world’s largest energy battery maker, with a 36.9 p.c international share within the January-August interval, the one one above 30 p.c, in keeping with South Korean market researcher SNE Analysis.
Nevertheless, CATL’s share in China has slipped for the reason that finish of final yr, falling to 39.41 p.c in September, a brand new low since April final yr, in keeping with China Automotive Battery Innovation Alliance (CABIA).
That is probably attributable to smaller rivals consuming into its share at a time of overcapacity in energy batteries.
CATL’s capability utilization charge for battery programs fell to 60.5 p.c within the first half of the yr, down from 81 p.c in the identical interval final yr.
CATL’s bargaining energy has slipped as costs for key uncooked supplies for batteries plummeted amid overcapacity and more and more fierce competitors.
Earlier this month, Tianfeng Securities minimize its third-quarter earnings forecast for CATL to 11 billion yuan from 11.5 billion yuan.
CATL had been regularly negotiating rebate applications with prospects for subsequent yr within the third quarter, so it took early accruals for that, in keeping with Tianfeng.
Rumors then surfaced that this could possibly be attributable to CATL’s concessions to 2 key prospects, Nio and Zeekr, and lowered battery costs.
CATL’s transfer can also be telling different automakers that battery costs are negotiable and can proceed to fall, an auto blogger beforehand stated.
($1 = RMB 7.3152)
CATL rumored to have given decrease costs for batteries provided to Nio and Zeekr