SAIC's Profitability Analysis and Optimization Strategy

Abstract

This article provides an in-depth analysis of SAIC's profitability from 2020 to 2024, pointing out that its return on equity, operating profit margin and total asset turnover are all on a downward trend, significantly lagging behind the pace of industry transformation and upgrading. Especially in terms of new energy transformation, SAIC Motor lags behind the industry average, resulting in market share erosion. Through a detailed analysis of the basic indicators of profitability, growth indicators and stability indicators, the article reveals the problems existing in SAIC's product competitiveness, asset operation efficiency, growth momentum and cost control, and emphasizes the urgency of corporate strategic transformation. In view of the problems of SAIC's profitability, this paper proposes specific optimization strategies. Recommendations include enhancing product competitiveness, improving asset operation efficiency, reshaping revenue growth momentum, optimizing costs and expenses, and strengthening cost control, all of which are designed to help SAIC cope with industry changes, improve profitability, and achieve sustainable development.