Q2 2026 Geely Automobile Holdings Ltd Earnings Call

August 17, 2026

Gan Jiayue: China Star in sales reached 581,000 units, marking the 10th consecutive year as the number one Chinese independent brand in conventional fuel and the hybrid vehicle segment. Despite an overall market decline in the fuel and hybrid segment, China Star continued to lead and achieve the counter-cyclical growth. The Xingyue L ranked number 2 among Chinese independent brands, and the Boyue ranked number 1 among all brands in China's conventional segment and SUV segment across all classes. The Xingyue ranked number 1 among Chinese independent brands in the IC model A-segment sedan category. The Binyue ranked number 1 among all brands in China's fuel and hybrid A0-segment SUV category. Our technological advance has not only driven better financial performances, but also ensured and created greener and safer mobility experiences for society.

Gan Jiayue: China Star in sales reached 581,000 units, marking the 10th consecutive year as the number one Chinese independent brand in conventional fuel and the hybrid vehicle segment. Despite an overall market decline in the fuel and hybrid segment, China Star continued to lead and achieve the counter-cyclical growth. The Xingyue L ranked number two among Chinese independent brands, and the Boyue ranked number one among all brands in China's conventional segment and SUV segment across all classes. The Xingyue ranked number one among Chinese independent brands in the IC model A-segment sedan category. The Binyue ranked number one among all brands in China's fuel and hybrid A0-segment SUV category. Our technological advance has not only driven better financial performances, but also ensured and created greener and safer mobility experiences for society.

Speaker #1: Sales reached 581,000 units, marking the 10th consecutive year as the number one Chinese independent brand in the conventional fuel and hybrid vehicle segment. Despite an overall market decline in the fuel and hybrid segment, Geely continued to lead and achieved countercyclical growth.

The Xingyue L ranked number 2 among Chinese independent brands, and the Boyue ranked number 1 among all brands in China's commercial segment and SUV segment across classes. The number 1 Chinese independent brand is the ICY model, second in the sedan category. The BinYue ranked number 1 across all the boards.

I'm an all brands in China's few and a hybrid, a 0 second SUV category.

Gan Jiayue: The i-HEV intelligent hybrid system, launched in H1, redefines the next generation of hybrid technology, achieving 12% lower fuel consumption than the global benchmark. The all-new 16-in-1 intelligent e-drive delivers industrial leading combined efficiency, further reducing NEV energy consumption, marking green mobility even more efficient. Smart technology is also enhancing safety. Geely became the first automaker in China to receive national-level certification for its driver assistance safety management system. Our GASD is also the first Chinese system to pass UN Driver Assistance Certification, bringing safe intelligence drive experiences to users in EV and beyond. Looking ahead into the second half of this year, we will continue to leverage smart technology, premium branding, globalization, and energy diversification to push for our full-year sales target completion. Zeekr continues to move upward.

Our technological advance has not only driven better financial performances, but also ensured and created greener and safer mobility experiences for society. The Ajaye intelligent hybrid...

The system launched in H1 redefines the next generation of hybrid technology, achieving 12% lower fuel consumption than the global health benchmark. The all-new 16-in-1 intelligence e-Drive delivers industry-leading combined efficiency, further reducing NEV energy consumption and marking green mobility even more efficient. Smart technology is also enhancing safety. GD became the first automaker in China to receive national-level certification.

Certification for its driver assistance Safety Management System. Our GASD is also the first Chinese system to pass UN driver assistance certification, bringing safe, intelligent drive experiences to users in EV and beyond. Looking ahead into the second half of this year, we will continue to leverage smart technology, premium branding, globalization, and energy diversification to push for all four-year sales target completion.

Gan Jiayue: Zeekr 009 Glory Edition and the Zeekr X Glory Edition we are launching H2, expanding our premium market matrix and solidifying our position as a premium brand benchmark. Lynk & Co broadens its scope even further. In H2, we will launch an all-new Lynk & Co Z20 and all-new Lynk & Co 900, refreshing our product lineup and technology while reinforcing Lynk & Co's sporty DNA. Geely Galaxy expands further its categories and strengthens its core base. H2 will see the launch of the Galaxy Warship 700 and the Galaxy TT, expanding our product portfolio with off-road and pure electric vehicles. Geely's China Star will fully embrace i-HEV in Q2 H2, with multiple i-HEV intelligent hybrid models rolling out. We will also launch the Xingyue L Plus, an all-new flagship SUV, in H2, cementing our position as number 1 in Chinese branding fuel and hybrid vehicles.

Uh, Zeekr continues to move upward. Zeekr 009 Glory Edition and Zeekr X Glory Edition will launch in H2, expanding our premium market matrix and solidifying our position as a premium brand benchmark. Lynk & Co broadened its scope even further, and in H2 we will launch an all-new Lynk & Co 20 and an all-new Lynk & Co 900, refreshing our product lineup and technology while reinforcing our digital sporty DNA. Geometry (GD) expands further its subcategories and strengthens its core base. H2 will see the launch of the Galaxy Warship 700 and the Galaxy TT, expanding our product portfolio with off-road and pure electric vehicles.

Gan Jiayue: Talking about export, 2026 marks a year of a full acceleration. In export, we are targeting key overseas markets and have raised the export target from 640,000 to 920,000 units. With the ambition of challenging the 1 million unit overseas sales mark, we are going to focus even further on building one 300,000-level market in ASEAN, three 200,000-level markets in Pan Europe, Eastern Europe, and Latin American, Africa, and a 100,000-level market in Middle East and Asia Pacific. On technology, Geely is building a moat for the new energy era under the core philosophy of technology leadership and technology equality. With full-domain AI as our core strategy, we are accelerating technological interaction. H2, GASD 5.0 will enter mass production, delivering a more extreme and a safer driver assistance experience.

Geed's China Star will embrace IHV in Q2, H2, with multiple IHV intelligent hybrid models rolling out. We will launch the Shin RI L Plus and an all-new flexible SUV in H2, cementing our position as number one in Chinese branding for private vehicles.

Talking about export, 2026 marks a year of full acceleration. In export, we are targeting key overseas markets and have raised the export target from

640,000 to 920,000 units with the expansion, with the ambition of this challenging the 1 million unit overseas sales mark. We are going to focus even further on building 1,300,000 level marketing in ASEAN, 320,000 level marketing in Europe, Eastern Europe, and the Latin America and Africa regions, and 110,000 level marketing in Middle East and Asia Pacific.

Gan Jiayue: GASD H7 will also be rolled out across more Lynk & Co and Galaxy models, accelerating the adoption of advanced driver assistance systems. We are also going to accelerate the large-scale operation of our robotaxis and build out our future mobility ecosystems. On the smart cockpit front, Super UVA 2 will also receive an OTA update, achieving cockpit driving integration and a full-domain AI convergence. From assisted driving to smart cockpits, we are building an end-to-end intelligent experience to achieve industrial leadership. We are also looking ahead into the future. Full-domain AI is our core technology to face the future. Centering our AI Cloud Powertrain, i-HEV intelligent hybrid, intelligent e-drive, and the 900V ecosystem, AI Digital Chassis, quantum-level AI EE architecture chips, integrated spatial-terrestrial connectivity, and embodied intelligence, we are accelerating our technological breakthroughs and are committed to achieving industrial leadership in intelligent experiences.

On technology, GD is building a remote for the new energy era, under the core philosophy of technology leadership and technology equality, with full-domain AI as a core strategy. We are accelerating technological interaction. H2, G ASD 5.0, will enter mass production, delivering a more extreme and safer driver assistance experience. G as the H7 will also be rolled out.

Across more Lincoln Co and the Galaxy models, the clarity, the adoption of the advanced, the driver assistance system. We're also going to aerate to large scale. Operation of a robot taxis and a build out our future Mobility ecosystems. And the smart cockpit front to Super Eva 2. Will also receive an OTA update achieving cockpit driving integration and a full domain AI convergence from assisted driving to Smart puppets. We are building an end-to-end intelligent experience to achieve industrial leadership.

Gan Jiayue: Under the One Geely strategy and through the synergic push of smart technology, premium branding, globalization, and energy diversification, we have reached our best-ever H1 performances across core metrics including sales, profitability, operational efficiency, and cash reserves. The foundation for high-quality development continues to strengthen and our growth momentum continues to build. Looking ahead into the future, we will stay committed to our strategic direction, focusing on technological innovation and user value creation, further expanding our global footprint and accelerating our journeys towards becoming the full-domain AI smart vehicle leader. That concludes my presentation. Thank you very much for listening.

1. GD, strategy, and through the synergic push of smart technology, premium branding, globalization, and energy diversification, we are rich. We have reached...

Our best ever H1 performance across core metrics, including sales, profitability, operational efficiency, and cash reserves. The foundation for high-quality development continues to strengthen, and our growth momentum continues to build.

Looking ahead into the future, we will stay committed to our strategic direction, focusing on technological innovation and the use of value creation for expanding our global footprint and accelerating our journey towards becoming the full-domain AI smart deal.

So that concludes my

Gui Shengyue: Thank you.

Gan Jiayue: Thank you. Next, I would like to invite Mr. Gui to address the audience.

Li Shufu: Thank you. Next, I would like to invite Mr. Gui to address the audience.

Thank you. Next, I would like to invite Mr. Gray to address the audience.

Gui Shengyue: First of all, I would like to offer my gratitude to all of you for attending the Geely Auto Group 2026 H1 interim result announcement event. I thank you very much for your long-term support to Geely Auto. We have just announced our financial results and business operation in the H1 of 2026. I would like to give you an interpretation of this business performance and interim results. I would like to offer my point of view on this report. First of all, I think, this interim result is in line with our expectation. In the past couple of years, as you know that I have been putting these words again and again that in the future, there are very high chances that the results we announced would be in line with our expectation. It happened during the H1 of 2026.

so, first of all,

I would like to offer my gratitude to all of you for attending.

The GD, Auto Group.

In 2026 H1 and RM results.

Announcement event, and I thank you very much for your long-term support to GD Auto.

We've.

just announced our

Financial results and business operations in the first half of 2026. I would like to give you an interpretation of this business performance and interim results.

I would like to offer my point of view on this report.

so, first of all,

I think, well, this is in line with our expectation.

In the past couple of years.

as you know that, uh,

I've been putting, uh, this was again and again, that...

In the future.

There are very high chances that, uh, the results we announced would be in line with our expectation.

Gui Shengyue: Now you can see that in the H1 of 2026, in terms of sales revenue per unit, sales revenue, operational scale, we have reached new highs. This financial release is in line with our expectation. My second observation is that this financial statement is a wonderful one. You all know that in the H1 of 2026, the auto industry in China in the H1 of 2026 is highly competitive. Many automakers are running at a loss. The average profitability for auto industry in the H1 of 2026 has reached 1.6%. It is in this context that we achieved close to CNY 10 billion revenues attributable to shareholders. Our profitability, our profit margin rate is about 5.6%, way above the industry average. I would say that this is a wonderful business performance for Geely during the H1 of 2026.

So, it happened in the first half of 2026.

Now, you can see that, in the first half of 2026, in terms of sales revenue per unit—

Sales revenue.

At an operational scale, we've reached new highs.

So, uh, this financial release is in line with our expectations.

My second observation is that.

this financial statement is a

it's a wonderful 1.

You all know that, uh,

in the first half of 2026.

uh, there is a, uh,

Probably the auto industry in China. And, for example, 2026 is highly competitive.

Uh, many automakers are running at a loss.

Uh, the average profitability.

For, uh, the auto industry in the first half of 2026, it has reached 1.6%.

And it is in this context that we achieved close to $10 billion.

Revenues attributable to shareholders. So, our profitability—our profit margin rate—is about 5.6%.

Weight above the industry average. So, I would say that this is

Gui Shengyue: My third observation is that this financial statement is not that surprising. For the H1 of this year, the auto industry in China has faced the most challenging scenarios never met before in the past 20 years. The total sales units witnessed a double-digit decline in the H1 of 2026 in the Chinese market, and we have seen a rapid increase in the price of chips and other raw materials. The competition is quite throat-cutting in the auto industry. Despite the fact that Geely Auto has enjoyed historic records in terms of sales revenue and business margin, our growth trajectory has inevitably been impacted by this negative trend in the auto industry in China. I would say this is a wonderful financial statement, but it is not that surprising. This is my third observation.

A wonderful business performance for Julie during the first half of 2026. My third observation is that

Uh, this financial statement is not that surprising.

the first half of this year.

The Auto industry in China.

Has faced the most challenging scenarios not seen before in the past 20 years with the total sales.

Uh, units witnessed a double-digit decline in the first half of 2026 in the Chinese market.

And we've seen a, you know, rapid increase in the price of chips and other raw materials.

so, the competition is

Quite.

Thorough cost cutting in the auto industry.

Despite the fact that, actually, auto is enjoyed historically,

records in terms of sales revenue, and

And, and business margin.

Are great, trajectory.

Financial statement, but that is not that surprising.

Gui Shengyue: My fourth viewpoint is the one that I would like to share with you the most. This financial statement is a sustainable one into the future. I believe that you are very much interested in my fourth point. Systematic capabilities, strategic resilience, as well as the pursuit of long-term value creation capabilities are the three key pillars to support my fourth point of view. The competition in the modern auto industry goes beyond product itself. It is the competition of different systems, strategic resilience, and long-term value creation capabilities. I can very confidently tell you that after years of development within Geely, we have established the above-mentioned capabilities and abilities. I like to slightly elaborate on these three areas. First of all, talking about the systematic capability.

This is my third observation.

my fourth, if you point,

Is there one that I would like to share with you the most?

And this financial statement.

is a sustainable one, uh, in the

into the future, and

I believe that you're very much interested in my first point.

Uh, systematic capabilities, strategic resilience.

as well as the pursuit of long-term valuation capabilities are the three key pillars to support my

fourth point of view.

The competition in the modern auto industry goes beyond the product itself.

Oh,

It's the competition of different systems' strategic resilience and long-term value creation capabilities.

I can very confidently—confidently—tell you that after the years of development within Geely,

We've established the above-mentioned capabilities and abilities.

I would like to elaborate slightly on these three areas. First of all, let's talk about the systemic capability.

Gui Shengyue: In March this year, when we released the whole year business performance of 2025, I talked about the all-domain AI, safety benchmark, business integration, the diversification of powertrain and energy, and other relevant and important topics during that event. It is exactly these elements that constitute the systematic capabilities of Geely Auto. It is fair to say that the achievements we have made during H1 2026, it is not dependent on the result of a specific product or a specific segment, or the result of a specific period of time. This is financial achievements we have made on the basis of the full systematic capabilities. Thanks to that systematic capabilities, we will be able to perform even better with greater confidence in face of the challenges in the future. I will give you 2 examples to sustain that systematic capabilities.

In March this year, when we released the full-year business performance for 2025,

I talked about the, uh, all-domain domain AI.

Safety benchmark.

Business integration.

The diversification of the power chain and energy.

And other relevant and important topics.

During that event.

That is exactly these elements.

That brings us to the systemic capabilities of Geely Auto.

So, it's fair to say that the achievements we've made during the first half of 2026,

start dependent.

Others are the result of, uh, a specific product or a specific segment, or the result of a specific period of time.

These are the financial achievements we've made on the basis of the full systematic capability.

Thanks to that, systemic capabilities will be able to perform.

even better with greater confidence.

Of the challenges in the future.

I think we, uh, need two examples to, uh, sustain the systematic capability.

Gui Shengyue: In H1 2026, if you take a look at our product portfolio, the greatest highlight is the transition toward intelligence. During the transition to our new energy toward intelligence, in 2025, we have already built some sort of confidence in our new energy powertrain. In 2025, you still might have some doubt over our intelligence capabilities. Before this event, we have organized some programs and activities, and I believe that many of you have participated into our programs and activities before this press conference. These events and programs exposed you to our true intelligence capabilities within the Geely system. I believe that through these programs and activities, and events, you might now have a very deep understanding of the level of intelligence we are able to achieve within Geely Auto.

In the first half of 2026.

If you take a look at our product portfolio,

The greatest highlight.

Uh, it is, uh, the transition toward intelligence. So, during the transition to our new energy, toward intelligence,

In 2025.

We've already.

Built some sort of confidence.

And our new energy powertrain.

And in 2025, you still might have some doubt about our intelligence capabilities.

before, uh, this event

We've organized some programs and activities.

And I believe that many of you have participated in our, um, programs and activities.

Before this press conference.

So, these events and programs.

...exposed you to our true intelligence capabilities within the GD system.

I believe that through these programs, activities, and events,

Gui Shengyue: I believe that in the domain of intelligence, Geely Auto is a leading auto company in China. As time goes by, we will be suddenly in the leadership position within the Chinese auto industry. While talking about our systematic capability, on one hand, while it helps to create the products that is needed within China, one figure is on the financial statement, is that according to the China Association of Automobile Manufacturers, during H1 of this year, Geely ranked number 1 in China in terms of terminal sales. Thanks to our systematic capability, we have been able to achieve what we have achieved. More importantly, this systematic capability would support or facilitate Geely’s international expansion. You are quite interested in our export business. As our financial statement shows that during H1 2026, Geely has done a tremendous job in terms of its expectation.

You might now have a very deep understanding of the level of intelligence we were able to achieve within Geely Auto.

and I believe that in the domain of intelligence,

Company in China, as time goes by.

But we’ll certainly be in the leadership position.

Within the Chinese Auto industry.

Well, talking about our systematic capability on one hand.

Well, it helps to create the products that are needed within China.

One figure is on the financial statement; that's according to the Chinese Automobile Industry Association during the first half of this year.

GD is ranked number one in China in terms of terminal sales, thanks to our systematic capability.

We've been able to achieve what we have.

More importantly.

Well, this systematic capability.

Would support our facilitate.

Julie's International expansion.

So, you're quite interested in our export business.

As the financial statement shows, during the first half of 2026,

Gui Shengyue: Mr. Gan, as far as my understanding is concerned, we have already hit the annual target we set for ourselves at the beginning of this year by now. This is a wonderful result we have achieved. I just want to tell you that this is the beginning of our world expansion. Why did I say that? Because we are still exporting a limited number of product models within a very narrow price bracket. We are going to export more models on a wider range of price bracket. In the future, we are going to export our premium products into the international market. There are a lot of videos on the internet, one of which features a fanatic fan of Geely, who air transported 4 Geely Zeekr models from China to the Middle East.

July has done a tremendous job in terms of its expectation. Mr. Gan, as far as my understanding is concerned...

We've already, you know, hit the annual target we set for ourselves at the beginning of this year.

By now.

This is a wonderful result we've achieved.

And I just want to tell you that this is the beginning of our world expansion.

Why did I say that? Because...

This tool, Expo exporting, uh, limited.

number of product models.

Within a very narrow price bracket. So we're going to export more models on a higher on a, on a, on a wider range of price of bracket. So in the future, we're going to export our premium products into the international market.

There are a lot of videos on the internet.

1 of which

Features a, a fanatic fan of G.

Who are the transported 4? Uh, Geely, Zeekr models from China to the Middle East.

Gui Shengyue: There is a growing demand for the premium brands from Geely in the Middle East as well as in the European market. The new energy vehicle in China has won global recognition. Most of this recognition falls on the low-end category. I would say that the Zeekr brand from Geely would uplift that global recognition of the new energy vehicle in China, meaning that the Chinese automakers are capable of manufacturing premium, high-end, luxury new energy vehicles. We just released some numbers with regard to the i-HEV product. i-HEV product. It is probably the segment that accounts for the largest market share in the world. Geely's i-HEV product is capable of competing in the international market.

38 growing demand.

For the premium brands, from Geely in the Middle East as well as in the European market.

The new energy vehicle, uh, in China has won global recognition.

But most of this recognition falls on the low-end category.

I would say that zika.

The Zika brand from Geely would uplift the global recognition of the new energy vehicle in China.

meaning that the Chinese automakers are capable of manufacturing premium, high-end luxury new energy vehicles,

Would you, would you release some numbers with regard to the, I have, uh, products.

I have product.

It's probably the segment that accounts for the largest market share in the world, and

Jill's product genius. I have product.

Gui Shengyue: I think I give you these examples just to tell you that we have already established the kind of systematic capability within the company or the company group, which allows us to make progress in the domestic market and enable us to further expand into the international market. Secondly, I am going to talk about strategic resilience. Scale, profitability, growth, and sustainability, these are the most important points we focus on. We focus on the long term instead of the short-term profitability. That means we need to have the kind of strategic resilience even in difficult times. We need to maintain high growth rate. That is true, and at the same time, we still need to maintain the operational stability within the company. Both are important. I would also like to give you an example to substantiate that point.

It's capable of competing in the international market.

I think.

I give you these examples.

Just to tell you that we've already established the kind of systemic capability within the company, or the company group.

Which allows us to make progress.

In the domestic Market.

And, uh, enable us to further expand into the international market.

Secondly, I'm going to talk about strategic resilience.

Scale profitability growth and sustainability.

Uh, these are the most important points we focus on.

We focus on the long term instead of short-term profitability.

So, that means we need to have that kind of strategic resilience.

even if in difficult times,

We need to maintain high growth, right? That's true.

And at the same time,

We still need to maintain, uh, the operation of stability within the company. Both are important.

Gui Shengyue: We have a consensus over the development of the Chinese auto industry that expansion of market will contribute the greatest growth engine for the Chinese auto industry. We are facing a highly unstable geopolitical situation. We need to expand into the international market while we need to reduce the exposure of massive investment into the international markets. I think this is a common issue facing all the Chinese automakers. On that front, it is a natural extension of what I have described as the strategic solidity of Geely Auto Group. We have also devised a strategy to collaborate even further with our global peers and counterparts. By doing so, we can be committed to our long-term development, not only in the overseas, but also help us to withstand the possible tests and the challenges from the overseas market.

So, I would like to give you an example to substantiate that point.

We have a consensus on the development of the Chinese auto industry.

That international market is probably, um, will contribute to the greatest.

Growth of engines for the Chinese auto industry.

But we're facing a highly unstable geopolitical situation.

We need to expand into the international market, while also reducing the exposure associated with making massive investments in these international markets. I think this is a common issue facing all Chinese automakers.

So, on that front, it is a natural extension of what I've described as the strategic facility of GD, or to growth. We have also devised...

A strategy to collaborate even further with our global peers and counterparts.

By doing so, we can be

Gui Shengyue: It is also a key reflection of Geely's responsibility for the automotive market in general. By working together to co-use or to co-share this platform, we can seek win-win situation for all partners. This is what I call how we can stick firmly to our original strategy, and that is also paving the way for our global pathway. The reason why we will embrace such a practice is largely because we, Geely Auto, over the past two decades, have been doing all the time by integrating or acquiring Volvo and working together with Renault and many other brands. We have garnered respect and trust from our global partners. The historical trust placed on our shoulders by our counterparts will help us to achieve a much better result in the days to come.

Committed to our long-term development, not only overseas, but also to helping us withstand the possible tests and challenges from the overseas market. It is also a key reflection of, uh, GD's responsibility for the automotive market in general, by working together.

To call use or to call share this platform, we can seek a win-win situation for all partners.

So, this is what I call how we can stick firmly to our original strategy.

And that is also paving the way for our global.

Pathway. The reason why we will embrace such a practice is largely because

We are GD Auto of the past two decades.

have been doing all the time by integrating or acquiring mobile and working together with, uh,

Renewal and many other brands, we have garnered respect and trust from our global partners.

The historical trust placed upon our shoulders by our counterparts will help us.

To achieve uh, much better.

Result.

In the days to come.

Gui Shengyue: Well, I was talking about the value creation and strategic solidity, I also talked a lot about the export. We have three main advantages on export front. I want to give you a quick summary of these strengths. First of all, premium branding. Secondly, diversification of our vehicle types. Thirdly, the historical trust from our colleagues and from our peers upon Geely Auto Group. This will help us to win even more trust and ensure that we can achieve a much bigger success in the days to come, especially in the overseas market. The third aspect I am talking about is the long-term value creation.

When I was talking about the, uh, value creation and the strategic facility, I also talked a lot about the export,

So we have three main advantages on the export front.

I want to give you a quick summary of these strengths. First of all, premium branding.

secondly, uh,

diversification of our

Thirdly, the historical trust from our colleagues and from our peers in GD Auto Group.

This will help us to bring even more trust and crew to ensure that we can achieve much bigger success in the days to come, especially in the overseas market.

The third aspect I'm talking about is long-term value creation.

Gui Shengyue: The systemic capability, strategic solidity, power, in addition to the correct or the precise judgment, combine to form the very foundation for value creation in the long term. I have already explained to you a lot, especially related to the first two fronts. Talking about the third one, Geely was among the earliest players to raise that we need to embrace all domain AI for the auto industry. For example, the Xingrui Intelligent Computing Center was introduced. It is the first step for us to enter into a huge domain of AI. Looking ahead, full domain AI plus smart mobility will become the future trend. This is something that we have a very clear understanding about, and it is also something that we have already been coupling with a fully-fledged system.

The systemic capability, strategic solidity, and power.

In addition to the correct or the precise judgment,

Creation in the long term—I've already explained to you a lot, especially related to the first two fronts, but talking about the third one.

Judy is among the earliest.

Players to raise.

That we need to embrace all-domain AI for the auto industry—for example, smart.

Uh, Center was introduced. It is the first step for us to enter into a huge domain of AI.

Gan Jiayue: You can also see that Geely currently has formed a fully-fledged system that can adapt further to those two major trends. For example, for E-Catone, for the GASD, also mobility and many others. The existence of those systems will help us to win more space for our future. This can also ensure that we can provide a solid guarantee for the creation of long-term benefit and a value for Geely Auto. These are the three aspects to illustrate that we are fully capable on those fronts before we can tell you for sure that our financial statements will continue to make you feel quite happy about. I want to be bold enough to tell you that in the foreseeable future, you will see a much stronger Geely. So much for my observation and my summary of 2026 H1 report. Thank you.

Gui Shengyue: You can also see that Geely currently has formed a fully-fledged system that can adapt further to those two major trends. For example, for E-Catone, for the GASD, also mobility and many others. The existence of those systems will help us to win more space for our future. This can also ensure that we can provide a solid guarantee for the creation of long-term benefit and a value for Geely Auto. These are the three aspects to illustrate that we are fully capable on those fronts before we can tell you for sure that our financial statements will continue to make you feel quite happy about. I want to be bold enough to tell you that in the foreseeable future, you will see a much stronger Geely. So much for my observation and my summary of 2026 H1 report. Thank you.

So, looking ahead, full-domain AI plus smart mobility will become the future trend. This is something that we have a very clear understanding about, and it is also something that we have already been coupling with a fully-fledged system. You can also see that the G...

Currently, it has formed a fully fledged system that can adapt further to those, uh, two major trends.

For example, there's an ecotone for the GST south of mobility, among many others.

The existence of those systems will help us to win more space for our future.

this can also,

Ensure, uh, that we can provide a solid guarantee for the creation of long-term benefit and value for GD Auto.

So these are the three aspects.

To illustrate that, we are fully capable on those fronts before we can tell you for sure that our financial statements will continue to make you feel quite happy about them.

So, I want to be bold enough to tell you that in the foreseeable future.

You will see a much stronger GD. So much for—

My observation and my summary of 2026 H1 support. Thank you.

Gui Shengyue: Well, today's press conference also comes with another very key aspect. Have you ever noticed that about half an hour ago, our company has made a latest announcement? Probably you have already taken notice of this important message. Probably you want to know more about this information. Before my explanation of this announcement, next, please take a look at a video clip recorded by Mr. Chairman Li Shufu for about 15 minutes. Okay. Shall we now move our chairs a little bit to facilitate the watching process?

Well, today's press conference.

Uh, it also comes with another very key aspect.

So, have you ever noticed that about half an hour ago?

Our company has made a recent announcement.

You have probably already taken notice of this.

Important message, probably.

You want to know more about this information, so before my explanation of this announcement,

so,

Next, please take a look at a video clip recorded by Mr. Chairman for you, which is about 15 minutes long.

Okay, shall we now?

Let's move our chairs a little bit to facilitate the, uh, watching process.

Li Shufu: 尊敬的各位股东，各位新闻界的朋友们，非常感谢大家对吉利汽车集团的信任与支持。2005年5月19日，吉利汽车股票正式在港交所上市交易，至今已经过去21个年头。这些年来，在各位股东的关心与支持下，吉利汽车股票价格从2005年5月19日的HKD 0.4元，到2026年8月12日的HKD 18.06元。公司市值从2005年5月19日的HKD 16亿，到2026年8月12日的HKD 1,948亿。每年分红从2005年的HKD 4,000万，到2025年的HKD 54亿。公司从资本市场上融资的金额，越来越少于公司分红给股东的金额。我们坚持每年分红回报股东。我们基本上说到做到，用人格信守诺言，用能力兑现承诺。这个汽车行业是充分竞争的行业。在智能电动化转型的过程中，必须把握正确的方向、力度、速度，坚持两条腿走路，既要发展电动汽车，也要发展混合动力汽车。两个蓝色吉利行动计划正在变成现实。我们不急于求成，坚持打基础、练内功，坚持稳中求进，稳扎稳打，步步为营。坚持上下游产业链合作共赢，坚持全球合规本土化发展。无论是国内市场还是国际市场，我们都在有序提升市场份额。我们坚持以国内市场为主体，国内国际两个市场相互促进，共同发展。经济全球化已经走过了30多个年头，中国改革开放事业进行了40多年了。今天的世界正在发生逆全球化的历史性变局。全球经济一体化、投资贸易自由化这个时代已经结束了，新的经济全球化时代正在形成。这个过程也可以把它理解成这是百年未有之大变局形成的过程。有变化就有机会了。在这个关键的历史节点，吉利汽车公司必须要抓住这个新的时代机遇，扎根中国市场，加速布局全球市场。在新的全球化转型进程中，我们不会兴建产能，我们坚持与全球同行合作共赢，共享产能，共同发展。今天的吉利已经进入了新的发展高度。一个吉利在日正在发挥非常关键性的作用。吉利汽车产业必须要握紧拳头，要聚焦主业，进一步地推进战略整合、战略协同，确保战略稳健，能够落到实处。集中优势资源，筑强吉利汽车控股有限公司的核心上市平台。要打出一片新天地，赛出一场好成绩。为了更好地发挥职业人才的能力，更好地打造职业化团队，我们决定推荐安春惠同学出任吉利汽车控股有限公司董事会主席。安春惠同学是吉利体系内培养出来的非常优秀的职业人才。这个人才难得，德才兼备，品学兼优，事业心坚定，意志力超强，是吉利汽车产业的骨干人才。他曾出任吉利汽车集团的CEO，极氪智能科技CEO，现在任浙江吉利控股集团CEO。我对安春惠出任吉利汽车控股有限公司董事会主席后吉利汽车控股的业绩表现充满信心。我本人将继续担任浙江吉利控股集团有限公司董事长，同时出任吉利汽车控股有限公司终身荣誉主席，就剩一个荣誉。我在浙江吉利控股集团旗下的其他职位现在暂时保持不变。汽车产业是没有尽头的马拉松。企业传承与价值观取向决定企业的可持续发展能力。人是企业文化传承、价值观取向的核心要素。人力资源是企业的第一资源。人才战略是吉利战略的最基础性的战略。为此，吉利还专门成立了人才集团。今年吉利人才集团发起了两项人才发展项目，是吉利人才战略的时代行动。其中一个是跨时代跃迁人才培养计划，另一个是跨时代实战专业能力的培养计划。这两个项目的实施，为吉利人力资源开发、经营与管理提供了时代场景。人工智能时代一三个效应组合是吉利人才战略的重要研究方向。几十年来，我们坚持多层次人才培养能力的形成与发展，尤其是基础性技师技工人才、制造与质量管理人才、工程研发人才、设计创业人才、经营管理人才、营销与售后服务人才、跨国服务人才，以及人工智能、航空航天、新能源等产业方向的人才培养。我们坚持尊重人、成就人、幸福人的人才培养理念，让同路人协手合作，协同发展。ESG既是衡量企业的社会责任、绿色可持续发展能力、企业治理能力的三大指标，也是吉利汽车集团的自我要求，自身健康发展的内部衡量指标。多年来，吉利汽车集团在ESG方面的表现一直保持行业领先水平。ESG从环境维度、社会维度、企业治理维度，对企业ESG明确提出三方面内容要求。几十年来，吉利在这三个方面所做的工作，积征程更具体。其中，绿色液体能源技术的研究与开发，是吉利为绿色环境事业所做出的最有特色的贡献。二氧化碳的资源化利用，风光氢氨船在交通运输领域的大规模的推广应用，这些都需要企业的积极参与。为此，吉利公司投入了大量资金、大量的资源。虽然20多年来，我们在这方面的技术研究与商业化的应用方面的探索，只有投入，到现在还没有经济回报。但是今天我们已经看到了光明前景。甲醇电动的独特技术优势，必将会对全球环境可持续发展产生重大正面影响。在社会维度方面，我们对照相关要求，积极主动展开相关的工作。比如员工权益保护、供应链管理、产品责任与顾客权益保护、社会与公共利益等方面工作，吉利的内部都已经制度化。吉利在非营利办学方面的工作也已经做了将近30年了。我本人为了办好非营利大学，也倾注了大量的心思，捐赠了大量的资金。吉利教育事业在党的教育方针指引下，在国家教育部指导管理下，为中国高等教育改革实践与探索做出了最有成效的贡献。我们还要继续地努力，继续地创新。在企业治理维度方面，我们首先拜托严格执行落实，积极培养职业人才，积极打造职业化的团队，确保企业三层治理结构有效透明地运行，为内生人才健康成长，为企业文化健康发展营造良好治理氛围。原动力工程是吉利价值观体系的重要组成部分。用户至上，战略引领，原动力保障是吉利的核心价值观。如何实现顾客至上的目标，既要有正确的战略，更要有原动力保障。何为原动力？原动力是企业的元气，是员工的心气。我们一定要让员工的心与企业在一起。人以群分，物以类聚，继续留在吉利一起拼搏的人，大家都有共同的吉利核心价值观取向。我相信新一届董事会及管理层一定会传承与发扬吉利优秀的企业文化，传承与完善吉利企业制度，继续在ESG方面有着良好的表现。借此机会，衷心祝愿各位股东鸿运当头，心想事成，祝愿大家天天开心，明天更美好。

Li Shufu: [Foreign language]

changing the

it's

this, I

For.

This.

Function.

Champs.

Trenches.

Hushing sound.

What?

Uh, which is hard.

so,

yes, this

Is.

I am hot tired.

Father.

Delete the neighborhood.

Equal.

Gui Shengyue: Now you have watched the video as entrusted by the board of directors. I would like to give you a brief explanation of this change of leadership. This is a significant change in the leadership for Geely Auto. It is by no means a simple shift of the leadership. It is a strategic evolution of the entire institution of Geely Auto. After reform and open-up policies with nearly five decades of development, most of the private companies in China are facing the installation of a second generation of leadership. Eric Li resigned the position of the Chairman of Geely Auto, and Mr. An Conghui serves as the new Chairman of the board of directors of Geely Auto. This shift of leadership is a declaration to get rid of the sense of the family-run business to a company that is broadly managed by team, by institutions, and by systems.

Now, you've watched the video.

Entrusted by the Board of Directors.

I would like to give you a brief explanation of this change in leadership.

This is a significant change in the leadership for Chile Auto.

It is by no means a simple shift of the leadership. It is a strategic one.

Evolution of the entire institution of GD Auto.

After the reform and open-up policies.

With nearly five decades of development, most of the private companies...

In China, there are fights, um,

The installation of a second generation of leadership.

Eric Lee.

resigned, uh, the position of the chairman of Geely Auto.

And, uh, Mr. Anson will serve as the new Chairman of the Board of Directors of Geely Auto. Uh, this shift of...

leadership is a declarations to,

Get rid of the sense of the family-run business.

To a company that is.

Broadly managed.

By team, by institutions, and by systems.

Gui Shengyue: The company or the company group will no longer rely upon personal charisma and power. Instead, its operation will rely on institutions and systems, which means the governance of Geely Auto will be even more transparent in the future. Its decision-making process will be more professional, its management will be more science-based. At the same time as to the internal talent, this is a strong signal that the professional ceiling has been broken. It will definitely instill the passion into each and every employee within the company group, who will in turn generate greater value for shareholders and society as a whole. So I think this is the strong significance of this change of leadership. Mr. An Conghui will become the Chairman of the board of Geely Automobile Holdings Limited. He is currently the CEO of Zhejiang Geely Holding Group.

The company or the company group.

We no longer rely upon, uh, personal charisma and power.

Is that is Operation will.

Rely on institutions and systems.

Which means the governance of G-altar will be even more transparent in the future.

Its decision-making process will be more professional, as management will be more science-based.

and at the same time, as to the internal talent,

We break. Well, this is a strong signal that the—

the professional ceiling.

Has been broken.

It will definitely instill the passion into each and every employee.

There's a company group.

who will, in turn, generate greater value for the shareholders and society as a whole.

So, I think this is the, uh, strong significance of this change of leadership.

it will become the chairman of the board of Geely Automobile Holdings Limited,

Uh, he's currently the CEO of Georgia and Chile Holding Group.

Gui Shengyue: 175 is probably the only listed company within the Geely group that he will serve as the Chairman of, which means we will continue to implement this title declaration and we will continue to follow the One Geely strategy, and we will consolidate all the quality resources within Geely to make sure that they will be channeled into our listed platforms, to make sure that our listed companies will be bigger and stronger, and generate the greatest value for our shareholders. Chairman Li highly recognized the professional capabilities of Mr. An Conghui. He has years and years of experience in the auto industry, and he has a depth of understanding of automotive products. All this will enable him to develop the Geely Auto Holdings Limited to a new height. So this is a great move in corporate inheritance, and it has far-reaching significance.

And 175 is probably, uh, the

only listed company within the GD Group.

That will serve as the chairman, which means we will continue to implement this title declaration and will continue to, you know, follow all the 1G strategy, and we will consolidate all the qualitative resources within Geely.

To make sure that they will be channeled into our listed platforms to make sure that our list of companies will be bigger and stronger. And uh and and and generate the greatest value for our shareholders.

Chairman Lee.

Highly recognize the professional capabilities of Mr.

Guess years and years of experience in the auto industry.

And he has a depth of understanding of automotive products.

And all this will enable him to develop the GD, Auto Holdings.

Limited to a new height.

So this is a great move in corporate inheritance, and it has far-reaching significance.

Gui Shengyue: The other thing is that I myself will resign the CEO of Geely Auto, and Mr. Gan will be my successor.

Uh, the other thing is that...

I myself will resign as the CEO of, uh, J Auto, and Mr. Khan...

Gui Shengyue: It is also the shift of leadership and management of Geely Auto. It is required by the era, it is required to maintain the vitality of the company, and this shift of leadership is required in order to turn this listed company into a bigger and stronger one. We need young bodies, younger minds, and future-proof wisdoms, especially in the time of internet and artificial intelligence. Mr. Gan and his peers will have a stronger understanding of the calls of the time than my generation. His generation will have a better insight into the calls of the time and will have a better execution capability. This shift of leadership will be able to make improvements into the multi-tiered talent development systems within Geely. It is the way to keep the competitiveness of the company.

will be my successor.

It is also a shift of leadership and management at Geely.

It is required by the era. It is required.

To maintain the vitality of the company, and that is required.

Well, the shift of leadership is required in order to, uh, turn this ballistic company into a bigger and stronger one. We need young bodies, younger minds, and...

Especially in the time of internet and artificial intelligence.

Uh, Mr. Dan

And he appears.

Would have a stronger understanding of the calls of the time than my generation. Um, his generation will have a better insight into the cause of the time and will have a better execution capability.

And this shift of leadership, a leadership.

We will be able to make improvements to the multi-tiered talent development systems within Chile.

Gui Shengyue: What I am going to tell you is that Mr. Gan is going to be the CEO of Geely Automobile Holdings Limited. It also has a far-reaching significance. Also, I would like to tell you that on our announcement, Mr. Li Donghui also resigned his current position. In the past couple of years, Mr. Li Donghui has also made outstanding contributions to our Auto Group. Currently, Mr. Li is serving as the Vice Chairman of Geely Holdings Group. He is currently undertaking many other jobs, especially in the international market. He is still the executive board director of 0175. He will continue to be deeply involved in the operations and the management of 0175. Last but not least, I want to say a big thank you to all our friends for your great support to me as the CEO of 0175. A big thank you to you.

It is the way to keep the competitiveness of the company, and this is

Uh, what I'm going to tell you is that, Mr. Dan?

is going to be the CEO of Geely Automobile Holdings Limited.

So, it also has far-reaching significance.

Also, I would like to inform you that in our announcement,

Uh, Mr. Also resigned his current position.

And the past couple of years.

Uh, mentally, I don't have any contributions to—

Currently, Mr. Lee is serving as the Vice Chairman of GD Holdings Group. He is also undertaking many other roles, especially in the international market.

So he has, uh, now, is still the Executive Board Director of 0175. So he continued to be deeply involved in the operations and the management of 0175.

Last but not least, I want to say a big thank you to our friends.

Thank you for your great support to me as the CEO of 0175.

A big thank you to you.

Gui Shengyue: Now, I am no longer the CEO of 0175, but I will continue to serve as the executive director and Vice Chairman of the board of directors of 0175, to be relevantly contributable to this group. Mr. An and Mr. Gan actually are based in Hangzhou, and myself is based in Hong Kong. Looking ahead, I will work together with Mr. An and Mr. Gan to better manage the affairs in the Hong Kong market, especially in the capital market. So much for my explanation and announcement, and explanation of some of the changes of the main leadership of our group. I hope our future will be brighter. Now, let us invite Mr. An Conghui to make a speech. Thank you, Mr. Gui. Dear friends from the investment community, dear friends from the media, dear colleagues, good afternoon to you all.

I'm no longer the CEO of 0175, but I will continue to serve as the Executive Director and Vice Chairman of the Board of Directors of 0175.

To be relevantly contribute.

To this group.

So, Mr. and Mr. Kan are based in Hong Kong, and I myself am also based in Hong Kong.

Looking ahead, I will work together with Mr. An and Mr. Gan to better manage the affairs in the Hong Kong market, especially in the capital market. Thank you so much for—

My uh, explanation and announcements.

An explanation of some of the changes in the main leadership of our group.

I hope our future will be brighter. Now, let's invite Mr. Anson to make a speech.

An Conghui: Thank you, Mr. Gui. Dear friends from the investment community, dear friends from the media, dear colleagues, good afternoon to you all. First of all, I want to thank Mr. Chairman, Li Shufu, for the great trust in myself and on the board, so that I now will pick up as the Chairman of Geely Automobile Holdings Limited. Looking ahead, together with Mr. Gan and Mr. Gui, we will continue to internalize responsibility, trust, and care into the real spirit of our group and translate them into real actions. Just now, I hope that you have already seen from the video message that Geely has now reached a new level of growth, and the One Geely strategy is playing its pivotal role. Due to the time limit, I want to walk you through some of the main thinkings behind this One Geely strategy.

Thank you, Mr. Gay

dear friends, from

the investment Community, the

Uh, friends from the media, dear colleagues.

Good afternoon to you.

An Conghui: First of all, I want to thank Mr. Chairman, Li Shufu, for the great trust in myself and on the board, so that I now will pick up as the Chairman of Geely Automobile Holdings Limited. Looking ahead, together with Mr. Gan and Mr. Gui, we will continue to internalize responsibility, trust, and care into the real spirit of our group and translate them into real actions. Just now, I hope that you have already seen from the video message that Geely has now reached a new level of growth, and the One Geely strategy is playing its pivotal role. Due to the time limit, I want to walk you through some of the main thinkings behind this One Geely strategy.

First of all,

I want to thank Mr. Chairman Li Shufu.

For the great trust in myself, and all the board. So now I will pick up as the chairman of...

GD. Automobile Holdings, Limited.

Looking ahead together with Mr. Gu and Mr. Ge.

We will continue to internalize responsibility, trust, and care.

Just now, I hope that, uh, you have already seen from the video message that Judy has now reached a new level of growth.

And our 1GD strategy is playing its pivotal role.

Now, due to the time limit,

I want to walk you through.

Some of the main thinking behind this is of 1 GD strategy.

An Conghui: First of all, just as what Mr. Gui has mentioned, we need to deepen the implementation of the Taizhou Declaration and make the One Geely stronger, more substantial, and more impactful. This is something that we will not compromise. Over the past 2 years, guided by the Taizhou Declaration, we have continued to consolidate and sharpen our focus on our core businesses with significant progress. Especially for the H1 of this year, you can see it very clearly from the H1 financial statements. In the next phase, we will double down on the One Geely strategy, further optimize our business portfolio and resources allocation, enhance system-wide synergies, reduce unnecessary internal friction and duplicate spendings, and bring more strategically valuable businesses, those that have already reached its industrial scale maturity into the listed entity.

First of all,

Just as Mr. Qu has mentioned, we need to deepen the implementation of the title declaration and make the 1GD stronger, more substantial, and more impactful.

This is something that we will.

Not compromised over the past two years, guided by the title declaration.

We have continued to consolidate.

And to sharpen our focus on our core businesses.

With significant progress.

Especially for the first half of this year, you can see it very clearly from the H1 financial statements.

The next phase.

We will double down on the 1G strategy.

Further optimize our business, portfolio, and resources allocation.

Enhance systemwide synergies.

Reduce unnecessary, internal friction.

And duplicate spending and bring in more strategically valuable businesses.

An Conghui: We are also going to suspend the operation of those non-value-added businesses and units of the whole system. We are also going to integrate some of the useful business units into the group. I mean, 0175. We want to be bigger, stronger, and more impactful in the future. This will be clearly reflected over the next step. I want to give you some examples. For example, our Golden Brick Battery business. Actually, over the past 10 or more years, now we have reached about 70 to 80 G production capacity. Next year, we are going to reach about 200 G. By 2028, that is about 300 GWh. In batteries, there will be new breakthroughs, major breakthroughs along the lines. Be it reserve batteries, fuel cells, power cells, and also there will be sodium and other types of batteries.

Those that have already reached their industrial-scale maturity are listed entities. We are also going to suspend the operation of those non-value-added businesses and units within the whole system.

And also, we are going to integrate some of the useful business units into the group. I mean 0175. We want to be bigger, stronger, and more impactful in the future.

This will be clearly reflected over the next step. I want to give you some examples.

For example, our Brick Golden Brick battery business.

Uh, actually over the past.

10, or more years.

Now, we have reached about 7 G to 80 G production capacity. Next year, we are going to reach about 200 G, and by 2028, that's about 300 G.

Gwh.

Uh, in batteries, there will be new breakthroughs, major breakthroughs along the lines.

Preserve batteries.

Fuel cells, power cells, and also there will be sodium.

and other types of

batteries.

An Conghui: Solid-state batteries, sodium-ion batteries, and large capacity energy storage systems will all be the reality in the future. There will be breakthroughs to be sure enough. Also the electric drive system. Now we have reached a new scale of production capacity by leading the world by claiming the best ever technologies in the world. Next step, it will be empowering our group even further. For example, Hangzhou Jidian, which you have never heard about. This is based upon what we have done over the past 10 years. Based upon the electric and electronic core spare parts and component R&D capability, we are building a strong base in Hangzhou of NEV. In smart driving and intelligent driving, there will be some core technology production lines that have been reserved for our future growth. By domain control, regional control, we are complete with all relevant technologies needed for those purposes.

Solid-state batteries, sodium, mine batteries, and large-capacity energy storage systems will all be a reality in the future.

There will be breakthroughs, to be sure enough.

And also the electric drive system.

Now we have reached a new scale of production capacity by leading the world, claiming the best ever technologies in the world. Next, the next step will be empowering our group even further.

For example, which you have never heard about, this is based upon what we have done over the past ten years.

Based upon the electric and electronic.

Core spare parts and component R&D capability. We are building a strong base in Hong Kong of any.

in smart driving and intelligent driving.

And there will be some core technology production lines that have been preserved and reserved for our future growth.

An Conghui: These are some minor examples to illustrate this point. Not to mention we have many others at the same time. So long as those practices are useful or helpful for us to fulfill those strategies, we will spare no efforts by combining all our strength to ensure it will become a new reality. Second, there will be more systematically oriented distribution by focusing more on the overseas market. We will turn the overseas markets into a major growth driver for Geely, as Mr. Gui has mentioned already in his speech. For H1 this year, our sales in the overseas market has reached its new highs. It has also increased by about 158% compared with the same period of last year. You can also see that we are actually aiming at selling about 1 million units per year to the overseas markets.

Regional control. We are complete with all relevant technologies needed for those purposes.

So these are some minor examples to illustrate this point. Not to mention we have many others at the same time, so why is that?

Practices are useful or helpful for us to fulfill those strategies. We will spare no effort by combining all our strength to ensure this becomes a new reality.

Second.

Uh, there will be a more systemically oriented distribution.

By focusing more on the overseas market.

We will turn the overseas markets into a major growth driver for Geely, as Mr. Has mentioned already in his speech.

For H1 this year, our sales in the overseas market reached new highs.

It has also increased by about 158% compared with the same period of last year.

You can also see that we are actually aiming to sell about 1 million units per year in the overseas markets.

An Conghui: Our long-term goal is to ensure that about two-thirds of our sales will come from the overseas market. Alongside with steadily improving the sales volume in the domestic market of China, we will further quicken our pace to expand into the overseas market. I have been working for Geely for over three decades. I am a veteran employee in Geely. I still vividly remember the first day of the founding of Geely Auto, that in the future, two-thirds of the markets of Geely will be overseas markets. Now, in retrospect, we can see how correct it is for Mr. Chairman Li to raise that goal. I fully believe that in the future, this goal will be fulfilled, for sure. If two-thirds of the sales will come from the overseas market, then localized production will become the reality. We have to focus on the long-term goals.

Our long-term goal is to ensure that about two-thirds of our sales will come from the overseas market.

Alongside steadily improving our sales volume in China’s domestic market, we will further quicken our pace to expand into the overseas market.

I have been working for JD for over three decades. I'm a veteran employee in Chile. I still vividly remember the first day of the founding of Chile Auto. In the future, two-thirds of the year,

Markets of GD will be overseas markets. Now, in retrospect,

We can see how correct it is.

For Mr. Chairman Lee to raise that goal, I fully believe that in the new, in the future—this,

go will fulfilled for sure.

How's it going there? Go down there. I would like it if two-thirds of the sales came from the overseas market.

Then, localize the production; it will become the reality.

We have to focus on the long-term goals.

An Conghui: This is something that we have been working very vigorously on all fronts ever since. Geely Holding Group will coordinate all the resources of all brands within our group in parallel to the resources of the overseas market. I want to emphasize that Geely Holding Group will coordinate all the internal resources within our group for all the brands in parallel to our resources of the overseas partners or the external partners to ensure that we can co-develop, co-share the purchasing capacity, and to co-use the HR competence and the supply chain in China. Also, we will co-share the channels and the service networks. Also, I want to give you some examples to illustrate this point. Geely's acquisition of Volvo has ensured us quick strength positionings in technologies and products. But also, it will help us to move further into the overseas markets.

So this is something that we have been working very vigorously on with our friends ever since.

July Holding Group will coordinate all the resources of all brands within our group.

In parallel to the resources of the overseas market, I want to emphasize that

GD. Holdings Group will coordinate.

All the internal resources within our group—for all the brands,

In parallel to our resources of the overseas partners or the external partners.

to ensure that we can co-develop, co-share the purchasing capacity, and also use the HR competence.

And the supply chain in China, and also, we will co-share the channels.

And service Networks.

Also, I want to give you a link and some examples to illustrate this point.

The GD's acquisition of Volvo.

Has ensured us.

Quick.

Strength positioning in technologies and products.

But also, it will help us to move further into the overseas markets.

An Conghui: The overseas factory of Volvo will also undertake the mission of manufacturing high-end and premium cars of Geely brands. For the acquisition of PROTON, this year, hopefully this figure, our project is set to exceed about 200,000 units this year. Hopefully, we will turn this center into a major hub to produce about 500,000 units of PROTON cars in the Southeast Asia market. Also, you have seen the announcement of our collaboration with Ford in Spain for the production of some Geely-branded cars in Spain. The production capacity of that Spanish factory is also about 500,000 car units per year. Also, we have a Brazilian plant by working together with Renault. It is having capacities about 300,000 units per year. Our South Korean plant, as a result of a collaboration with Renault, is also adding up some capacities as well.

The overseas.

And a premium cost of GDP.

So, for the acquisition of a Proton, um, this year—hopefully this figure—

Uh, our project is set to exceed about 200,000 units this year.

Hopefully, we will turn this center into a major hub to produce about 500,000 units of Proton cars in this Southeast Asia market.

Also, you have seen the announcement of our collaboration with Ford in Spain for the production of...

Uh, some GD-branded cars in Spain.

The production capacity of that Spanish factory is also about 500,000 car units per year.

Also, we have a Brazilian plant by working together with Renault.

Its capacity is about 300,000 units per year.

and our

An Conghui: Also, there are some projects that are still going on there. In other words, which means we did not start our overseas strategies a year ago, or 2 years ago, or 3 years ago. Actually, we had our overseas strategies ever since the founding of the Geely system. Well, the Ford plant will be put into operation in 2028, which will manufacture quite a number of models within the Geely system. Our Volvo European plants will also be put into operation in 2028, manufacturing some premium models within the Geely system. This localized manufacturing capacity deployment has taken its initial shape, and it is going to bear fruits in the next couple of years. Thirdly, we will stay committed to brand upgrading and turn our technological leadership into product leadership, reputation leadership, and value leadership.

South Korea, the plant as a result of a collaboration on renewables, is also adding some capacities as well.

Also.

There are some projects that are still going on there.

In other words,

Which means we didn't start overseas strategies.

A year ago, or two years ago, or three years ago actually, we had an overseas strategy ever since the

founding of the GD system.

well, the 4

A plant will be put into operation in 2028, which will manufacture quite a number of models within the system and under Volvo. European plants will also be put into operation in 2028, manufacturing some premium models within the GD system.

This localized, manufacturing capacity, deployment.

Let's take this initial shape.

And it's going to bear fruit in the next couple of years.

Li Shufu: through which it has impact.

And thirdly, we'll stay committed to brand upgrading and turn our technological leadership into product leadership, reputation leadership, and value leadership.

An Conghui: We need quality development of the Chinese auto brands, which means we must accelerate our move upmarket and toward new energy. As a result of the export of our products and technology, Geely, as a technology-driven company, we have already formulated our own advantages. You might have recognized that Geely is turning itself into a tech-driven company. The Chinese automobiles are not only competitive in price domain, but also in branding, in technology. We are committed to the long-term development. We are strongly opposed to price war and involution. We want to wage wars on quality, technology, brands, service, and corporate integrity. These are the resonating themes throughout different kinds of conferences and events. Zeekr accounts for one third of the segment, with the average selling price above half a million in China.

Uh,

We need quality development of the Chinese auto brands, which means we must accelerate our market. This also means we must accelerate our move upmarket and into new energy.

As a result of the export of products and technology.

as a

technology-driven company.

We've already formulated our own advantages. You might have recognized that.

is turning itself into a tech-driven company.

so, the Chinese

Automobiles are not only competitive in the price domain, but also in branding and technology.

We are committed to long-term development.

We are strongly opposed to price wars and involution. We want to wage wars on quality, technology, brands, and service.

And the corporate integrity.

These are the, uh, resonating themes throughout different kinds of conferences and events.

Uh, Xikar comes for one-third.

An Conghui: As a result of the international strategies for Zeekr, I believe that in the premium segment in the global market, Geely will also aim at one third of the market share. This market share will be built upon our technological capabilities. We made long-term investment into the R&D of technologies in the auto industries, and also we made investment in the acquisition, corporate cooperation. All these investments have been turned into our competitiveness, not for the current market, but also for the future. I was frequently asked why Zeekr was so popular in the premium market. Why Zeekr has enjoyed a rapid rise in its branding force. Why compared with its competitors, Zeekr is taking the lead by generation. To which I reply, without the acquisition of Volvo, without the acquisition of Lotus, we are not going to see the achievements made by Zeekr.

Of, uh, it's uh, of of, of the, uh, segment with the average selling price about half a million in China.

So, as a result of the

International strategies or zika.

I believe you’ve got into the premium segment in the global market.

We really will also aim at one-third of the market share.

This market share will be billed. The point is our technological capabilities.

We made long-term investments into the R&D of technologies in the auto industry.

And also, we made investments in acquisition and corporate cooperation.

A lot of these investments.

Have been turned into.

our competitiveness not only for the current market, but also

for the future.

I was frequently asked.

Why was Zeekr so popular in the premium market?

Why has Zikr enjoyed a rapid rise and strong branding force?

Why, compared with his competitors, is Xikar...

Taking the lead by generation.

To which I reply.

Without the acquisition of Volvo.

So, without the acquisition of Lotus,

An Conghui: Both Volvo and Lotus have been in operation for more than 100 years. They have accumulated centuries of experience in safety, benchmarks, standards, lightweight technologies, and all kinds of automobile-related technologies. Geely has also made decades of investment into the automobile-related technologies. That is why we made significant breakthroughs and improvement in terms of our product safety, lightweight technologies, engines, chassis. Without Volvo, without Lotus, without our own long-term investment into this domain, it would be impossible for us to reach the current status. Fourthly, we need to deepen modern corporate governance to make our organization more dynamic, efficient, and sustainable. The shift of the leadership of Geely Auto is a planned step in Geely's journey toward modern corporate governance. Its purpose is to further enhance our competitiveness and achieve healthier, more sustainable growth.

We're not going to see the achievements made by Zika.

Both mobile and loaders have been in operation for more than 100 years.

They have accumulated centuries.

...of experience in safety, benchmarks, standards, lightweight technologies.

And all kinds of automobile-related technologies.

And J. Lo also made Decades of...

entrance into automobile-related technologies.

That's why we made significant breakthroughs and improvements in terms of safety products, safety.

Lightweight Technologies engines chassis.

Without loaders, and without our own long-term investment into this domain, it will be impossible for us to reach the current status.

But firstly, we need to deepen and modernize corporate governance to make our organization more dynamic, efficient, and sustainable.

The shift of the leadership of GD Auto.

The plans stamp.

Engine is a journey toward modern corporate governance. Its purpose is to further enhance our competitiveness and achieve healthier, more sustainable growth.

An Conghui: For this board and management team, our top priority is to take the baton and pass it on well. What I will be passing on, not just a position, but the company's core values, management systems, and governance framework. The company's foundation lies in its people and its core competitiveness in its talent. Going forward, we will continue to build a professional workforce and ensure transparent and effective operation of our three-tier governance structure. We will keep strengthening the prime vitality, upholding the principles of shared pressure, shared responsibilities, shared value creation, and shared rewards. We will give a stage to those who deliver results and ensure that every dedicated contributor grows together with the company. I believe that under the board's guidance and management team's execution, Geely Auto will continue to deliver steady growth and create long-term value for our shareholder and users. Thank you very much.

For this board and management team, our top priority is to take the baton and pass it on well.

So what I'll be passing on is not just the position, but the company's core values and management systems.

And governance framework.

The company's foundation lies in its people, and its core competitiveness is in this talent.

An Conghui: We will keep strengthening the prime vitality, upholding the principles of shared pressure, shared responsibilities, shared value creation, and shared rewards. We will give a stage to those who deliver results and ensure that every dedicated contributor grows together with the company. I believe that under the board's guidance and management team's execution, Geely Auto will continue to deliver steady growth and create long-term value for our shareholder and users.

Going forward, we will continue to build a professional workforce and ensure transparent and effective operation of our three-tier governance structure. We will keep strengthening the prime vitality.

Upholding.

The principles of shared pressure, shared responsibilities, shared value creation, and shared rewards, okay?

Stage to those who deliver results.

And ensure the Rivalry dedicated contributor.

Grows together with the company, I believe.

Li Shufu: Thank you very much. Mr. Gan, now the floor is yours.

Yeah.

Thank you very much.

Gan Jiayue: Mr. Gan, now the floor is yours. Dear investors, media friends, good afternoon. First of all, I would like to thank you very much for your long-term care and support to Geely Auto. Our Chairman and President, Mr. An and Mr. Gui, have just laid out group strategic directions for the next phase. For Geely Auto Group, our core mission is to translate corporate values into action, turn strategy into results, and deliver high-value products and services to our user, while giving back to our shareholders, to our customers with solid, tangible operating performance. Despite a challenging industry environment, Geely delivered a remarkably strong H1 performance. Sales revenue and profit all hit the record high. Our revenue outgrew sales, and our profit outgrew our revenue. We are seeing a high-quality growth within the Geely Auto company.

Mr. Gun.

Gan Jiayue: Dear investors, media friends, good afternoon. First of all, I would like to thank you very much for your long-term care and support to Geely Auto. Our Chairman and President, Mr. An and Mr. Gui, have just laid out group strategic directions for the next phase. For Geely Auto Group, our core mission is to translate corporate values into action, turn strategy into results, and deliver high-value products and services to our user, while giving back to our shareholders, to our customers with solid, tangible operating performance. Despite a challenging industry environment, Geely delivered a remarkably strong H1 performance. Sales revenue and profit all hit the record high. Our revenue outgrew sales, and our profit outgrew our revenue. We are seeing a high-quality growth within the Geely Auto company.

Not for yours.

Dear investors and media friends, good afternoon.

so, first of all,

I would like to thank you very much for your long-term care and support.

To G Auto.

a chairman and president, and, and,

Mr. Lai laid out group strategic directions for the next phase.

For July Auto Group, our commission is to translate corporate values into action, turn strategy into results, and deliver high-value products and services through our users. I'll give him back to our shareholders.

To our customers, with solid, tangible operating performance.

Despite the challenging industry environment.

Julie delivered a remarkable, strong first half performance. Sales revenue and profit all hit record highs.

Our revenue outpaced group sales, and our profit outgrew our revenue.

Gan Jiayue: In the H2, under the One Geely strategic framework, we are seeing strong resource synergies across the group, demonstrating robust operational resilience and upfront momentum. We will focus on three key pillars. The first, the domestic market, overseas expansion, and our AI transformation to ensure a solid start for our 2030 strategy. First of all, in the domestic market and in the premium segment, we will drive four brands, namely the Zeekr, Lynk & Co, Geely Galaxy, and China Star to move upward together, leading with high-value flagship products to unlock greater growth. Secondly, in terms of international expansion, we are going to duplicate our high-quality growth model into our international business. In the spirit of openness and win-win, we are going to deepen our localized manufacturing strategies to improve our international competitiveness.

So, we're seeing high-quality growth within GD Auto Company.

In the second half, another one, July strategic framework. We are seeing strong rep, resource synergies across the group, demonstrating robust operational resilience and the right momentum. We focus on three key pillars.

First.

The domestic market, overseas expansion, and our AI transformation will ensure a solid start for our 2030 strategy.

So, first of all, in the domestic market,

And in the premium segment, we will drive four brands, namely Zeekr, Lynk & Co, Geometry, Galaxy, and China Star, to move upward together, leading with high-value flagship products to unlock greater growth.

I like,

in terms of international expansion,

We're going to duplicate our high-quality growth model into our international business.

Gan Jiayue: Thirdly, in terms of AI ecosystem, we will accelerate the transition towards a leader of all domain AI mobility provider. We will continue to lead the intelligent transformation of auto industry. Based on our accumulation of the technologies in the all domain artificial intelligence technologies, we also upgraded the traditional technologies during the H1 of the year. We announced the launch of i-HEV and digital chassis, as well as 16-in-1 electric drive. Behind each and every leading technologies, we are seeing the vertical capabilities empowered by artificial intelligence. In terms of energy supplement and other technologies, we will make full use of the AI technology. We are going to get rid of the safety issues in terms of charging of the batteries. We are also trying to get rid of the problems of the battery decay. Ladies and gentlemen, we will be committed to high quality development.

So, in the spirit of openness, we are going to deepen our localized manufacturing strategy to improve our international competitiveness. Thirdly, in terms of the AI ecosystem,

Accelerate the transition to a leader of all-domain AI.

Mobility provider.

We will continue to lead the intelligent transformation of the auto industry based on our accumulation of technologies in the old domain and artificial intelligence technologies. We also upgraded the traditional technologies during the first half of the year. We announced the launch of I Have and Didu to share this, as well as the 161 Electric Drive.

And behind each and every leading technology.

We are seeing the vertical capabilities empowered by artificial intelligence.

And in terms of energy, supplements, and other technologies, we will make full use of AI technology.

Gui Shengyue: We will continue to focus on value creation for customers. We will be committed to the production of high-quality products, better customer experience, and better business performance for our customers and shareholders, and to facilitate the high quality and sustainable development of the auto industry in China. Thank you very much. I have just given you a brief introduction of Geely's strategies. Toward the end of this year, we are going to hold events during which a more detailed explanation of our 2030 strategies will be provided. Thank you. Thank you, Mr. An, for your sharing. Now is Q&A session. Due to time limitation, in order to accommodate more questions, everyone is allowed to ask only two questions maximum. Well, thank you. So congratulations to Mr. An, and thank Mr. Gui for your contribution. I believe that new leadership, as Mr. Gui said, will deliver a record high.

Gan Jiayue: We will continue to focus on value creation for customers. We will be committed to the production of high-quality products, better customer experience, and better business performance for our customers and shareholders, and to facilitate the high quality and sustainable development of the auto industry in China. Thank you very much. I have just given you a brief introduction of Geely's strategies. Toward the end of this year, we are going to hold events during which a more detailed explanation of our 2030 strategies will be provided. Thank you.

We're going to, you know, get rid of the safety issues in terms of charging of the batteries. And we are also trying to get rid of the problems of the, uh, battery decay. So, ladies and gentlemen, we will be committed to high-quality development. We'll continue to focus on the dedication for customers, will be committed to the production of high-quality products, better customer experience, and better business performance.

For our customers and shareholders, and to facilitate the high-quality and sustainable development of the auto industry in China. Thank you very much.

I've just,

Given you a brief introduction of Chile's strategies.

Toward the end of this year.

Uh, we're going to help, uh, events during which a more detailed explanation of our 2030 strategies.

Will be provided.

Okay, thank you.

Li Shufu: Thank you, Mr. Gan, for your sharing. Now is Q&A session. Due to time limitation, in order to accommodate more questions, everyone is allowed to ask only two questions maximum.

Thank you for sharing your knowledge. For the Q&A session, due to time limitations, we will try to accommodate more questions.

so,

Everyone is allowed to ask only two questions, maximum.

Shenming Yi: Well, thank you. So congratulations to Mr. An, and thank Mr. Gui for your contribution. I believe that new leadership, as Mr. Gui said, will deliver a record high. My name is Shenming Yi from Eastern Fortune. I have two questions. The first one is: we have seen that in terms of the export of Zeekr 9X, we started export to Australia, to Middle East, to Malaysia. Pre-sale have started of the Zeekr 9X. I am just curious about feedbacks of this pre-launch of Zeekr 9X. What is your forecast on your export volume of Zeekr X and 9X? Of course, they also enjoy good sales in the Chinese market. Totally, if you combine the domestic market with international market, what will be a stable sales forecast of Zeekr X and 9X? This is the first question.

Well, thank you.

So congratulations to Mr. An, and thank you to Mr. Go for your contribution.

I believe that new leadership.

Shenming Yi: My name is Shenming Yi from Eastern Fortune. I have two questions. The first one is: we have seen that in terms of the export of Zeekr 9X, we started export to Australia, to Middle East, to Malaysia. Pre-sale have started of the Zeekr 9X. I am just curious about feedbacks of this pre-launch of Zeekr 9X. What is your forecast on your export volume of Zeekr X and 9X? Of course, they also enjoy good sales in the Chinese market. Totally, if you combine the domestic market with international market, what will be a stable sales forecast of Zeekr X and 9X? This is the first question.

As Mr. Said, will we deliver a record high?

My name is from, uh, Eastern Fortune. I have two questions.

Uh, the first 1 is

It would seem that, uh, in terms of the export of 9X and 6X, uh, we started export to Australia, to the Middle East, to Malaysia.

Uh, pre-sales have, uh, started of this Degree 9X.

I just, uh, I'm just curious about the, uh, feedback on this, uh, pre-launch.

Of Zero 9X. And, uh, what is your forecast on your export volume of AX9, Zero X, and 9X? Of course, we are also enjoying the sales in the Chinese market.

So, in total, if you combine the domestic market with the international market, what will be a stable sales forecast for Acts and 9x? This is the first question.

Gan Jiayue: Talking about globalization and premium branding, I want to say a few words about our international business, as this is one of the focus of our investors and media friends. Actually, the overseas market is an epitome of the Chinese auto industry. The H1 industrial average growth rate is about 72%. For H1 for Geely, we have achieved about 174,000 units, up by about 158%. NEV sales have sold about 277,000 units, up by 585% year on year. This is an unprecedented figure. There are three key features of our sales and performance of Geely. First of all, the growth speed is number one among all the mainstream automakers in China. Secondly, NEV year-on-year growth rate is number one in our industry. Thirdly, for premium brands in China, we are also ranking number one. So these are the three key features of our Geely exports this year, H1 this year.

Talking about globalization and premium branding, I want to say a few words about our international business.

As this is one of the focuses of our investors and media friends, actually the overseas market is the epitome of the Chinese auto industry.

The H1 industrial average growth rate is about 72% for H14 GI. We have

Achieved about 174,000 units, up by about 158%. And EV sales have sold about 277,000 units.

Up by 585% year-on-year. This is an unprecedented figure. There are three key features about sales and performance of GD. First of all, the growth speed is number one among all the mainstream automakers in China. Secondly, NEV annual growth rate is number one in our industry. Thirdly, for premium brands in China, we are also ranking number one. So these are the three key features of our GD.

Gan Jiayue: You can see that the international business is quite balanced across all the regions, and some regions have seen much more rapid growth. For example, Latin America up by about 298%, nearly 300%. For Europe, nearly 280% growth. In ASEAN countries, over 120% growth rate is registered. In Eastern and Central Asia, almost over 100% increase. So these are what you call the regional growth across the board. Different regions may have different performance levels, just as what Mr. Dai has mentioned in his presentation. We want to ensure one special region for 300,000 units, and two centers for 200,000 scales, and three centers for 100,000 unit scales. Thirdly, internationalization, as what Mr. An has mentioned, about two-thirds of the sales will come from overseas market. I joined Geely upon my graduation.

Spots this year—which one this year? So you can see that the international business is quite balanced across all the regions, and some regions have seen much more rapid growth. For example, Latin America is up by about 298%, nearly 300%.

For Europe.

Nearly 280% growth.

Uh, two centers for 200,000 units.

Gan Jiayue: I remember very clearly since day one of my joining of Geely, we want to see Geely cars in China and across the whole world. We want to sell our cars to the overseas market. This is always a very important bedrock underpinning our strategy for the overseas expansion. First of all, it is benefiting immensely from the NEV footprint expansion of China. Secondly, because of our strategy. In the next two or three years, we have also devised a plan, which is a workable plan in the overseas market. We have a one, two, three, four, five, six strategy for international orientation. Talking about one meaning one overseas system for Geely. At the back end and the middle end, there is only one system. Zeekr, Lynk & Co, and Geely are the three main brands.

And three centers for 100,000 unit scales. In the same way, internationalization is what Mr. Has mentioned: about two-thirds of the sales will come from overseas markets. I joined Geely upon my graduation. I remember very clearly, since day one of joining Geely, we wanted to see Geely cars in China and across the whole world. We want to sell our cars to the overseas markets.

This is always a very important backdrop—an underpinning of strategy—for the overseas expansion. First of all, it is benefiting immensely from the Neve footprint, the expansion of China. Secondly, because of our strategy. So, in the next two or three years, we have also devised a plan which is a workable plan in the overseas market. We have a 1, 2, 3, 4, 5, 6 strategy.

For international orientation, uh, we're talking about one-on-one, meaning one overseas system for GD.

In the back, and in the middle end, there's only one system.

and,

Gan Jiayue: One is on the high tech, the second one is the sporty DNA, the third brand is the mainstream mass public orientation. These are the three clear positionings of the brands to win our market shares. Two, three, four, five, six, meaning we want to build a center in Europe selling about 600,000 units, 500,000 units in ASEAN countries, 400,000 units in Middle East, and 300,000 in Eastern Europe, 200,000 units in Central Asia. This is called two, three, four, five, six. If you put all these figures together, that makes the total 2 million sets. Secondly, talking about the premium branding for export purposes. This is also a very prominent feature of our exports. For Zeekr, you can see that it is much more well-known than ever in the past. Not long ago, the 8X and the 9X have been well certified abroad.

The three main brands: one is on the high-tech side, the second one has a sporty DNA, and the third, Sprint, is mainly street-mesh public orientation. So these are the three clear positionings of the brands to win our market share—2, 3, 4, 5, 6—meaning.

We want to build a center in Europe, selling about 600,000 units.

500,000 units in Asian countries, 400,000 units in, uh, the Middle East, and 300,000 in Eastern Europe, 200,000 units in Central Asia. So this is called 2, 3, 4, 3, 2, 3, 4, 5, 6. So if you put all these figures together, that makes the total 2 million sets.

secondly, talking about the

Branding for export purposes—this is also a very prominent feature of our sales, of our exports.

Fika.

Uh, you can see that it is so much more well-known than ever in the past.

Not long ago, the 8X and the 9X.

Have been. Well certified. Yes.

Abroad.

Gan Jiayue: Some things are still going on there, and there has been a very good positive feedback from the overseas customers. Some have approached the operators or some of the channels to add an extra price to buy a 9X or 8X car. It is sufficient enough to tell us that we have ample market demand in those areas. Almost all the markets speak very highly of the quality of 8X or 9X cars. For Zeekr, our future is very clear. We want to win the future market share to define luxury and premiumness with technologies. Our growth margin is also quite fast, over 200% increase. This is also something quite phenomenal. We think that in the future, our Zeekr products are mainly concentrated on 7X and 007.

And some things are still going on there.

And there has been very good positive feedback from our overseas customers.

Some.

We have approached the, uh, operators or some of the channels to add an extra price to buy a 9X or 8X card. It is sufficient enough to tell us that we have ample market, uh, demand.

in those areas.

Almost all the markets speak very highly of the quality of 8X or 9X cars for Zika. Our future is very clear. We want to win the future market share, to define luxury and then the premium. Premium is with technologies. Our growth margin is also quite fast, with over a 200% increase.

This is also something quite phenomenal, but we think that in the future, Zika products will mainly concentrate on the 7X of 0007.

Gan Jiayue: Secondly, we are going to quicken our steps for the expansion and rolling out of 8X, 9X, and 009. We are going to do more for the market expansion and the market launch since Q3 this year for 8X. It will also start its rollout in Latin America, Europe since Q4 this year. Of course, our 009 and the 009 Glory will also have its European edition for the latter half of this year. The export for H1 this year is already over 420,000 units. Okay, that is all for my answer. Any questions from the media? This question is for Mr. Gan about the ICE cars or fuel cars. We know that China Star series have seen rapid growth, so I am asking about the future of China Star series. What is your take on the future market in China for ICE?

So these products have been well received in the market. Secondly, we are going to quickly move forward with steps for the expansion and rolling out of 8X, 9X, and 009. And we are going to do more for the market expansion and the market launch. Since Q3 this year, 8X will also start its rollout in Latin America and Europe, starting in Q4 this year.

Because our 0.9 and 0.9, uh, Glory will also have its, uh, European edition for the latter half of this year.

The export for '81' this year is already over 4.2 million sets.

Uh, sorry 40020.

42,000 units. Okay, that's all for my answer.

This question is for Mr. Gun about the icy cars.

Or fuel, fuel cars. We know that the China Star series has seen rapid growth, so I'm asking about the future of the China Star series.

Gan Jiayue: Will there be a shift to PHEV or HEV? Thank you very much. Talking about the China Star cars, the future plans. You can see that for H1 2026, it tells us very clearly that the total sales volume is about 8.29 units, dropping by about 24.3%. Especially for ICE cars, it dropped by over 30%, if not 31.9% drop. That means that there has been a major shift to NEV cars from ICE models. But if you take a look at the global picture, the absolute selling volume of ICE cars is still quite huge. That is about 80 million cars. In China, it sold about 20 million cars. In America, that sell about 15 to 20 million cars. For the rest of the region, about 40 million cars. Currently, the penetration rate is about a little bit more than 10% in China.

What's your take on the future market in China for IC?

Will there be a shift to 8 PHEV or RHEV?

Thank you very much. Uh, talking about the China Star cars and the Fisher plans,

Uh, you can see that, uh, for each one.

2026. It tells us very clearly that...

Uh, the total sales volume is about 8.29 million units, dropping by about 24.3%, especially for ICE cars.

It dropped by over 30%.

If not 30.

A 1.9% drop. That means that there has been a major shift to NEV cars from ICE models.

Uh, but if you take a look at the

Globally, the absolute selling volume of IC cost is still quite significant.

That's about 18 million cars in China. It's sold about 2.2 million cars.

In America, they sell about, uh, 15 to 20 thousand cars—uh, 20 million cars, and for the rest of the region, about 40 million cars.

Gan Jiayue: That means there has been huge room for ICE models in the future. But talking about the future of China Star series in China, the H1 sales is dropping by about 5.7%. That is much slimmer than that of the drop margin of the whole industry. Our market share increased from 8.7% last year to about 10.4% this year in China. The market share of China Star series is increasing rapidly, largely because we benefit a lot from the technology roadmap and our product portfolio. In the future, there will be two directions for the growth of ICE models. First of all, is more HEV. Secondly, we are going to do more smart driving. On 13 April, we have launched the latest edition of i-HEV technology. This i-HEV is totally different from that of the previous generation of the system.

Currently, the penetration rate is a little bit more than 10% in China. That means there is still huge room for IC models in the future. Uh,

But talking about the future of the China Star Series in China.

the H1 sales is about,

Dropping by about 5.7%.

That's, uh, much, uh, slimmer than that of the drop margin of the whole industry.

Our market share increased from 8.7% last year to about 10.4% this year in China. I mean, the market share of the China Star series is increasing rapidly.

Lastly, because we benefit a lot from the technology roadmap and our product portfolio.

In the future, there will be two directions for the browser IC models. First of all,

Is more heavy.

Uh secondly we are going to do more smart driving uh on the April the 13th, we have a launched the uh latest edition of I have technology.

This thing I have is totally different from that of the previous generation of system.

Gan Jiayue: I can tell you very clearly that i-HEV technology through AI technology of Geely empowerment. Our i-HEV technologies have been demonstrating much greater and better performances of all indicators, much better than that of those flagship models around the world. Why? Because, this is the key feature of the new generation of i-HEV technologies. Traditionally, we add a battery and some torque based upon the previous ICE model, but now we are purely based upon the smart platform with the high capacity of the batteries, up to about 60 C-scale, with the high-power electric drive to about 230 power. The thermal efficiency is up to about 48.41. Energy conservation, performance, safety, reliability are all the key indicators that we see rapid growth and improvement. That is not ordinary or comprehensive growth, but leapfrogging development on all fronts, all these above-mentioned indicators.

I can tell you very clearly that I have technology.

Through AI technology of G Empowerment, our I-have technologies have a demonstration team, which has been demonstrating much greater and better performances, avoiding indicators, much better than those of flagship models around the world. Why? Because—

Uh, this is the key feature of the new generation of EV technologies. Traditionally, we add a battery and some torque based upon the previous ICE model, but now we are purely based on the smart platform, with the high capacity of the batteries up to about 60C scale, with the high power.

Electric drive to about 230 power.

The thermal efficiency is up to about 48.41%.

And energy, conservation, performance, safety, and reliability are all key indicators where we see rapid growth and improvement.

Gan Jiayue: The high-performance batteries, high performance and efficiency, electric drives ensured that we can really outperform many of the car models from Japan and some other countries. This is a major breakthrough in this area. This is the point number one. Why we can achieve such a good result? Because while we are doing some R&D, we are really changing the fundamental structure or the architecture behind what we have seen. For example, how to feel the humidity, the temperature, the altitudes of the things around the car, how to ensure that we can basically guarantee the high-efficiency operation of the electrical motors and engines. At the same time, the high-efficiency electric drive systems can ensure that there has been comprehensive improvement of all the main indicators on all fronts. This 0-100 acceleration is about one second better than that of the Japanese cars. This is a really tangible breakthrough.

That's not ordinary or comprehensive growth, but rather leapfrogging development on all fronts—all these above-mentioned indicators.

Out for many of the car models from Japan and some other countries.

This is a major breakthrough in this area.

So this is point number one. Why can we achieve the CH good result? Because while we are doing some R&D, we are really...

Uh, changing, uh, the fundamental structure or the architecture behind the, uh,

What we have seen, for example, is how to measure the humidity, the temperature, and the altitude of the things around the car. How to ensure that we can basically guarantee the high-efficiency operation of the electric motors and engines, and at the same time, the high-efficiency electric drive systems can ensure that there has been a comprehensive improvement of all the main indicators or fronts.

This 0 to 100 acceleration is about, uh, 1 second—better than that of the Japanese cars.

This is a really tangible breakthrough.

Gan Jiayue: So much for the technology breakthrough. For product distribution, in the future, we are not going to develop traditional ICE models. All the traditional ICE models will have to be shifting towards i-HEV models. All the models in the future will be i-HEV powered. This is what I call the future direction based upon the decision made by the leadership. For H2 this year, there will be a few i-HEV models that will be launched to the market. For example, the all-new Xingyue Plus and the Xingyue Plus and the Boyue L. These are all the i-HEV models. I am sure that with i-HEV technologies as the backbone, there will be a bright future for the better sales volumes of China Star. We are also going to launch all this full spectrum of i-HEV portfolio to the international market. Thank you.

So, so much for the technology in breakthrough for product distribution. In the future, we are going not going to develop a traditional IC models. I mean, all the traditional IC models will have to be shifting towards I have models. I mean, all the models in the future will be. I have

This is what I call, uh, the future direction. Based upon the decision made by the leadership, of course, for H2 this year, there will be a few new models that will be launched to the market. For example, the all-new Shiny Plus and the Shiny Plus, and a Boy l...

These are all the models I have.

I'm sure that with iHave Technologies as a backbone, there will be a bright future for better sales volumes of China Stars.

Also, welcome to launch all these, uh, well, for Spectrum. My buy-have portfolio to the international market. Thank you.

Shen Feitong: There is a gentleman in blue T-shirt. I have a question for Mr. An Conghui. Chairman Li Shufu, during his video speech, said that Geely will no longer build production capacity, build new production capacity, and Mr. An also introduced your global deployment of manufacturing capacity. I think the sharing of production capacity is probably an important model for international expansion for Geely. At Geely Holding level, you need to coordinate different resources, you need to make full use. What are the advantages and difficult points in coordinating all these production capacities? Thank you.

Li Shufu: There is a gentleman in blue T-shirt.

So, I was going to say, uh, gentlemen in blue.

T-shirt.

[Analyst 1]: I have a question for Mr. An Conghui. Chairman Li Shufu, during his video speech, said that Geely will no longer build production capacity, build new production capacity, and Mr. An also introduced your global deployment of manufacturing capacity. I think the sharing of production capacity is probably an important model for international expansion for Geely. At Geely Holding level, you need to coordinate different resources, you need to make full use. What are the advantages and difficult points in coordinating all these production capacities? Thank you.

I have a question for, uh, Miss.

Chairman during his video speech.

That really will no longer build production capacity, build new production capacity at, um, and also, uh, is atrocious to your global deployment of manufacturing capacity. I think the sharing of production capacity is probably an important model for your international expansion for G.

so at, uh, July holding

At this level, you need to coordinate different resources. You need to make full use of them. What are the advantages and difficult points in coordinating all these production capacities? Thank you.

An Conghui: I think I have already released the information to cover your question, but I will elaborate a little bit. I would say there is a surplus of production capacity all over the world. There is a lot of saying about overcapacity in the automobile industry in China, but I would like to tell you that in North America and Europe and other regions of the world, there are also overcapacities. For Geely, one-thirds of our sales revenue generated in the international market, which means we have to do a very good job in localized manufacturing.

Uh, I think I've already, uh, released the information.

to cover your question.

With that, I'll elaborate a little bit. I would say there is a surplus of production capacity all over the world.

There's a lot of talk about overcapacity in the automobile industry in China, but I would like to tell you that in North America, in Europe, and in other regions of the world,

There were also over capacities.

For Jilly.

Two-thirds of our sales revenue is generated in the international market, which means we have to do a very good job in localization or manufacturing.

An Conghui: I just mentioned a couple of words related to localized manufacturing. High quality, high speed, and low risk. We need to make full use of our market advantages in European markets. We need to collaborate with our partners outside the Geely system. On one hand, we need to make very good use of production capacity. We need to make very good use of localized human resources. At the same time, we also need to make very good use of the supply chain systems of our business partners. Furthermore, distribution channels as well as service networks are of similar natures. That is the way we can achieve high quality, high speed, and low risk expansion. Risk control is of paramount importance, of course.

Cheers. I just mentioned a couple of words related to localization and manufacturing high quality.

High speed.

And low-risk.

and we need to make full use of, uh,

Our market advantages in European markets—and we need to collaborate with our planners outside the GD system.

Use of localized human resources.

And at the same time, we also need to make very good use of the supply chain systems.

Of our business partners.

And furthermore, distribution channels as well as service networks.

Out of similar natures.

So that's the way we can achieve high quality, high speed, and low-risk expansion.

Risk control is of a fair amount of importance, of course.

Shen Feitong: I spent a year or so in coordinating between Geely Holding companies and Geely Automobile Holdings Limited, so that both can support each other and achieve a synergistic competitiveness in the market. It is also the international market for Geely. I believe this strategy is slightly different from the international strategies of other automakers. Thank you. I am from GF Securities. My name is Shen Feitong. I have two questions. First of all, the first question is to Mr. Dai. Can you help us to understand the reasons behind the gross margin increase? Looking ahead to Q3, given the price markup of the storage systems as well as the storage chips, would you remain the same forecast of your gross margin increase? As to the pure electric vehicles, the question is for Mr. Gan.

An Conghui: I spent a year or so in coordinating between Geely Holding companies and Geely Automobile Holdings Limited, so that both can support each other and achieve a synergistic competitiveness in the market. It is also the international market for Geely. I believe this strategy is slightly different from the international strategies of other automakers.

so, uh,

It's been a year or so.

and coordinating between, actually,

Holding companies and Geely Automobile Holdings Limited.

so that

we can support each other.

[Analyst 1]: Thank you.

And achieve a synergistic competitiveness in the market, and it's also the international market for G. I believe this strategy is slightly different from the international strategies of other automakers.

Okay, thank you.

Chen Feitong: I am from GF Securities. My name is Shen Feitong. I have two questions. First of all, the first question is to Mr. Dai. Can you help us to understand the reasons behind the gross margin increase? Looking ahead to Q3, given the price markup of the storage systems as well as the storage chips, would you remain the same forecast of your gross margin increase? As to the pure electric vehicles, the question is for Mr. Gan.What is your observations on the future development of the pure electric vehicles, and what is Geely's strategies in rolling out pure electric models? For Geely, I think your market share of pure electric vehicles is under pressure. So after April this year, the pure electric vehicle market in China is expanding steadily. What is your future strategies for pure electric vehicles?

I'm from Gufa Security. My name is J. Payton. I have two questions.

First of all, the first question is to Mr. D.

Can you help us to understand the

The reasons behind the gross margin increase, looking ahead to Q3.

Uh, given the price markup of the storage systems, as well as the storage ships.

Would you, uh, remain the same, uh, forecast of your, uh, gross margin increase?

Dai Yong: What is your observations on the future development of the pure electric vehicles, and what is Geely's strategies in rolling out pure electric models? For Geely, I think your market share of pure electric vehicles is under pressure. So after April this year, the pure electric vehicle market in China is expanding steadily. What is your future strategies for pure electric vehicles? Well, thank you, Mr. Shen, for the question. The gross margin is 17.9% during the H1 of this year. It is about 1.5 percentage point increase compared to the 16.2% of gross margin during the H1 of last year. As Mr. Gui has said, the industrial average gross margin is 1.5%, while our gross margin is 5.4%, so it was quite remarkable.

As to the pure electric vehicles, the question is for Mr. Gun. What are your observations on the future development of pure electric vehicles, and what are Geely's strategies in rolling out pure electric models?

For, uh, Julie, I think your, uh, market share of pure electric vehicles is under pressure.

So, after April this year, the pure electric vehicle market in China is expanding steadily. So, what are your future strategies for pure electric vehicles?

Dai Yong: Well, thank you, Mr. Shen, for the question. The gross margin is 17.9% during the H1 of this year. It is about 1.5 percentage point increase compared to the 16.2% of gross margin during the H1 of last year. As Mr. Gui has said, the industrial average gross margin is 1.5%, while our gross margin is 5.4%, so it was quite remarkable.

Well, thank you, Mr. Chan, for your question.

The gross margin is 17.9% during the first half of this year.

It's about a 1.5 percentage point increase compared to the 16.2% gross margin during the first half of last year.

And as Mr. Gray has said, that...

the industrial average. Gross margin is 1.5%.

Dai Yong: As to Q2, our gross margin is 18.4%, even higher than the 17.5% of the gross margin in the Q1 of this year. Why this increase? There are two drivers. First of all, the premium development of our brand. In the Q1, the Zeekr witnessed 77,000 units of sales. In Q2, we sold 100,000 Zeekr models. That increased about close to 30,000 units that helped us to increase the gross margin. Because the gross margin for Zeekr is around 20%. The second driver behind this increase of the gross margin is the global strategy. In Q1, we export a little more than 200,000 units. In Q2, we export about 270,000 units to the international market. I think I have told you that the gross margin of exports is about 10 percentage point higher than the gross margin of our car sales in the domestic market.

While our gross margin is 5.4%, so it was quite remarkable.

As to Q2.

Our gross margin is 18.4%, even higher than the 17.5% gross margin in the first quarter of this year.

Why this increase? There are two drivers.

First of all, the premium development of our brand.

Ours in the first quarter, the Zeekr Winter is 77,000 units of sales, and in Q2 we sold 100,000 Zeekr models.

So, that's increased by close to 30,000 units, which helped us to increase the gross margin.

Uh, because, uh, the, uh, the gross margin for, uh, zero is around 20%.

The second driver behind this increase in the gross margin.

Is uh, the global strategy.

In q1.

We export close to, a little more than, 200,000.

Units.

We realized that we export about 200 to 70,000 units.

To the international market.

I think I've told you that, uh,

The consensus of experts is a 10 percent estimate.

10 percentage points higher than the gross margin.

Dai Yong: These changes support the overall gross margin increase in Q2. Looking ahead into Q3, as a result of the price increase of commodities as well as the price increase in chips. Actually, in Q1, we faced some price pressures from the price increase of commodities. Yes, we forecast the price increase in commodities. Toward the end of 2025, we increased our storage of these commodities. In Q2 this year, we have fixed the price as well as the quantity with our suppliers for the whole year. We also did some hedgings in the futures market. So in Q3 and Q4, we have made some preparations to the price volatility of the commodity. In Q3, we are expecting an increase in the export. I think the gross margin in Q3 will not be lower than that of Q2. As to your second question.

Of our car sales in the domestic market.

So these changes support our gross margin, the overall gross margin increase in Q2.

Looking ahead into Q3.

Uh, as a result of the price increase of the commodities, as well as, uh, the price increase in chips.

Well, actually, in Q1, we faced some price pressures.

From the price increase of commodities—yes, we are forecasting a price increase in commodities toward the end of 2025. We, uh, increased our storage of...

These commodities.

and in Q2 this year,

Uh, we have fixed the price as well as the quantity.

With our, uh, suppliers for the whole year. And, uh, we also...

Do some, we also did some hatchings.

In the future Market.

So in Q3 and Q4,

Uh, we've made some preparations to the price for volatility in the commodity.

In Q3 we were expecting.

An increase in the export.

I believe that, I think, the gross margin in Q3 will not be lower than that of Q2.

Gan Jiayue: As to your second question.Well, the second question is related to the trajectory of pure electric vehicles. In the H1 of this year, the overall auto industry decreased by 30%. Even for hybrid engine, the market size decreased by 28%. After April, we are seeing an increase in the sales of pure electric vehicles in China, which means there is still a huge demand for pure electric vehicles for a couple of reasons. First of all, high voltage. Secondly, fast charging. Thirdly, large battery capacity. Fourthly, high level of intelligence. So these are the four features in the pure electric vehicle segment. Well, it takes time to develop a new generation of models. So this year, we will gradually launch the high voltage model of Zeekr and Lynk & Co. Galaxy TT, which will be launched soon, will be a pure electric vehicle.

Gan Jiayue: Well, the second question is related to the trajectory of pure electric vehicles. In the H1 of this year, the overall auto industry decreased by 30%. Even for hybrid engine, the market size decreased by 28%. After April, we are seeing an increase in the sales of pure electric vehicles in China, which means there is still a huge demand for pure electric vehicles for a couple of reasons. First of all, high voltage. Secondly, fast charging. Thirdly, large battery capacity. Fourthly, high level of intelligence. So these are the four features in the pure electric vehicle segment. Well, it takes time to develop a new generation of models. So this year, we will gradually launch the high voltage model of Zeekr and Lynk & Co. Galaxy TT, which will be launched soon, will be a pure electric vehicle.

As to our second question, well, the second question is related to the trajectory of pure electric vehicles.

Well, in the first half of

This year.

Uh, the overall auto industry decreased by 30%.

And even for, uh, hybrid engine, the market.

Size decreased by 28%.

But after April, we're seeing an increase in the sales of pure electric vehicles.

In China, which means there is a spill. Still a huge demand for pure electric vehicles.

For a couple of reasons. First of all,

hi voltage.

Secondly uh, fast charging.

Thirdly uh, large battery capacity.

And fourthly, a high level of intelligence.

So, these are some—these are the four features.

In the pure electric vehicle segment.

Well, it takes time to develop a new generation of...

models.

so, this year,

We will gradually.

Uh, launched the, uh, high voltage model of, uh, Zeekr and Lynk & Co and Galaxy's TT.

Which will be launched soon. It will be a pure electric vehicle.

Gan Jiayue: The debut of Galaxy TT was held on 21 July, and we received a confirmed order of 190. Right now, the order book has reached 22,000. So definitely this high voltage technology can in a way abate the range anxiety. The Galaxy TT will be launched during the H2 of this year, as I told you. Q1 will also be launched as a high voltage product. For Lynk & Co Z20, which is also a pure electric vehicle, will be launched pretty soon. Zeekr 001 and 009 Glory Edition will also be launched into the market as pure electric vehicles. So in the H2 of this year, no matter whether it is pure electric vehicle or electric hybrid vehicles, we are going to see a rollout of new models under these categories. Thank you. We are also seeing some foreigners trying to raise questions.

So, uh, the debut of Galaxy's TT was held on July 21.

And, uh, we received—we confirmed the order of 9,190.

And right now, uh, that's confirmed. Well, uh, the order is—the order book has reached 22,000.

So, definitely, this high voltage technology, uh,

Can Hawaii abate the range anxiety?

The Galaxy TT will be launched during the second half of this year, as I told you.

And, uh, K11 will also be launched.

As a high voltage product.

Uh, the Z20, which is also a pure electric vehicle, will be launched pretty soon.

And the 001 and 009 Glory Edition will also be launched into the market as pure electric vehicles. So,

In the second half of this year.

No matter whether it's a pure electric vehicle.

or, uh, hyper-electric hybrid vehicles, we're going to see a

Roll out of new models.

Under these categories.

Thank you.

Also seeing some, uh,

Furnace trying to raise questions.

[Analyst]: Well, thank you very much for sharing. I am a journalist from Bloomberg. I have two questions. The first question is related to your cooperation with Ford in Spain. Ford has a full lineup of new energy models. Are they going to use your technologies? Can you share with us, is Ford going to use some of the technologies from Geely in the development of new energy vehicles? This is the first time that an American company co-developed a model with a Chinese company, not for Chinese market, but for the international market. The second question is the payables. You just talked about the volatility in raw materials and commodities, and I noticed that in your financial report, the amount payable increased by 100% compared with the same period last year. I just wonder, what is the reason of this rapid increase in the amount payable?

[Analyst 2]: Well, thank you very much for sharing. I am a journalist from Bloomberg. I have two questions. The first question is related to your cooperation with Ford in Spain. Ford has a full lineup of new energy models. Are they going to use your technologies? Can you share with us, is Ford going to use some of the technologies from Geely in the development of new energy vehicles? This is the first time that an American company co-developed a model with a Chinese company, not for Chinese market, but for the international market. The second question is the payables. You just talked about the volatility in raw materials and commodities, and I noticed that in your financial report, the amount payable increased by 100% compared with the same period last year. I just wonder, what is the reason of this rapid increase in the amount payable?

Oh, thank you very much for sharing.

Uh, I'm a journalist from Bloomberg. I have two questions. The first question is related to your cooperation with Ford in Spain. So, Ford—

Has a full lineup of, uh, new energy, um, models. Uh, are they going to use your technology? So, can you share with us?

Is Geely going to use some of the technologies from Zeekr in the development of new energy vehicles?

Though, this is the first time that an American company.

Co-developed.

A model with a Chinese company, not for the Chinese market but for, uh, the international market.

the second question is,

The payables—I just talked about the volatility in raw materials and commodities. And I noticed that, you know, financial, uh,

Report.

[Analyst]: Can you give us a forecast on the annual increase of this amount payable? Thank you.

[Analyst 2]: Can you give us a forecast on the annual increase of this amount payable? Thank you.

The amount payable increased by 100% compared with the same period of last year. I just wonder, what is the reason for this rapid increase in the amount payable? Also, can you give us a forecast on the annual increase of this?

Amount payable. Thank you.

An Conghui: First of all, I want to say a few words about the capacity utilization. How to make better use of its capacity and to ensure a win-win for all partners. For Geely, on one hand, we need to control the risk. As investors, normally we will say we have light asset, but we have to well control the risk or bring the risk well under control. We want to ensure win-win for all parties. You have just referred to mainly the product aspect. For Ford collaboration, our Galaxy, our GEA architecture is the main structure. This is the fundamental or underlying structure. Because on the basic structure, we need to develop further the product that will cater to the needs of different brands. We have to be very clear about this point before anything else. Secondly, our products will not enter the American market.

Well, first of all, I want to say a few words about capacity utilization.

How to make better use of its capacity and ensure a win-win for all partners.

So, for real, on one hand, we need to control the risk.

As our investors, normally we will say we have a light asset base, but we have to control the risk well and keep the risk well under control.

We want to ensure a win-win for all parties.

You have just referred mainly to the products aspect.

for Ford collaboration, our galaxy

Our GA architecture.

Is the main structure.

I mean, this is the fundamental or underlying structure because, on the basic structure,

We need to further develop the products that were catered to the needs of different brands.

So, we have to be very clear about this point before anything else.

Secondly, our products.

An Conghui: The localized production in Europe will be sold locally. Those European-produced products will not be sold to the American market. Based upon the basic architecture, we need to make a better use of the capacity, including our supply chain system. We have to ensure localization for the production. For EU, there will be the so-called law on market competition. In order to govern the practice of companies to compete with each other in the same market. There will be some legislative requirements for those companies involved in those markets. In the future, over the local supply chain integration, there will be some new practices from Geely. On one hand, we need to quicken our steps to form the new structure. On the second hand, we need to form the scale of economy, and the scale of economy comes with the word cost as well.

Will not enter the American market.

The localized production in Europe will be sold locally.

So, those European, uh, produced products will not be sold to the American market.

So, based upon the basic architecture,

Uh, we need to better make use of the capacity, including our supply chain system. So we have to ensure localization.

For the production for EU, uh, they will be, uh,

The so-called Law on Market Competition.

In order to govern the practice of companies competing with each other in the same market, there will be some regulatory requirements for those companies involved in those markets.

So in the future, with the integration of the local supply chain, there will be some new practices from GD.

On one hand, we need to quicken our steps to form the new structure. On the other hand, we need to form the scale of the economy, and the scale of the economy comes with the word 'cost' as well.

An Conghui: Don't get me wrong. The products produced in Europe will only be sold in Europe, not to other parts of the world. I want to add a few words to the first question. This is the question that is about the main thinking about our global strategy. We have to co-share the capacity on the global scale. We can use the most economic lever to give full play to the full strength of our system. Secondly, we are going to concentrate more resources for international perspective, meaning two-thirds of the markets will come from overseas. Not to mention the strategy that I've mentioned about, one, two, three, four, five, six strategy. How to stay focused. We need to continue to deepen the localization strategy. We need to continue to stick to the policy that our products need to go international. The supply chain will have to go local.

So don't get me wrong.

The products produced in Europe will only be sold in Europe, not to other parts of the world. I want to add a few words to the first question—uh, this is the question that is about the main...

Thinking about our global strategy, we have to co-share the capacity on the global scale. You can use the most economic level to let people play to the full strength of our system. Secondly, we are going to concentrate more resources from an international perspective, meaning two-thirds of the markets will come from overseas.

Uh, not to mention the strategy, the strategy that I mentioned about 1 2 3 4 5, 6 strategy, how to stay focused, we need to continue to deep uh the localization.

Strategy.

to the

An Conghui: Our brands and our technologies will have to move upward even further. Of course, another thing which is equally important, not only relevant to China, but also to other parts of the world, which is about after sales service. We need to do a better job at after sales services so that we will become a flagship company in the world. The after sales will be the watershedding industry between whether or not we can really achieve due success in due course. Okay. Last two questions due to the time limit. Okay, maybe we have to answer the second question about AP or accounts payable. Probably you didn't have much time to take a look at the financial statements. For AP, 2025 year-end is about CNY 81 billion, according to the Hong Kong accounting rules. By 30 June 2026, it's about CNY 84 billion.

Supply chain—we have to become local. Our brands and our technologies will have to move upward even further.

Of course, another thing which is equally important—not only relevant to China, but also to other parts of the world—which is,

Regarding after-sales service, we need to do a better job with our after-sales services, so that we will become a flagship company in the world.

Li Shufu: Okay. Last two questions due to the time limit.

Uh, the after-sales will be the watershed in the industry, between whether or not we can really achieve true success in due course.

Okay.

Last two questions due to the time limit,

Dai Yong: Okay, maybe we have to answer the second question about AP or accounts payable. Probably you didn't have much time to take a look at the financial statements. For AP, 2025 year-end is about CNY 81 billion, according to the Hong Kong accounting rules. By 30 June 2026, it's about CNY 84 billion.

Okay, maybe we should answer the second question.

about AP or accounts payable

Um, you probably didn't have much time to take a look at the financial statements for AP. 2025 year-end is about $81 billion.

According to the Hong Kong accounting rules.

Uh, by June 30th, 2026, it is about $84 billion.

Dai Yong: Only about CNY 3 billion increase, not double increase. Only increased by CNY 3 billion. This is a correction. Secondly, after the launch of the anti-fierce competition policies of the state, we have quicker steps to pay all the arrears or the account payables. In the past, about 45 days, 60 days, 90 days of accounts payable to recover the money. Now we have already changed the rules. For all those 60-day above scenarios, we have already shortened the period well below the scale of 60 days. Secondly, there is a different scale for year-end last year and also mid-year of this year. For the small and medium-sized enterprises, the scale has been reduced to about 30 days or even lowered to pay on-site practice. For the results, also have some statistics. For H1 of 2025, the turnover rate is about 115 days.

It's only about $3 billion—increase, not doubling, not a double increase. The whole amount increased by $3 billion.

So this is a correction. Secondly, after the launch of the—

Anti-phase competition policies of the state. We have quicker steps to pay all the arrears or the account payables. In the past, it was about 45 days, 60 days, or 90 days of account payable to recover the money.

And now, we have already changed the rules for all those 60-day and above scenarios. We have already shortened the periods to well below the scale of 60 days. Secondly,

Uh, there's a different scale for year and last year, and also year-mid and, uh, mid-year of this year.

And for this morning, medium-started enterprises, the cycle has been reduced to about 30 days or even lower.

lowered to, uh,

On site practice.

Dai Yong: For H1 of 2026, this period has been reduced to about 103 days. It is optimized about nearly half a month. If you take a look at the Q2 of 2026, the turnover rate or days is being reduced to about 96 days. For Q3 and Q4, with more policies going out and with things getting even better, there will be much shorter duration for the turnover rate days of APs. Also, we have received a lot of online questions. Maybe one question from online first. I want to first of all ask a question about the grid and the power distribution together with the charging facilities and the charging competencies for Geely. Also some questions about energy storage and conservation. I want to first of all thank our friend from online.

For the results, we also have some statistics for H1 of 2025, and the turnover rate is about 170. For 115 days in H2, and H1 was 226 days. Uh, this period has been reduced to about 103 days.

It is optimized for nearly half a month.

But if you take a look at Q2 of 2026, the turnover rate, or days, is being reduced to about 96 days for Q3 and Q4.

Uh, with more policies going out, and with things getting even better, there will be a much shorter duration for the turnover rate days of APs.

Li Shufu: Also, we have received a lot of online questions. Maybe one question from online first. I want to first of all ask a question about the grid and the power distribution together with the charging facilities and the charging competencies for Geely. Also some questions about energy storage and conservation.

Also, we have received a lot of, uh, online questions.

Maybe one question from online first.

Gan Jiayue: I want to first of all thank our friend from online. As you have mentioned, that question is quite similar to the question raised by Guangdong Development Securities. Why the pure electric battery is having its market because of the ultra-fast charging devices or batteries, especially with the rapid increase of the market there. The energy replenishment is critical to the users. Many customers also have the same idea that for NEV cars, whether or not it is convenient is largely dependent upon convenience, immediacy of energy storage, and discharging efficiency. The convenience means whether or not you have well-distributed outlets for the service of the NEV cars. We have been always thinking about one issue: how to solve the problem of charging life cycle and charging speed or ultra-fast charging facilities and efficiencies.

Gan Jiayue: As you have mentioned, that question is quite similar to the question raised by Guangdong Development Securities. Why the pure electric battery is having its market because of the ultra-fast charging devices or batteries, especially with the rapid increase of the market there. The energy replenishment is critical to the users. Many customers also have the same idea that for NEV cars, whether or not it is convenient is largely dependent upon convenience, immediacy of energy storage, and discharging efficiency. The convenience means whether or not you have well-distributed outlets for the service of the NEV cars. We have been always thinking about one issue: how to solve the problem of charging life cycle and charging speed or ultra-fast charging facilities and efficiencies.

I want to, first of all, ask a question about the grid, the power distribution, together with the charging facilities and the charging competencies for GD. And also, some questions about the energy storage and conservation. So, I want to, first of all, thank our friend from online.

so, you have

have mentioned.

That question is quite similar to the question registered by Guanggong Development Bank and Grant Development Securities: Why the pure electric...

Batteries are gaining market share because of ultra-fast charging devices and batteries, especially with the rapid increase in the market there.

The energy replenishment is critical.

To the users—many customers also have the same idea that

for any cars, whether or not it is convenient.

Is largely dependent upon convenience?

immediacy of energy storage and

Uh, discharging efficiency, the convenience means whether or not you have a well distributed outlets for the service of the enemy. We have been always thinking about 1 is how to solve the problem of uh, charging

Life cycle and charging speed, or ultra-fast charging facilities and efficiencies.

Gan Jiayue: We are very clear about some of the issues there, because when the temperature goes above 45 degrees Celsius or 50 degrees Celsius, when 10 degrees up, then the batteries will decrease its efficiency by about 100%, or will quicken the speed of its phasing out, meaning originally the life cycle or the lifetime for the battery is about 10 years. But if the temperature goes too high, maybe the life of the batteries will be reduced by half to about five years only. Secondly, super or ultra-high speed or faster charging will also generate a series of risks. Quick charging or faster charging, if I may use a metaphor, just in case of smoking. Smoking is bad for your health, but that might not be so clearly seen on first sight. But how to solve the problem?

We are very clear about some of the issues there because—

uh,

when the temperature goes above 45 degrees or 50 degrees Centigrade,

uh, when 10 degrees

Up.

Then, the batteries will decrease in efficiency by about 100%, or will quickly—

The speed.

Of its facing-out meaning, originally the life cycle or the lifetime for the battery is about 10 years, but if the temperature goes too high, maybe the life—

The life of the batteries will be reduced by half, to about 5 years only. Secondly, super or ultra-high-speed, or fast charging, will also generate a series of risks. Quick charging, or faster charging, if I may use a metaphor—

Just like in the case of smoking.

Smoking is bad for your health.

But that might not be so clearly seen at first sight, but how do we solve the problem?

Gan Jiayue: Our R&D staff will have to consider how to ensure we can have faster charging, but also at the same time, safe faster charging. With four or five years of efforts, we have made full use of AI capacities to provide a full chain quick charging devices and competencies. That is because about five years ago in 2021, we have set up energy replenishment companies of Haohan, and we are the first to China to launch our special technologies, and we have been maintaining our leading edge in energy conservation. in 2021, we are the first to launch the ultra-fast charging post, and the power is about 360 kilowatts. By that technology, we can reduce the charging time from several hours to several minutes. Later on, charging time has also been reduced from 30 minutes to 11.5 minutes.

Our R&D staff, we have to consider how to ensure we can have faster charging, but also, at the same time, safe fast charging.

So, with the four or five years of effort, we have made progress through the use of AI capacity.

To provide a full chain, uh, quick charging devices and competencies. That's because it's about 5 years ago in 2001. Uh 2021 we have set up energy uh replenishment companies of How High and

We're the first to China to launch our special technologies, and we have been maintaining...

Leading Edge in energy conservation.

In 2021, we were the first to launch the ultra-fast charging post.

And the power is about 360 kilowatts. By that technology, we can reduce the charging time from several hours to several minutes.

Gan Jiayue: In April 2025, we have launched about 1,500 kilowatt, mass production gigawatt level device. The power is up to about 1,230 kilowatts, meaning the charging time has been reduced to about 4 minutes 22 seconds for the battery to be charged by 10% to 70%. You only have to spend about 8 minutes or more to have your batteries fully charged. Some core technologies have also been developed ever since then, including some temperature control, AI, smart technologies, charging technologies. The fifth generation of charging devices and technologies came out, based upon the AI, big models, and super gigawatt technologies to maintain safety and reliability at the same time. These technologies will be made available before the end of Q3 this year. Stay tuned. I want to give you a few quick glimpse of the technologies.

And later on, charging time has also been reduced from 30 minutes to 11.5 minutes. In April 2025, we have launched about 1,500 kilowatts.

Mass production: kilowatt- and gigawatt-level devices.

Uh, the power is up to about, uh, 1,230 kilowatts.

meaning, uh,

It took about 4 minutes and 22 seconds for the battery to be charged from 10% to 70%. You only have to spend about 8 minutes or more to ensure your batteries are fully charged.

Some core technologies have also been developed ever since then, including temperature control, AI smart technologies, and charging technologies.

The fifth generation of charging devices and technologies came out, uh, based upon the AI big models.

And uh, super Gigabyte Technology.

To maintain safety and reliability at the same time.

So, these technologies will be made available.

before the end of Q3 this year,

So, stay tuned.

So, I want to give you a...

Gan Jiayue: First of all, through some temperature smart control technologies, there won't be overheating of the system, because otherwise, there will be a full chain overheating of the temperatures of the battery. We will strictly control the temperature within the national certified 65 degrees Celsius. Secondly, the AI temperature control technologies use the vehicle host cloud multi-point testings coupling to make the calculation using AI technologies. The millisecond change detection is made available. Through AI-centered technologies, we can ensure inspection, maintenance, and charging at the same time. All-in-one strategy is made available to ensure safety and reliability. Secondly, charging time and charging safety will be controlled mainly by the users, meaning the users will become smarter in using the energy replacement technologies. For more details, just stay tuned until the end of Q3 for the press conference for the official announcement of the technologies. Thank you.

First of all, through some temperature smart control technologies.

There will be uh, overheating.

...of the system, because otherwise there would be full chain overheating of the temperature of the batteries.

So we will strictly control, uh, the temperature within the national certified 65 degrees Centigrade. Secondly, the AI, uh, temperature control technologies use the vehicle post, cloud multi-point testing coupling to make the calculation.

Using AI technologies. So, the many second,

Change detection is made available through AI-centered technologies. You can

Ensure inspection, maintenance, and charging are performed at the same time. An all-in-one strategy is made available.

To ensure safety and reliability. Secondly,

Charging time and charging safety will be controlled mainly?

By the users, meaning the users will become smarter in using energy replenishment. Technologies, of course, for more details.

Uh, just stay tuned until the end of Q3 for the press conference and the official announcement of the technologies. Thank you.

[Analyst] (Wandi): An investor at the back, he has got a question. Well, thank you, Mr. Chairman. My name is Shaoyu from Wandi. The question is related to One Geely strategy and your product portfolio. If you take a look at your financial report, we can see that this One Geely strategy has made significant changes to the back-end operating systems. Mr. Gui also mentioned that there is still great room for improvement on your financial performance. I just wonder whether you are going to enable greater changes at your front desk level, or let us say, right now you can launch a lot of models, but only a few of these models will be remembered and recognized by the customers. Also, we can see there was some sort of conflict between your internal models. There is Nio, Lynk & Co, Zeekr. For Nio models, Zeekr, Lynk & Co, and other products.

Li Shufu: An investor at the back, he has got a question.

[Analyst] (Wandi): Well, thank you, Mr. Chairman. My name is Shaoyu from Wandi. The question is related to One Geely strategy and your product portfolio. If you take a look at your financial report, we can see that this One Geely strategy has made significant changes to the back-end operating systems. Mr. Gui also mentioned that there is still great room for improvement on your financial performance. I just wonder whether you are going to enable greater changes at your front desk level, or let us say, right now you can launch a lot of models, but only a few of these models will be remembered and recognized by the customers. Also, we can see there was some sort of conflict between your internal models. There is Nio, Lynk & Co, Zeekr. For Nio models, Zeekr, Lynk & Co, and other products.

An investor at the back has a question. Well, thank you, Mr. Chairman. Uh, my name is...

Related to, uh, 1GD, strategy, and your product portfolio.

Financial rules uh, report.

You can see that this is one Geely-driven strategy.

Has made, uh, you know, the significant changes to this uh, to the back end office or back end operating systems.

And Mr. Khoo also mentioned that.

There is still great room for improvement.

On your uh, financial performance.

So I just wonder whether this—you’re going to, you know, enable greater changes at the front desk level.

let's say, uh,

[Analyst] (Wandi): For Galaxys, they have launched similar models. I just wonder how to differentiate these models under different sub-brands. Ever since 2019, there is a significant decline in the combustion engine vehicles. I just wonder, in implementing this One Geely strategy, are you going to streamline your product portfolio?

Right now, you can launch a lot of models, but only a few of these models will be remembered and recognized by the customers, and also we can see there are some sort of conflicts between your internal models. This is 9x, Lincoln Co Xikar 449x models. The secret is 109x Lincoln Co and other, other...

Or for Galaxies, they have launched similar models.

I just want to add a differentiator: these models are the different sub-brands.

Ever since 2019, there is an initiative and significant decline in combustion engine vehicles.

I just wonder, uh, in implementing this, uh, 1 GT strategy.

Gan Jiayue: Well, thank you very much for your question. First of all, I am going to give you a couple of numbers. For Geely brand, including Galaxy and China Star and Lynk & Co. For Galaxy, it declined by 5% during the H1 of this year. For Lynk & Co, it declined 6%. For China Star, it declined 5%. For Zeekr,

Gui Shengyue: Well, thank you very much for your question. First of all, I am going to give you a couple of numbers. For Geely brand, including Galaxy and China Star and Lynk & Co. For Galaxy, it declined by 5% during the H1 of this year. For Lynk & Co, it declined 6%. For China Star, it declined 5%. For Zeekr,

Are you going to streamline your, uh, product portfolio?

Well, thank you very much for your question.

I'm going to give you a couple of numbers.

Including Galaxy and China Star, and Lincoln Co.

For Galaxy.

Declined by 5% during the first half of this year. For Lincoln Co, it declined 6%.

Gui Shengyue: It increased 97%. The overall increase of sales revenue is 1%. The national average is -6%. Starting from 2024, when we announced the Taizhou Declaration. Geely is going back to the One Geely strategy through consolidation, integration of resources. We are going to build a big back office platform, big mid office platforms, and eliminate duplicated investment, streamline the organization, streamline the functions, cut off all the redundant ones. Through institutional change, we consolidate our procurement system, we consolidate our R&D system. We also established an integrated sales company for Geely during the H1 of this year. Since we came back to the One Geely strategies, we have made some achievements. I think you can detect these achievements through our financial statement. For example, the administrative spending, the ratio decreased from 1.9% to 1.7%. There is a 12 percentage point drop. As to setting spending,

And for China Star, it declined 5% for Zika.

It increased 97%, 97%. So, the overall increase.

Of sales revenue is 1%.

And the, uh, the national average is...

Minus 6%.

Starting from 2024, when we announced the title declaration.

Actually, uh, it's going back to the 1G strategy, though.

With the consolidation and integration of resources, we're going to build a big, big office platform—big mid-office platforms—and reduce...

And eliminate duplicated investment, streamline the organization, and streamline the functions.

Cut off all the redundant ones.

House rule institutional, uh, change.

We consolidated our procurement system. We consolidated our R&D system.

um, also we established

An integrated sales company for July, during the first half of this year.

Since we came back to the 1GD strategies, we've made it so much cheaper. I think you can, uh,

To present these achievements in our financial statement—for example, the administrative spending—

Gui Shengyue: In China, we are still making a substantial investment in China. But in the international market, the spending remains stable. For R&D, the spending ratio dropped from 5.5% to 5.2%. When we were doing the product, we were planning for the future products starting from last year till this year. In Zeekr, Lynk & Co, Galaxy, and China Star. When there is overlapping models, we just remove them from our product plan. Talking about the product, the number of models reduced 20%. Through this One Geely strategies, there is more synergistic coordinations within the group, within the company, and we are seeing a more coordinated development among different brands. As to how to develop the killer products and the future killer models in the future. I believe that the H2 of this year is a critical period.

Uh, the ratio decreased from 1.9% to 1.7%. So there is a 12 percentage point drop. As to, uh, setting spending, uh, in China, we're still making substantial investment in China.

But in the international market, the spending remains stable, and for R&D,

Uh, the spending ratio dropped from 5.5% to 5.2%.

When we were doing the product, we were planning for the future products, starting from last year until this year in Zika, Lincoln Co Galaxy, and China Star.

But there is an overlapping of models. We just remove them from our product plan.

so, talking about the, uh,

Product: the number of models produced increased by 20%.

So through this 1 GD strategy, there’s more synergistic coordination within the group, within the company, and we’re seeing a more coordinated development among different brands.

As to how to, you know, develop killer products in the future—killer models in the future—I believe that the second half of this year is a critical period.

Gui Shengyue: The new models will be launched during the H2 of this year. For Galaxy, it will continue to focus on premium mainstay products. For Lynk & Co, it will continue to focus on trendy and individualized products. For Lynk & Co, we need to broaden its product portfolio. But how? It will be more sporty, will be more dynamic. I think this is the direction for the future of Lynk & Co. As to Zeekr, it will become a premium tech-driven brand. I think there is a clear distinctions between different brands. For Galaxy TT or Warship 700, new technologies will be applied to these models. Well, so far, there is a very high level of market recognitions of the two models I have just mentioned. I believe that they will continue to enjoy high visibilities in the market in the H2 of this year.

The money models, new models.

It will be launched during the second half of this year.

For Galaxy, it will continue to focus on premium Mind State products for Lynk & Co.

It will continue to focus on trendy and individualized products.

For Lincoln code, we need to broaden its product portfolio, but how? Um, it will be more sporty, uh, will be...

More dynamic.

So, I think this is the direction for the...

For the future of Lincoln Co., as to Xikar, it will become a premium, tax-driven brand.

I think there are clear distinctions between different brands.

For Galaxy TT or Warship 700, will new technologies be applied to these models?

So far, there is a very high level of market recognition for the two models I've just mentioned. I believe that they will continue to enjoy this recognition.

Gui Shengyue: As to Lynk & Co Z20, I believe it will become a killer product. Thank you. Well, that is a very good question. Actually, it captures the essence of the problems we are facing. There is a lack of a blockbuster product or model within the Geely system. The product development plan was formulated years and years ago. We are revisiting these plans, and it will take some time to complete the review of these plans. During the H1 of this year, actually we enjoyed a very good gross margin. We enjoyed a good per capita or per unit sales. We enjoy good profitability. But we are still looking for problems. So behind these beautiful numbers, we found that Zeekr is a prime contributor. It contributed to the increase to gross margin and per unit sales revenue. And also Galaxy is another contributor.

High visibility in the market in the second half of this year as to when we can go Z20; I believe it will become a killer product. Thank you.

Uh, well, this is a very good question. Actually, it captures the essence of the problems we're facing. There's a lack of blockbuster product or model within the GD system.

The product plan.

The product development plan was formulated years and years ago.

We are revisiting these plans, and it will take some time.

To complete the review of these plans.

During the first half of this year, uh, actually, we enjoyed a very good gross margin. We enjoyed...

a good, uh,

Per capita, or per unit sales, we enjoy good profitability.

But we are still looking for problems.

So behind these beautiful numbers.

We found that xikar.

Is a prime contributor.

It helps to increase, contributed to the, uh, increased.

Gross margin and per unit sales revenue.

And also, Galaxy is another contributor.

Gui Shengyue: But I think there is still some lack of brand force in the mainstay market. We have taken notice of that issue. We still need some strong mid-level product. So in the future, we are going to do a better job in product or model planning, technology planning. And there is more to do in these areas. Once we got this strong mid-level blockbuster product, I believe we are going to see a significant increase in gross margin and profitability in per unit revenue. Anyway, we are confident about the future. Thank you. We are behind the schedule, anyway. And we are going to launch some road shows in the next couple of days. We definitely welcome your participation. And if you have any further questions related to the development of the company, we will be very happy to receive your company. Thank you once again. That concludes the conference. Thank you.

but I think,

There is still some lack of, you know, brand force.

In the mainstream market.

Uh, we've taken notice of that issue.

We still need some strong mid-level, uh, products. So in the future, we're going to do a better job in product or model planning, technology planning.

And there is more to do in these areas.

Once we got this strong level,

With this blockbuster product, I believe we're going to see a significant increase in gross margin and our profitability per unit.

Gui Shengyue: Anyway, we are confident about the future. Thank you.

Revenue. Uh, anyway, we're confident about the future. Thank you.

Li Shufu: We are behind the schedule, anyway. And we are going to launch some road shows in the next couple of days. We definitely welcome your participation. And if you have any further questions related to the development of the company, we will be very happy to receive your company. Thank you once again. That concludes the conference. Thank you.

We're behind the schedule anyway.

And we're going to launch some road shows in the next couple of days.

We definitely, welcome your participation.

And if you have any further questions related to, uh, the development of the company, we will be very happy to receive your comments.

Thank you, once again.

That concludes the conference. Thank you.

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Q2 2026 Geely Automobile Holdings Ltd Earnings Call

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