(Yicai Global) March 30 -- BYD reported a 38% jump in revenue last year, mainly because sales of the Chinese automaker’s new energy vehicles tripled.

Revenue was CNY216.1 billion (USD34 billion) in the year ended Dec. 31, the Shenzhen-based firm said in an earnings report released yesterday. Net profit shrank 28 percent to about CNY3 billion (USD471.6 million).

Income from its auto business jumped 34 percent to CNY112.5 billion, making up more than half of total revenue. It sold more than 740,000 vehicles in 2021, up 73 percent from the year before, with NEV sales surging 218 percent to 603,800, accounting for 82 percent of the total.

Shares of BYD [SHE: 002594] ended 2.6 percent higher in Shanghai today at CNY237.02 (USD37.33) each. The benchmark Shenzhen Component Index gained 3.1 percent. In Hong Kong, its stock [HKG: 1211] climbed 3.6 percent to HKD223.80 (USD28.59), while the broader market rose 1.4 percent.

Relying on its blade battery and DM-i super hybrid technology, BYD adhered to making both battery electric vehicles and plug-in hybrid EVs last year, achieving a boom in technology, products, and market, Chairman and President Wang Chuanfu said at an industry forum on March 26.

But the auto industry still faces challenges from the Covid-19 pandemic, soaring raw material prices, and unstable supply chain, Wang added. To promote its development, he suggested it is important to sort out lithium chlorate resources and production capacity, boost domestic mining and overseas imports, maintain market supply and demand, as well as stabilize prices.

BYD’s income from its mobile phone assembly business was about CNY86.5 billion last year, up 44 percent, while that from its rechargeable battery and photovoltaic business rose 36 percent to CNY16.5 billion.

The company invested about CNY10.6 billion in research and development, up 24 percent. The number of R&D employees jumped 32 percent to about 40,400.

BYD did not issue guidance for this quarter, but said NEV sales skyrocketed 494 percent to 181,500 in the first two months of 2022 from the same period a year ago.

Editor: Futura Costaglione