Zeekr Group Announces the Election Deadline for Merger Consideration

China's EV sector has strong long-term growth potential, but a high comparison base for 2026, uncertain subsidy policies and prolonged price competition may cap share-price upside, Morningstar analysts say in a report. They note that stimulus measures, rising consumer adoption and higher vehicle capabilities could keep EV demand robust. Morningstar raises its passenger EV sales forecast by 10% and expects 25%-30% growth in 2025, though year-end rush buying may slow sales growth in 2026. Geopolitical tensions will weigh on exports, but EU tariffs are unlikely to derail Chinese carmakers' plans to localize production in Europe. Profitability will remain pressured near term as discounts persist but should improve in 2026-2028 as scale efficiencies build and battery costs stay low. Geely remains Morningstar's top sector pick. (jason.chau@wsj.com)

By Jiahui Huang

Geely Automobile delivered a strong third quarter despite stiff competition in its home market of China, with both net profit and revenue rising sharply, supported by effective cost controls and robust sales.

Net profit jumped 59% from a year earlier to 3.82 billion yuan, equivalent to $538.1 million, as revenue climbed 27% to 89.19 billion yuan, the Hangzhou-based automaker said Monday. Geely sold a total of 761,000 vehicles during the quarter, up 43% from the previous year.

The solid set of results comes as Geely has been gaining market share with its strong product offerings. The Chinese automaker has enjoyed rapid growth in sales volume this year, thanks to its wide product range and competitive pricing. The strong momentum prompted the company to raise its annual sales target by about 11% to 3 million vehicles.

The carmaker has also made changes to its business to make the most of its resources amid intense competition in China's auto market. Two of Geely's brands--Zeekr and Lynk & Co--merged to form Zeekr Group earlier this year.

Zeekr on Monday posted strong third-quarter sales, with total deliveries rising 12.5% to 140,195 units. Its revenue rose 9.1% to 31.56 billion yuan, and its gross margin improved to 19.2%.

Geely's sales momentum stands out as a bright spot in an industry grappling with policy changes this year. Chinese authorities have imposed restrictions on the promotion of autonomous-driving technology and warned against excessive competition in the sector, with industry associations also calling for steep price cuts to be halted.

The company, now the second-largest electric-vehicle maker in China, has adopted an aggressive pricing and product strategy to take on BYD, the world's best-selling EV maker. Its shares have risen about 16% in Hong Kong so far this year, outperforming BYD's 13% gain.

Write to Jiahui Huang at jiahui.huang@wsj.com

By Jiahui Huang

Geely Automobile reported stronger earnings in the third quarter, thanks to the Chinese auto giant's robust performance despite stiff competition in its home market.

Net profit rose to 3.82 billion yuan, equivalent to $538.1 million, from 2.40 billion yuan a year earlier, on revenue that increased 27% to 89.19 billion yuan, the Hangzhou-based automaker said Monday. Geely sold a total of 76,100 vehicles in the third quarter, up 43% from the previous year.

Geely, China's second-largest electric-vehicle maker, has been growing its market share with strong product offerings. The automaker has experienced rapid growth in sales volume this year, driven by its range of products and competitive pricing. In July, it raised its annual sales target to 3 million units from 2.17 million units.

Geely's subsidiary Zeekr also posted strong sales in the third quarter, with its total delivery volume rising 12.5% to 140,195 units. The company's revenue climbed 9.1% to 31.56 billion yuan, and its gross profit margin improved to 19.2%.

Write to Jiahui Huang at jiahui.huang@wsj.com

Q3 2025 saw robust growth in sales and profit, with revenue up 27% YoY and profit attributable to owners up 59% YoY. Major acquisitions and a shift to merger accounting improved transparency and operational control, while ZEEKR delivered strong results.

Original document: Geely Automobile Holdings Limited [175] Earnings Release — Nov. 17 2025

Chinese auto-parts companies' 4Q margins are expected to stabilize after margin erosion in 3Q, as auto-component prices have bottomed out, UOB Kay Hian analysts Ken Lee and Bella Lu say in a note. The bank maintains a market weight rating on the Chinese auto sector, favoring auto-parts companies over original equipment manufacturers due to their dominant market positions. Its top buys are CATL and Geely, supported by their strong research and development. The brokerage's top sells are BYD and Li Auto amid peaking China sales and mounting pressure on product prices and margins. It cuts Li Auto's target price to HK$60.00 from HK$70.00 citing lower earnings estimates.(jason.chau@wsj.com)

By Dominic Chopping

Renault Group agreed to a deal that will see Chinese auto group Geely take a 26.4% stake in the French automaker's Brazilian business.

The deal gives Geely Holding Group and Geely Automobile Holdings access to Renault's resources in Brazil and will allow them to manufacture Geely Auto branded vehicles alongside Renault vehicles at its Ayrton Senna manufacturing plant in the country.

At the same time, Renault will utilize Geely's car platform designed for electric and hybrid powertrains to extend its lineup with zero and low-emission vehicles for the Brazilian market.

Renault said its Brazilian unit, Renault do Brasil, will distribute Geely Auto's portfolio of zero and low-emission vehicles in Brazil, opening up new growth opportunities in sales, financing and services.

The Geely EX5 electric SUV is already available on the Brazilian market through brand dealerships operated by the Renault network.

Previously, Renault Group and Geely have established multiple global cooperation projects including joint investment into Renault Korea and the creation of powertrain technology developer Horse Powertrain.

Financial terms weren't disclosed.

Write to Dominic Chopping at dominic.chopping@wsj.com