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BYD and Tesla are totally dominating global electric car sales in 2023

Many people would probably be surprised to hear how poorly legacy car manufacturers are doing in terms of electric car sales. They would also be shocked how just two companies are totally dominating global plugin electric car sales. Those two companies are BYD Co. Ltd. (OTC: BYDDF) and Tesla Inc. (NASDAQ: TSLA).

BYD dominates total sales with about half coming from pure electric cars and about half from plugin hybrids. Tesla dominates in terms of total revenues as well as profit per vehicle.

The chart below shows H1, 2023 global plugin electric car sales with BYD leading on 1,248,168 sales and Tesla on 888,879 sales.

The next closest is the Volkswagen Group with 425,761 sales, roughly a third of BYD and half of Tesla.

Top selling global plugin electric car auto groups Jan-June, 2023

Source: CleanTechnica

Tesla and BYD’s lead looks set to continue in 2023, currently with a combined 36.6% of the market

Tesla and BYD have been expanding their manufacturing facilities at a feverish pace for the past several years and the results are now showing. Furthermore, by the end of 2023, their lead will be even bigger, in raw number terms. Tesla targets 1.8 million sales and BYD a massive 3 million sales in 2023.

Results like this are leaving internal combustion energy (“ICE”) legacy auto companies at risk of becoming extinct this decade as the world transitions rapidly towards EVs. For example, Toyota only sold 46,171 pure battery electric vehicles globally in H1, 2023.

As shown on the chart below we are still in the early stages of the EV boom with sales forecast to increase exponentially over the next 10-15 years. Given the current dominance of BYD and Tesla, it is looking like they will get a major part of these future sales.

BYD is currently ranked number 1 globally with 21.4% market share YTD (Jan-June 2023).

Tesla is currently ranked number 2 globally with 15.2% global market YTD (Jan-June 2023).

Combined BYD and Tesla currently have 36.6% of the global plugin electric car market.

Global plugin electric car sales forecast to 2040 (green bars)

Source: Trend Investing

BYD sales continue to boom with 261,105 sold in July and 274,086 electric cars sold in August 2023. Tesla’s sales will be released at the end of Q3.

Takeaway for investors

BYD and Tesla are dominating global sales. They are really the only two companies selling electric cars at a profit and it shows with their tremendous growth in profits in recent years.

As reported on August 29, 2023, BYD posted a >200% surge in first half profit, with net profit in the first six months rising 204.68% to 10.95 billion yuan (US$1.50 billion), as compared to 3.6 billion yuan a year earlier.

Tesla’s Q2, 2023 net profit rose 20% YoY, despite massive price cuts for their vehicles. Tesla made ~$25 billion in revenue in Q2 (up 47% YoY), which puts them on a run rate of US$100 billion per annum in revenue. Q2 GAAP net income was a very nice US$2.7 billion. Looking ahead Tesla has multiple catalysts that can potentially surge revenue including – Cybertruck and Semi sales, Megapack sales, a Compact Tesla (Model 2) coming soon, and their AI potential via Full Self Driving (“FSD”) (robotaxis, Dojo, and Optimus robot).

Tesla recently revealed their updated Model 3 with sleeker styling, longer range, new interior features and much more

Source: Tesla Australia website

Closing remarks

For the skeptics out there who think the EV boom will not happen please read the next two sentences. Tesla Model Y became ‘the best-selling vehicle globally(of all types) in Q1, 2023. BYD is now ‘the 5th largest carmaker globally‘ with 4.7% market share, based on July 2023 sales.

The EV boom is not only happening, it is happening faster than what most people thought.

BYD and Tesla now sell 36.6% of all global plugin electric car sales and are totally dominating the market. Little wonder both companies have enjoyed spectacular investment returns for shareholders over the past 5 years and look set to continue this decade.

Investor.News will continue to update investors on the progress of Tesla and BYD in 2023, as well as give some updates on their new products and other business divisions such as energy storage which is growing even faster than EVs.




Investing in disruptive sectors, NASDAQ listed Ideanomics continues to expand its EV investment portfolio

Investors are increasingly aware that we have an electric vehicle boom unfolding this decade. 2021 electric car sales are on track to increase about 100% from 3.2 million in 2020 to a forecast 6-6.5 million in 2021. Of course, some electric car companies already have huge market caps such as Tesla (NASDAQ: TSLA) on US$1.019 trillion, BYD Co (OTC: BYDDF) US$108 billion, Rivian (NASDAQ: RIVN) US$92 billion, and Lucid Group (NASDAQ: LCID) US$78 billion. The last two are relatively new IPOs with almost no income in 2021.

What if I told you that there was an investment company that held significant positions in 9 different electric mobility related companies and 3 capital/fintech related companies with forecast 2021 revenues of US$120 million, forecast to rise to US$200 million in 2023. Plus its market cap is well under one billion US dollars. Actually its market cap is US$676 million, or ~3.4x forecast 2023 revenues.

The company is Ideanomics Inc. (NASDAQ: IDEX). Ideanomics is a global investment company focused on investing in disruptive companies such as those driving the adoption of electric vehicles and fintech services innovation.

In addition to owning significant percentages in 9 electric mobility related companies, Ideanomics also has ownership in 3 capital (fintech/financial services) companies. Ideanomics’ latest acquisitions include 100% of VIA Motors International and increasing from 20% to 70% of Energica Motor Company.

Ideanomics Mobility

In electric mobility Ideanomics works to assist commercial fleets in vehicle procurement, EV financing, mobility services, charging infrastructure (including wireless charging), and energy management. Ideanomics 9 electric mobility related investments/companies are:

  • Medici Motor Works aims to develop the North American specialty vehicle and pick-up truck market.
  • Wireless Advanced Vehicle Electrification Inc. (WAVE) develops inductive charging solutions for medium and heavy-duty vehicles in the U.S. Ideanomics acquired 100% of WAVE in early 2021.
  • Ideanomics China (formerly Mobile Energy Global, “MEG”), (100% owned) provides group purchasing discounts on commercial electric vehicles, EV batteries and electricity as well as financing and charging solutions in China.
  • Treeletrik is an approved EV manufacturer and distributor for Malaysia. Treeletrik plans to drive ASEAN commercial EV sales leveraging Chinese & Korean OEM partners for manufacturing. Ideanomics bought 51% of Treeletrik in 2019.
  • Solectrac develops and sells electric tractors and is based in California, USA. Ideanomics bought a 14.7% investment in Solectrac which was later increased to 22%.
  • Energica Motor Company is an Italian manufacturer and distributor of high performance 100% battery-powered electric motorcycles. Ideanomics acquired 20% and more recently agreed to increase this to 70%. More details here. Energica recently announced additional U.S. dealers in their network expansion across the USA. Energica is growing rapidly with 91% sales growth in 2020, and continued growth in 2021. Consumer demand remains high, and dealers already have a backlog of pre-orders.
  • SilkEV offers Italian engineering and design services.
  • US HybridAnnounced in May 2021, Ideanomics acquired 100% of US Hybrid, a company that has pioneered clean transportation technologies for more than 20 years. US Hybrid offers proven zero-emission powertrain components for electric, hybrid and fuel cell medium and heavy-duty municipality vehicles, commercial trucks, buses, and specialty vehicles throughout the world.
  • VIA Motors International Inc.Announced in August 2021, a 100% acquisition of VIA Motors by Ideanomics for a base transaction price of US$450 million via an all-stock transaction. VIA Motors is headquartered in Orem, Utah. VIA designs, manufactures and markets electric commercial vehicles, with superior life-cycle economics, for use across a broad cross-section of the global fleet customer base. VIA utilizes a scalable and flexible electric skateboard platform for Class 2, 3, 4 and 5 vans and trucks, along with a modular body approach that enables a capital-light single design for its platforms, drive systems and vehicle models.

Ideanomics Capital

This division focuses on fintech disruption and financial services. Ideanomics 3 investments are:

  • Timios Holding Corp. – A leading title and settlement solutions provider based in California USA with operations in 44 U.S states. Ideanomics acquired 100% of Timios Holdings Corp. in 2020.
  • Technology Metal Market (TM2) – A Londonbased digital commodity issuance and trading platform for technology metals, including those used for EV battery production, energy storage systems, and solar cells.
  • JUSTLY Markets (formerly Delaware Board of Trade Holdings Inc.) is an equity crowdfunding platform for investors that focuses beyond profit and dividends. It thinks about how the investments made today shape the future of our planet. JUSTLY connects engaged investors and passionate founders who care about ‘social responsibility’ and building thriving businesses. JUSTLY recently partnered with Invest Green to provide insights and clean technology investment opportunities. More details here.

Ideanomics Q3 2021 results announced in November highlight the progress the Company is making. Apart from the new acquisition of VIA Motors, and the increased stake to 70% in Energica, the Q3 result highlights were:

  • “Revenues for the quarter ended September 30, 2021, were $27.0 million and gross profit of $4.5 million.
  • $256.9 million cash at quarter end providing a deep pool of capital for investment in Ideanomics Mobility & Capital business units.
  • Aaron Gillmore (former BYD and Tesla executive) appointed as CEO of WAVE.
  • Mani Iyer (former CEO of Mahindra Agriculture Americas) appointed as CEO of Solectrac.
  • WAVE received order from AVTA for vehicle-side charging equipment for 28 buses.
  • US Hybrid delivered EV power electronics components to several OEMs, including CAT, Pratt & Miller, FEV, and Nova Bus, as well as several powertrain kits for battery electric street sweepers deployed nation-wide.
  • Ideanomics China delivered 652 vehicles, with a large order backlog due to supply chain constraints, and entered into agreements to secure first access to thousands of new electric vehicles as they roll off assembly lines.
  • WAVE made substantial progress toward final testing of 125kW and 500kW wireless charging systems, which will broaden WAVE’s market reach to additional applications.
  • US Hybrid moved to new larger facility to support greater scale of innovation and manufacturing
  • Treeletrik moved to a new office and assembly plant to support manufacturing and delivery of its orders.”

Ideanomics CEO, Alf Poor, commented: “This quarter was highlighted by two very important strategic planned acquisitions of VIA Motors and Energica both scheduled to close in the first quarter… The integration of these two companies provides Ideanomics with full OEM capabilities across vehicle types, and positions Ideanomics as one of the only full-service, turnkey, offerings in the market today.“

Closing remarks

Ideanomics really is becoming a powerful force both with their EV related businesses and their capital/financial services businesses.

Certainly, Ideanomics is not an easy company to fully comprehend with just so much going on. Despite this the revenue growth and numbers paint a picture of a growing enterprise. The recent stock price pullback means the stock now trades on only ~3.4x forecast 2023 revenues. That compares to the more flashy EV companies with multiples often over 10x.

It looks like a very good time to take a second look at Ideanomics Inc.