Correction: The previous chart incorrectly wrote million as billion.

Gotion expects third-quarter net profit to reach RMB 82.35 million ($11.45 million) to RMB 97.19 million, up 318.9 percent to 394.4 percent from a year ago.

Volkswagen-backed Chinese power battery giant Gotion High-tech expects third-quarter net profit to reach RMB 82.35 million ($11.45 million) to RMB 97.19 million, up 318.9 percent to 394.4 percent year-on-year, according to an exchange announcement today.

The Shenzhen-listed company expects third-quarter basic earnings per share of RMB 0.05 - RMB 0.06 per share, up from RMB 0.02 per share in the same period last year.

For the first three quarters, Gotion expects net income of RMB 147 million - 162 million, up 116.68 percent - 138.56 percent year-on-year.

The company expects to report earnings of RMB 0.09 to RMB 0.10 per share in the first three quarters, up from RMB 0.05 in the same period last year.

With raw material prices for power batteries remaining high and the company continuing to increase investment in research and development, Gotion still achieved significant growth in the first three quarters compared to the same period of the previous year, it said.

This is mainly because the company has seized the opportunity of the development of the power battery industry and accelerated the layout of the whole industry chain.

Gotion's lithium project in Yichun, Jiangxi, progressed well in the third quarter of 2022. The company's new additional production line for power batteries entered the mass production phase, and the scale of production capacity continued to increase and production costs continued to decrease, it said.

Meanwhile, the company continued to optimize its customer structure and further develop its energy storage business, with rapid growth in shipment scale and significant growth in operating results, Gotion said.

Founded in 1998 and headquartered in Hefei, Anhui, Gotion is one of the five largest manufacturers of power batteries in China.

The company issued Global Depository Receipts (GDRs) and had them listed in Switzerland in late July, raising $685 million.

In addition to China, Gotion is also building a plant in the United States and has chosen Big Rapids for its $2.36 billion battery component manufacturing facility, Michigan Governor Gretchen Whitmer said in an October 5 statement.

This is the largest economic development project ever undertaken in northern Michigan and will strengthen the state's position as a global hub for mobility and electrification, Whitmer said.