Shanghai (ZXZC)- Chinese battery titan CATL announced its full-year net profit attributable to shareholders reached RMB4,356,195,700 in 2019, surging 28.61% compared to the previous year.

The annual gross revenue for the Ningde-based battery maker also soared 53.81% to RMB45,545,737,000. Excluding the impact of certain no-recurring gains and losses, the company saw the net profit attributable to stake holders jump 18.91% to RMB3,719,999,000.

CATL attributed its profit growth to three main factors: (1) the fast-growing new energy vehicle (NEV) industry boosted the market demands over power batteries; (2) company's strengthened market expansion made its battery capacity gradually unleashed, thus improving the outputs and sales accordingly; (3) the continuous reinforcement on expense control lowered the ratio of cost to income.

CATL holds the lion's share in China power battery market. Last year, the nationwide installed capacity of power batteries grew 9.2% over a year ago to 62.2GWh, according to the data offered by the China Automotive Power Battery Industry Innovation Alliance (CAPBIIA), of which 31.46GWh belonged to CATL, whose market share was up by nearly 10 percentage points to 50.57%.

To maintain the rising momentum in both sales and market share, the battery provider has been continuously expanding and optimizing its capacity deployment. It intends to set up a lithium ion battery production base at Cheliwan Pond in Ningde with RMB10 billion to be invested at most, according to a corporate announcement issued on Feb. 26.

All the money to be invested will be raised by the company itself. The statement shows the base is likely to cover 1,300 mu (866,666 square meters) and is set to be completed within two years.

Moreover, CATL also seeks to raise up to RMB20 billion by making a non-public issuance of securities towards no more than 35 specific investors, according to another file released on the same day. After deducting the issuance expenditure, the money collected will be used to expand CATL’s Huxi lithium ion battery base, develop the lithium ion battery R&D and production project in the name of Jiangsu CATL, construct the power battery facilities for Sichuan CATL and supplement working capital, etc (photo source: CATL).