(Yicai Global) April 28 -- Chinese new energy vehicle and battery giant BYD reported that profit in the first quarter surged more than four times from a year earlier, as the cost of lithium carbonate tumbled and sales of its electric cars nearly doubled despite China’s NEV purchase subsidies ending last December.

Net profit rose 411 percent to CNY4.1 billion (USD596.5 million) in the three months ended March 31 from a year earlier, the Shenzhen-based firm announced yesterday. Revenue jumped 80 percent to CNY120.2 billion (USD17.4 billion).

Lithium carbonate prices have fallen to below CNY200,000 (USD28,920) a ton from last year’s high of CNY600,000, while first-quarter sales of BYD’s passenger cars climbed 93 percent to 552,000 units from a year ago, with exports reaching about 38,700.

China’s car sales fell 6.7 percent to almost 6.1 million units in the quarter, while NEV sales rose 26.2 percent to 1.6 million units, achieving a 26 percent market share, according to data from the China Association of Automobile Manufacturers. 

Meanwhile, China’s Contemporary Amperex Technology, the world’s largest battery maker, reported a 558 percent jump in first-quarter net profit to CNY9.8 billion, mainly because of cost improvements.

Shares of BYD [SHE: 002594], whose investors include Berkshire Hathaway, closed down 1.2 percent at CNY255.86 (USD36.98) in Shenzhen today.

Editor: Futura Costaglione