BYD posted its first quarterly profit increase in more than a year, with second-quarter net profit rising 29.8% to 8.2 billion yuan ($1.22 billion) as a record surge in exports offset a weak Chinese market.

The rebound ends four straight quarters of profit declines and reverses the 55.4% collapse BYD reported just three months earlier.

Despite the Q2 recovery, BYD’s first-half results remain lower year-over-year. Revenue for the six months through June fell 7.13% to 344.82 billion yuan ($50.9 billion), and net profit attributable to shareholders dropped 20.54% to 12.33 billion yuan, according to the company’s stock exchange filing.

BYD blamed the revenue decline on weakness in its new energy vehicle (NEV) business, compounded by foreign-exchange losses tied to currency swings as it expands abroad.

Automotive and related products generated 275.34 billion yuan in the first half, down 8.98% and accounting for 79.85% of group revenue. The electronics division rose 0.96% to 69.41 billion yuan.

BYD sold 1,808,511 NEVs in the first half, down 15.72% from a year earlier. But the drop was almost entirely a domestic problem — and it narrowed sharply as the year went on.

Second-quarter sales fell just 3.24% to 1,108,048 units, a dramatic improvement from the 30.01% plunge in the first quarter.

The reason is overseas demand. 8% year-over-year and equal to about 44% of its total sales. 46% and nearly 47% higher than the previous quarter.

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