Tesla rival BYD reported second-quarter net income and revenue that were well below views, as the world's largest EV maker faces tough competition in the domestic Chinese market. BYD stock dived Friday.
BYD net income came in at to RMB 6.36 billion ($890 million), down nearly 30% vs. a year earlier in local currency. It was the first year-over-year decline since Q1 2022. Revenue climbed 14% to RMB 201 billion ($28.1 billion).
Analysts expected adjusted net income of RMB 11.187 billion on sales of RMB 225.944 billion.
For the first half of the year, BYD net income climbed 14% with revenue up 23%.
BYD sales have been flat to lower in China in recent months despite big price cuts. It's relied on booming, higher-margin overseas sales in Europe, Latin America and elsewhere.
Some of BYD's Q2 net income decline likely reflect slightly faster payments to suppliers, following a Beijing crackdown on the widespread practice.
Tesla Regains Net Income Crown
That also means that Tesla regained the lead in adjusted net income, reporting $1.393 billion In Q2.
In Q1 BYD's net income of $1.26 billion topped Tesla's $934 million. It was the first time BYD had ever topped Tesla by that profit measure.
Most Chinese EV makers will report August deliveries on Monday, Sept. 1. BYD will release August sales on Monday or Tuesday. Tesla does not report monthly China sales, but registration data point to another year-over-year decline. Industry data will give Tesla China sales in early August.
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BYD Stock
BYD stock skidded 6.4% in Friday trade to 13.69, tumbling intraday to its worst levels in nearly six months. U.S. shares fell 0.9% on Thursday, slipping back below its 200-day line. BYD stock hit a record 20.50 on May 23. Shares were still up 20.6% so far in 2025.
Tesla stock skidded 3.5% to 333.87 on Friday, off 1.8% for the week. Shares fell 1% to 345.98 on Thursday, back below a 348.98 handle buy point cleared on Tuesday.. TSLA stock is down 17.3% so far in 2025.
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