By Li Panpan
(JW Insights) Aug 1 -- CATL, China's largest battery manufacturer, is witnessing explosive growth, with its revenue for the first half of the year nearing that of the entire South Korean battery industry, reported Business Korea on July 31.
According to industry sources on July 30, CATL reported sales of RMB189.246 billion ($26.6068 billion) and an operating profit of RMB25.357 billion ($3.56 billion) in the first half of this year. Compared to the same period last year, sales increased by 67.5%, and operating profit surged by 117.0%. Net income increased by 122.1% to RMB21.473 billion ($3.01 billion) compared to the same period last year.
In terms of sales in the first half of this year, CATL nearly equaled the combined revenues of LG Energy Solution, Samsung SDI, and SK Innovation, South Korea's three leading battery companies, which amounted to 35.7174 trillion won ($28.0445 billion). CATL's operating profit was three times greater than the combined profits of the Korean companies, indicating that CATL not only dominates in scale but also profitability, said the Business Korea report.
In the first half of the year, CATL's electric vehicle battery business sales increased by 76.2% compared to the same period last year, reaching RMB139.442 billion ($19.56 billion).
According to market research firm SNE Research, as of the end of May, CATL's global electric vehicle battery market share was 36.3%, significantly ahead of BYD (16.1%) and LG Energy Solution (13.9%). In addition, CATL's overseas sales in the first half of the year amounted to RMB67.169 billion ($9.42 billion), accounting for 35.5% of total sales, indicating its strong presence not only in the domestic market but also on a global scale.
It is reported that CATL has a wide range of customer groups. In terms of power batteries, CATL has deepened global cooperation with car companies such as Tesla, BMW, Daimler, Stellantis, VW, Volvo, Ford, Hyundai, and Honda in the international market; Domestically, CATL has partnered with SAIC, NIO, Li Auto, Geely, Yutong, XCMG, and other auto companies.
As competition intensifies in China's domestic market, CATL is increasingly focusing on the global market, adding that “CATL aims to become the Apple of the battery industry, going beyond being a simple battery manufacturer and to lead the direction of the industry, as demonstrated by its setting up a subsidiary for electric boats”, said the Business Korea report.
