Chinese electric car maker BYD Co.’s relentless growth is squeezing out smaller rivals, with Li Auto Inc. joining fellow upstart Xpeng Inc. in releasing disappointing earnings.
In a stark highlight of their contrasting fortunes, BYD on Wednesday posted a 33% jump in second-quarter profit, while around the same time Li Auto posted a bigger-than-estimated 52% drop in earnings — sending its US-listed shares tumbling. Xpeng last week forecast third-quarter revenue well below analyst expectations amid a bruising price war in China. Neither Li Auto or Xpeng have managed to break into the top 10 largest Chinese EV makers by sales.
