West of the east does not shine bright. Although the mobile phone and battery businesses badly damaged by the financial turmoil, but by virtue of the car business revenue surgeBYDCo., Ltd. (01211.HK, hereinafter referred to as "BYD shares") yesterday, or give a beautiful semi-annual report.

Yesterday, BYD shares issued in the first half of 2009 showed a profit in the first half income of 16.132 billion yuan, an increase of 30% and net profit of 1.178 billion yuan, an increase of 98%. And this performance behind the stock GodBuffettIs smiling at the news.

Among them, BYD Auto business turnover of 133% over last year, to 8.877 billion yuan, accounting for total revenue of BYD shares rose from 32% end of last year soared to 55%, while its first half pre-tax profit 12.79 billion, accounting for shares of BYD's total pre-tax profit 88%, successful beyond the mobile phone business, becoming the first major business BYD.

"This year, overall car sales in the first half of the Group of more than 180,000, up sharply increased by about 1.5 times. Which F3 has also successfully into the first half of the top five car brands." BYD Chairman of the BoardWang Chuanfu , Said at a press conference yesterday in Hong Kong, BYD Auto sales this year expected to exceed 40 million units, and has the government and enterprises to sell 100 units F3DM electric car, will start in September sales to individual users.

Buffett profit

Beautiful semi-annual report also made a profit of Buffett pours months.

Last year, in September, Buffett invested 1.8 billion Hong Kong dollars to eight Hong Kong dollars per share subscription price of 2.25 million shares BYD shares, representing about 10% stake in BYD stake. The deal in July this year, formally approved by China Securities Regulatory Commission.

Yesterday, shares closed 48.6 BYD HK shares rose 8 percent the day. On this basis, Buffett's shares held by the book profit of more than 9.1 billion Hong Kong dollars, an increase of more than 500%.

"Sino-American Energy has always been hope to overweight BYD, mainly because it is optimistic about the companyEnergyOn the development prospects, but we are being investigated. "Wang Chuanfu, said at a press conference yesterday in Hong Kong, BYD Auto to enter the U.S. market, progress has accelerated in the United States in 2010 is expected to launch e6 models of electric vehicles, one year earlier than originally planned. It is reported that BYD e6 electric models vehicles for the current mileage of the world's longest life of pure electric vehicles, endurance mileage of more than 400 kilometers.

Wang Chuanfu said, including at home and abroad, including Germany's Volkswagen automobile manufacturers, is negotiating with the company purchasing car batteries. As for the BYD intends to return to A-share market, despite the current uncertain out a specific timetable, but may in the next year.

The cost of pain

Battery market based on mobile phones and harsh environment and cut costs has become more important.

Showed a profit, as of June 30 this year, BYD shares of a total of 120,000 employees around the total staff costs accounted for the company's turnover around 11%. Away at the end, BYD total number of employees was 13 million people, a total staff costs account for about 14% of turnover. In accordance with the above figures, the first half of this year compared with the industry's layoffs Di shares in the range of 10000 people.

The shares of subsidiary BYD BYD Electronic (0285.HK) semi-annual report released yesterday also showed that, as of June 30, BYD Electronic total number of employees was 3.5 million, compared to 3.9 million by the end of 2008 to reduce of 4,000.

BYD Battery Business in charge of the CBN, told reporters yesterday, as the degree of automation to enhance production line, the battery business in the first half of this year has also laid off some employees.

Despite the layoffs to decrease costs BYD shares, compared to competitorsFIH(02038.HK), its operating pressure remains heavy.

BYD Electronics reported a total cost of their employees accounted for 13% of the company's turnover, compared to the same period last year, BYD Electronic's earnings per worker cost of BYD Electronic was up 11.9%. On the contrary, Foxconn International employee per capita cost down compared with 23.2% a year earlier.

The key lies in the fact Foxconn International is manufacturing plant in Shenzhen will be transferred to Hebei Langfang, while BYD electronics production base in Shenzhen. Last year, Shenzhen, the minimum wage increased from 750 yuan to 900 yuan, Langfang Development Zone, the minimum wage standard of 750 yuan.

"It can be predicted Foxconn and BYD will be increasingly fierce competition between." Shenzhen, a Chinese-made mobile phones, executives said the financial turmoil, the global mobile phone market structure has changed, China's mobile phone has both domestic and overseas markets, the success of a breakthrough the blockade of international mobile phone giants, the global market share, then Jin Sicheng, including Huawei and ZTE the current global market position may have been to the fifth or sixth, but the "army of ants," said China's mobile phone is also fully eroded Corps International share of mobile phone giant.

Late last year, ranking first in the domestic mobile phone market of the mobile phone Tianyu BYD Electronic contract manufacturing activities to change to move from Foxconn International. The high level of domestic mobile phones, said BYD Electronics and Foxconn International clients not only in international brand manufacturers increased competition, in the competition for customers has also spared no effort in domestic firms.