Zhongsheng Group

Mar 17, 2022

March 17, 2022 - Advertisement - Zhongsheng Group Holdings Ltd.’s net profit grew in 2021 due mainly to higher car sales as the global shortage of semiconductor chips eased, the company said Thursday. - Advertisement - Full-year net profit rose to 8.33 billion yuan ($1.31 billion) from CNY5.54 billion in 2020. Revenue came in at CNY175.10 billion, versus CNY148.35 billion. The car-dealership company’s new car sales rose 5.5% on year to 528,154 units, with the luxury segment accounting for more than half of total units sold. - Advertisement - The easing of supply-chain issues affecting semiconductor chips and other materials in the fourth quarter helped boost car sales, Zhongsheng said. It expects the chip supply to keep improving in 2022 and continue supporting sales. Meanwhile, the easing of the pandemic and consumers’ desire to upgrade their vehicles should help maintain steady growth in the luxury-car market, the company said. Zhongsheng also said it plans to develop its pre-owned and electric vehicle businesses. Write to Yongchang Chin at [email protected] ,