Yongda Automobiles reports interim loss amid challenging market

China Yongda Automobiles Services Holdings Limited reported total revenue of 27,071.9 million yuan for the six months ended June 30, 2025, a 12.8% decrease from 31,035.8 million yuan in the corresponding period of 2024. The company recorded a gross profit of 2,370.4 million yuan, down 8.3% year-on-year. A net loss of 3,484.6 million yuan was reported for the period, a stark contrast to the 101.5 million yuan profit in the first half of 2024. This was largely driven by non-cash impairment provisions totaling 3,539 million yuan on long-term assets such as goodwill and property, plant, and equipment. Adjusted profit attributable to owners, excluding impairments, was 62.7 million yuan.

New vehicle sales volume decreased by 13.4% to 72,501 units, with revenue from new vehicle sales and related services falling 14.4% to 20,532 million yuan. Despite this, the sales volume of independent new energy brand vehicles surged 49.0% to 10,312 units. After-sales services revenue remained stable at 4,784 million yuan, with a gross profit margin of 41.91%. The company maintained healthy inventory turnover days of 26.3 and net cash from operating activities increased by 66.9% to 1,167 million yuan.

The board approved an interim dividend of 0.070 yuan per share for the six months ended June 30, 2025, payable around October 30, 2025. This compares to 0.059 yuan per share for the same period in 2024. The company continues to adjust its operational strategies, focusing on new energy and luxury vehicle businesses, cost reduction, and digital transformation.