Great Wall Motor's stock fell 5% intraday on Monday following the release of its Q1 2026 earnings report, which revealed significant profit deterioration despite top-line growth.

The company reported Q1 revenue of RMB 45.109 billion, representing a 12.72% year-over-year increase, with sales volume growing 4.8% to 269,100 units. However, net profit attributable to shareholders plunged 46.01% to RMB 945 million, while non-recurring adjusted net profit fell 67.19% to RMB 482 million.

Analysts noted that while overseas sales surged 43.1% and the premium brand WEY grew 59.39% in Q1, the sharp margin compression signals intensifying price competition in China's auto market is eroding profitability despite volume and revenue gains.