Cooperating with Xiaomi, the company is estimated to gain better performance in Q4 2020.
On December 11, BYD Electronics and Xiaomi jointly establish a laboratory in BYD Xiangshuihe Industrial Park Daya Bay Huizhou. The joint laboratory will take advantage of BYD's manufacturing and testing capabilities to provide Xiaomi with "one-stop" solutions. The company said that the laboratory has a comprehensive layout of the molding mechanism research and surface treatment technology of various materials, which can independently design multiple electronic parts and can quickly meet Xiaomi's demand for new technology development. Since 2014, BYD Electronics has been involved in the manufacture of more than 30 smartphones.
In the second half of 2020, with the continuous improvement of 5G mobile phone production and penetration, the company's electronic mobile phone business maintained good momentum. In the first three quarters of 2020, the company achieved a revenue of CNY 51.52 billion, up 34.2% year-on-year, and a net profit of CNY 4.31 billion, surging 307.2% compared with the same period of 2019. Considering the extensive cooperation with Xiaomi, we expect BYD to achieve better performance in the fourth quarter of 2020.