In the first half of this year, the Sailes Group (Sailes) is expected to incur losses of 15 billion to 18 billion yuan (RMB), shifting from profit to loss. At the same time, the stock price has dropped by nearly 70% compared to the high point in September last year.
On July 13th, Sailes issued the “2026 Half-Year Performance Pre-loss Announcement”. The announcement stated: “It is expected that the net profit attributable to shareholders of the listed company for the first half of 2026 will be between -18.00 billion yuan and -15.00 billion yuan.” It also mentioned that there would be losses compared to the same period last year (disclosed data).
The announcement specifically highlighted that “Sailes Automobile Co., Ltd. (hereinafter referred to as ‘Wanjie Automobile’)” is expected to achieve a net profit attributable to shareholders of the listed company in the first half of 2026 ranging from -13.00 billion yuan to -10.50 billion yuan.
According to a report by “Damo Finance Pro” under Beijing Jin Zhihui Culture Co., Ltd. on July 13th, in the first half of 2025, Sailes achieved revenue of 62.402 billion yuan, with a attributable net profit of 2.941 billion yuan and a non-recurring attributable net profit of 2.474 billion yuan. The data shows that in the first half of this year, Sailes turned from profit to loss.
Looking at the financial reports for the first quarter, Sailes’ losses mainly occurred in the second quarter. In the first quarter of this year, the attributable net profit of Sailes was 754 million yuan, and the non-recurring attributable net profit was 103 million yuan. However, it directly fell into losses in the second quarter.
The report believes that the main reason for the losses at Sailes is the deficit of its core brand Wanjie Automobile. In the second quarter of this year, Wanjie’s net loss attributable to shareholders was between 19 billion yuan and 21.50 billion yuan, while the total sales volume of Wanjie brand models was approximately 90,500 vehicles. By this calculation, for each Wanjie model sold in the second quarter of this year, Sailes incurred an average loss of over 20,000 yuan.
The report suggests that the electric vehicle industry is facing a double squeeze of costs and prices. The upward trend in prices of raw materials such as lithium carbonate, industrial metals, and storage chips significantly raises manufacturing costs for car manufacturers. At the same time, the intensifying competition within the electric vehicle industry makes it difficult for companies to pass on price increases downstream, resulting in a significant compression of profit margins.
The losses have also led to a sharp decline in Sailes’ stock price. On July 13th, Sailes’ A-share price hit the limit down, closing at 53.91 yuan per share, reaching a new low since 2025 and dropping by nearly 70% compared to the stock price high of 172.63 yuan per share in September last year. On the same day, Sailes’ total market value fell to 93.9 billion yuan, evaporating more than 160 billion yuan from the high point in September last year.