Profit Plunges on Overseas Tax and FX, but Overseas Sales and EV Demand Offer Support
First-Half Profit Warning: Net Profit to Drop ~60% Great Wall Motor warned that first-half 2026 net profit will fall 58.97% to 62.92% year-on-year, mainly because overseas tax subsidy gains were delayed and currency swings hurt results. This is a big drop in profit, which weighs on the stock price.
This is the first concrete profit warning for the period and directly explains why the stock may be under pressure.
Half-Year Report Confirms 61% Profit Decline Despite Revenue Growth The actual half-year report showed revenue up 10.58% to 102.1 billion yuan, but net profit attributable to parent fell 61.11% to 2.465 billion yuan. The profit drop was due to delayed overseas tax subsidies and lower exchange gains. This confirms the earlier warning and keeps pressure on the stock.
This is the official confirmation of the profit warning, making the negative earnings picture concrete for investors.
Overseas Sales Surge 45%, Now Over Half of Total Deliveries In the first half, overseas sales jumped 45.46% to 289,000 units, accounting for more than half of total sales, while domestic sales fell 22.53%. Overseas business is now the main growth engine, with production bases in Thailand and Brazil and over 1,600 sales channels abroad.
This shows a strong offset to weak domestic sales and supports the long-term growth story.
Thailand EV Tax Restructuring and Record Australian BEV Sales Thailand plans to restructure EV excise taxes to boost exports, naming GWM among supported plants. Meanwhile, Australia's BEV sales hit a record 24.9% share in August, with GWM among the top 10 brands. These policy and demand tailwinds support overseas growth.
These are new positive developments that could boost future overseas sales and sentiment.