Electrek reported that BYD's third-quarter 2026 net profit rose 28.1% year-on-year to RMB 10.02 billion, while its inventory increased 60% from the end of 2025 to RMB 221.58 billion.
BYD filed its third-quarter report with the Hong Kong Stock Exchange on October 29. Third-quarter revenue for July to September was RMB 221.49 billion, up 13.6% year-on-year. Net profit attributable to shareholders was RMB 10.02 billion, net profit excluding one-time items was RMB 8.63 billion, and earnings per share were RMB 1.10.
For the first nine months of 2026, revenue was RMB 566.30 billion, up 0.01%, while net profit fell 4.2% to RMB 22.34 billion.
Exports made up 42% of Q3 sales
The quarterly report did not disclose vehicle volumes, but BYD's monthly sales filings show it sold 1,323,065 vehicles in the third quarter, up 18.7% from 1,114,192 a year earlier.
BYD exported 550,704 vehicles in the quarter, up 137% from 232,806 in the third quarter of 2025. Exports accounted for 42% of total sales in the period.
Everything else, described in the report as mostly the China market, fell about 12% to roughly 772,000 units.
In the first half of 2026, overseas markets generated RMB 181.3 billion, or 53% of BYD's revenue.
Margin, expenses and impairment charges
Electrek said BYD does not report gross margin in its quarterly filing, but calculated it at about 18.0% for the third quarter, compared with 17.6% a year earlier and roughly 18.9% in the second quarter.
Finance expenses for the first nine months were RMB 7.37 billion, compared with a RMB 2.94 billion gain in the same period last year. BYD said this was due to exchange losses.
Asset impairment losses were RMB 2.71 billion, up 68%. BYD said this was mostly due to inventory write-downs because of the expanded inventory scale.
Credit losses tripled to RMB 944 million, with provisions set aside in line with the increase in trade receivables.
Research and development expenses for the first nine months fell 17% to RMB 36.28 billion.
Balance sheet changes
Between December 31, 2025 and September 30, 2026, inventories rose to RMB 221.58 billion from RMB 138.42 billion. Trade receivables increased to RMB 56.47 billion from RMB 37.00 billion.
Bills payable climbed to RMB 78.86 billion from RMB 22.46 billion. BYD said the increase was due to greater settlement of bills.
Cash plus trading securities fell 45% to RMB 71.72 billion from RMB 129.96 billion.
BYD said the increases in inventories and receivables were mainly due to growth in its overseas auto business.
Short-term bank borrowings were cut to RMB 18.67 billion, while bonds outstanding rose to RMB 14.99 billion. The company also issued super short-term commercial paper.
Cash flow and customer prepayments
Operating cash flow for the first nine months was RMB 54.47 billion, up 33%.
Contract liabilities, which the report described as customer prepayments, rose 81% to RMB 92.95 billion.
Cash spent on new factories and equipment fell 24% to RMB 87.38 billion.
