Yamato: BYD shares (01211) will sell 1.8 million units and 2.5 million units overseas this year and next year

The Zhitong Finance App learned that Daiwa released a report saying that the management of BYD Co., Ltd. (01211) updated the 2026 sales and gross margin outlook, as well as flash progress. According to the guidelines, overseas sales volume in 2026 and 2027 will reach 1.8 million units and 2.5 million units, respectively. Looking ahead to the second half of 2026, management is confident of regaining market share with second-generation blade battery supply. Yamato gave BYD a “buy” rating.

In terms of overseas profits, management guides an average overseas net profit of about RMB 20,000 per vehicle, and is confident that the target will be met in 2026. In response to tariffs (Brazil imposes 35% on China's new energy vehicles; the EU's total tax rate on BYD's pure electric vehicles is 27.4%), management stated that the Brazilian plant has been put into operation, and the Hungarian plant will be put into operation by the end of 2026. Regarding the increase in other raw materials and exchange costs, management said it will not raise the price of existing models, but will adopt more features, update models, launch new cars, and reprice the overall product portfolio.

According to the report, in terms of flash charging models, the Titanium 7 EV, Song Ultra EV, Datang and the new Yuan Plus each sold more than 10,000 units in August, of which the Yuan Plus sold more than 20,000 units. In terms of profitability, management directed the average price increase of flash charging models to about RMB 5,000 per vehicle, and have a high gross profit margin. Management said that about one-third of the models sold domestically in August were equipped with a flash charge function, and it is expected that the penetration rate will increase further as production capacity of second-generation blade batteries climbs.