Autohome Q2 2026 Earnings Report

Autohome EPS Results

• Actual EPS: N/A
• Consensus EPS: $0.28
• Beat/Miss: N/A
• One Year Ago EPS: $4.04

Autohome Revenue Results

• Actual Revenue: N/A
• Expected Revenue: $175.02 million
• Beat/Miss: N/A
• YoY Revenue Growth: N/A

Autohome Announcement Details

• Quarter: Q2 2026
• Date: 8/20/2026
• Time: Before Market Opens
• Conference Call Date: Thursday, August 20, 2026
• Conference Call Time: 8:00AM ET

Autohome (NYSE:ATHM) (NYSE: ATHM) operates one of China’s leading online destinations for automobile consumers, offering a comprehensive suite of digital platforms and services throughout the vehicle ownership lifecycle. Headquartered in Beijing, the company’s core website and mobile applications deliver news, reviews, pricing information, photos, videos and interactive tools to help prospective buyers evaluate new and used vehicles. By aggregating rich editorial content with user-generated ratings and expert analyses, Autohome seeks to guide consumers through research, purchase and after-sales decision-making.

In addition to its consumer-facing properties, Autohome provides automakers, dealers and service providers with integrated digital marketing and e-commerce solutions. These include targeted advertising, lead-generation tools, dealer inventory management, online financing and insurance offerings, as well as data analytics services that leverage the platform’s extensive user base. Through these offerings, the company connects OEMs and dealers with in-market shoppers, streamlining vehicle transactions and post-sale services.

Launched in 2005, Autohome completed its initial public offering on the New York Stock Exchange in October 2013, marking a key milestone in its efforts to expand strategic partnerships with leading technology and media companies. Over the years, it has extended its reach across mainland China, operating regional offices and collaborating with local dealerships to ensure up-to-date listings and localized service. Autohome’s platform also serves as a hub for virtual auto show coverage and online community forums, further enriching the consumer experience.

Founded by industry veteran Zhang Lixue, who continues to serve as chairman, Autohome has established itself as a cornerstone of China’s automotive internet ecosystem. The company remains focused on leveraging data-driven insights and technological innovation to enhance user engagement, drive transactional growth and support the evolving needs of auto manufacturers and dealers in one of the world’s largest vehicle markets.

Autohome Q2 2026 Earnings Call Transcript

Key Takeaways

• Negative Sentiment: Second-quarter profitability declined: revenue was CNY 1.2 billion, while operating profit fell to CNY 130 million from CNY 297 million and adjusted net income dropped to CNY 277 million from CNY 476 million year over year. The company cited continued weakness in China’s auto market and dealer pressures.
• Negative Sentiment: Management expects a challenging second half, with CPCA forecasting a 16% full-year decline in passenger-vehicle retail sales. Dealer lead-generation demand is likely to remain pressured as 77% of dealerships reportedly achieved less than 90% of their first-half sales targets.
• Positive Sentiment: Autohome accelerated its new-retail ecosystem, expanding online vehicle purchasing to five cities and enrolling more than 100 stores in its Autohome Good Car franchise network. The company also launched its automotive AI agent, Cheese Car Butler, and reported 76.5 million daily active users in June, up year over year.
• Positive Sentiment: Used-car export operations achieved an initial milestone after obtaining official export qualifications and completing the platform’s first transaction in July. Management sees brand credibility, standardized inspections, digital tools, and overseas demand as potential competitive advantages.
• Positive Sentiment: Shareholder returns remain a major priority: Autohome completed its USD 200 million repurchase program ahead of schedule, initiated a new USD 400 million buyback, and reaffirmed plans to distribute at least CNY 1.5 billion in cash dividends for 2026. The company ended June with CNY 19.36 billion in cash and investments.

Presentation

[Operator]

Ladies and gentlemen, thank you for standing by for Autohome Second Quarter and Interim 2026 Earnings Conference Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow management prepared remarks. As a reminder, this conference call is being recorded. If you have any objections, please disconnect at this time. A live and archive webcast of today's call will be available on Autohome's IR website. It is now my pleasure to introduce your host, Sterling Song, Autohome's IR Director. Mr. Song, please go ahead.

[Sterling Song, Investor Relations Director at Autohome]

Thank you, operator. Hello, everyone, and welcome to Autohome Second Quarter and Interim 2026 Earnings Conference Call. Earlier today, Autohome distributed its earnings release, which can be found on the company's IR website at ir.autohome.com.cn. Joining me on today's call is our Chief Financial Officer, Mr. Craig Yan Zeng. Management will go through the prepared remarks first, which will be followed by a Q&A session where they will be available to answer all your questions. Before we begin, please note that today's discussion contains forward-looking statements made under the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from our current expectations.

[Sterling Song, Investor Relations Director at Autohome]

Potential risks and uncertainties include, but are not limited to, those outlined in our public filings with the U.S. Securities and Exchange Commission and the Hong Kong Stock Exchange. Autohome undertakes no obligation to update any forward-looking statements except as required under applicable laws. Please also note that Autohome's earnings press release and today's conference call include discussions of certain audited non-GAAP financial measures. A reconciliation of the non-GAAP measures to the most directly comparable GAAP measures can be found in our earnings release. I will now turn the call over to Autohome's CFO, Mr. Craig Yan Zeng, for opening remarks. Mr. Zeng, please go ahead.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

Thank you, Sterling. Hello, everyone. This is Craig Yan Zeng, Chief Financial Officer of Autohome. Thank you for joining our earnings conference call today.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

In the second quarter, our innovative business continued to make steady progress, driving Autohome's upgrade towards a comprehensive automotive service ecosystem. For our new retail business, with the authorized dealer model in pilot operation and expanding into more cities, we launched the offline franchise chain brand, Autohome Good Car, further expanding our offline service network. In addition, our global expansion into used car trading is advancing steadily. Our cross-border export platform completed its first transaction in July, providing valuable experience to further expand our service capabilities.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

We also made major strides in AI, particularly in cutting-edge AI agent technology. In early July, we unveiled our proprietary intelligent agent product, Cheese Car Butler, and opened it for public beta. As the automotive industry's first standalone agent product, it represents not only a pioneering exploration of intelligent applications, but also a key milestone in enriching our product portfolio and establishing a differentiated competitive edge for us.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

Specifically, in the second quarter, we made solid progress across content offerings, product capabilities, and traffic alliances. On content, in May, we launched our annual IP, China Intelligent Manufacturing Exploration Plan, jointly created with the News and Publicity Center of the Ministry of Industry and Information Technology. Six episodes will be released throughout the year, covering exciting technological trends including the low-altitude industry, intelligent cockpits, intelligent driving and embodied AI. The premier episode focuses on flying cars, combining immersive visits to the front lines of intelligent manufacturing with a fresh, innovative youth-oriented storytelling perspective to make cutting-edge technologies more relatable and engaging for younger users. This series also marks our first major content initiative following Autohome's brand refresh. At its launch, the program sparked lively discussion on social media, was covered by over 20 leading media outlets, and generated over 70 million views across various platforms.

[Translator]

On the product side, we launched our intelligent driving channel, which systematically profiles the intelligent driving capabilities of nearly 200 mainstream models and provides easy comparisons to help users understand differences across models and choose cars efficiently.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

In addition, we continue to advance collaboration across our multi-platform, multi-scenario traffic ecosystem. A notable example was our partnership with Alipay in June, under which our mini program became the exclusive provider of comprehensive automotive services for Alipay's Auto Live Channel, offering differentiated content to match the varied needs of first-time buyers, repeat buyers, and those upgrading their vehicles. According to QuestMobile, in June, our daily active users steadily increased year-over-year, reaching 76.5 million.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

In the new energy vehicle sector, in late April, we launched a pilot online car purchase model in Shenzhen and Xi'an in partnership with authorized dealers. Under this model, local partners dealerships posted competitive pricing on the mall, enabling consumers to select a vehicle and place a deposit online and then complete the contract signing and take delivery offline. During this pilot period, over 400 dealers joined across these two cities, offering more than 1,000 models, and over 1,000 transactions were completed within 70 days, receiving positive feedback from both our dealer partners and the users. Based on the experience gained from the pilot cities, in the second quarter, we replicated this model to three additional cities Suzhou, Jinan, and Shijiazhuang, steadily broadening our network coverage in northern and eastern China.

[Translator]

At the same time, to address the service gap in low-tier cities, we launched our offline franchise chain brand, Autohome Good Car, at the end of June, with a focus on the underserved low-tier cities. Through precise traffic redirection, and standardized operating and management systems, and a streamlined resource support system, we help dealerships in low-tier cities achieve scalable growth. At present, over 100 franchise stores joined Autohome Good Car. Going forward, the Autohome App will remain the core of our online customer acquisition efforts, while offline Autohome Good Car franchisees and authorized dealer stores will handle vehicle delivery. Through standardized services, we aim to support users throughout the entire vehicle lifecycle, from vehicle discovery, selection to purchase and ownership.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

In AI and the models powered by Autohome's proprietary large language model, we launched Cheese Car Butler, our intelligent agent product for the automotive vertical. The agent leverages our core assets accumulated in the automotive field, including our professional content, product database, MCN ecosystem, and offline service network, to provide users with a broad range of services including multi-dimensional vehicle comparisons, vehicle purchase guidance and maintenance services, etc. Establishing a unique, differentiated competitive advantage. Currently, Cheese Car Butler is available to users and has entered the feedback collection phase, with the initial market response being positive. In the future, we will continue to enhance the underlying model capabilities, optimize the product's interactive experience, and gradually integrate more offline service resources to steadily improve the product value and service quality

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

In the used car business, we continue to develop both our core domestic and overseas platforms. For our full-process used car sales service platform, we continue to improve service quality through greater standardization. Recently, we completed an upgrade and iteration of our vehicle inspection system, expanding the number of inspection items from 128-265, including 82 newly added assessments specifically designed for new energy vehicles, further improving the accuracy and reliability of our inspection reports. For our Cross-border Used Car Export Service Platform, we formally obtained the official export qualifications during the second quarter. We also established an online multilingual international website and an offline fulfillment network, with business leads spanning over 100 countries. In early July, we successfully completed the first used car export order on our platform, making a breakthrough from zero to one for our business.

[Translator]

In the next phase, we will focus on three key areas: high-quality vehicle supplies upstream, expanding overseas customer acquisition downstream, and improving platform operational efficiency. All of this supports our all-out effort to create a new, one-stop channel for used car exports.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

In summary, since the beginning of the year, we achieved meaningful progress across all businesses. While steadily developing our businesses, we've consistently delivered on our commitment to shareholder returns. The $200 million stock buyback program announced in March 2026 was completed ahead of schedule in less than six months. In late July, we announced a new 12 months $400 million repurchase plan, demonstrating our strong confidence in the company's long-term value. In addition, the CNY 500 million cash dividend for the first half of the year was distributed at the end of July. Looking ahead, we will continue to deepen our new business development, provide high-quality services to users and partners, and deliver sustainable returns to our shareholders.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

With that, let me briefly walk you through the key financials for the second quarter of 2026. Please note that I will reference CNY only in my discussion today unless otherwise stated.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

Net revenues for the second quarter were CNY 1.2 billion. To break it down further, media services revenues were CNY 280 million, lead generation services revenues were CNY 560 million, and online marketplace and others revenues were CNY 357 million.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

With respect to costs, cost of revenues in the second quarter was CNY 274 million, compared with CNY 503 million in the second quarter of 2025. Gross margin in the second quarter was 77.1%, compared with 71.4% in the same period last year.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

Turning to operating expenses, sales and marketing expenses in the second quarter were CNY 552 million, compared with CNY 630 million in the second quarter of 2025. Product and development expenses were CNY 223 million, compared with CNY 253 million in the second quarter of 2025. General and administrative expenses were CNY 96 million, compared with CNY 133 million in the same period last year.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

Overall, we recorded an operating profit of CNY 130 million in the second quarter, compared with CNY 297 million in the same period of 2025. Adjusted net income attributable to Autohome was CNY 277 million in the second quarter, compared with CNY 476 million in the corresponding period last year.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

Non-GAAP basic and diluted earnings per share in the second quarter were CNY 0.62 and CNY 0.61 respectively, compared with CNY 1.01 for both in the corresponding period of 2025. Non-GAAP basic and diluted earnings per ADS in the second quarter were both CNY 2.46, compared with CNY 4.06 and CNY 4.04 respectively in the corresponding period of 2025.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

As of June 30, 2026, our balance sheet remains robust. Cash, cash equivalents, short-term investments, and other long-term investments totaled CNY 19.36 billion. We generated net operating cash flow of CNY 261 million in the second quarter of 2026.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

On March 5, 2026, our board of directors authorized a share repurchase program under which we are permitted to purchase up to USD 200 million of Autohome's ADS over a period not to exceed 18 months. As of July 30, 2026, we have completed this share repurchase program ahead of schedule with a total of approximately 10.63 million ADS repurchased.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

In addition, on July 28, 2026, our Board of Directors authorized a new share repurchase program under which we may repurchase up to $400 million of Autohome's ADS over the next 12 months. As of August 14, 2026, we had repurchased approximately 1.9 million ADS for a total cost of approximately $43.6 million.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

That concludes our financial summary. Now we are ready to open up the Q&A session. Operator, please.

[Operator]

Thank you. As a reminder, if you would like to ask a question, you can press star one one and wait for your name to be announced. Your first question comes from the line of Thomas Chong of Jefferies. Your line is now open.

[Thomas Chong, Analyst at Jefferies]

[Non-English content] Good evening. Thanks management for taking my questions. I have two questions. The first one is about the auto industry, which is softer than market expectations. Can management comment about the second half industry outlook? My second question is about the export of used car business. Can management comment about our competitive edge and the latest business progress? Thank you.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

Thank you for your question. I will answer your question. You know, since the beginning of this year, the overall retail sales in the auto market has remained under pressure. In the first seven months, domestic retail sales of passenger vehicles declined by 20% year-over-year, while the domestic new vehicle sales fell by 22% year-over-year in Q2. Even the new energy vehicle, NEV, which had previously been the primary growth driver, it already see a sales decline of 8% in Q2 year-over-year for consecutive periods. The traditional ICE, that is internal combustion engine vehicles, performed even worse, the sales declining 38% year-over-year in Q2. At the same time, the auto industry profitability has been deteriorated. In the first half of the year, the profits for the auto manufacturing industry declined by 20% year-over-year, with the profit margin at just 3.8%, which is a historical low.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

The market expectations for the overall industry sales at the beginning of the year was optimistic, but now, this expectation has been revised downwards. The China Passenger Car Association, CPCA, now forecasts that the full year for 2026 passenger vehicle retail sales will decline by 16% year-over-year. It brings the overall total annual sales to fewer than 20 million units. This means that the overall China auto market will continue to face quite a lot of pressure in the second half this year. The weak [pact] the auto industry to be characterized by a combination of weak domestic demand, structural differentiation and exports providing support.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

From the industry level, we can see the new energy transition is accelerating and auto exports is becoming a new growth driver.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

For the China auto market now it has entered into existing market stage with the weak domestic demand becoming a major problem, major constraints on growth. At the same time you can see the penetration rate for NEV continue to pick up. In April the penetration rate is 60%, and now in July it climbed further to a new high of 65%. In contrast to the weak domestic demand, the auto export has maintained its strong growth momentum. During the first seven months of 2026, passenger vehicle exports increased by 74% year-over-year. With NEV accounting for more than half of the total export volume. With the weak domestic demand and strong overseas growth simultaneously, auto exports has become a key engine for automakers to offset the weak domestic demand and drive profit growth.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

From the market level, we can see there is an increasing structural differentiation. Consumers are increasingly in a mode, they are in a mode of wait and see.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

Currently the market is experience clear structural differentiation across segments by price range. You can see the auto market is diverging at both ends. The entry level market for vehicles priced below CNY 50,000 has contracted sharply, declining 55% year-over-year in the first half. On the other side, sales of high-end NEVs priced above CNY 400,000 searched 46%, demonstrating greater market resilience. Overall, the sales of traditional ICE and low-end NEVs continue to decline. While the middle to high-end NEVs have emerged as a growth segment.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

In summary, the auto market in the first half of this year can be characterized as cold domestically, hot overseas. Domestic demand weakened year-over-year, while NEV penetration continued to increase and auto exports became the primary growth driver for the overall industry. As China's auto market enters an existing market competition stage. Currently, only those companies who can capture consumers needs throughout their entire life cycle and provide value added services across the entire customer journey will be best positioned for the future development in the transforming period and market. This is also one of the key areas we will continue to focus on and explore going forward.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

The second question about the used car export. You know, the used car export market is sufficiently fragmented with a sufficiently large and diverse supply of used car vehicles. This is favorable for us to build our long-term competitive advantage and sustainable barriers for entry. And if the market was more highly concentrated, it would be more difficult for platform companies.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

For our advantages in this area, first is the brand, strong brand from Autohome. You know, we are the leading Auto Vertical Media Platform, so we have a strong brand recognition and credibility. Also, we are newly listed. This also help us in our branding. Second is the stable supply, used car vehicle supply and a standardized system. You know, we have access to a stable and compliant supply of used cars, supported by a standardized industry-leading vehicle inspection system, which can enable comprehensive assessments of the vehicle condition. Overseas buyers value accurate and complete and comprehensive vehicle inspection reports, as well as those maintenance and insurance claim records. Autohome can provide all of these. This gives overseas buyers greater confidence in their purchase process. Third is the digital one-stop service. This is our advantage.

[Translator]

We leverage our online digital tools now to improve the operational efficiency, including the 24/7 customer support, those dynamic matching of the vehicle supply and those multilingual website services, etc. All these capabilities facilitate more effectively communication between buyers and sellers.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

For our business progress update on the used car. You know, in the second quarter, we just mentioned we officially obtained the government's qualification for the used car export. We successfully completed the first used car export transaction on our platform. This represents an important zero to one breakthrough for this business segment. For the work ahead of us, on one hand, we will expand our high quality used car vehicle sourcing. On the other hand, we will focus on expanding our overseas customer base. At the same time, we will continue to optimize our used car export service platform and improve the overall operation efficiency with the goal to build a one-stop new channel for the used car export.

[Sterling Song, Investor Relations Director at Autohome]

[Non-English content]

[Translator]

The next question, please. Operator.

[Operator]

Thank you. The next question comes from the line of Zhang Xiaodan of CICC. Please go ahead.

[Xiaodan Zhang, Analyst at CICC]

[Non-English content] So thanks management for taking my questions. First of all, the company has recently taken proactive steps on shareholder returns. How do you view the sustainability of the shareholder return program going forward? Over the medium to the long term, how will you balance the cash reserves as well as the shareholder returns? Secondly, regarding the new retail business, what is the company's current strategic positioning for this segment? Thank you.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

Thank you for your question. Autohome has always placed a strong emphasis on the shareholder return and the long-term market value management. To further enhance our shareholder return mechanism and improve investment value, we have established a dual-track return framework combining a regular cash dividend policy with share repurchases, making our shareholder return policy more transparent and predictable.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

For the share repurchase, as we just mentioned, the $200 million share buyback program, we completed ahead of schedule at the end of July. On July 28th, the company announced a new $400 million share repurchase program. As of last week, approximately 10% of this buyback program has been completed. Going forward, in the future, we will continue to actively execute this buyback program in the open market in accordance with our established strategy.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

For the cash dividends, in March, the company announced the CNY 500 million cash dividends for the first half of this year. This was successfully distributed to all our shareholders by the end of July. We'll continue to execute our commitment to pay at least CNY 1.5 billion in cash dividends for the full year.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

For our long-term capabilities, Autohome has a healthy balance sheet, and we have ample cash reserves and stable business operations. This gives us the capacity to deliver sustainable and stable and long-term returns to all shareholders. In the future, we will continue to improve operation efficiency and strengthen the resilience of our business, ensuring we can fulfill our commitment to all the shareholders.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

For the new retail business, it is an important strategic initiative for Autohome as we build our transaction ecosystem and address gaps in our offline service capabilities. For online, we are leveraging the Autohome App to build an Automotive Transaction Service Platform, Autohome Mall. For offline, we leverage offline car purchase and the Autohome Good Car to expand offline service network, connecting online demand with offline service fulfillment. On the online-to-offline scenarios, we are leveraging our AI technologies to provide end-to-end support, including the vehicle selection through our AI car selection assistant, and purchase support through AI price inquiry, etc. Going forward, we are planning to expand AI-enabled services into the vehicle ownership stage.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

In terms of our new retail business update and progress, as you can see, the implementation has been moving at a relatively rapid speed. For online car purchase, it began its pilot program in late April, and now it has expanded to five cities: Xi'an, Shenzhen, Suzhou, Jinan, and Shijiazhuang. Primarily targeting at high-tier cities. For Autohome Good Car, it opened up its franchise program in late June and has now more than 100 franchise stores, with a primary focus on low-tier markets. Ultimately, our goal is to become a comprehensive automotive service ecosystem that delivers value throughout the entire auto lifecycle, from car discovering, to car selection, to purchasing, owning, and eventually replacing.

[Sterling Song, Investor Relations Director at Autohome]

[Non-English content]

[Translator]

Thank you. Next question, operator.

[Operator]

Next question comes from Ritchie Sun of HSBC. Please go ahead.

[Ritchie Sun, Analyst at HSBC]

[Non-English content] Thank you management for taking my questions. I want to ask management about how do you feel the recovery timing, as well as the drivers behind the auto market, especially for the media services, how would you feel the trend in the second half of this year? Thank you.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

Regarding the drivers for the auto industry recovery, as we just mentioned, the auto market sales for the whole year is expected to decline about 16% year-over-year. This has been a downside. However, it doesn't mean there is not any growth opportunities in the market. For example, the vehicles [prepaid] and replacement will still contribute more for more new vehicle purchasing demand. We just mentioned that sales of the high-end EV priced over CNY 400,000, it increased 46% year-over-year. So in our opinion, a sustainable stabilization and recovery of the auto market still depend on improvement in the broader macroeconomic environment and a strengthening of the consumer confidence.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

Auto exports is another important growth opportunity. In the first half of this year, the passenger vehicle, PV exports increased by more than 70% year-over-year, and the EV exports surging 124%. For EVs, it accounted for over 50% of the total passenger vehicle exports. So it represents new opportunities in the auto market.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

Regarding the media business in the second half of this year, as you know, there is always a saying that golden September and silver October, besides, there will be a multiple of new car. New vehicle and a new car launching in the market. In our opinion, we believe the market will show kind of a recovery at second half of this year.

[Sterling Song, Investor Relations Director at Autohome]

Operator, the next question, please.

[Operator]

Go for the next question. The next question comes from the line of Brian Gong of Citi. Please go ahead. Your line is open.

[Brian Gong, Analyst at Citi]

[Non-English content] I will translate myself. Thanks management for taking my question. Given the pressure over auto dealers, what does management think about outlook for our sales lead business? Thank you.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

For the leads. The leads generation performance is highly related with the overall sales volume in the market. In Q2, the market and the sales of the autos decreased. That is the main reason for the leads generation segment. On one hand, for dealer, continue to face significant operating pressures in the market, so many of them failed to meet their sales target for the first half this year. According to the statistics data from the China Automobile Dealers Association, CADA, 77% of the dealerships achieved less than 90% of their first half year sales target. So many of those dealers, they respond with more losses and with high volumes of inventory. That is why we believe, as we just mentioned, the sales volumes for the new cars still face a pressure and a decrease for second half of this year.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

We still see some opportunities in the market. On one hand, we are increasing our traffic and upgrading our products to improve the quality and quantity of the leads, and they solid foundation for the renewal of our dealership products. For example, the [Non-English content]. For the second half of this year and the next year as well. I give you some examples. For example, we using our AI technology. We use the AI live streaming. We are leveraging the AI technology to empower dealers new media live streaming operations. So we can help them to reduce costs and improve their efficiency, and increase their operation efficiency, and help them to enhance their conversion capabilities. Also, we have smart stores, so we can upgrade the intelligent guided tour function.

[Translator]

So when users browse a dealer's online store, AI-generated voice commentary can match the content on the screen, and it can be played automatically. So it can help to create an immersive watch and listen experience, helping to increase the number of users who will submit and leave their contact information. So, we have tapped through those products and service upgrades and technologies. We can build a solid foundation for the renewal of our products next year.

[Sterling Song, Investor Relations Director at Autohome]

Operator?

[Operator]

No further question at this time. I will turn the call back over to management for closing remarks.

[Craig Yan Zeng, CFO at Autohome]

[Non-English content]

[Translator]

Thank you very much everyone for joining us today. We look forward to speaking with you all again our next quarter's conference call, and to sharing the latest update on the company's corporate strategy and business development. Should you have any further questions or suggestions, please feel free to contact us at any time. Thank you everyone. Goodbye. Thank you, operator.

[Operator]

That does conclude today's conference call. Thank you for your participation. You may now disconnect.

Participants

Executives

• Sterling Song, Investor Relations Director
• Craig Yan Zeng, CFO

Analysts

• Translator
• Thomas Chong, Analyst at Jefferies
• Xiaodan Zhang, Analyst at CICC
• Ritchie Sun, Analyst at HSBC
• Brian Gong, Analyst at Citi