“In recent years, some new energy brands have cut through the mess, compressed the development cycle, lowered quality standards, and rushed to bring assembled vehicles to the market, passing on hidden dangers to users, and harvesting leeks. In the places where users can see, refrigerators, color TVs, and large sofas are luxurious, and where they can’t be seen, cheap substitutions are used to reduce the allocation and reduction. On June 25, Yang Zhonghua, deputy director of Dongfeng Honda’s sales department, denounced independent new energy manufacturers at the launch conference of the new car Lieguang e:NS2. It sounds like righteous indignation, but to most people it looks more like the roar of the incompetent. According to the data released by Dongfeng Group, in the first quarter of 2024, Dongfeng Honda’s sales revenue will be about 1,816.39 billion yen, a year-on-year increase of 2.17%, but the profit will only be about 27.985 billion yen, a decrease of 82.28% from 157.914 billion yen in the first quarter of 2023.
There are two points worth noting, first, Dongfeng Honda’s sales revenue in the first quarter of this year increased slightly because of the decline in sales revenue in the same period in 2023, and the lower base was exchanged for a slight increase this year; In the first quarter of this year, Dongfeng Honda’s cumulative sales were 136,000 units, an increase of 25.6% compared to the same period in 2023, which is also the reason for the increase in sales.
I can’t understand why the profit can fall by 82.28% when the sales volume has risen significantly? Pan Jianxin, executive deputy general manager of Dongfeng Honda, said in an interview with the media that the loss of profits during the transition period from fuel vehicles to new energy is inevitable!