BYD vs Polestar: Revenue, Profit and Business Model
BYD had ~$111.8B of annual revenue in FY2025 and ~$4.5B of net income. Polestar had $3.1B of annual revenue in FY2025 and a net loss of $2.4B.
Latest financial snapshot
Financial summary
BYD
BYD's FY2025 annual report records RMB803.965 billion of revenue, up 3.46% from RMB777.102 billion in 2024. Profit attributable to parent shareholders fell 18.97%, from RMB40.254 billion to RMB32.619 billion. Gross margin declined from 19.44% to 17.74%; BYD attributed the margin change mainly to its product mix. Operating cash inflow fell from RMB133.454 billion to RMB59.136 billion, while cash paid to purchase and construct fixed assets, intangible assets and other long-term assets rose from RMB97.360 billion to RMB156.808 billion. These are reported RMB amounts, without a changing USD conversion or a company-defined free-cash-flow figure. The FY2025 business review assigns approximately RMB648.646 billion (80.68%) of revenue to automobiles, related products and other products, and RMB155.237 billion (19.31%) to mobile handset components, assembly and other products. These broad reporting segments include more than passenger cars or phones. The unaudited H1 2026 interim report records RMB344.815 billion of revenue, down 7.13% year on year, and RMB12.325 billion of profit attributable to shareholders, down 20.54%. Overseas customer revenue was RMB181.268 billion (52.6% of total), compared with RMB163.547 billion from the PRC including Hong Kong, Macau and Taiwan. Revenue geography is based on customer location; it is not a count of vehicles exported. H1 operating cash inflow was RMB37.335 billion versus RMB31.833 billion a year earlier.
Polestar
Polestar's revenue rose 50% to $3,058 million in 2025 as retail sales climbed 34% to 60,119 cars, but impairments of about $1.1 billion pushed the net loss to $2,357 million. In the first half of 2026 revenue slipped 4% to $1,360 million, the operating loss narrowed 43% to $629 million and cash stood at $888 million at the end of June. Polestar Automotive Holding operates as a premium electric vehicle manufacturer jointly controlled by Volvo Cars and Geely, experiencing a significantly compressed market valuation around $2 billion amid broader EV market struggles.
Revenue and profit by year
BYD
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | ~$111.8B | ~$4.5B | 4.1% | +3.5% | Source |
| FY2024 | ~$108B | ~$5.6B | 5.2% | +29.0% | Source |
| FY2023 | ~$83.7B | ~$4.2B | 5.0% | +42.0% | Source |
| FY2022 | ~$58.9B | ~$2.3B | 3.9% | +96.2% | Source |
| FY2021 | ~$30B | ~$423.3M | 1.4% | +38.0% | Source |
| FY2020 | ~$21.8B | ~$588M | 2.7% | +22.6% | Source |
| FY2019 | ~$17.8B | ~$223.8M | 1.3% | -1.8% | Source |
| FY2018 | ~$18.1B | ~$386.4M | 2.1% | — | Source |
Polestar
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | $3.1B | -$2.4B | -77.1% | +50.3% | Source |
| FY2024 | $2B | -$2B | -100.8% | -14.1% | Source |
| FY2023 | $2.4B | -$1.2B | -49.9% | -3.0% | Source |
| FY2022 | $2.4B | -$479M | -19.6% | +81.7% | Source |
| FY2021 | $1.3B | -$969.8M | -72.2% | +120.2% | Source |
| FY2020 | $610.2M | -$484.9M | -79.5% | — | Source |
Where the revenue comes from
BYD
- Automobiles and related products~81%
Automobiles, related products and other products, including vehicles, batteries and energy storage. BYD's business review reports RMB648.646 billion (80.68% of group revenue) in FY2025. The H1 2026 interim report records about RMB275.341 billion (79.85%) for the comparable broad segment.
- Mobile handset components and assembly~19%
Mobile handset components, assembly and other electronic products, mainly through BYD Electronic. BYD's business review reports RMB155.237 billion (19.31% of group revenue) in FY2025. The H1 2026 interim report records about RMB69.405 billion (20.13%) for electronics and other products.
Polestar
- Vehicle sales
Not formally reported
Cars sold directly to customers online, with Polestar Spaces showrooms for test drives. Retail sales were 60,119 cars in 2025 and revenue was $3,058 million.
Business model and strategy
BYD
How it makes money
BYD earns most of its revenue by designing, building and selling passenger cars under the BYD (Dynasty and Ocean series), Denza, Fangchengbao and Yangwang brands, along with buses, trucks, batteries and energy storage systems. Its automobiles and related products segment produced ~$90.2 billion (CN¥648.6 billion) in FY2025, about 81% of group revenue.
Growth strategy
BYD's growth plan has three parts. First, build locally abroad: plants in Thailand, Uzbekistan and Camaçari, Brazil are producing cars, Hungary is due to start series production in the fourth quarter of 2026, and a Turkish plant was paused in June 2026 while BYD concentrates on Europe. Second, move upmarket through Denza, Fangchengbao and Yangwang, which sell at higher prices than core BYD models.
Competitive advantage
BYD's advantage is cost control from owning its supply chain. It makes its own LFP Blade battery cells, motors, electronic controls and power chips, so it can sell a Seagull hatchback from around CN¥70,000 in China and still run a profitable car business, and it can put new technology such as the second-generation Blade Battery and FLASH charging into many models at once.
Polestar
How it makes money
Polestar runs an asset-light model. It sells directly to customers online, without traditional dealerships, and uses small showrooms called Polestar Spaces in city centres for test drives. It does not own large factories: its cars are built in plants belonging to its parent companies, Volvo in the United States and Geely in China, which keeps its fixed costs low.
Growth strategy
Polestar is widening its range from a single sedan, the Polestar 2, to larger and more profitable SUVs, the Polestar 3 and Polestar 4, because premium buyers favour SUVs. To reduce its exposure to tariffs on Chinese-built electric cars, it moved production of the Polestar 3 to a Volvo plant in South Carolina. The company is doing this while in financial difficulty and needs higher volumes to cover its costs.
Competitive advantage
Polestar's advantage is Scandinavian design and Volvo's reputation for build quality and safety, which it draws on directly. It was also the first automaker to build its infotainment on Android Automotive, so Google Maps and Google Assistant run natively in the car.
Questions about BYD vs Polestar
Which company has higher revenue — BYD Company Ltd or Polestar?
BYD Company Ltd had ~$111.8B (FY2025), while Polestar had $3.1B (FY2025). By latest annual revenue, BYD Company Ltd is the larger business, with Polestar showing a smaller revenue base.
What is the market cap of BYD Company Ltd vs Polestar?
BYD Company Ltd's market capitalisation stands at $113.4B, while Polestar's is $1.1B. BYD Company Ltd carries the higher market valuation, reflecting investors' expectations of its future earnings power relative to Polestar.
How does revenue per employee compare for BYD Company Ltd and Polestar?
BYD Company Ltd has $123k / employee in revenue per employee, while Polestar has $1.81M / employee. Headcounts may use different dates, so the ratio alone does not establish which business operates more efficiently.
How do BYD Company Ltd and Polestar make money?
BYD Company Ltd and Polestar generate revenue in fundamentally different ways. BYD Company Ltd: BYD earns most of its revenue by designing, building and selling passenger cars under the BYD (Dynasty and Ocean series), Denza, Fangchengbao and Yangwang brands, along with buses, trucks, batteries and energy storage systems. Polestar: Polestar runs an asset-light model.
Which company is valued higher relative to revenue — BYD Company Ltd or Polestar?
On a price-to-sales (P/S) basis, BYD Company Ltd trades at 1.0x P/S and Polestar at 0.4x P/S. BYD Company Ltd commands a higher revenue multiple, typically indicating that investors expect faster growth or higher future margins compared to Polestar. A higher multiple is not inherently better — it may also signal that the stock is priced for perfection.
Is BYD Company Ltd bigger than Polestar?
By last reported revenue, BYD Company Ltd (~$111.8B (FY2025)) is the larger company compared to Polestar ($3.1B (FY2025)). Revenue scale is one dimension of size — market capitalisation, employee count, and geographic reach are also relevant depending on the context.
Figures come from each company's filings and the sources linked beside them. Amounts reported in another currency are shown in US dollars at an approximate rate and marked with ~. Back to the BYD vs Polestar overview