Evergrande electric vehicle unit reports about $10 billion loss for 2021, 2022

(Reuters) – China Evergrande New Energy Vehicle Group reported a combined net loss of 71.12 billion yuan ($9.95 billion) for 2021 and 2022 in its long overdue financial reports published on Wednesday.

Evergrande NEV’s net loss was 56.27 billion yuan for 2021 and net loss from continuing operations was 14.85 billion yuan for 2022, compared with a net loss of 7.4 billion yuan in 2020 when its business was predominately health management.

The company, which has been under pressure since its parent China Evergrande group got sucked into a debt crisis in mid-2021, had warned it might have to wind up operations unless it obtained new funding.

Last year, the firm had to delay mass production of its first flagship model, Hengchi 5. Evergrande said last month it had delivered more than 1,000 cars as of end May.

($1 = 7.1507 renminbi)