UpdateChina’s BAIC car manufacturer posts Q1 net profit of 1.63 billion yuan

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Workers at a BAIC factory in China after the company posted a net profit in the first quarter of 2015. Photo: AP

Published: 9:15am, 27 Apr 2015Updated: 9:40am, 27 Apr 2015

BAIC Motor Corporation, one of China’s biggest auto manufacturers, posted a net profit of 1.63 billion yuan and revenue 19 billion yuan in the first quarter ending March 31.

During the first quarter, BAIC received 20.37 billion yuan in cash from the sales of vehicles and provision of services, but its cash balance fell by 5.75 billion yuan to 17.22 billion yuan from the beginning of this year till March 31. BAIC raised HK$9.9 billion from its listing in the Hong Kong Stock Exchange in December 2014.

German auto giant Daimler owns a 38.2 per cent stake in BAIC.

Daimler has reported a net profit of 4.51 billion yuan and revenue of 56.37 billion yuan for the whole of 2014, and a net profit of 2.71 billion yuan and revenue of 12.78 billion yuan for the whole of 2013 respectively.

Earlier this month, BAIC announced Beijing Hyundai Motor Company, its 50-50 joint venture with South Korean car maker Hyundai Motor, will invest in and build a car factory in Hebei province. This factory will receive a total investment of 7.45 billion yuan (HK$9.36 billion) and is expected to be completed in December 2016. Upon completion, the factory will have an annual production capacity of 1.35 million vehicles.