Chinese battery giant CATL estimates a net profit increase ranging from 11% to 20.1% in 2024, despite an up to 11.2% decline in revenues, Kallanish learns.

It anticipates last year’s net profit to reach CNY 49-53 billion ($6.7-7.3 billion) and revenue to reach CNY 356-366 billion.

“Although the company’s battery product sales have increased, due to the decline in prices of raw materials such as lithium carbonate, the company’s product prices have been adjusted accordingly, resulting in a year-on-year decline in operating income,” CATL explains.

The world’s No.1 battery manufacturer states that continuous increases in technology research and development and product competitiveness have mainly contributed to its profitability growth.

Pan Jian, co-chairman of CATL, disclosed at the World Economic Forum in Davos on 21 January that CATL is expected to announce new joint venture factory projects in Europe with other OEMs in 2025.

The joint venture for a lithium iron phosphate battery plant in Zaragoza, Spain, by CATL and Stellantis, is expected to start production in late 2026. The factory is planned to have a capacity of 50 gigawatt-hours.