Great Wall Motor Company Limited Provides Earnings Guidance for the Year Ended December 31, 2017
January 26, 2018 at 03:05 pm IST
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Great Wall Motor Company Limited provided earnings guidance for the year ended December 31, 2017. For the period, the company expects net profit attributable to shareholders is estimated to be RMB 5,034,856,300, representing a decrease of RMB 5,516,302,600 or 52.28% as compared with the corresponding period of last year. Based on the preliminary estimation by the financial department, total operating income for the year 2017 is expected to be RMB 101,169,488,800, representing an increase of RMB 2,553,786,400 or 2.59% as compared with the corresponding period of last year. Net profit is expected to be RMB 5,050,944,800, representing a decrease of RMB 5,503,009,800 or 52.14% as compared with the corresponding period of last year. Net profit attributable to shareholders after extraordinary gains/losses is expected to be RMB 4,305,078,100, representing a decrease of RMB 6,048,548,600 or 58.42% as compared with the corresponding period of last year. Major reasons for estimated decrease in results for the period: The company promoted the sales of its products through red packet lucky draw for vehicle purchase and other special offers, resulting in the changes in income and profit margin. The company promoted its products and brands comprehensively through internet, broadcasting and outdoor promotion activities, resulting in the significant increase in advertising and promotion fees. The company further strengthened the competitiveness of its SUV products by exerting efforts in research and development, resulting in the increase in research and development expenses.
Great Wall Motor Company Limited is a sport utility vehicle (SUV) manufacturer in the People's Republic of China (the PRC). The Company is principally engaged in the design, research and development, manufacture and sale, as well as distribution of SUVs, sedans, pick-up trucks and automobile-related parts and components. The Company has three brands, Great Wall, Havel and WEY, and its products include SUVs, sedans and pick-up trucks. The Company also manufactures and supplies relative automotive parts and components. The Company's vertically integrated parts and components production unit manufactures various products, including engines, transmissions, chassis, electronics, interior and exterior decoration parts and molds. The Company manufactures cars, which include Great Wall C50 and Great Wall C30. The Company's SUVs include Great Wall H6, Great Wall H5-E and Great Wall M4. The Company's pick up vehicles are Wingle 5, Wingle 6 and Wingle 5 Upgrade.