july 2016 - geelyauto.com.hk · key product – gc9 6 • new brand image, market positioning &...

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Corporate Presentation July 2016

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Page 1: July 2016 - geelyauto.com.hk · Key Product – GC9 6 • New brand image, market positioning & design philosophy • New 1.8T and 3.5L V6 engines • Fastback & sporty design •

Corporate Presentation

July 2016

Page 2: July 2016 - geelyauto.com.hk · Key Product – GC9 6 • New brand image, market positioning & design philosophy • New 1.8T and 3.5L V6 engines • Fastback & sporty design •

2

174,884 units +8% YoY

33,421units -4% YoY

Overall: 280,337 units, +11% YoY Domestic: 269,669 units +15% YoY

Exports: 10,668 units -40% YoY

Sales Performance 1st Half 2016

A-segment Sedans

(EC7+New Emgrand+Vision)

SUVs (GX7+Boyue)

Page 3: July 2016 - geelyauto.com.hk · Key Product – GC9 6 • New brand image, market positioning & design philosophy • New 1.8T and 3.5L V6 engines • Fastback & sporty design •

3

Sales Performance 1st Half 2016

Vision

(67,925 units +24%YoY)

KingKong

(35,953 units +16%YoY) -60%

-40%

-20%

0%

20%

40%

60%

80%

201

1 6 9

12 3 6 8

12 3 6 9

12 3 6 9

12 3 6 9

12 3 6

Domestic Sales Volume (3MMA+/-%)

-

10,000

20,000

30,000

40,000

50,000

60,000

70,000

201

0 4 7

10

201

1 4 7

10

201

2 4 7

10

201

3 4 7

10

201

4 4 7

10

201

5 4 7

10

201

6 4

exports

domestic

Monthly Sales Volume

Page 4: July 2016 - geelyauto.com.hk · Key Product – GC9 6 • New brand image, market positioning & design philosophy • New 1.8T and 3.5L V6 engines • Fastback & sporty design •

Key Model – New Emgrand

• Enhanced safety & comfort

• New turbo engines with larger power & better fuel efficiency

• New 6-speed manual gearbox

• NVH noise cancellation technology

• Enhanced storage space

• Bosch’s V9.0 ABS+EBD

• HHC (Hill Hold Control)

• ESC (Electronic Stability Control)

• G-Netlink infotainment system with voice control

• G-Link mobile connectivity system

4

0

5,000

10,000

15,000

20,000

25,000

2014 9 11 2015 3 5 7 9 11 2016 3 5

Monthly Sales Volume of New Emgrand

Page 5: July 2016 - geelyauto.com.hk · Key Product – GC9 6 • New brand image, market positioning & design philosophy • New 1.8T and 3.5L V6 engines • Fastback & sporty design •

Key Model – New Vision

5

• Enhanced safety & comfort

• More efficient turbo engines

• New 6-speed manual gearbox

• 360O 3-sensor parking assist system

• PEPS (Passive Entry/Passive Start)

• NVH noise cancellation technology

• 4 Wheel Disc Brakes

• Bosch’s V9.0 ABS+EBD

• Enhanced storage space

• G-Link mobile connectivity system

-

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

2014 10 12 2 4 6 8 10 2016 2 4 6

Monthly Sales Volume of Vision

Page 6: July 2016 - geelyauto.com.hk · Key Product – GC9 6 • New brand image, market positioning & design philosophy • New 1.8T and 3.5L V6 engines • Fastback & sporty design •

Key Product – GC9

6

• New brand image, market positioning & design philosophy

• New 1.8T and 3.5L V6 engines

• Fastback & sporty design

• Top international suppliers

• New manufacturing facilities

• Harman Infinity@ Entertainment

• City Safety, ACC Cruising, PAS Parking, LDW Alert, HUD Display, EPB Brake & AQS Air Quality Control

JLE-4G18TD

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

2015 5 7 9 11 2016 3 5

Monthly Sales Volume of GC9

Page 7: July 2016 - geelyauto.com.hk · Key Product – GC9 6 • New brand image, market positioning & design philosophy • New 1.8T and 3.5L V6 engines • Fastback & sporty design •

New Product – Boyue

7

Engine: 1.8T, 2.0L

Transmissions: 6MT, 6AT

Dimension: 4519/1831/1694

Wheelbase: 2670

Power: 135Kw (1.8T)

Max. Torque: 285/1500-4000

N.m/rpm(1.8T)

MSRP: RMB98,800-157,800

Page 8: July 2016 - geelyauto.com.hk · Key Product – GC9 6 • New brand image, market positioning & design philosophy • New 1.8T and 3.5L V6 engines • Fastback & sporty design •

New Product – Emgrand GS

8

Engine: 1.3T, 1.8L

Transmissions: 6DCT, 6MT

Dimension: 4440/1833/1560

Wheelbase: 2700

Power: 95kw/5500rpm (1.3T)

Max. Torque: 185/1750-4500N.m/rpm

MSRP: RMB77,800-108,800

Page 9: July 2016 - geelyauto.com.hk · Key Product – GC9 6 • New brand image, market positioning & design philosophy • New 1.8T and 3.5L V6 engines • Fastback & sporty design •

9

Upcoming New Products

• 2016

• Mid-size SUVs (March 2016)

• Cross Vehicles: Emgrand GS (May 2016)

• New generation of A segment Sedans (2H2016)

• Compact SUVs (2H2016)

2016 sales volume target at 600,000 unis (+18% over 2015)

• 2017

• First batch of new models from CMA (Compact Modular Architecture) platform to be launched in 2017

Page 10: July 2016 - geelyauto.com.hk · Key Product – GC9 6 • New brand image, market positioning & design philosophy • New 1.8T and 3.5L V6 engines • Fastback & sporty design •

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Dealer/Brand Restructuring

2 brands & 2 dealer networks

3 brands & 3 dealer networks

(2008)

1 brand & 1 dealer network

(2014)

941 976 973 981

1068

943

838

751

694 685

500

600

700

800

900

1000

1100

Number of Dealers in China

Page 11: July 2016 - geelyauto.com.hk · Key Product – GC9 6 • New brand image, market positioning & design philosophy • New 1.8T and 3.5L V6 engines • Fastback & sporty design •

Study Segment Model Segment

Rank

IQS# Compact Geely Kingkong 3

VDS^ Mass Market Geely 14 (152 pp100 vs. average of 160)

VDS^ Compact Mini Geely Panda 1

J.D.Power Asia Pacific 2015 China Initial Quality StudySM (IQS)

Vehicle Dependability StudySM (VDS)

Source: J.D.Power Asia Pacific

# based on evaluations from 21,707 owners of new vehicles purchased between October 2014

and June 2015, including 270 different models from 71 different brands;

^ based on evaluations from 17,534 owners of vehicle purchased between May 2011 and August

2012, including 160 different models from 59 different brands

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Vehicle Quality & Dependability

Page 12: July 2016 - geelyauto.com.hk · Key Product – GC9 6 • New brand image, market positioning & design philosophy • New 1.8T and 3.5L V6 engines • Fastback & sporty design •

Brand Points# Overall Rank Sector Rank*

Geely 715 13 5

Mass Market Average 664

J.D.Power Asia Pacific 2015 China Customer Service Index (CSI) StudySM

Source: J.D.Power Asia Pacific 2015 China Customer Service Index (CSI) StudySM

# based on a 1,000-point scale and study of 68 passenger vehicle brands in China

* ranking amongst Chinese domestic brands

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Customer Service Satisfaction

Page 13: July 2016 - geelyauto.com.hk · Key Product – GC9 6 • New brand image, market positioning & design philosophy • New 1.8T and 3.5L V6 engines • Fastback & sporty design •

13

Auto Finance Joint Venture

80% 20%

• Located in Shanghai

• RMB900m registered

capital

• Commenced operation in

September 2015

• Wholesales financing

solutions to dealers

• Retail financing solutions

to end-customers

• Focusing on Tier-1 & -2

cities initially

• Supporting both Geely

and Volvo Car brands

• Progressively covering the

whole China market

Page 14: July 2016 - geelyauto.com.hk · Key Product – GC9 6 • New brand image, market positioning & design philosophy • New 1.8T and 3.5L V6 engines • Fastback & sporty design •

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Financial Performance

-

100,000

200,000

300,000

400,000

500,000

600,000

2005 2007 2009 2011 2013 2015

Annual Sales Volume

-

10,000

20,000

30,000

40,000

50,000

60,000

2005 2007 2009 2011 2013 2015

Average Ex-factory Price

0

500

1,000

1,500

2,000

2,500

3,000

2005 2007 2009 2011 2013 2015

Net Profit

14%

20%

13%

21%

19% 17%

16% 16%

17%

8%

12%

0%

5%

10%

15%

20%

25%

2005 2007 2009 2011 2013 2015

Return on Equity

-

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5

5.0

2005 2007 2009 2011 2013 2015

Cash Dividend Per Share (HK Cents)

-

20,000

40,000

60,000

80,000

100,000

120,000

140,000

2005 2007 2009 2011 2013 2015

Export Sales Volume

Page 15: July 2016 - geelyauto.com.hk · Key Product – GC9 6 • New brand image, market positioning & design philosophy • New 1.8T and 3.5L V6 engines • Fastback & sporty design •

2015 Results In Brief

* Gross profit margin ratio = gross profit / turnover

** Operating margin ratio = (pre-tax margin before net finance costs , share-based payments and share of results of associates and joint ventures) / turnover

## Net cash = all cash /bank deposits – all bank borrowings – senior notes

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+58% Attributable profit increased to RMB2.3 billion

+22% In total sales volume to 510,097 units

18.2% Gross margin stabilized at

9.3% Operating margin

improved to

+10% Rise in Average

Unit Price

RMB7.3 bn Net cash up 54% to

Page 16: July 2016 - geelyauto.com.hk · Key Product – GC9 6 • New brand image, market positioning & design philosophy • New 1.8T and 3.5L V6 engines • Fastback & sporty design •

Strategy

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Products • Platform and modular architecture;

• Focus on powertrain technology;

• In-house international design capabilities;

• Joint product architecture with Volvo Car;

• Focus on EV, PHEV & HEV to speed up new energy product

offerings

• Strategic alliance to upgrade technologies

Services

• 683 dealers in China;

• 24 sales agents, 446 sales and service outlets in 24 oversea

countries;

• Vehicle finance JV with BNP Paribas Personal Finance

Branding

• 3-year transition period from three brands to single brand;

• Single brand for export markets

Page 17: July 2016 - geelyauto.com.hk · Key Product – GC9 6 • New brand image, market positioning & design philosophy • New 1.8T and 3.5L V6 engines • Fastback & sporty design •

New Energy Strategy

17

Energy Efficiency < 5.0L/100Km

by 2020

Affordable PHEVs at Prices of Traditional Cars

New Energy Vehicles = 90% of Total Sales

(PHEV/HEV:65% EV:35%)

Successful Development of Hydrogen/Metal Fuel Battery Vehicles

Leading New Energy, Smart Car and Light Weight Technologies

Page 18: July 2016 - geelyauto.com.hk · Key Product – GC9 6 • New brand image, market positioning & design philosophy • New 1.8T and 3.5L V6 engines • Fastback & sporty design •

New Product – Emgrand EV

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• Power: 95kw

• Torque: 250 Nm

• Top Speed: 140km/h

• Acceleration: 4.3s (0-50km/h)

• Range: 330km @ 60km/h

• Range: 253km (combined)

• Battery Capacity: 45kWh (NCM)

• Two Charging Ports: Slow (14 hours) / Fast (48 minutes)

Page 19: July 2016 - geelyauto.com.hk · Key Product – GC9 6 • New brand image, market positioning & design philosophy • New 1.8T and 3.5L V6 engines • Fastback & sporty design •

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Geely Automobile in Figures

Year started: 1998

Total workforce: 18,700 (on 31/12/2015)

Manufacturing facilities: 7 plants in China + 1 JV plant in

Belarus + 1 JV plant in Uruguay

Products: 11 major models under 5 platforms

Distribution network: 683 dealers in China;

24 sales agents, 446 sales and service

outlets in 24 oversea countries

2015 sales volume: 510,097 units (95% in China market)

2015 revenues: US$4.7 billion

Market Capitalization: US$4.9 billion (6 July 2016)

Page 20: July 2016 - geelyauto.com.hk · Key Product – GC9 6 • New brand image, market positioning & design philosophy • New 1.8T and 3.5L V6 engines • Fastback & sporty design •

Important Notice

The information contained herein is meant for presentation purposes only and may not be used

and relied upon by any other party. It is not to be taken in substitution for the exercise of judgement. You shall be solely responsible for making your own independent investigation of the merits of the discussions mentioned in this presentation. Geely Automobile Holdings Limited does not make any representations, warranty or guarantee as to the accuracy, completeness or correctness of the contents contained herein. The reproduction and/or dissemination of the contents herein is prohibited without our prior approval. Geely Automobile Holdings Limited and its officers, directors and employees accept no liability whatsoever for any direct or consequential loss howsoever arising from any use of this presentation or further communication given in relation to this presentation or its contents or otherwise arising in connection therewith.

Note: Sources of all data contained in this presentation are from Geely Automobile Holdings Ltd., except specified otherwise.

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