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SAIC Motor profit growth moderates in 2018

Xinhua | Updated: 2019-01-30 17:25
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A logo of SAIC Motor. [Photo/VCG]

BEIJING - China's leading auto maker SAIC Motor Corp Ltd said Wednesday that it expected a milder profit growth in 2018 amid slowdown in the country's car market.

Net profits attributable to shareholders reached 36 billion yuan ($5.4 billion) last year, up 4.6 percent from 2017, according to estimates in the company's statement to the Shanghai Stock Exchange.

That growth was slower than the 7.5-percent profit increase for 2017.

With non-recurring gains and losses deducted, net profits stood at 32.4 billion yuan, down 1.5 percent year-on-year, the statement said.

The softening profits came amid a 2.76-percent decline in the country's overall auto sales last year, according to data from the China Association of Automobile Manufacturers.

SAIC Motor sold 7.05 million vehicles in 2018, edging up 1.75 percent from 2017, the company statement showed.

To support auto consumption, China will promote auto replacement, especially in rural areas, accelerate development of the second-hand car market and adjust subsidies to galvanize sales of new energy vehicles, according to a policy plan jointly released by 10 ministry-level authorities Tuesday.

SAIC Motor's shares in Shanghai saw their price fall 0.65 percent Wednesday.

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