Chinese language automaker Geely beat income expectations for 2022, sending shares surging Wednesday.

Shares of Geely spiked as a lot as 7%, earlier than settling right down to commerce practically 3% above its earlier shut.

Geely reported its 2022 income surged 45.6% from a yr in the past to 148 billion yuan ($21.49 billion), whereas revenue jumped 8.5% to achieve 5.26 billion yuan. Analysts had anticipated Geely to report 135.4 billion yuan in income, in line with a Refinitiv consensus estimate.

The corporate described this as a “resilient monetary and operational efficiency… achieved regardless of difficult market circumstances and continued pandemic-related disruption.”

Geely mentioned complete gross sales climbed 8% final yr to over 1.4 million items. CEO Daniel Li instructed CNBC’s “Road Indicators Asia” that this determine was larger than China’s 5% forecast for its general auto business.

The corporate mentioned its high-end fashions accounted for 23% of complete gross sales in 2022, or 252,787 items.

Geely mentioned it made “vital progress” in rising gross sales of its new power and electrified fashions, as gross sales surged over 300% final yr to greater than 328,000 items.

For 2023, Geely set a gross sales goal of 1.65 million items and mentioned it goals to double the share of latest power and electrified car gross sales.

In efforts to hit that focus on, Li mentioned the corporate will lean on its collaborations in its provide chain, which can permit it to decrease prices and subsequently promoting costs.

“In the long run, little doubt, the EV [prices] shall be on par with [internal combustion engine] automobiles,” he provides.

The corporate’s collaborators embody Mercedes, Renault and Aramco in efforts starting from the revival of the all-electric Sensible model to a brand new enterprise associated to inside combustion and hybrid powertrain applied sciences.

Li mentioned Geely and Renault purpose to supply 7 billion engines and transmissions per yr and are “open” to offering service and assist to different manufacturers transitioning from ICE to electrical automobiles. He mentioned Aramco will present monetary assist, and that the 2 automakers will have the ability to “leverage on” new sustainable fuels from Aramco. 

Again in December 2020, Geely mentioned its electrical automotive model, Zeekr, filed for a U.S. preliminary public providing, with out offering any particulars on the dimensions or a possible itemizing date.

When requested concerning the standing of the IPO, Li merely mentioned the corporate has “initiated the method”, and that’s “nonetheless within the progress,” including that the corporate will disclose data in the end.