(Jan 30): Contemporary Amperex Technology Co Ltd (CATL), the world’s biggest maker of electric vehicle (EV) batteries, said preliminary net income for 2023 would be as high as 45.5 billion yuan (US$6.3 billion or RM30.3 billion) thanks to robust sales.

Net income was between 42.5 billion and 45.5 billion yuan, the company known as CATL said in a filing to the Shenzhen Stock Exchange on Tuesday. The high end beat analyst estimates of 43.9 billion yuan and represents a 48% increase from 2022.

Fourth-quarter net income will be between 11.4 billion and 14.7 billion yuan, according to Bloomberg calculations.

CATL maintains a clear lead in battery making globally and within China, the world’s biggest EV market. Its share of the global EV battery market rose to 37.4% in November from 36.9% in October, according to the latest data from SNE Research Inc released this month. BYD Co ranked second with 15.7%.

But fresh headwinds are emerging as EV sales momentum slows and with CATL facing scrutiny in the US, where lawmakers have just called for an investigation into the Chinese company and three others, according to a Reuters report. While CATL denied any connection or wrongdoing, its shares slid 4.3% Tuesday, the most since Dec 18 and to the lowest since December 2020.

The China Passenger Car Association expects the country’s deliveries of battery-electric and plug-in hybrid vehicles to dealers to rise 25% to 11 million units this year, a slowdown from 36% in 2023 and 96% in 2022.