CATL profit rises as energy storage revenue grows

Chinese battery maker Contemporary Amperex Technology Co. Limited reported a sharp rise in first-half profit, with a company filing to the Shenzhen Stock Exchange showing net profit up 42 percent from the same period last year.

The company, known as CATL, recorded net profit of 43 billion yuan, or $6.4 billion, for the first half of the year. Total revenue for the period was 277 billion yuan.

Revenue from CATL's energy storage business rose 88 percent from a year earlier to 53 billion yuan. The filing linked the growth to rising demand for energy storage systems used by the AI industry.

CATL said its energy storage systems are designed for long service lives and broad temperature adaptability, and are aimed at AI data centres with high computing and power needs.

The company was founded in 2011 in Ningde, in eastern China. The source reported that CATL makes more than a third of all electric vehicle batteries sold worldwide.