CATL Sees Slowest Profit Growth in Nearly Two Years Amid Tough Market Competition

Chinese battery maker CATL reports its slowest third-quarter profit growth in nearly two years as heavy competition in the electric vehicle battery sector hurts earnings. Net profit goes up by 14.5 percent to reach 21.2 billion yuan, which is lower than market estimates. At the same time, total revenue sees a strong growth of 58.6 percent.

New Products

Despite the slower profit gains, the company introduces new heavy-duty truck batteries to the market. CATL also shares plans to grow its battery-swapping network further.

Context

Electric vehicle battery makers operate in a fast-growing market with many rival companies trying to win customers. When competition goes up, profit margins often come under pressure even if total sales and revenue continue to rise.