BYD net cash flow fell 150% traditional car sales fell nearly 30% BYD net cash flow fell 150% Li Suwan BYD in the field of new energy vehicles in the market share of about 27% in the first half of this year, passenger cars in the field of new energy market share of about 36%. However, BYD’s traditional car sales in the first half of about 131 thousand, down 29.61%. BYD insiders said the company is in the product structure adjustment period, is more resources to new energy vehicles tilt. BYD (002594.SZ) operating income and net profit rose rapidly in the first half of this year. However, it is worth noting that, despite the first half of this year, BYD earned pours, but the net cash flow from operating activities was negative, which is related to the massive expansion of new energy vehicles in BYD. The 2016 semi annual report released by BYD, BYD in the first half of this year, operating income was 44 billion 950 million yuan, an increase of 42.3%, net profit attributable to shareholders of listed companies was 2 billion 260 million yuan, an increase of 384.2%. Among them, BYD automobile and related products business in the first half revenue of about 24 billion 194 million yuan, an increase of 36.46%, of which the new energy automobile business income of about 15 billion 546 million yuan, an increase of about 1.60 times, accounting for the total income of the group increased to 34.58%; mobile phone components and assembly business income of about 16 billion 564 million yuan, an increase of 44.23%; two rechargeable batteries and the photovoltaic business income of about 4 billion 174 million yuan, an increase of 76.57%. It is worth noting that, although operating income and net profit growth, but the net cash flow from operating activities during the first half of this year, BYD’s -14.28 billion yuan, 3 billion 22 million yuan more than the same period last year fell 147.27%. BYD insiders in August 29th to accept the "First Financial Daily" said in an interview with reporters, the new energy vehicles is the strategic direction of Chinese transformation and upgrading of the automobile industry, is now in a critical period of accelerated development, BYD in speeding up of new energy vehicles layout, at this stage to invest heavily in the promotion of new energy vehicle market expansion. In the growth period, the net cash flow from operating activities is negative. Due to seize the opportunity of the development of new energy vehicles, as well as BYD financing capacity is not bad, BYD automotive business will continue to grow steadily. In the first half of this year, BYD new energy vehicle sales grew 130.74% to about 49 thousand vehicles, of which pure electric vehicle sales of about 22 thousand, an increase of up to 310.82%. According to data released by China Association of automobile manufacturers, BYD market share in the first half of this year in the field of new energy vehicles about 27%, in the field of new energy passenger car market share of about 36%. However, BYD’s traditional car sales in the first half of about 131 thousand, down 29.61%. BYD insiders said the company is in the product structure adjustment period, is more resources to new energy vehicles tilt, the traditional car market share decline inevitable