CATL's A-shares closed down 12.03% today at 227.90 yuan, with full-day turnover of 32.439 billion yuan.
The company's third-quarter revenue grew nearly 60% year over year, yet its share price plunged after the earnings report. What went wrong?
Key figures for Q3 2026:
Revenue: 165.221 billion yuan, up 58.58% year over year.
Net profit attributable to shareholders: 21.246 billion yuan, up 14.54% year over year and down 5.77% quarter over quarter.
Gross margin: 20.69%, compared with about 25.80% in the same period last year.
Operating cash flow for the quarter: about 1.409 billion yuan, versus about 21.973 billion yuan in the same period last year, down roughly 93.6% year over year (calculated by subtracting the first-half cumulative figure from the first-three-quarters cumulative figure for each year).
Third-quarter sales of power and energy storage batteries still exceeded 260 GWh, showing that demand hasn't disappeared. But the company itself also cited the impact of product mix, consumption tax, and export tax rebate adjustments on per-unit profitability. Pressure on cash flow was related to shortening supplier payment cycles and increasing advance payments, among other factors.
I still believe in CATL's economies of scale. But the stock is no longer being valued purely on shipment volumes; investors are looking at how much profit and cash the company can retain for every kilowatt-hour it sells.
Even so, its market capitalization remained above 1 trillion yuan at today's close. By contrast, BYD has the same energy storage and battery businesses, plus a vehicle business, yet its market cap is already down to 700 billion yuan...
#A股 #财报季
$TSLAB
The company's third-quarter revenue grew nearly 60% year over year, yet its share price plunged after the earnings report. What went wrong?
Key figures for Q3 2026:
Revenue: 165.221 billion yuan, up 58.58% year over year.
Net profit attributable to shareholders: 21.246 billion yuan, up 14.54% year over year and down 5.77% quarter over quarter.
Gross margin: 20.69%, compared with about 25.80% in the same period last year.
Operating cash flow for the quarter: about 1.409 billion yuan, versus about 21.973 billion yuan in the same period last year, down roughly 93.6% year over year (calculated by subtracting the first-half cumulative figure from the first-three-quarters cumulative figure for each year).
Third-quarter sales of power and energy storage batteries still exceeded 260 GWh, showing that demand hasn't disappeared. But the company itself also cited the impact of product mix, consumption tax, and export tax rebate adjustments on per-unit profitability. Pressure on cash flow was related to shortening supplier payment cycles and increasing advance payments, among other factors.
I still believe in CATL's economies of scale. But the stock is no longer being valued purely on shipment volumes; investors are looking at how much profit and cash the company can retain for every kilowatt-hour it sells.
Even so, its market capitalization remained above 1 trillion yuan at today's close. By contrast, BYD has the same energy storage and battery businesses, plus a vehicle business, yet its market cap is already down to 700 billion yuan...
#A股 #财报季
$TSLAB