Geely Automobile Holdings Limited ("Geely Auto") delivered record financial performance for the first half of 2026, with revenue reaching an all-time high of RMB 173.6 billion, representing a 15% year-on-year increase. This marks the group’s sixth consecutive year of first-half revenue growth.

Core profit attributable to owners of the parent surged 46% year-on-year to RMB 9.68 billion. The accelerated profit growth was supported by an expansion in gross margin to 17.9%, which rose despite the intense competitive landscape in the Chinese automotive sector. Core profit per vehicle also increased 45% year-on-year to RMB 6,806.

Sales Volume and Brand Performance

Total vehicle sales volume for H1 2026 hit 1.42 million units. The performance was broad-based across the group’s key brands:

• Geely Galaxy: Sold nearly 520,000 vehicles, reinforcing its position among leading new-energy vehicle brands globally.
• Geely China Star: Recorded sales of more than 580,000 units.
• Zeekr: Sold more than 178,000 vehicles, accounting for approximately 12.5% of total group sales volume.
• Lynk & Co: Continued solid momentum with sales over 144,000 vehicles.

Export Surge Drives International Expansion

International expansion emerged as a critical growth engine, with H1 export volume reaching 474,000 units outside China. This represents a 158% year-on-year surge, notably surpassing the company’s full-year 2025 export volume of 420,000 units.

Following monthly export figures exceeding 100,000 units in both June and July, Geely Auto raised its 2026 export target from 640,000 units to 920,000 units, with a full-year aspiration of approaching one million units. The group operates across 114 overseas markets with an international retail and service footprint exceeding 2,000 locations.

Financial Health and R&D Efficiency

The group’s liquidity position remained robust, with funding reserves standing at RMB 69.56 billion as of June 30, 2026, close to a historical high.

Total H1 R&D expenditure rose 8% year-on-year to RMB 9.06 billion. However, the R&D expenditure ratio decreased by 0.3 percentage points to 5.2%, reflecting enhanced operational efficiencies. Looking ahead, Geely plans to introduce the Geely TT in the C-segment AI electric sports sedan market and enter the rugged off-road category with the Geely Zhanjian 700.

What the Numbers Show

The divergence between revenue growth (15%) and core profit growth (46%) indicates significant operating leverage. With gross margin expanding to 17.9% while R&D intensity fell to 5.2%, the data suggests that cost efficiencies and higher-margin product mix—particularly from the premium Zeekr brand and high-volume Galaxy series—are driving profitability faster than top-line expansion. Additionally, the fact that H1 exports (474,000 units) exceeded the entire previous year’s export total (420,000 units) highlights a structural shift toward international markets rather than a cyclical spike.