Geely Automobile's Annual Financial Report for 2024: Net Profit Soars by 213%

Geely Automobile Group has presented a remarkable financial report.

In 2024, Geely Automobile delivered 2,176,600 new vehicles, representing a year-on-year increase of 32%. Its revenue reached 240.2 billion yuan, with a year-on-year growth of 34%. The net profit attributable to the parent company was 16.632 billion yuan, surging by 213%. The net cash level was 39.8 billion yuan, showing a growth of 40%. All these figures have set new records.

Despite the intense price competition in the market in 2024, Geely Automobile's overall gross profit margin remained stable. The average revenue per vehicle was 107,000 yuan, achieving a growth of 2.5%. The gross profit margin increased by 0.6 percentage points year-on-year, reaching 15.9%.

In the first half of last year, after releasing its semi-annual report, Geely announced that it would raise its annual sales target to 2 million vehicles, and it eventually achieved this goal.

After the resource integration in the second half of 2024, Geely is getting more and more on the right track.

However, on the other hand, like many Chinese new energy vehicle enterprises, Geely's high-end strategy has not yet achieved significant success. Zeekr Automobile suffered a net loss of 5.791 billion yuan in 2024 and still has not achieved profitability.

The year 2024 was of great significance to Geely both in terms of performance and strategy. What benefits did its adjustments bring? Compared with its old rivals such as BYD and Chery, was Geely's performance in 2024 outstanding enough?

The Geely Galaxy Brand in the "Strong Growth Period"

Among the 2,176,600 new vehicles sold by Geely Automobile in 2024, the cumulative sales of new energy vehicles of its three major brands (Geely Galaxy, Zeekr, and Lynk & Co) reached 888,200 units. Among them, Geely Galaxy sold 494,400 units, Zeekr sold 222,100 units, and the new energy vehicles of Lynk & Co sold 168,000 units.

For Geely, 2024 was a year full of changes and fruitful achievements. The resource integration decision announced in the "Taizhou Declaration" has brought significant changes to the strategies of these three major brands.

In terms of the growth momentum, Geely Galaxy, which Geely claims to have "entered a strong growth period" and was officially upgraded from a series to a brand in March this year, will become the main brand to support Geely Group's future sales.

Thanks to the hot sales of Geely Galaxy E5, Xingyuan, and Xingjian 7 in the second half of 2024, Geely Galaxy achieved an 80% growth, far exceeding Geely Automobile's growth rate of 32% and the industry average growth rate of 34.5%. This growth momentum did not show any signs of decline even in January and February, which are usually regarded as off-seasons.

From January to February 2025, the cumulative sales of Geely Galaxy reached 169,700 vehicles, with a year-on-year growth of approximately 185%, and the cumulative sales exceeded 700,000 units. According to this trend, Geely Galaxy will achieve the milestone of exceeding 1 million cumulative sales in the first half of this year.

Unfortunately, except for Zeekr, which has already been listed, Geely has not disclosed the revenue of fuel vehicles, new energy vehicles, and each brand.

Just from the sales volume and the existing two financial reports, Geely's fuel vehicle business is still quite profitable. Among its three major brands closely related to new energy vehicles, Geely Galaxy is likely to achieve profitability the earliest.

Zeekr's Road to the High-End Market

For Geely, the urgent problem to be solved in the field of new energy vehicles is to boost the sales volume of high-end brands and achieve profitability.

Zeekr's financial report shows that its revenue last year was 75.913 billion yuan, with a year-on-year growth of 46.9%, among which the revenue from vehicle sales was 55.315 billion yuan, a year-on-year increase of 63.1%.

The overall loss for the whole year was 5.791 billion yuan, a decrease of 29.9% compared with the previous year. The overall gross profit margin was 16.4% (it was 13.3% in 2023), and the gross profit margin of vehicle sales was 15.6% (it was 15.0% in 2023).

For reference, Xiaopeng Motors, which only sold pure electric vehicles in 2024 and launched extended-range models in 2025, had a revenue of 40.87 billion yuan in 2024, with a year-on-year growth of 33.2%, and a net loss of 5.79 billion yuan, with the loss margin decreasing by 44%.

The growth of revenue and the narrowing of the loss are all based on the growth of Zeekr's sales volume in 2024.

In 2024, Zeekr delivered a total of 222,100 new vehicles, with a year-on-year growth of 87.2%. And thanks to the immediate delivery of Zeekr 7X upon its launch, its delivery volume in the fourth quarter of 2024 reached a new high of 79,300 units.

However, it should not be ignored that Zeekr's revenue also includes items such as battery sales and R&D services.

In 2024, Zeekr's sales revenue of batteries and other components was 16.793 billion yuan, with a year-on-year growth of 14.3%, and the revenue from R&D and other services was 3.804 billion yuan, with a year-on-year growth of 24%, which also contributed to the narrowing of the loss.

Zeekr is seeking a broader path for upward development, which not only includes the launch of new models such as Zeekr 9X and 007 GT this year and the introduction of extended-range hybrid power, but also the expansion of the global market.

In the fourth quarter of 2024, Zeekr's sales, general and administrative expenses increased by 27.6% year-on-year, reaching 2.817 billion yuan, and increased by 23.8% quarter-on-quarter. Zeekr explained the year-on-year and quarter-on-quarter growth of these expenses as the expansion of offline sales channels at home and abroad and the launch of new models.

Zeekr's expansion overseas cannot be separated from the support of Lynk & Co.

Zeekr Technology Group, which has just completed the merger of the two major brands, has presented its first financial report result. The company's revenue was 113.9 billion yuan, with a year-on-year growth of 39%, and the revenue from vehicle sales was 94.56 billion yuan, with a year-on-year growth of 48%.

Bearing Geely's high-end dream, Geely has set a globalization goal for Zeekr Technology Group in 2025. The two will establish a unified sales company in emerging markets outside Europe and plan to open more than 200 stores overseas.

Before this, Lynk & Co's total overseas exports in 2024 exceeded 80,000 vehicles. Geely said that it has ranked first among Chinese brands with a single vehicle price of more than 40,000 euros in the European market for three consecutive years and has established a certain brand awareness overseas.

However, perhaps affected by the fierce market competition and the weak consumption after the holidays, Zeekr sold a cumulative total of 24,500 new vehicles from January to February this year. Its year-on-year growth rate of 23.38% is lower than that of most mainstream new forces. Even in January, there was a 4.7% year-on-year decline.

When sedans represented by Xiaomi SU7 in the market are squeezing the market share of Zeekr 001/007, and SUVs represented by Xiaopeng G9 are reducing prices and increasing configurations to directly compete with Zeekr 7X, Zeekr's mainstream products are "surrounded by enemies on all sides". The launch of Zeekr's 2025 models, new models, and power systems has become the key to turning the situation around.

Geely's Breakthrough

As an independent brand whose sales volume in 2024 was second only to BYD and Chery, Geely's financial report results are inevitably compared with those of the former two.

Geely's performance in terms of revenue is obviously lagging behind the other two.

Even though BYD has not yet announced its revenue for 2024, its revenue in the first three quarters of 2024 was already 502.251 billion yuan, with a year-on-year growth of 18.94%. Geely's revenue of 240.2 billion yuan is less than half of BYD's.

Geely's advantage lies in the improvement of its profitability.

Since BYD and Chery have not announced their full-year financial reports for 2024, let's take the first three quarters of 2024 as an example.

Geely's revenue in the first three quarters was 167.684 billion yuan, and the net profit attributable to the parent company was 13.053 billion yuan. BYD's revenue in the first three quarters was 502.251 billion yuan, and the net profit attributable to the parent company was 25.238 billion yuan. Chery's revenue in the first three quarters was 182.154 billion yuan, and the net profit attributable to the parent company was 11.3 billion yuan.

Compared with the growth rates of the net profit attributable to the parent company of BYD and Chery, which were 18.12% and 58.5% respectively, Geely's year-on-year growth rate of the net profit attributable to the parent company in the first three quarters had already reached 358%, and it achieved a growth rate of 213% for the whole year.

In the past two years, Geely seems to have found its own market position.

When BYD completely stopped producing fuel vehicles and its existing products still have room for improvement, and Chery sold 583,600 new energy vehicles in a year but has not really risen yet, Geely aimed at this opportunity and obtained more market share through the Geely Galaxy brand.

However, all three brands are facing a common problem, that is, the development prospects of mid-to-high-end products.

The mid-to-high-end product lines of these three brands are all affected by factors such as brand image and brand awareness, and the progress is not smooth. The sales volume and revenue are still supported by mid-to-low-end products, and they even need to support the growing mid-to-high-end products. There is still a certain distance to reach the high profit level of a single model like Mercedes-Benz, BMW, Audi, and Volvo (BBAV).

And in 2025, the number of participants in the mid-to-high-end market is constantly increasing. How will independent brands represented by Geely balance cost-effectiveness and high-end development?

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